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Loctek Ergonomic Technology Corp Class A

Loctek Ergonomic Technology Corp. researches, develops, manufactures, and sells smart home and smart office products in China and internationally. Its offerings include linear drive height-adjustable desks, workstations, children's study tables, fitness office chairs and desks, and smart electric beds. The company also provides cross-border e-commerce public overseas warehouse services, such as first-leg shipping, overseas warehousing, last-leg delivery, and return shipping for small and medium-sized enterprises, as well as e-commerce logistics and warehousing services. In addition, it offers gaming desks, mobile tables, desk frames, and accessories like desk convertors, deskside bikes, and monitor arms. Founded in 2002, the company is based in Ningbo, China.

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Price · split & dividend adjusted
News & notes moving 300729.CS
300729.CS

Lecang Share Half-Year Report: Forex Gains and Losses Distort Income Statement, Core Business Maintains Positive Growth

Lecang Share disclosed its 2026 semi-annual report on the evening of August 28. During the reporting period, it achieved operating revenue of 3.179 billion yuan, up 1.11% year on year, but net profit attributable to shareholders of the listed company was only 21.38 million yuan, a sharp year-on-year decline of 83.43%, while non-GAAP net profit fell 96.23%. The profit decline mainly stemmed from violent fluctuations in foreign exchange gains and losses. In the first half of the year, the company recorded a foreign exchange loss of 77.8415 million yuan, compared with a foreign exchange gain of 46.0303 million yuan in the same period last year. This item alone created a profit gap of about 124 million yuan. After excluding the impact of foreign exchange gains and losses, the company's core business operating profit actually maintained positive growth, and its operating fundamentals remained solid. This phenomenon is not an isolated case. As of August 26, 677 listed companies had mentioned foreign exchange losses in their semi-annual reports. Among them, Chery Automobile had a net foreign exchange loss of 2.092 billion yuan in the first half of the year, while Hikvision swung from a foreign exchange gain of 607 million yuan in the same period last year to a loss of 595 million yuan. Both of Lecang Share's core business segments maintained growth. Smart home business revenue was 1.607 billion yuan, up 3.6% year on year, of which cross-border e-commerce sales revenue was 1.141 billion yuan, up 13.69%, and independent website sales revenue was 495 million yuan, up 20.48%. Overseas warehouse business revenue was 1.549 billion yuan, with gross margin up 1.75 percentage points year on year. The company also further acquired a 32% stake in Yisibeisi, bringing its total shareholding to 52%, and entered the esports sector.
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300729.CS

Loctek Refuses to Lower Convertible Bond Conversion Price; Balance Sheet Hides Multiple Risks

Loctek Ergonomic Technology announced it will not exercise the downward revision right on the conversion price of its convertible bonds, defying widespread market expectations. The conversion price stands at 32.61 yuan, while the underlying stock trades near 10 yuan, implying a premium of 216 percent and making conversion almost impossible. First-quarter net profit attributable to the parent fell 98.44 percent year on year to just 800,000 yuan, with a loss of 10.4 million yuan after excluding non-recurring items. The company attributed the decline mainly to foreign exchange losses of about 40 million yuan and increased losses of about 12 million yuan in its US offline distribution channel. However, warehousing and logistics services revenue rose to 49.29 percent of total revenue in 2025, with a gross margin of only 11.79 percent, far below the roughly 42.3 percent for its smart home business. The shift in business mix has boosted revenue without boosting profit. As of the end of 2025, the company had interest-bearing debt of 5.059 billion yuan and cash of 2.17 billion yuan, showing a pattern of high deposits alongside high debt. Its interest coverage ratio fell to 0.3 times in the first quarter of 2026. In addition, the company plans to acquire a 32 percent stake in Suzhou Yisibesi Technology for 18.656 million yuan. The target's appraisal premium rate is as high as 506.28 percent, with no performance commitment, and the deal will create tens of millions of yuan in goodwill.
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