XINYI ENERGY (03868) has released its interim results for the 2026 financial period, reporting revenue of approximately RMB 1.052 billion, a decrease of 13.1% year-on-year.

Net profit attributable to equity holders of the company stood at RMB 320 million, marking a 28.9% decline compared to the same period last year. Earnings per share were RMB 3.76 cents, with an interim dividend of 2.1 HK cents per share declared.

When compared to the first half of 2025, revenue from electricity sales fell by 10.4% to RMB 663 million, while revenue from tariff adjustments dropped by 28.1% to RMB 335 million. The overall decline in total revenue is primarily attributed to the impact of grid curtailment constraints, a decrease in market-based electricity trading prices, and the influence of weather conditions on power generation.

The reduction in tariff adjustment revenue was more pronounced than the decline in electricity sales revenue, mainly because the curtailment ratio for the group's subsidized policy projects was higher than that for projects under the grid-parity policy. The net profit margin narrowed to 30.4% for the first half of 2026, down from 37.2% in the same period of 2025. This was mainly due to (i) a decrease in revenue amounts and (ii) an increase in cost of sales and administrative expenses, which were partially offset by a reduction in financing costs and income tax expenses.