China Wantian (01854) reported HK$376.59 million revenue for the six months ended 30 June 2026, down 38.7% year-on-year as lower volumes of fresh-food deliveries in the Greater Bay Area and a smaller restaurant network weighed on sales.
Gross profit contracted 30.9% to HK$17.45 million, yet the gross margin improved to 4.6% (H1 2025: 4.1%) thanks to tighter cost control and the closure of lower-margin eateries. Group selling expenses dropped 75.9% to HK$6.85 million, and administrative costs fell 14.2% to HK$37.54 million.
Operating loss narrowed to HK$27.18 million from HK$45.68 million, while the period loss attributable to shareholders reduced 38.0% to HK$29.00 million. Basic loss per share improved to 1.42 HK cents (H1 2025: 2.30 HK cents).
Segment performance • Food Supply: Revenue slid 37.8% to HK$361.00 million, representing 95.9% of group turnover. Segment margin edged up to 2.1% (H1 2025: 1.4%). • Catering Services: Revenue declined 53.5% to HK$15.59 million following restaurant closures; margin expanded to 63.9% (H1 2025: 50.4%). • Environmental Protection & Technology: No sales were recorded (H1 2025: HK$0.54 million).
Balance sheet and cash flow Net cash from investing activities swung to an inflow of HK$40.36 million, driven by the HK$46.20 million proceeds from selling 100% of Better Joy Ltd. (owner of Hong Kong industrial properties) and a 67% stake in Zhongshan Wantian Shizhijia Trading. Cash and cash equivalents rose to HK$63.75 million (31 Dec 2025: HK$55.83 million). Total borrowings fell to HK$55.00 million after repaying bank debt, but higher interest on an existing HK$55.00 million unsecured loan lifted finance costs to HK$3.22 million.
The current ratio strengthened to 2.5 (31 Dec 2025: 2.2), though net assets contracted to HK$48.22 million (31 Dec 2025: HK$75.70 million). Gearing increased to 141.4% as equity declined. No interim dividend was declared.
Strategic developments • Asset-light shift: Disposal of non-core properties and early termination of selected leases to reduce fixed costs and release capital. • Technology pivot: Formation of Shenzhen Wantian Artificial Intelligence Technology Co., Ltd. and partnerships with Digit (Shenzhen) Robotics, Zhongyi Embodied AI, and X-Plorer Medtech to develop robotics, AIoT and healthcare-related automation solutions. • Brand refresh: Adoption of a new corporate logo and proposed renaming to “China Onetech Holdings Limited” to reflect the technology-focused strategy.
Management signalled its intent to integrate smart automation across existing operations and commercialise new AI-driven products in the Greater Bay Area, targeting efficiency gains and diversified revenue streams in the medium term.
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