Keshun Waterproof Technologies Co Ltd Class A

Keshun Waterproof Technologies published its 2026 interim report on August 26, achieving a significant increase in net profit and a sharp turnaround in operating cash flow despite a slight decline in revenue. During the reporting period, the company recorded operating revenue of 2.917 billion yuan, down 9.42% year on year; net profit attributable to the parent company was 67.38 million yuan, up 43.50% year on year; and net profit after deducting non-recurring items was 28.78 million yuan, swinging from a loss of 13.66 million yuan in the same period last year. The overall gross margin was 27.93%, up 3.24 percentage points year on year, and net cash flow from operating activities was 195 million yuan, compared with a net outflow of 561 million yuan a year earlier. The company proactively gave up low-quality orders and raised product prices, while the share of high-margin overseas and retail business increased, driving a recovery in profitability. Sales of waterproofing materials remained the core source of revenue, generating 2.281 billion yuan and accounting for about 78% of total revenue. Within that, waterproofing membrane revenue was 1.411 billion yuan, down 14.24% year on year, while waterproofing coating revenue was 869 million yuan, down slightly by 0.35% year on year. The company actively responded to the industry's call to resist cut-throat competition, implemented multiple rounds of price increases, and pushed forward with cost reduction and efficiency improvement, lifting gross margin. Looking ahead, urban renewal and the existing-home repair market may provide structural support for the industry, but risks remain from a slower-than-expected recovery in property demand and fluctuations in raw material prices.

Keshun Waterproof Technologies disclosed its 2026 semi-annual report on August 27. In the first half, total operating revenue reached 2.917 billion yuan, down 9.42% year on year. Net profit attributable to the parent company was 67.38 million yuan, up 43.50% year on year. Net profit after deducting non-recurring items was 28.78 million yuan, turning from a loss in the same period last year. Net cash flow from operating activities was 195 million yuan, compared with negative 561 million yuan in the same period last year. During the reporting period, basic earnings per share were 0.06 yuan, and the weighted average return on net assets was 1.70%. The company said that under the guidance of its high-quality development strategy, it is focusing on core businesses and advantageous regions while advancing a diversified business transformation.