WPG (Shanghai) Smart Water Public Co. Ltd

Weipaig released its 2026 interim report, with net profit attributable to the parent company at negative 130 million yuan, a widening of losses by 50.07 million yuan compared with the same period last year. The company's total operating revenue was 141 million yuan, down 57.41 percent year on year, a decrease of 190 million yuan. Net cash flow from operating activities was negative 150 million yuan, a decrease of 72.44 million yuan from the same period last year. The company's latest asset-liability ratio was 40.27 percent, up 0.26 percentage points from the previous quarter and up 3.91 percentage points from the same period last year. The latest gross margin was 39.47 percent, down 5.64 percentage points from the previous quarter and down 2.81 percentage points from the same period last year. The latest return on equity was negative 7.32 percent, down 3.26 percentage points from the same period last year. Diluted earnings per share were negative 0.23 yuan, down 0.08 yuan from the same period last year. The company's latest total asset turnover was 0.05 times, down 54.86 percent year on year. The latest inventory turnover was 0.41 times, down 53.49 percent year on year. The company had 46,500 shareholders, and the top ten shareholders held 284 million shares, accounting for 49.76 percent of total share capital.

Wipag disclosed its earnings forecast, estimating operating revenue of 138 million yuan in the first half of 2026, down 58 percent year-on-year. Net loss attributable to the parent company is 132 million yuan, compared with a loss of 80.0662 million yuan in the same period last year. Net loss after deducting non-recurring items is 146 million yuan, compared with a loss of 90.2243 million yuan a year earlier. The company said the revenue decline was mainly affected by macroeconomic fluctuations, phased adjustments in the industry market, and its proactive strategic transformation toward high-quality development. The implementation and delivery acceptance of some long-cycle, large-value orders were delayed, resulting in the related revenue not being recognized in this reporting period. During the reporting period, the company's sales collection amount reached 3.4 times its operating revenue, with a large amount of historical accounts receivable successfully recovered. Previously accrued bad debt provisions were reversed, and asset and credit impairment losses decreased by 25 million yuan compared with the same period, making a positive contribution to profit. The current loss mainly stems from the timing difference in revenue recognition, and the company's core business competitiveness and order backlog have not undergone any material adverse changes.