Zhejiang EV-Tech Co.,Ltd.

Fute Technology released its 2026 interim report on August 27. Supported by its core onboard power supply business, and benefiting from strong demand in the new energy vehicle market and expansion of overseas operations, the company achieved substantial double-digit growth in both revenue and profit during the reporting period. Operating revenue reached 2.445 billion yuan, up 65.81 percent year on year. Net profit attributable to the parent company was 158 million yuan, up 135.76 percent. Net profit after deducting non-recurring items was 152 million yuan, up 139.14 percent. Net cash flow from operating activities was 130 million yuan, a significant improvement from negative 18 million yuan in the same period last year, mainly due to revenue growth and collection of accounts receivable. Total assets at the end of the period were 4.482 billion yuan, up 10.06 percent year on year, and cash and cash equivalents increased to 826 million yuan, mainly thanks to the receipt of funds from a private placement. In terms of business structure, new energy onboard products remained the absolute mainstay, with revenue of 2.417 billion yuan in the period, accounting for nearly 99 percent of total revenue, up 71.31 percent year on year. Gross margin was 18.16 percent, down slightly by 2.07 percentage points year on year but still relatively stable. Energy management product revenue was 14.14 million yuan, down 43.10 percent year on year. The rapid growth in performance was mainly driven by strong downstream customer demand, which led to a significant increase in product sales volume. The company's customers include well-known domestic and overseas automakers such as GAC, NIO, Xiaomi and Renault. The proportion of overseas revenue rose to 21.65 percent, showing initial results from its global expansion. In addition, financial expenses fell 72.09 percent year on year, mainly due to foreign exchange gains. Research and development investment rose 35.80 percent year on year to 164 million yuan, as the company continued to strengthen its technological advantages in 800-volt high-voltage platforms, silicon carbide applications and integrated products. Although an increase in inventory write-down provisions led to larger asset impairment losses, this did not offset the profit flexibility brought by growth in the main business. Looking ahead, the global penetration rate of new energy vehicles continues to rise, especially with strong growth in Europe and emerging markets. The wider adoption of 800-volt high-voltage platforms and the implementation of bidirectional charging and discharging technology will create new incremental space for the onboard power supply industry. As an independent third-party supplier, the company is expected to further consolidate its market share by leveraging its automated manufacturing capabilities and differentiated cost advantages. However, intensifying industry competition may put pressure on gross margins, and the relatively large scale of accounts receivable carries collection risk.