Foshan Nationstar Optoelectronics Co Ltd

Foshan Electrical and Lighting released its 2026 interim report. First-half operating revenue was 4.095 billion yuan, down 6.63% year on year. Net profit attributable to the parent company was 41.71 million yuan, down 63.73% year on year. Net profit after deducting non-recurring items was 23.25 million yuan, down 78.08% year on year. The company said the decline in net profit was mainly due to a combination of lower gross margin, increased exchange losses, and lower profit at its subsidiaries. Gross margin fell to 17.00% in the first half from 18.71% a year earlier, while net margin dropped to 0.16% from 3.37%. Net cash flow from operating activities was negative 117 million yuan, down 1,290.5% year on year, mainly because subsidiary Nationstar Optoelectronics saw sales collections fall by 250 million yuan. The company's net increase in cash and cash equivalents was negative 909 million yuan, a plunge of 555.83% from negative 139 million yuan a year earlier.

Nationstar Optoelectronics released its 2026 interim report, with net profit attributable to the parent company at negative 48.82 million yuan, swinging from profit to loss year on year. Total operating revenue was 1.348 billion yuan, down 19.82 percent from the same period last year. Net cash flow from operating activities was negative 243 million yuan. The company's latest asset-liability ratio was 33.97 percent, gross margin was 11.33 percent, return on equity was negative 1.30 percent, and diluted earnings per share was negative 0.08 yuan.

Nationstar Optoelectronics disclosed an earnings forecast, expecting a net loss attributable to the parent of 46 million to 52 million yuan in the first half of 2026, compared with a profit of 24.5723 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 57 million to 64 million yuan, compared with a profit of 12.2363 million yuan in the same period last year. The company said that intensified industry competition has put pressure on the selling prices of some products, while high prices of core raw materials such as precious metals have dragged down revenue and gross margins. Although emerging businesses such as smart wearables, optocouplers, and automotive applications are growing well, their scale benefits have not yet been fully realized, making it difficult to offset the downward pressure from traditional businesses.