Sino Energy Conservation International Limited reported a 15.88% year-on-year decline in revenue to HK$27.31 million for the six months ended 30 June 2026. Shallow geothermal energy projects remained the dominant contributor, generating HK$24.76 million, but fell 16.92% from the prior-year period.

A sharp drop in other income to HK$3.06 million (1H 2025: HK$11.14 million)—primarily due to the absence of government subsidies—combined with softer sales turned last year’s HK$3.66 million profit into a HK$1.25 million net loss. Basic loss per share was HK$0.03 cents.

Gross profit slipped 10.52% to HK$8.24 million, while tight cost controls trimmed selling, distribution and administrative expenses by a combined 18.53% to HK$17.80 million. Finance costs were broadly stable at HK$1.53 million, reflecting lease-liability interest.

Operating cash outflow totaled HK$9.69 million; cash and cash equivalents stood at HK$29.04 million as of 30 June 2026 (31 December 2025: HK$38.25 million). Net current assets dropped to HK$9.50 million from HK$14.56 million at year-end. The gearing ratio edged down to 46.25% from 47.00%.

The order book totaled roughly HK$75.00 million, slightly below the HK$80.00 million recorded a year earlier. Management reported no material acquisitions, disposals, charges on assets or contingent liabilities during the period.

The Group held HK$60.92 million in financial investments, or 7.42% of total assets, mainly the China Asset Management – Ever Source Overseas Oriented Asset Management Plan (HK$56.61 million) and a minority stake in Beijing Hisign Technology (HK$0.67 million).

Headcount fell to 163 from 193 at end-2025, and no interim dividend was declared.

Management aims to capitalise on favourable mainland policy support for geothermal and clean-heating projects, with a continued focus on the Beijing-Tianjin-Hebei region, cost control and expansion of geothermal heat-pump solutions in both centralised and household markets.