Lianhua Supermarket Holdings Co., Ltd. (LIANHUA) reported a consolidated loss attributable to shareholders of RMB202.45 million for the six months ended 30 June 2026, reversing a profit of RMB42.25 million a year earlier. Basic loss per share was RMB0.14.

Revenue fell 10.6% year on year to RMB8.57 billion, driven by declines across all formats—hypermarkets (-11.2%), supermarkets (-9.1%) and convenience stores (-15.2%). Gross profit dropped 25.2% to RMB0.85 billion, compressing gross margin by 1.94 percentage points to 9.95% as a higher mix of low-margin daily-necessity items and deeper promotions weighed on pricing.

Other revenue slipped 8.8% to RMB0.58 billion, while other income and gains halved to RMB0.19 billion owing mainly to lower disposal proceeds from subsidiary equity sales. Total distribution & selling and administrative expenses were cut by 14.4% to RMB1.72 billion, yet operating performance moved from a RMB81.10 million profit to a RMB175.04 million loss.

Segment performance • Hypermarkets: revenue RMB3.65 billion; operating profit RMB10.93 million; margin 0.32% (+0.27 ppt). • Supermarkets: revenue RMB4.56 billion; operating loss RMB110.17 million; margin -2.42% (-2.62 ppt). • Convenience stores: revenue RMB0.60 billion; operating loss RMB18.50 million; margin -3.17% (-1.78 ppt).

Network optimisation continued: 118 outlets were opened and 144 closed, leaving 3,036 stores nationwide—84% located in East China.

Financial position Total cash, term deposits and restricted balances stood at RMB5.19 billion, of which cash and cash equivalents accounted for RMB0.81 billion. Net current liabilities expanded to RMB8.44 billion, while total equity turned negative RMB56.30 million. The group reported no interest-bearing borrowings outside lease liabilities, maintaining a stated gearing ratio of 0.0%.

Corporate actions • No interim dividend declared. • No share buybacks or issuances during the period. • On 28 August 2026 Bailian Group terminated its equity-entrustment agreement with Shanghai Bailian, regaining full voting rights over 614.16 million LIANHUA shares.

Outlook statements from management emphasised continued cost control, digital transformation and refinement of the product mix to stabilise profitability amid intensifying sector competition and subdued consumer sentiment.