SDMC (00901) issued a positive profit alert on Monday, projecting a significant increase in net profit for the six months ending June 30, 2026. The company anticipates that net profit for the period will be 70% to 80% higher compared to the same period last year.

Based on a preliminary review of the group's unaudited consolidated management accounts for the first half of 2026, the board of directors expects that revenue will rise by 30% to 40% from the approximately RMB 1.537 billion recorded in the corresponding period of 2025. Meanwhile, net profit is forecast to jump by 70% to 80% from the RMB 103 million reported in the first half of 2025.

The board attributed the expected revenue growth primarily to a surge in regional demand and higher selling prices for the company's products. The anticipated increase in net profit is mainly due to the revenue growth, along with the group's ongoing efforts to optimize its product mix and enhance its supply chain management.