Victory Giant Technology (abbreviated VGT) reported unaudited interim results for the six months ended 30 June 2026.
Revenue and Earnings • Revenue rose 28.77 % year on year to RMB 11.63 billion, driven by high multi-layer and HDI PCB shipments for AI servers, data centres and automotive electronics. • Net profit attributable to shareholders increased 33.30 % to RMB 2.86 billion; net profit excluding non-recurring items advanced 12.50 % to RMB 2.42 billion. • Basic and diluted EPS reached RMB 3.14, 25.60 % above the prior-year period.
Margins and Cash Flow • Gross margin contracted to 33.2 % from 36.2 %, reflecting higher raw-material and labour costs as well as new-capacity ramp-up. • Operating cash inflow jumped 144.61 % to RMB 2.91 billion, supported by stronger cash collection. • Net cash from financing activities amounted to RMB 22.15 billion, mainly the proceeds of the April Hong Kong H-share listing.
Balance Sheet • Total assets expanded 78.83 % to RMB 63.03 billion; net assets attributable to shareholders rose 128.13 % to RMB 37.91 billion. • The gearing ratio (liabilities/total assets) improved to 39.9 % from 52.9 % at end-2025. • Cash, deposits and equivalents stood at RMB 6.07 billion; financial assets held for trading totalled RMB 15.34 billion, mainly bank wealth-management products and listed shares. • VGT pledged its 5.36 % stake in Founder Technology (fair value RMB 3.17 billion) as collateral for borrowings.
Segment and Strategy Highlights • AI computing cards, UBB boards and switch products maintained global share leadership; VGT confirmed capability for 100-layer PCBs and 30-layer 10+10+10 build-up HDI. • The company completed acquisition of SunPower Malaysia Manufacturing, expanded Thailand and Vietnam factories, and continued a “China + N” capacity strategy to support regional supply. • R&D expenditure reached RMB 0.36 billion (flat YoY), equal to 3.09 % of revenue; staff headcount stood at 23,498.
Capital Expenditure and Green Financing • 1H26 capex cash outflow totalled RMB 7.08 billion, focused on AI-grade production lines and overseas bases. • Unused H-share IPO proceeds were RMB 16.41 billion, earmarked mainly for Mainland high-end PCB capacity and mSAP equipment.
Dividend and Outlook • No interim dividend was declared; the A-share cash dividend of RMB 1.995 per share (pre-tax) for FY25 was paid in April. • Management reiterated a 2030 revenue goal of RMB 100 billion, anchored on AI infrastructure, automotive electronics and regionalised manufacturing.
Governance Updates • Following an internal duty reorganisation, Director Liu Chunlan was redesignated from non-executive to executive director on 27 August 2026. • Board committees reviewed the interim results; the auditors have not yet issued a review opinion.