Zhejiang Red Dragonfly Footwear Co Ltd

Red Dragonfly disclosed its 2026 semi-annual report on August 28. In the first half of the year, total operating revenue reached 1.022 billion yuan, down 0.14 percent year on year. Net profit attributable to the parent company was 8.952 million yuan, turning from a loss to a profit compared with the same period last year. Non-recurring net profit was 161,200 yuan, also achieving a turnaround. The company plans to distribute a cash dividend of 0.6 yuan per 10 shares, tax included, to all shareholders. During the reporting period, net cash flow from operating activities was 18.4572 million yuan, down 83.81 percent year on year. Net cash flow from financing activities was negative 131 million yuan, and net cash flow from investing activities was negative 116 million yuan. As of the end of the first half, the company's inventory book value was 454 million yuan, accounting for 18.88 percent of net assets, with an inventory write-down provision ratio of 16.53 percent.

Red Dragonfly issued an announcement, expecting to achieve an attributable net profit of 5 million to 10 million yuan in the first half of 2026, compared with a loss of 22.97 million yuan in the same period last year, turning loss into profit year-on-year. The company expects a deducted attributable net profit of negative 3 million to 2 million yuan, compared with negative 40.39 million yuan in the same period last year. The company stated that during the reporting period, demand for fashion footwear and apparel remained weak, but through continuous optimization of channel structure and improvement of operational efficiency, it achieved a turnaround in net profit, while also strengthening control over expenses. In the first quarter of 2026, Red Dragonfly achieved revenue of 554 million yuan and an attributable net profit of 9.23 million yuan.