BYD Electronic (International) Company Limited reported first-half 2026 revenue of RMB 82.23 billion, a 2.02% year-on-year rise, driven mainly by higher shipments in its smart-terminal assembly and new-energy-vehicle (NEV) lines. However, profit attributable to shareholders fell 75.35% to RMB 426 million amid a sharp drop in gross margin and sizeable foreign-exchange losses.
Gross profit declined 27.18% to RMB 4.04 billion, cutting the gross margin to 4.91% from 6.88% a year earlier. The company cited an unfavourable product mix in smart-terminal components, ongoing softness in global handset demand, raw-material cost inflation and FX movements as key headwinds.
Segment performance • Smart terminals delivered RMB 67.86 billion in sales, including RMB 55.95 billion from assembly and RMB 11.91 billion from components. Despite muted handset demand, assembly revenue rose on sustained orders from an overseas customer, while component sales contracted. • NEV-related products contributed RMB 13.62 billion, up 6.43% year on year, supported by broader adoption of intelligent suspension, cockpit and thermal-management systems as well as supply of flash-charging control modules. • AI computing-infrastructure revenue slipped 10.57% to RMB 753 million; nevertheless, the latest liquid-cooling plate project for an overseas client moved into mass-production ramp-up, positioning the unit for future growth.
Cash flow and balance sheet Operating cash inflow dropped to RMB 844 million (1H 2025: RMB 10.00 billion) on lower customer receipts. Capital expenditure reached RMB 2.47 billion, focused on servers, liquid-cooling and NEV intelligent systems. Net gearing stood at 9.78% versus negative 13.53% at end-2025, reflecting reduced cash holdings to RMB 5.47 billion after funding growth initiatives and a RMB 351.50 million final dividend for FY 2025 (RMB 0.156 per share).
R&D and innovation The group invested RMB 1.96 billion in R&D, channelling funds into AI-centric products, next-generation liquid-cooling, high-voltage power systems and NEV intelligence. Cumulative patent applications reached 12,296, with 8,396 granted.
Outlook Management targets a structural recovery in smart terminals alongside continued NEV expansion and accelerated scale-up of AI computing-infrastructure offerings. The company intends to deepen strategic partnerships, pursue overseas opportunities and sustain heavy R&D spending to navigate near-term margin pressures and capture long-term growth across diversified technology segments.
No interim dividend was proposed for the period.