Greenheart Group Limited (“GREENHEART GP”) reported a sharply narrower net loss of HK$11.72 million for the six months ended 30 June 2026, an 88.0% improvement from the HK$97.60 million deficit a year earlier. The turnaround was driven by a HK$26.75 million gain on the disposal of most of the Mangakahia and Ormond Valley forests in New Zealand and the absence of losses from the previously divested Suriname division.

Revenue from continuing operations (New Zealand forestry and management services) declined 7.8% year-on-year to HK$19.03 million as radiata pine export volumes and prices softened. Nonetheless, gross profit rose 11.1% to HK$2.15 million, lifting gross margin to 11.3% (1H 2025: 9.4%) on higher-margin forest management services.

EBITDA from continuing operations dropped to HK$0.74 million (1H 2025: HK$11.15 million) after a HK$9.11 million fair-value loss on plantation assets. Administrative expenses rose 57.8% to HK$24.92 million, reflecting post-harvest cleaning costs and a one-off staff bonus.

The NZ$133.47 million (HK$626.82 million) asset sale, completed on 30 January 2026, significantly boosted liquidity. Cash and bank balances jumped to HK$520.12 million from HK$39.85 million at year-end 2025, while bank borrowings were fully repaid. Total debt now consists mainly of shareholder loans, reducing the gearing ratio to 76.9% (31 December 2025: 81.4%).

Net assets stood at HK$145.50 million versus HK$185.35 million at year-end, after the HK$27.83 million special dividend paid in March 2026. No interim dividend was declared.

Looking forward, management expects elevated shipping and operating costs to constrain margins but believes the strengthened balance sheet positions the group to pursue mature cutting-right acquisitions across Asia-Pacific under a disciplined capital-allocation framework. Post-period, an intra-group loan default event between subsidiaries is under review; no external creditor exposure was disclosed.