China Ruyi (HK: 00136) has released its interim results for the six months ended June 30, 2026, reporting revenue of 1.183 billion yuan, a decrease of 46.38% year-on-year. The company's adjusted net profit stood at 952 million yuan, down 26.93% compared to the same period last year, with basic earnings per share of 0.05 yuan.
During the first half of 2026, the group aligned with its medium-to-long-term development strategy, focusing on enhancing quality and efficiency while consolidating a foundation for sustainable operations. The performance adjustment for the reporting period was primarily influenced by project cycles and strategic investments. On one hand, revenue recognition in the group's film and television and gaming businesses is affected by project production, release, and launch timelines. Several key projects were still in the production, release preparation, or pre-launch stages during the reporting period, with related investments and certain costs incurred within this timeframe, while revenue and profit contributions are expected to materialize in the second half of the year. On the other hand, the group continued to intensify strategic investments in premium content, AI technology research and development, global top-tier IP reserves, and industrial chain integration, with these investments yet to be fully converted into revenue contributions during the reporting period.
As of the report date, "Eight Immortals!" and "Welcome to the Dragon Restaurant" have been released and achieved solid market performance, while "Xianjie Dazhangmen" has officially launched. Other key film, television, and gaming projects are progressing as planned. During the reporting period, the group leveraged its core business development strategy to selectively invest in high-quality enterprises that can deeply interconnect with its existing operations, thereby enhancing the quality and efficiency of its main businesses and broadening growth horizons.
The group's strategic investment in Ruyi Film Entertainment Co., Ltd. (formerly Wanda Film, hereinafter "Ruyi Film") has entered a phase of deep integration and brand revitalization, achieving full industrial chain connectivity spanning content creation, production, and terminal exhibition. Ruyi Film continues to deepen its "Super Scenario + Super IP" strategy, closely linking its proprietary film production and gaming resources with its nationwide cinema network. This approach has significantly improved the efficiency of converting premium content into commercial value while amplifying IP influence and extending its lifecycle.
To seize the strategic opportunity presented by "AI + Content," the group has made a strategic investment in Aishu Technology, a global leader in AI video, establishing a mutually empowering "technology + industry" ecosystem. The collaboration will advance across multiple dimensions: at the strategic level, Aishu Technology's core team will support the group's intelligent transformation; at the technology application level, efforts will focus on deep applications of AI in film visual effects, promotional distribution, and game scenario optimization to boost efficiency and content quality; and at the innovation expansion level, the group will leverage its abundant IP resources combined with AI technology for secondary creation, jointly developing multimodal intelligent agents to explore next-generation interactive content formats.
The group has also participated in external industrial funds to position itself across upstream and downstream high-quality startups in the industrial chain. Through fund managers, it aims to identify innovative targets in content, IP development, and gaming-related sectors, thereby unblocking upstream-downstream collaboration channels. This approach effectively broadens the group's industry footprint, continuously strengthens its industrial synergy capabilities and long-term competitive moats, and injects external vitality into the innovative development of its core businesses.