Zoomlion Heavy Industry Science and Technology Co., Ltd. released its unaudited PRC GAAP results for the three months ended 31 March 2026.

Revenue and Profitability • Operating income increased 6.89% year on year to RMB 12.95 billion, reflecting steady sales momentum. • Net profit attributable to shareholders declined 37.30% to RMB 884.17 million, while core net profit (excluding extraordinary items) fell 31.14% to RMB 601.80 million. • Basic and diluted earnings per share dropped to RMB 0.10 from RMB 0.16. • Weighted average ROE narrowed to 1.52% from 2.44%.

Cash Flow and Margins • Net cash inflow from operating activities improved 26.33% to RMB 934.59 million, supported by higher cash collections from customers. • Financing activities generated RMB 4.97 billion in net inflow (up 897.84%), primarily due to a new convertible bond issuance. • Investing activities consumed RMB 1.60 billion, as purchases of wealth-management products lifted cash outflows to RMB 5.86 billion.

Balance-Sheet Dynamics • Total assets expanded 7.81% versus year-end 2025 to RMB 143.54 billion, driven by a rise in financial assets held for trading (+66.93%) and inventories (+12.49%). • Bonds payable rose 291.53% to RMB 7.83 billion, reflecting the convertible bond issue, while short-term borrowings edged up 6.05% to RMB 3.41 billion. • Net assets attributable to shareholders increased 1.50% to RMB 58.43 billion.

Expense Movements • Financial expenses surged 673.65% year on year, mainly due to foreign-exchange effects. • Taxes and surcharges climbed 74.37%. • Other income rose 293.53% on higher government grants. • Investment income turned positive at RMB 99.80 million versus a loss a year earlier, benefiting from the derecognition of amortised-cost financial assets.

Shareholder Structure As at 31 March 2026, HKSCC Nominees Limited remained the largest shareholder with a 17.91% stake, followed by state-owned Hunan Xing Xiang Investment Holding Group at 14.53%.

Key Takeaways Zoomlion delivered top-line growth in Q1 2026, but profitability contracted amid higher financial costs and a normalised base after last year’s asset-disposal gain. Strong operating cash flow and new financing strengthened liquidity, yet the convertible bond increased leverage. Management did not provide earnings guidance in the filing.