As a global leader in the circular economy, ENVISION GREEN (01783) is rapidly unlocking the immense value of its cross-continental battery recycling network spanning Asia, America, and Europe, as evidenced by its latest financial report. On December 10, the company released its interim results for fiscal year 2026, showing remarkable growth: revenue reached HK$816 million over six months ending September 30, marking a 228.6% year-on-year increase, while net profit turned positive at HK$15.1 million.

This stellar performance stems from explosive growth in ENVISION GREEN's reverse supply chain management and environmental services, which contributed HK$790 million (up 401.78% YoY) and accounted for 96.81% of total revenue. The results confirm the successful transformation of ENVISION GREEN into a global circular economy service provider, with its commercial value now materializing at scale.

Beyond strong financials, the company's strategic partnership with Fortune Metal Group Inc (FMG) has opened new growth avenues in the global resource recycling market. Following a May collaboration with China Recycling International, this alliance marks a milestone in ENVISION GREEN's overseas expansion, positioning it as both a "new model" for securing strategic resources and a future leader in integrated recycling networks and metal trading platforms.

**Accelerated Growth in a Challenging Industry** Amid 2025's "anti-involution" trend in China's new energy sector—where price wars have led to widespread losses—ENVISION GREEN stands out as a rare high-growth player. Its foresight in capturing the battery recycling boom and building a global competitive edge has paid off. Since pivoting to green energy in 2020, the company has established a worldwide network covering 28 countries, with 3 pre-processing plants and 74 collection/dismantling sites (including 42 in Europe, 27 in North America, and 5 in Asia). Key facilities include an automated battery disassembly line in Rhode Island, USA, and Hong Kong's first dedicated EV battery recycling line (operational by 2026).

**Three-Tier Value Ecosystem** 1. **Core Clients**: ENVISION GREEN serves industry leaders like Gotion High-Tech and JinkoSolar, with retired battery disposal value exceeding RMB 30 billion from these two alone. 2. **Platform Collaboration**: It co-founded the "Global Lithium Battery Recycling Network" with Eve Energy, GEM, and Huayou Cobalt, targeting 120,000 tons/year capacity by 2030. 3. **National Team Synergy**: Partnerships with China Recycling International and CATL's Brunp Recycling form a "national leader + industry giant + global service" trifecta.

**Growth Trajectory** The company's reverse supply chain revenue skyrocketed 710.41% to RMB 229 million in FY2024 and surged another 204.21% to RMB 696 million in FY2025. H1 FY2026 saw this segment hit HK$790 million (+401.78% YoY), already surpassing FY2025's full-year figure by 13.51%. The HK$15.1 million profit marks ENVISION GREEN's first earnings since its 2020 transition, signaling the start of its harvest phase.

With China's first wave of retired EV batteries peaking in 2025–2027 and global volumes exploding post-2027, ENVISION GREEN is poised to be a high-certainty growth story in the sector.

**Strategic Alliance with FMG** The partnership with US-based FMG (a 30-year metal recycling veteran handling 160,000 tons/year) deepens ENVISION GREEN's competitive moat. Key projects include a Rhode Island demo line and a Los Angeles energy storage facility. In July 2025, ENVISION GREEN secured FMG's global exclusive distribution rights via a HK$200 million share issuance (39.35 million shares at HK$3.99 each, locked for one year), with FMG guaranteeing US$20 million in gross profit over five years.

**Safeguarding Strategic Resources** Amid China's high import reliance (e.g., 93% for nickel, 98% cobalt) and fragile global supply chains (e.g., Congo's cobalt export quotas), ENVISION GREEN's network is critical for resource security. Its May 2025 tripartite agreement with China Recycling International and Brunp Recycling, plus rebranding a joint venture as "China Recycling International ENVISION Co.," underscores this role. The FMG deal further ensures priority access to aluminum, copper, iron, zinc, and nickel alloys for domestic supply.

**Outlook** ENVISION GREEN's transition to profitability and revenue hypergrowth confirm its entry into a high-value phase. As it evolves into a global recycling network and metal trading platform, catalysts include: - The approaching global battery retirement wave - New client acquisitions - Expansion into multi-category recycling - Deeper metal trading integration

With 25x stock gains over 26 months and recent share turnover, the港股通-listed ENVISION GREEN may attract southbound capital, making it a compelling investment opportunity.