CABBEEN Fashion Limited released its 2026 interim report, detailing solid top-line growth, margin expansion and a higher dividend payout for the six months ended 30 June 2026.

Revenue and Profitability • Revenue rose 7.2% year on year to RMB 452.86 million, driven chiefly by stronger consignment sales and e-commerce momentum. • Gross profit increased 13.4% to RMB 209.85 million; gross margin widened to 46.3% from 43.8% a year ago, reflecting channel mix improvement. • Operating profit declined 24.6% to RMB 38.61 million as other net income fell sharply due to lower FX gains and smaller property-disposal proceeds. • Net profit advanced 13.1% to RMB 20.80 million, lifting net margin to 4.6% (1H 2025: 4.4%). • EBITDA slipped 11.3% to RMB 65.91 million, while operating margin contracted to 8.5% (1H 2025: 12.1%).

Segment and Channel Highlights • Online shops contributed 42.2% of revenue at RMB 191.09 million (flat YoY). • Offline channels delivered RMB 239.90 million, up 20.6%, led by a 29.3% surge in consignment sales to RMB 214.40 million. • OEM income fell 31.6% to RMB 21.86 million. • By brand, flagship “Cabbeen” accounted for 60.0% of sales; “Cabbeen Urban” expanded to 28.6%.

Retail Footprint • The domestic network comprised 571 stores across 28 provinces, plus two self-operated outlets in Malaysia. • Average retail discount at physical stores was 27.9% (1H 2025: 27.4%). • Inventory turnover stretched to 246 days (1H 2025: 208 days) amid higher stock levels; trade receivable days improved to 200 from 237.

Cash Flow and Balance Sheet • Operating activities recorded a net cash outflow of RMB 48.47 million, mainly due to settlement of payables and taxes. • The period ended with cash, cash equivalents and restricted deposits of RMB 420.51 million. • Net debt stood at RMB 17.02 million, translating into a modest net-debt-to-equity ratio of 1.2%. • Interest coverage improved to 9.2 times; gearing remained low at 14.9%.

Dividend • The Board declared an interim dividend of HK1.40 cents per share, 29.6% higher than the prior-year interim payout of HK1.08 cents. The dividend will be distributed on or about 4 September 2026 to shareholders on record as of 24 August 2026.

Outlook Management anticipates a challenging yet opportunity-laden apparel market, citing evolving consumer preferences, intensified competition and rising raw-material costs. Strategic priorities include enhancing product differentiation, accelerating omni-channel integration, upgrading store formats, expanding functional and tech-fabric offerings, and reinforcing brand identity through targeted marketing initiatives.

Liquidity and Capital Commitments As at 30 June 2026, CABBEEN had unused banking facilities of RMB 195.20 million and reported no material capital commitments or contingent liabilities.

Governance and Compliance The company reported adherence to the Corporate Governance Code, except for the combined roles of chairman and CEO held by Dr. Ziming Yang. All directors confirmed compliance with the Model Code for securities transactions, and the audit committee has reviewed the interim results.