Yeahka Delivers Higher Profit and First Interim Dividend Despite Revenue Dip, Powered by Overseas Payment Expansion

Bulletin Express
Sep 23

Yeahka Limited released its 2026 interim results, posting RMB 41.92 million in net profit for the six months ended 30 June 2026, up 1.3% year on year and marking its strongest half-year margin since 2023.

Revenue fell 23.9% to RMB 1.25 billion as domestic payment volumes contracted, yet overall gross profit slipped only 6.0% to RMB 360.13 million as the Group lifted consolidated gross margin 5.5 ppts to 28.8%. One-stop payment services were the core profit engine: segment gross profit rose 24.9% to RMB 243.99 million, expanding margin to 21.8% (1H25: 13.7%).

A sharp rise in business outside Mainland China offset softer domestic conditions. Gross payment volume in Hong Kong, Macao and overseas markets quadrupled to roughly RMB 6.0 billion (+293.8%), with a fee rate of 63.1 bps and gross profit of RMB 16.39 million (+137.1%). Management targets this region to generate about 50% of payment-segment profit within three years and has secured a digital-currency payment licence in Arizona to support upcoming U.S. and Asian expansion.

Value-added services maintained momentum: AI-generated video solutions processed RMB 244.1 million in transaction value (+207%), while in-store e-commerce gross merchandise value surged 75% to RMB 3.22 billion. The latter delivered revenue of RMB 31.14 million (+21.2%) and a 70.7% gross margin.

Tighter cost discipline bolstered results. Combined administrative and R&D expenses fell 8.1% year on year, underpinning the profit increase despite lower turnover.

Financially, cash and cash equivalents rose 14.6% to RMB 865.04 million, while the liabilities-to-assets ratio eased to 61.2% (end-2025: 64.7%). The Board declared the Company’s first interim dividend since listing, HK$0.03 per share, totalling approximately HK$13.8 million, and signalled that further share buy-backs and dividends remain under consideration.

During the period, the Company repurchased 973,600 shares for HKD 5.6 million (0.21% of issued shares), all retained as treasury stock. Controlling shareholder Creative Brocade International Limited acquired an additional 1,507,600 shares (0.33% of issued shares), demonstrating confidence in Yeahka’s prospects.

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