Chanhigh Holdings Limited reported unaudited interim results for the six months ended 30 June 2026, showing revenue of RMB 427.35 million, down 44.09% year-on-year from RMB 764.50 million. Gross profit declined 23.94% to RMB 45.58 million, yet gross margin improved to 10.7% from 7.8% due to a smaller contribution from the lower-margin building works segment (14.2% of revenue versus 36.7% a year earlier).

Net profit attributable to shareholders fell 48.50% to RMB 8.00 million, while basic earnings per share slipped to RMB 0.013 from RMB 0.025. A RMB 4.92 million income-tax credit—driven by the reversal of prior-year over-provisions—partially offset weaker operating performance.

Segment performance • Municipal works construction generated RMB 285.72 million, down 19.07% and representing 66.9% of total revenue. • Landscape construction contributed RMB 69.53 million, off 36.21%. • Building works revenue dropped 78.43% to RMB 60.66 million. • Other businesses delivered RMB 11.45 million, a 47.39% decline.

Cost of services rendered fell 45.80% to RMB 380.67 million, broadly tracking the revenue contraction. Administrative and other operating expenses decreased 27.24% to RMB 22.19 million, reflecting cost-control measures and lower R&D spending. Finance costs edged up 4.74% to RMB 9.40 million.

Balance sheet and liquidity Total assets stood at RMB 2.06 billion as of 30 June 2026, versus RMB 2.18 billion at end-2025. Cash and cash equivalents were RMB 210.67 million, up from RMB 194.58 million. Current ratio improved to 1.9 (31 December 2025: 1.8), while the gearing ratio eased to 0.5 from 0.6. Bank borrowings amounted to RMB 538.70 million, all due within 12 months and bearing an average interest rate of 2.95% per annum.

Capital expenditure was minimal during the period, and the group reported no significant capital commitments. Remaining net IPO proceeds of approximately HKD 167.40 million are held in bank deposits for future acquisitions and strategic investments, targeted for deployment by end-2027.

Operational updates and outlook During the half-year, Chanhigh secured one new utility model patent and multiple project awards, including provincial safety and quality accolades. Management expects China’s supportive fiscal policies, ongoing infrastructure investment—particularly in water-conservancy projects—and accelerating digital transformation to underpin medium-term demand. Strategic priorities include expanding water conservancy and hydropower projects and developing agricultural infrastructure aligned with national “AI + Agriculture” initiatives.

The board has not declared an interim dividend for the period.