Zhidezhi released its 2026 interim report. In the first half of the year, it achieved operating revenue of 619 million yuan, up 6.43% year on year, but net profit attributable to the parent company was 9.02 million yuan, down 28.90% year on year, and net profit attributable to the parent company after deducting non-recurring items was 5.91 million yuan, down 44.56% year on year. Revenue growth was mainly driven by a surge in operating service fee income, which reached 377 million yuan, soaring 136.58% year on year and accounting for 60.9% of total revenue. However, operating costs rose 18.11% year on year, causing overall gross margin to fall from 49.20% in the same period last year to 43.62%. The former core business, information promotion revenue, was only 119 million yuan, halved by 50.92% year on year. Revenue from the internet performance marketing platform, which had the highest gross margin, also fell 26.70%, while the gross margin of the operating service fee business was only 27.08%, far lower than the 64.48% of the information promotion business. The company's net operating cash flow swung from a net inflow of 6.70 million yuan in the same period last year to a net outflow of 67.89 million yuan, a decline of as much as 1112.96%. The company explained that this was mainly due to increased upfront capital expenditure caused by the growth in the scale of the operating service business.
Beijing Zhidemai TechnologyNet profit fell 28.9%, core high-margin business halved, and operating cash flow turned negative.
