Ridge Outdoor International Limited reported interim revenue of RMB301.13 million for the six months ended 30 June 2026, a 9.8% decline from RMB333.84 million a year earlier. The downturn was attributed to weaker consumer demand in key overseas markets—especially Europe, which still supplied 82.5% of sales—and extended OEM order cycles amid inflation and geopolitical tensions.
Gross profit slipped 10.0% year on year to RMB80.15 million, yet gross margin held broadly steady at 26.6% (1H 2025: 26.7%) as a stronger mix of in-house brands cushioned raw-material and freight cost pressures. Profit before tax decreased 44.3% to RMB29.77 million, while net profit contracted 43.0% to RMB23.01 million, largely due to RMB7.90 million in foreign-exchange losses versus a prior-year gain.
Own-brand manufacturing (OBM) remained a bright spot: revenue rose 59.0% to RMB34.90 million, raising its share to 11.6% of group sales. Original design and equipment manufacturing (ODM/OEM) stayed the core contributor but faced cautionary ordering patterns from global clients.
The February 2026 Hong Kong IPO injected net proceeds of HK$285.20 million (about RMB285.88 million), lifting cash and cash equivalents to RMB380.58 million from RMB55.71 million at end-2025 and expanding net assets to RMB331.98 million (31 Dec 2025: RMB28.43 million). All IPO funds remain unutilised as at 30 June 2026, earmarked for brand promotion (45%), R&D and a global innovation centre (25%), production upgrades (20%) and working capital (10%).
Operating cash inflow reached RMB51.38 million, while borrowings stood at RMB190.11 million, all due within 12 months; RMB80.05 million of these loans are secured against land and buildings. The company’s current ratio improved to 2.0 (31 Dec 2025: 0.9), and its quick ratio climbed to 1.6 (0.6).
Management highlighted ongoing initiatives in product innovation—particularly electrified fishing gear and carbon-fibre applications—coupled with expanded brand matrices in Europe and China. Key risks include currency volatility, geopolitical tensions, and evolving competitive dynamics. No interim dividend was declared.