Tianjin Construction Development Group Co., Ltd. (TJCD, 02515) released unaudited interim results for the six months ended 30 June 2026.
Revenue and Profitability • Revenue increased 10.3% year-on-year to RMB 95.70 million, driven by broader adoption of the self-developed “Jiexiao AI Management System” and initial contributions from IT server hardware sales. • Gross profit gained 1.1% to RMB 17.68 million; gross margin eased to 18.5% from 20.2% in the prior-year period, reflecting higher cost of sales (+12.5% to RMB 78.01 million). • Profit attributable to shareholders improved to RMB 0.72 million (H1 2025: RMB 0.33 million). • Operating and administrative expenses declined 6.1% to RMB 15.29 million, while impairment losses on receivables and contract assets rose to RMB 2.64 million (H1 2025: RMB 0.07 million). • Finance costs fell 42.8% to RMB 0.38 million.
Segment Performance • Building construction-related works nearly doubled to RMB 68.06 million (+93.1%), offsetting declines in municipal public construction (-41.0%, RMB 14.11 million) and foundation works (-70.6%, RMB 6.98 million). • Petrochemical engineering contributed RMB 1.96 million (-50.1%). • New “transformed business” from IT server hardware generated first-time revenue of RMB 4.59 million.
Cash Flow and Balance Sheet • Net cash used in operations totaled RMB 20.90 million, versus an inflow of RMB 20.64 million a year earlier, mainly due to settlement of trade payables. • Cash and cash equivalents reached RMB 62.35 million, up from RMB 25.94 million at end-2025, supported by financing inflows. • Current ratio improved to 1.9 (end-2025: 1.6); gearing ratio edged up to 7.2% (end-2025: 6.2%). • Bank loans stood at RMB 25.00 million with interest rates between 2.95% and 3.00% per annum.
Capital Actions • Completed two share issues—43.16 million H Shares at HK$0.68 (March 2026) and 51.79 million H Shares at HK$0.85 (June 2026)—raising a combined HK$73.20 million (net HK$29.2 million and HK$43.8 million respectively). • Proceeds earmarked for mechanical-leasing digital platform, working capital, debt repayment, and project funding.
Operational Highlights • Executed 52 projects during the period; 54 projects ongoing with total contract value of approximately RMB 369 million. • Delivered China’s largest single-building semiconductor clean-room retrofit (22,560.78 sq m) in Gaoyou, demonstrating AI-enabled project management and safety systems. • Secured CNOOC Qingdao petrochemical demolition contract, deploying unmanned intelligent demolition technology. • Established Jinjian Digital Industry (Shenzhen) Co., Ltd. on 31 March 2026 to commercialise AI platforms “Jiexiao” and “Jixie Zongheng.”
Dividend • The Board resolved not to declare an interim dividend (H1 2025: nil).
Governance and Post-Period Events • Shareholders approved abolition of the Supervisory Committee on 19 August 2026; its oversight functions transfer to the Audit Committee. • KPMG resigned as auditor on 31 July 2026; appointment of Crowe (HK) CPA Limited is pending shareholder approval.
TJCD reiterates its strategic transition toward an integrated model anchored in traditional infrastructure, AI-driven digital technology, biopharmaceutical, and chip-industry projects while maintaining strict risk control and liquidity management.