Shanghai-based IT solutions provider Jiaoda Withub (Stock Code 08205) reported interim results for the six months ended 30 June 2026.

Revenue and Profitability • Turnover declined 35.08% year on year to RMB 23.08 million (1H 2025: RMB 35.56 million) as project activity slowed, especially in business application solutions. • Despite the revenue drop, gross profit slipped only 1.20% to RMB 5.77 million, lifting gross margin to 25.0% from 16.4% a year earlier. • Loss attributable to shareholders narrowed 32.73% to RMB 5.03 million (1H 2025: RMB 7.47 million), reflecting tighter cost control.

Segment Performance • Business application solutions & software: Sales fell 38.71% to RMB 13.53 million. • Network and data-security installation & maintenance: Revenue edged up 3.18% to RMB 9.24 million, partially offsetting overall topline pressure. • Electrical products & accessories: Sales slumped 93.07% to RMB 0.31 million.

Expense Trends • Distribution expenses: RMB 1.72 million, down 40.66% year on year. • Administrative expenses: RMB 6.07 million, down 22.17%. • R&D spending: RMB 1.86 million, up 9.22%, indicating continued investment in product development. Total staff costs dropped 22.95% to RMB 8.08 million.

Balance Sheet & Liquidity • Cash and bank balances stood at RMB 14.46 million (31 Dec 2025: RMB 17.91 million). • Current assets fell to RMB 29.50 million, outpaced by current liabilities of RMB 34.09 million, translating into a current ratio of 0.87x. • Net assets declined to RMB 1.54 million from RMB 6.57 million six months earlier; net asset value per share slipped to RMB 0.003. • Gearing ratio increased to 95.68% (31 Dec 2025: 84.67%). • Net cash used in operating activities improved to RMB 3.40 million inflow compared with RMB 10.97 million outflow a year earlier.

Capital Management • No interim dividend declared. • No new share issuance, share buy-back, or major M&A transactions during the period. • No material capital commitments, asset charges, or contingent liabilities were reported.

Outlook and Strategy Management intends to continue strict cost discipline while targeting new clients and market segments—particularly in software development and network security services—to stabilise revenue and restore profitability.

The Board confirms that it remains committed to monitoring liquidity closely and maintaining adequate cash resources amid market volatility.