Haina Intelligent Interim 2026: Revenue Contracts 5.6%, Net Profit Slumps 40%, Gross Margin Expands to 24.4%

Bulletin Express
Sep 23

Haina Intelligent Equipment International Holdings Limited reported first-half 2026 revenue of RMB211.58 million, down 5.6% year-on-year, as unit sales remained flat at 23 but product mix shifted. Profit attributable to shareholders dropped 40.6% to RMB5.22 million, reflecting a sharp rise in finance costs after interest capitalisation ceased.

\n\nGross profit was broadly stable at RMB51.60 million, while gross margin widened by 1.3 percentage points to 24.4%, supported by higher pricing of upgraded baby-diaper machines. Selling and distribution expenses decreased 20.8% to RMB8.40 million, yet administrative and other operating costs edged up 3.7% to RMB36.39 million on higher plant depreciation.

\n\nFinance costs surged to RMB4.31 million from RMB1.40 million, accounting for most of the profit contraction. Income tax expense fell 33.3% to RMB0.36 million in line with lower taxable profit.

\n\nCash flow from operations reached RMB24.04 million (prior-year: RMB27.44 million). Combined with RMB30.60 million of capital spending—mainly on property, plant and equipment—the business recorded a RMB18.20 million net cash outflow, ending the period with RMB24.56 million in cash and bank balances.

\n\nKey balance-sheet ratios weakened slightly: current ratio was 0.6x (31 Dec 2025: 0.7x) and gearing eased to 118.2% from 124.1% as total interest-bearing liabilities stood at RMB348.19 million. Outstanding trade receivables of RMB7.70 million were settled after period-end.

\n\nNo interim dividend was declared.

\n\nOperationally, the group ran 27 production lines across its dual bases in Jinjiang and Hangzhou, owning 173 patents. A new R&D centre in Fujian commenced operations, targeting advancements in intelligent and green manufacturing. Overseas expansion progressed, with the sales network now spanning 10 countries; signed orders at 30 June 2026 totalled RMB404.3 million across baby, adult and sanitary machinery categories.

\n\nHaina Intelligent plans to pursue AI-enabled equipment upgrades via a newly formed joint laboratory with Shenzhen Institute of Artificial Intelligence and Robotics for Society, strengthen customised lifecycle services, invest in photovoltaic power to lower energy intensity, and reinforce supply-chain resilience through dual sourcing and inventory buffers.

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