MOBI DEV (00947) has issued a profit warning, projecting an unaudited consolidated net loss of between approximately RMB 30 million and RMB 31 million for the six months ending June 30, 2026. This compares to a net loss of about RMB 32.82 million in the same period of 2025.
The expected loss is attributed to several key factors. In the first half of 2026, the Group deepened its customer partnerships, with both overall revenue and product shipments growing year-on-year. However, revenue growth fell short of targets due to external factors, including shifts in domestic operators' investment priorities and geopolitical influences.
Additionally, rising raw material and labor costs continued to pressure the Group's gross profit margin. Despite this, the Group strengthened cost control across product lines, focused on optimizing key products, and implemented multi-faceted efficiency measures, resulting in an improved gross margin compared to the same period last year.
The depreciation of the US dollar against the Chinese yuan also contributed, generating a foreign exchange loss of about RMB 5.55 million in the first half of 2026, compared to a foreign exchange gain of approximately RMB 0.45 million in the same period last year. This net impact on profit and loss amounted to roughly RMB 6 million. Excluding the effects of foreign exchange gains and losses, the net loss narrowed by about 25% year-on-year, indicating a significant reduction in losses.
Management remains confident in the Group's future development. The Board believes the Group maintains a stable financial position with sufficient working capital. As the peak period for large-scale 5G macro base station construction has passed, domestic operators are shifting their capital expenditure focus toward areas such as intelligent energy-saving base station upgrades and indoor distribution systems. The Group is actively researching and developing products aligned with these industry trends, including green antennas and AI-powered intelligent tracking antennas, which have already achieved mass deployment. These efforts lay a solid foundation for the upcoming 5G-A commercial rollout and the evolution toward 6G technology.
Furthermore, the Group is accelerating a strategic transformation by expanding into new sectors, including dielectric material applications and satellite communications. New products such as dielectric filters, dielectric antennas, and Beidou terminal modules have passed factory inspections and certifications from key strategic customers in the first half of 2026, preparing the Group for mass production and supply.
Adhering to a long-term strategy of "innovative R&D plus market expansion," the Group is focused on tackling key core technologies, accelerating the expansion of its product portfolio matrix, and driving large-scale market adoption to build comprehensive competitiveness. Looking ahead, with the accelerating commercialization of 5G-A technology, steady progress in 6G forward-looking deployments, and continued government support for the communications industry's upgrade, market demand is expected to gradually recover. Combined with the Group's steady expansion and resource accumulation in new business areas, this could pave the way for broader performance growth in the future. The Board remains optimistic about growth opportunities in the telecommunications industry in China and globally, continues to see strong prospects for new business fields, and will regularly review the Group's operations and strategies to address ongoing challenges.