Black Peony Group Co Ltd

Black Peony released its 2026 interim report, with net profit attributable to the parent company at negative 89.41 million yuan, swinging from profit to loss year-on-year. The company's total operating revenue was 1.32 billion yuan, down 16.69% from the same period last year. Net cash flow from operating activities was negative 318 million yuan, an increase of 174 million yuan compared with the same period last year. The company's latest asset-liability ratio was 59.73%, gross margin was 12.66%, and ROE was negative 0.86%.

Black Peony disclosed its earnings forecast, expecting a net loss attributable to shareholders of 75.2 million to 94 million yuan in the first half of 2026, compared with a profit of 56.6738 million yuan in the same period last year. Net loss after deducting non-recurring items is expected to be 75.6 million to 94.5 million yuan, versus a profit of 53.7147 million yuan a year earlier. The company said the change in performance is mainly due to signs of impairment in some real estate development projects, leading to a provision for inventory write-downs based on the principle of prudence. At the same time, the scale of municipal engineering construction business declined during the period, resulting in a simultaneous reduction in operating revenue and profit.