CIG Delivers Strong H1 2026: Revenue +32.9%, Net Profit +171.1%; Confirms HK$1.97 B H-Share Placement and RMB0.09 Interim Dividend

Bulletin Express09-03 16:46

CIG reported H1 2026 operating revenue of RMB2.71 billion, a 32.92% year-on-year increase, driven chiefly by a surge in high-speed optical transceiver sales. Net profit attributable to shareholders jumped 171.08% to RMB327.75 million, while net profit after extraordinary items rose 168.42% to RMB319.49 million. Basic earnings per share climbed 106.67% to RMB0.93.

Operating cost grew 17.99% to RMB1.87 billion, significantly lagging revenue expansion and lifting profitability. Nonetheless, net cash used in operations widened to –RMB1.11 billion, reflecting higher raw-material purchases to support capacity expansion.

Total assets reached RMB13.64 billion at 30 June, up 14.58% from year-end 2025, and net assets attributable to shareholders increased 25.72% to RMB9.37 billion. Finance costs rose sharply to RMB199.41 million, mainly due to a RMB202.05 million foreign-exchange loss.

The Board approved an interim cash dividend of RMB0.09 per share (RMB33.14 million in total), representing a 10.11% payout of first-half attributable earnings.

In June the Group placed 15.60 million new H shares, raising net proceeds of approximately HK$1.97 billion. About 80% of the funds are earmarked for strategic reserves of core components, 10% for working capital and 10% for general corporate purposes.

First-half R&D expenditure rose 29.89% year-on-year to RMB208.84 million, underpinning development of 800G/1.6T optical modules, Wi-Fi 8 gateways and AI-enabled products. Capital spending accelerated, with construction-in-progress doubling to RMB947.47 million following capacity build-out at the Jiashan and Malaysia sites.

Looking ahead, management identified ongoing FX volatility and tight component supply as key challenges but confirmed continued investment in production scale-up and technology roadmaps to meet growing demand for high-speed interconnect and broadband solutions.

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