Zhengli Xinneng (03677) is expected to increase its mid-term net profit of about 320 million yuan to 400 million yuan by about 45.5% to 81.8% year-on-year

According to Zhitong Finance App, Zhengli Xinneng (03677) announced that the Group expects net profit of about RMB 320 million to RMB 400 million for the six months ending June 30, 2026 (reporting period), an increase of about 45.5% to 81.8% over the same period last year of net profit of 220 million yuan.

Based on the information currently available, the Board believes that the main reasons for the changes in performance during the reporting period are:

(1) During the reporting period, the Group's newly built production capacity was gradually released, and the combined capacity utilization rate was further increased year-on-year. Shipments of power batteries and energy storage battery products all achieved significant increases compared to the same period last year. Among them, shipments of energy storage products jumped year-on-year, driving the Group's sales revenue to increase significantly over the same period last year; and

(2) As the scale effect gradually became apparent and cost control continued to be strengthened, the Group's expense ratio during the reporting period decreased significantly compared to the same period last year.