SHANSHAN (01749) issued a profit warning, expecting a net consolidated profit of about 3 million yuan for the first half of the year, a year-on-year decline.

SHANSHAN (01749) announced that it expects the Group to achieve a consolidated net profit of approximately RMB 3 million for the six months ending June 30, 2026, compared to a consolidated net profit of approximately RMB 12.1 million for the six months ending June 30, 2025. The anticipated decline in net profit is primarily due to external factors continuously impacting terminal sales, such as industry-wide demand pressure, cautious consumer spending, and intensified offline homogeneous competition. Additionally, during the reporting period, the Group actively engaged in channel clearing and structural optimization, resulting in a temporary reduction in revenue scale, which led to a slight decline in gross profit and, consequently, an overall decrease in profit for the reporting period.