Core results: revenue of 987 million yuan, down 35.03% year on year; net loss attributable to shareholders of 494 million yuan, with the loss widening 67.12% year on year; debt-to-asset ratio of 91.97%. IRICO NEWENERGY (00438) reported in its 2026 interim results that first-half revenue was 987 million yuan, a sharp year-on-year decline of 35.03%; the net loss attributable to shareholders was 494 million yuan, roughly 67% wider than the 296 million yuan loss in the same period last year.

The direct cause of the widened loss is the supply-demand imbalance in the photovoltaic glass industry. In its profit warning announcement, the company explained that continuously falling photovoltaic glass product prices led to a decline in gross margin, while it also made impairment provisions on some inventories based on the principle of prudence. The company implemented a "production control and sales control" strategy, with sales volume decreasing year on year, further amplifying the contraction on the revenue side.

The deterioration in the financial structure is equally concerning. The debt-to-asset ratio under the interim report basis has risen to 91.97%, with owners' equity left at only 683 million yuan, while bank borrowings and other borrowings combined reached 5.041 billion yuan. Accounts receivable turnover days lengthened to 195 days from the same period last year, more than doubling, indicating that the payment capacity of downstream photovoltaic customers has deteriorated significantly and the pace of cash recovery has slowed sharply.

The plight of IRICO NEWENERGY (00438) is a microcosm of the midstream segment of the photovoltaic industry chain. Against the backdrop of overcapacity in every segment including polysilicon, wafers and cells, photovoltaic glass, as an auxiliary materials segment, is likewise unable to remain insulated. When the industry shifts from an "expansion race" to a "capacity clearance" phase, second-tier manufacturers with relatively fragile balance sheets are the first to bear the brunt. The company has announced that it will not pay a 2026 interim dividend in order to retain cash. Note: This article was generated by AI, please scrutinize it carefully.