Shanghai New Centurion Network Information Technology Co Ltd

Xinju Network released its 2026 interim report. Total operating revenue was 236 million yuan, down 3.06% year on year. Net profit attributable to the parent company was a loss of 6.399 million yuan, a decrease of 13.6991 million yuan compared with the same period last year, down 187.66% year on year, swinging from profit to loss. Net cash flow from operating activities was a negative 90.1997 million yuan, down 258.90% year on year. The company's asset-liability ratio was 13.81%, gross margin was 37.14%, return on equity was negative 0.62%, and diluted earnings per share was negative 0.04 yuan.

Xinju Network released its 2026 interim report. First-half revenue was 236 million yuan, down 3.1 percent year on year. Net profit attributable to the parent company was a loss of 6.4 million yuan, down 187.7 percent year on year. Operating cash flow was minus 90.2 million yuan, down 258.9 percent year on year. Second-quarter revenue was 114 million yuan, down 7.4 percent year on year, with a net loss attributable to the parent company of 9.53 million yuan, down 618.4 percent year on year. The company said its proprietary services business was affected by shrinking budgets at key clients, its original equipment software and hardware sales business was affected by the shift to domestic IT innovation, and its short-drama and intelligent content business also faced challenges, leading to significant volatility in operations.

Xinju Network disclosed its earnings forecast, expecting a net loss attributable to the parent company of 4.2 million to 8 million yuan in the first half of 2026, compared with a profit of 7.3001 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 6.3 million to 10 million yuan, compared with a profit of 3.3765 million yuan a year earlier. The company explained that its self-owned service business saw a decline in contract value due to budget cuts by core clients. Sales of original equipment manufacturer hardware and software were affected by the shift to domestic IT innovation, failing to offset the decline in non-domestic IT segments. The short drama business experienced shrinking gross margins due to intensified competition. Meanwhile, credit impairment losses and asset impairment losses increased year-on-year.