Zhejiang Meilun Elevator Co Ltd

Meilun Elevator released its 2026 interim report on August 27. The company achieved operating revenue of 319 million yuan, down 0.59 percent year on year. Net profit attributable to the parent company was 20.7363 million yuan, up 17.24 percent year on year. Non-GAAP net profit was 12.3899 million yuan, down 14.55 percent year on year. The slight revenue decline alongside profit growth was mainly driven by investment income and fair value gains, with investment income reaching 4.7234 million yuan and fair value gains of 3.9438 million yuan. Net operating cash flow was negative 9.6273 million yuan, a significant narrowing from negative 65.7152 million yuan in the same period last year. Facing a downturn in the property cycle, the company proactively reduced orders from high-risk property developers and shifted resources toward high-margin segments such as old elevator renewal, elevator installation, and rail transit maintenance. Its intelligent manufacturing base in Nanning, Guangxi, has undertaken batch orders for old elevator renewal funded by national bonds in the Guangxi region, and the revenue share of maintenance and renovation business has steadily increased. The company reduced costs through digital transformation and centralized supply chain procurement, with selling and administrative expenses down 4.13 percent and 14.68 percent year on year respectively. Looking ahead, the national ultra-long-term special government bonds supporting urban renewal and the concentrated release of old elevator renovation demand provide structural opportunities for the company, but the ongoing adjustment in the real estate industry still exposes the new elevator market to risks of longer collection cycles and rising accounts receivable.