Shenzhen Hipine Precision Technology Co., Ltd. (HIPINE) reported a strong first-half performance for the six months ended 30 June 2026, with profit attributable to shareholders leaping 75.5% year on year to RMB99.22 million. Basic earnings per share rose to RMB1.69 from RMB1.17.

Revenue advanced 15.9% to RMB333.28 million, fuelled by a 51.7% jump in offline distributorship sales to RMB214.07 million and a 2.3-fold rise in retail and e-commerce revenue to RMB35.02 million. Overall gross profit climbed 54.2% to RMB138.56 million, lifting gross margin to 41.6% from 31.2% a year earlier, helped by higher watch volumes and tighter cost control.

By segment, own-brand manufacturing (OBM) contributed 74.7% of total sales, up from 52.8%, while original design manufacturing (ODM) revenue fell to RMB84.20 million from RMB135.77 million, reflecting HIPINE’s strategic pivot toward branded products.

On the balance-sheet, inventories expanded 30.2% to RMB1.10 billion, trade receivables inched up 3.9% to RMB91.20 million and cash and cash equivalents declined 25.0% to RMB152.57 million. Bank borrowings climbed 66.0% to RMB231.74 million, pushing net gearing to 21.2% from 13.9% at end-2025. Net assets increased 9.6% to RMB1.13 billion.

The board declared an interim dividend of RMB0.50 per share, amounting to about RMB29.41 million, subject to shareholder approval at an extraordinary general meeting. The proposed record date is 30 October 2026, with payment slated for 27 November 2026.

Looking ahead, HIPINE plans to deepen domestic channels, widen its e-commerce footprint, accelerate overseas expansion from its initial Malaysian base, integrate cultural branding initiatives, and invest further in AI-enabled wearable technologies and smart jewellery.

No material post-balance-sheet events were reported.