Ways Electron Co LtdFalling product prices due to intensifying competition drag down gross margin, leading to a first-half loss.

Weishi Electronics expects a net loss attributable to shareholders of 48 million to 55.68 million yuan for the first half of 2026, with a net loss after deducting non-recurring items of 48.5 million to 56.3 million yuan, swinging from profit to loss year on year. The company said the main reasons for the loss include high fixed cost allocation as new production lines at a subsidiary ramp up, adverse impact from exchange rate movements on profit, and declining product prices amid intensifying industry competition that dragged down gross margin. The company's net profit attributable to shareholders has already fallen for two consecutive years, dropping 52.56 percent in 2024 and 60.35 percent in 2025, while gross margin slid from 18.35 percent in 2022 to 11.10 percent in 2025. As of the close on July 27, Weishi Electronics traded at 12.52 yuan per share, with its stock price down 32.07 percent so far this year.
Ways Electron Co LtdFalling product prices due to intensifying competition drag down gross margin, leading to a first-half loss.