Fujian Furi Electronics Co Ltd

The consumer electronics sector moved sharply higher in intraday trading on August 25, led by the foldable phone theme. Jierong Technology hit its daily limit up in a straight line, Hengmingda sealed limit up, and Xingxing Technology and Lvliang Technology rose more than 10%. On the news front, Apple is expected to hold a special autumn event on September 9, launching only three high-end models: the iPhone 18 Pro, iPhone 18 Pro Max, and its first foldable iPhone, while the standard iPhone 18 will be delayed until spring 2027. Analysts at Rothschild & Co. expect Apple's push into the ultra-high-end foldable phone segment could lift the iPhone average selling price by 11% before June 2027, with iPhone Ultra foldable phone sales reaching 14 million units in fiscal 2027. National Bureau of Statistics data show that from January to July 2026, retail sales of wearable smart devices by enterprises above designated size more than doubled year on year, while retail sales of communication equipment rose 15.1%. Furi Electronics' 2026 interim report shows first-half revenue of 7.923 billion yuan, up 48.57% year on year, with net profit attributable to the parent of 83.3497 million yuan, up 277.41% year on year. A research note from CITIC Securities points out that in the third quarter of 2026, the quarter-on-quarter increase in consumer-grade storage contract prices will narrow significantly, and shipments of traditional hardware such as phones and PCs are expected to bottom out and recover in the second half of 2026, making targets with high exposure to the Apple supply chain and premium Android business worth close attention.

Furi Electronics released its 2026 interim report, with net profit attributable to the parent of 83.3497 million yuan, up 277.41% compared to the same period last year. The company's total operating revenue was 7.923 billion yuan, an increase of 48.57% year-on-year, achieving growth for three consecutive years. Net cash outflow from operating activities was 455 million yuan, an increase of 403 million yuan in net outflow compared to the same period last year. The asset-liability ratio was 80.54%, gross margin was 5.80%, ROE was 4.85%, and diluted earnings per share was 0.14 yuan.

Furi Electronics disclosed its earnings forecast, expecting net profit attributable to the parent for the first half of 2026 to be 85 million yuan, up 284.89 percent year-on-year. Deducted non-recurring profit is expected to be 14 million yuan, up 686.12 percent year-on-year. The company said the profit growth mainly came from investment income of about 77 million yuan from its associates, as well as government subsidies of about 17 million yuan. The company's main businesses are smart terminal products such as smartphones and LED optoelectronics, with production and operations running smoothly.