SF Holding (06936) has unveiled its interim financial results for the six months ended June 30, 2026, showing steady growth in its core operating metrics. The logistics giant reported total revenue of RMB 155.506 billion, marking a year-on-year increase of 5.89%, while gross profit rose 7.48% to RMB 20.487 billion.
Net profit attributable to owners of the company reached RMB 5.502 billion for the reporting period, with basic earnings per share at RMB 1.1. The board has proposed an interim cash dividend of RMB 4.9 per ten shares (pre-tax) to all shareholders.
During the first half of 2026, the company achieved total parcel volume of 7.86 billion, representing a modest 0.2% uptick compared to the same period last year. This performance underscores the group's long-term commitment to operational refinement and lean management practices.
On the operational front, SF Holding has been actively optimizing its business mix, which contributed to a year-on-year recovery in revenue per parcel and a steady improvement in operating efficiency. The company has also institutionalized lean cost-control measures, enhanced its network configuration, and optimized resource allocation to drive structural cost reductions. Additionally, the accelerated deployment of AI technologies and smart equipment at scale has unlocked further digitization-driven savings.
The group intensified its efforts to strengthen less-than-truckload and cross-border trunk route networks while aggressively expanding into domestic industrial park markets and international territories, leading to increased investment in both air and land transport capacity. However, rising oil prices in the second quarter pushed transport costs considerably higher year-on-year. Despite this pressure, the effective implementation of the aforementioned lean management initiatives partially offset the upward cost trajectory.
Taking all factors into account, SF Holding generated gross profit of RMB 20.49 billion in the first half of 2026, up 7.5% year-on-year, with the gross margin improving by 0.2 percentage points to 13.2%.
On the expense side, the combined ratio of selling and administrative expenses edged up 0.1 percentage points year-on-year, driven by heightened incentives for high-value business development and strengthened sales capabilities around industrial park markets, supply chain services, and international operations. Conversely, research and development expenses as a percentage of revenue declined by 0.1 percentage points, reflecting improved R&D efficiency alongside the company's advancements in technological intelligence.
Financial discipline remained intact as SF Holding maintained a robust capital structure. The average outstanding borrowing balance decreased year-on-year, resulting in a 0.1 percentage point reduction in the net finance expense ratio.
Regarding profitability, net profit attributable to owners of the company stood at RMB 5.50 billion for the reporting period, a 4.1% decline year-on-year. This decrease is primarily attributed to a one-time after-tax gain of RMB 590 million recorded in the first half of 2025 from the transfer of three wholly-owned property subsidiaries to the Southern SF Logistics REIT, which elevated the comparison base for the prior-year period. Excluding this non-recurring item, the company's net profit attributable to owners actually grew by 7.0% year-on-year, underscoring a steady improvement in earning power.
As of the end of the reporting period, SF Holding's total assets stood at RMB 228.9 billion, with equity attributable to owners of the company at RMB 102.8 billion, maintaining a debt-to-asset ratio of 50.1%. The company's balance sheet remains solid and well-positioned. Furthermore, net cash flows generated from operating activities totaled RMB 11.2 billion, reflecting ample cash reserves and strong liquidity management.