Leoch International Technology Limited reported first-half 2026 revenue of RMB 6.95 billion, down 17.6% year-on-year, as the group deliberately trimmed low-margin recycled-lead volumes and faced logistics disruption in the Americas.

Gross profit rose 18.5% to RMB 1.02 billion, lifting gross margin to 14.7% from 10.2% a year earlier. Management attributed the margin recovery to product-mix optimisation, lower raw-material prices and cost-efficiency measures.

Profit attributable to owners surged 32.3% to RMB 137.88 million, while basic EPS increased 42.9% to RMB 0.10. The board declared an interim dividend of HK 1.8 cents per share, the first mid-year payout in two years, payable on or about 6 November 2026 to shareholders on record 16 October 2026.

Segment performance • Power-solutions revenue fell 8.4% to RMB 6.73 billion, still accounting for 96.9% of group sales. – Network-power batteries: RMB 3.22 billion (-6.0%), representing 46.3% of sales. – SLI batteries: RMB 2.81 billion (-9.9%), 40.4% of sales. – Motive-power batteries: RMB 0.52 billion (-16.7%), 7.5% of sales. • Recycled-lead revenue plunged 79.8% to RMB 0.22 billion after the company scaled back production amid tight scrap supply.

Regional sales • Chinese mainland: RMB 3.61 billion (-24.2%), 51.9% of total. • EMEA: RMB 1.53 billion, flat year-on-year, 22.1% of total. • Americas: RMB 1.17 billion (-16.8%). • Asia-Pacific ex-China: RMB 0.63 billion (-13.2%).

Cash flow and balance sheet • Operating cash inflow reached RMB 1.25 billion versus RMB 0.50 billion a year earlier. • Net current assets stood at RMB 0.17 billion (31 December 2025: RMB 1.19 billion). • Interest-bearing borrowings declined to RMB 4.96 billion (31 December 2025: RMB 5.14 billion); gearing eased to 31.7% from 33.1%. • Cash and bank deposits totalled RMB 1.38 billion, of which RMB 0.66 billion were pledged.

Capital actions • The company repurchased 7.29 million shares for HK $8.21 million during the period and a further 2.03 million shares in July; all 9.31 million shares were cancelled on 28 July 2026.

Governance updates • Wu Kouyue became CEO and executive director on 8 January 2026. • Independent director changes took place in May: Cao Yixiong Alan resigned; Ho Kit Ling joined and now chairs the audit committee.

Outlook Management expects sustained demand from data-centre, telecom and EV battery markets, plans to expand lithium-ion offerings, and will continue to optimise its global manufacturing footprint, including new capacity in Mexico.

No significant post-balance-sheet events other than the July share cancellation were reported.