Zhejiang Lianxiang Smart Home

*ST Lianxiang released its 2026 interim report. As of June 30, net profit attributable to the parent company was negative 11.47 million yuan, a decrease of 12.40 million yuan from the same period last year, down 1,331.34 percent year on year, swinging from profit to loss. Total operating revenue was 49.02 million yuan, down 25.37 million yuan, or 34.11 percent, year on year. Net cash flow from operating activities was negative 16.27 million yuan, a decrease of 1.84 million yuan year on year. The asset-liability ratio was 19.38 percent, up 3.62 percentage points from the previous quarter and up 5.82 percentage points from the same period last year. Gross margin was 31.67 percent, down 1.58 percentage points year on year. Return on equity was negative 2.15 percent, down 2.32 percentage points year on year. Diluted earnings per share was negative 0.11 yuan, down 1,200.00 percent year on year. Total asset turnover was 0.07 times, down 31.14 percent year on year; inventory turnover was 0.59 times, down 38.61 percent year on year. The company had 6,591 shareholders, and the top ten shareholders held 61.18 million shares, accounting for 59.04 percent of total share capital.

*ST Lianxiang released its 2026 interim report on August 27, with both revenue and profit declining during the period and net profit swinging from profit to loss. The company achieved operating revenue of 49.0192 million yuan, down 34.11% year on year; net profit attributable to the parent was negative 11.4728 million yuan, swinging from profit to loss year on year; and non-GAAP net profit was negative 14.8894 million yuan, a sharp year-on-year decline. Net cash flow from operating activities was negative 16.2677 million yuan, with the net outflow widening. The company mainly engages in seamless wall coverings, curtains, and decoration and renovation services, of which revenue from wall coverings, curtains, and related products was 37.4903 million yuan, and revenue from renovation services was 5.7952 million yuan. The decline in performance was mainly affected by the downturn in the real estate industry and the settlement pace of renovation projects, while selling expenses rose 39.66% year on year. The company has laid out new businesses in household energy storage and upstream textile materials, but these have yet to contribute substantial revenue. Given that net profit for 2025 was negative, the company's shares have been subject to a delisting risk warning. If its 2026 financial data continue to trigger mandatory delisting conditions, it will face the risk of termination of listing.