Rayitech released its 2026 interim report, showing operating revenue of 226 million yuan, up 24.01 percent year on year, but net profit attributable to the parent company was a loss of 39 million yuan, with the loss widening by 5.38 million yuan year on year, presenting a situation of revenue growth without profit growth. Capacity release at the Jiaxing base drove higher sales volume, but operating costs grew 28.17 percent, faster than revenue growth, and combined with reduced government subsidies and increased interest expenses, profitability came under pressure. Net cash flow from operating activities was 11 million yuan, down sharply by 88.33 percent year on year, mainly due to reduced government subsidies and payment of maturing letters of credit. Closing net assets were 1.214 billion yuan, up 42.69 percent from the end of the previous year, mainly because convertible bond conversions increased share capital and capital reserves. The company focuses on thermal control, electronics, and electrical PI films. Higher sales of ultra-thick thermal control PI films improved profitability in that segment, and the TPI film process continued to be optimized, but the scale benefits of new production lines have not yet fully materialized, and new products are still in the customer evaluation period, so overall profitability has not improved in tandem.
Shenzhen Rayitek Hi-Tech Film Co. Ltd. ANet profit loss widened despite revenue growth, with costs rising faster than revenue and reduced subsidies.
