Jiangsu Zenergy Battery Technologies Group Co., Ltd. (ZENERGY) released its 2026 interim report, revealing strong top-line growth driven by surging demand for electric-vehicle (EV) and energy-storage-system (ESS) batteries, although profitability was tempered by higher input costs and new capacity expenses.
Financial Highlights (H1 2026 vs. H1 2025) • Revenue jumped 71.4% to RMB 5.44 billion. • Gross profit rose 19.6% to RMB 680.37 million; gross margin narrowed to 12.5% from 17.9% due to raw-material cost inflation and price pressure. • Net profit advanced 68.6% to RMB 371.64 million. • Basic/Diluted EPS increased 66.7% to RMB 0.15.
Segment Performance • EV batteries: Sales grew 53.3% to RMB 4.58 billion on shipments of 11.13 GWh. Market share in China’s passenger-vehicle battery installations climbed to fifth place from seventh a year earlier. • ESS and other products: Revenue surged 361.4% to RMB 861.57 million, reflecting accelerated deliveries of 314Ah residential cells and rising demand across commercial, industrial and grid-side projects.
Operating Metrics • Total battery deliveries reached 13.01 GWh, up 66.1% year on year. • Cash and cash equivalents stood at RMB 4.82 billion; net cash from operations was RMB 640.04 million. • Interest-bearing borrowings increased to RMB 7.39 billion and the gearing ratio climbed to 68.4%.
Cost & Expenses • Cost of sales climbed 82.8% to RMB 4.76 billion, outpacing revenue growth. • R&D spending rose 6.0% to RMB 268.15 million, focused on high-energy-density chemistries, sodium-ion technology and solid-state battery pilot lines. • Finance costs increased 12.3% to RMB 76.60 million as borrowings expanded.
Strategic Developments • Phase II of the Changshu manufacturing plant is on track for completion in H2 2026, adding high-speed EV and large-capacity ESS lines. • A 100 MWh solid-state battery pilot line is scheduled for completion in H2 2026. • The company continues to supply leading Chinese and multinational OEMs, with indirect exports accounting for 14% of H1 revenue.
Capital Utilisation • By end-June, ZENERGY had deployed HK$729.60 million (79%) of its HK$927.50 million IPO proceeds, primarily for capacity expansion. • Of the HK$500.40 million raised via an October 2025 share placing, HK$204.50 million (41%) had been invested, mainly in Phase II construction and an all-solid-state battery pilot line.
Governance & Outlook • The board declared no interim dividend. • The company plans further investment in ultra-fast-charging LFP and high-energy NCM cells, large-capacity ESS products, and advanced manufacturing automation.
ZENERGY positions itself to leverage policy support for electrification and energy storage, while continuing to balance growth with margin discipline as new capacity comes online.