Shenghui Cleanness Group Holdings Limited reported interim results for the six months ended 30 June 2026. Revenue edged up 1.7% year-on-year to RMB 364.90 million, driven mainly by additional property-cleaning projects.

\n\nGross profit fell 23.8% to RMB 45.90 million, and gross margin narrowed to 12.6% from 16.8%, reflecting higher employee benefits and subcontracting costs. Selling and marketing expenses dropped 46.5% to RMB 2.30 million, but general and administrative expenses rose 49.5% to RMB 32.30 million on increased staff and office costs.

\n\nThe absence of fair-value losses recorded in the prior-year period helped lift net profit 63.2% to RMB 12.95 million, raising net margin to 3.5% from 2.2%. Net finance expenses swung to a RMB 0.77 million loss from a slight gain a year earlier as interest costs increased.

\n\nCash, bank balances and restricted deposits totaled RMB 50.40 million at 30 June 2026, down from RMB 68.10 million at year-end 2025. Total borrowings, including lease liabilities, rose to RMB 88.60 million from RMB 81.70 million. The current ratio stayed at 2.2 times, and the gearing ratio was 18.8%.

\n\nCapital expenditure reached RMB 1.28 million, mainly for plant and machinery, with no material capital commitments or pledged assets reported.

\n\nPost-period developments include: • 17 July 2026 – A non-binding framework with Hanshu Capital to set up an M&A fund targeting China Water Environment Group and to form joint ventures for AI-based smart-water management and beverage lines. • 24 July 2026 – Controlling shareholder Prosperity Cleanness cut its stake to 21.1% after selling 175.48 million shares, ceasing to be a controlling shareholder. • 31 July 2026 – Cooperation agreement with the Research Institute of Tsinghua University in Shenzhen to establish a joint innovation centre focused on industrial embodied-intelligence platforms and water-sector AI models.

\n\nManagement plans to leverage technology-enabled environmental solutions alongside its core cleaning services to broaden revenue streams and extend its geographic footprint across the Greater Bay Area and other high-growth regions in mainland China.