Seres Group reported revenue of RMB 57.42 billion for the six months ended 30 June 2026, down 7.9% year on year, as core vehicle models underwent transition and scale-up benefits had yet to materialise. Gross profit fell 24.3% to RMB 12.52 billion, dragging the gross margin to 21.8%, a 4.7-percentage-point contraction, mainly due to higher battery, chip and raw-material costs and a less favourable product mix.
The Group recorded a loss before tax of RMB 2.35 billion versus a profit of RMB 3.72 billion in the prior-year period. Net loss attributable to shareholders reached RMB 1.72 billion, reversing a profit of RMB 2.94 billion a year earlier. Impairment charges on intangible assets, property, plant and equipment totalled RMB 1.75 billion, reflecting accelerated technology iterations in the new-energy vehicle (“NEV”) sector.
Operating cash flow turned negative at RMB 12.84 billion after a positive RMB 14.03 billion in the first half of 2025, influenced by working-capital movements and increased R&D spend. Nevertheless, Seres Group ended June 2026 with bank balances, cash and time deposits of RMB 31.0 billion, representing 24.1% of total assets. Interest-bearing liabilities stood at RMB 4.07 billion, 3.2% of total assets, underpinning a low leverage profile; the gearing ratio declined to 68.33% from 70.91% at end-2025.
NEV sales volumes rose 3.9% year on year to 178,800 units, including 160,800 units from Seres Auto. The flagship AITO M9, launched mid-June, achieved over 20,000 deliveries within seven weeks and expanded the brand’s price band above RMB 600,000.
Research and development expenditure increased 27.4% to RMB 3.73 billion, focusing on an 800V high-voltage platform, three-motor systems, and an advanced electronic-electrical architecture. Selling and distribution costs declined 5.3% to RMB 8.47 billion, while administrative expenses were stable at RMB 1.96 billion.
Capital expenditure reached RMB 4.50 billion, and outstanding purchase commitments for fixed and intangible assets totalled RMB 2.24 billion as at 30 June 2026. Two major investments—Longsheng New Energy (carrying value RMB 8.52 billion) and a 9.36% stake in Yinwang Intelligent Technology (RMB 11.51 billion)—each exceeded 5% of total assets.
During the period, Seres Group distributed RMB 1.39 billion in cash dividends and repurchased 4.17 million A shares for RMB 327.01 million, all to be cancelled. The company’s controlling shareholder and senior management also executed share-purchase programmes in July 2026 to signal long-term confidence.
Post-period, Seres contributed its Landian business into newly formed Chongqing Saidou Technology and accepted external capital injections totalling about RMB 6.67 billion. Following the July 2026 tranche, Seres’ stake fell below control threshold; Saidou Technology will be accounted for as an associate going forward, with its assets and liabilities reclassified as held for sale at 30 June 2026.
The Board did not declare an interim dividend.
Comments