Envicool H1 2026 Revenue RMB3.02 Billion Up 17.24%, Net Profit Down 14.32%, Overseas Up 71.39%
Envicool released its 2026 semi-annual report on August 24, showing revenue of RMB3.02 billion, up 17.24% year-on-year, and net profit attributable to shareholders of RMB180 million, down 14.32%. Non-GAAP net profit fell 13.2% to RMB175 million. Overseas revenue jumped 71.39% to RMB444 million, representing 14.72% of total revenue, up from 10.07% a year earlier. The company attributed the profit decline to higher financial expenses and extended IDC project settlement cycles, though second-quarter non-GAAP net profit rose 6% year-on-year.
Envicool released its 2026 semi-annual report on August 24. In the first half of 2026, the company achieved operating revenue of RMB3.02 billion, up 17.24% year-on-year; net profit attributable to shareholders of the listed company was RMB180 million, down 14.32% year-on-year; net profit excluding non-recurring items attributable to shareholders was RMB175 million, down 13.2% year-on-year; and net cash flow from operating activities was RMB61.87 million, up 126.45% year-on-year.
In the first quarter, Envicool achieved operating revenue of RMB1.175 billion, up 26.03% year-on-year, but net profit excluding non-recurring items was only RMB5 million, down 87.1% year-on-year. The company previously stated that the sharp profit decline in the first quarter was mainly due to rising financial expenses and the lengthened cycle of domestic IDC project construction, settlement, and payment collection. Despite ample orders, some orders were not promptly converted into shipments and revenue recognition.
Excluding first-quarter results, Envicool achieved operating revenue of RMB1.841 billion in the second quarter, up 12.2% year-on-year, with net profit excluding non-recurring items of RMB170 million, up 6% year-on-year. The second-quarter gross margin was 25.34%, down 0.63 percentage points year-on-year.
From the revenue structure perspective, revenue from computer room temperature control and energy-saving products in the first half was RMB1.7 billion, up 25.84% year-on-year, with revenue share rising to 56.36%, and gross margin down 2.49 percentage points to 23.34%. Revenue from cabinet temperature control and energy-saving products was RMB1.068 billion, up 15.28% year-on-year, with gross margin down 1.32 percentage points to 26.77%.
In terms of overseas business, in the first half of 2026, overseas revenue as a proportion of total revenue increased from 10.07% in the same period of 2025 to 14.72%, reaching RMB444 million, up 71.39% year-on-year. During the same period, overseas operating costs increased by 94.87% year-on-year, and the gross margin in overseas regions fell by 6.24 percentage points.