Cosmo Lady reported interim net profit attributable to shareholders of RMB 61.21 million for the six months ended 30 June 2026, up 5.9% year on year, despite an 11.8% drop in revenue to RMB 1.27 billion. Basic earnings per share improved to RMB 2.8 cents from RMB 2.7 cents.
Segment performance was mixed. Intimate-wear operations generated RMB 1.20 billion of revenue and RMB 82.89 million of segment profit, representing year-on-year changes of –6.6% and +19.0% respectively. Industrial projects and logistics delivered RMB 63.51 million in revenue and RMB 10.83 million in segment profit, with top-line contracting 56.9% and profit edging down 1.1%.
The product mix shift toward higher-margin e-commerce services helped lift group gross margin to 51.4% from 46.4% a year earlier, even as gross profit slipped 2.2% to RMB 651.28 million. Selling and marketing expenses fell 2.2% to RMB 512.17 million, while general and administrative costs declined 5.6% to RMB 75.17 million. Net finance expenses narrowed to RMB 6.76 million, reflecting lower interest outlays.
E-commerce momentum remained strong: platform gross merchandise value reached RMB 2.60 billion, up roughly 70% from RMB 1.52 billion in 1H25, delivering service income of RMB 73.30 million versus RMB 39.40 million in the prior-year period.
Operating cash flow swung to an inflow of RMB 28.98 million from an outflow of RMB 18.90 million. Cash and cash equivalents stood at RMB 484.62 million at period-end, while total borrowings were RMB 458.90 million. The current ratio improved to 2.6× from 2.2× at end-2025; net gearing remained negative at –3.0%, underscoring a cash-positive position.
Capital expenditure rose to RMB 110.46 million, mainly for logistics-warehouse upgrades. No significant acquisitions or disposals occurred, and the Board declared no interim dividend.
Management reiterated a cautiously optimistic outlook, targeting full-year e-commerce GMV of RMB 7.0 billion and pursuing “high-quality, affordable” product positioning, continued channel optimisation and rapid expansion of the Cotton Regions sub-brand.