Triumph New Energy released its unaudited 2026 interim results, reflecting continued pressure from the photovoltaic (PV) sector downturn.

Revenue and Profitability • Operating revenue dropped 29.27% year-on-year to RMB 1.18 billion, primarily due to lower PV glass selling prices and softer demand. • The net loss attributable to shareholders widened to RMB 0.84 billion, compared with a RMB 0.45 billion loss in the prior-year period. • Total loss before tax reached RMB 0.94 billion; weighted average return on net assets deteriorated to –31.24% from –11.84%.

Cash Flow and Liquidity • Net cash used in operating activities improved to –RMB 0.44 billion (1H25: –RMB 0.74 billion), helped by tighter receivables and inventory control. • Net cash used in investing activities narrowed sharply to –RMB 4.04 million as project outlays slowed. • Financing inflows fell 57.68% to RMB 0.42 billion after aggressive deleveraging; short-term borrowings nonetheless rose to RMB 3.08 billion. • Period-end cash and cash equivalents stood at RMB 93.81 million.

Balance Sheet Dynamics • Total assets declined 5.66% to RMB 12.84 billion, while net assets attributable to shareholders fell 27.02% to RMB 2.26 billion. • Fixed assets increased 33.87% to RMB 8.06 billion following the transfer of completed projects into operation; construction-in-progress slid 66.83% to RMB 1.11 billion. • The gearing ratio (total liabilities/total assets) rose to 79.03%. Capital and liabilities ratio (net debt/equity) increased to 444.12%. • Notes receivable fell 36.61% to RMB 0.26 billion, reflecting reduced sales volumes. Contract liabilities and employee benefits payable each declined by roughly 40%.

Segment Overview The company’s sole reportable segment—PV glass—generated RMB 1.18 billion in revenue, entirely from photovoltaic patterned and back-plate glass. Two customers each contributed over 10% of total sales, accounting for RMB 0.24 billion and RMB 0.13 billion respectively.

Industry Backdrop China Photovoltaic Industry Association data show first-half 2026 production declines across polysilicon (–9.8%), wafers (–7.3%), cells (–21.9%) and modules (–35.1%). New domestic PV installations slid 66% to 72.07 GW, exerting sustained pricing pressure on upstream suppliers such as Triumph New Energy.

Management Priorities Facing oversupply and margin compression, management emphasised: 1. Cash-flow discipline via intensified receivables collection and inventory reduction. 2. Supply-chain cost optimisation through centralised raw-material procurement and lean production controls. 3. Debt management to curb financing costs; long-term borrowings due within one year rose to RMB 1.05 billion. 4. Continued focus on technological upgrades and differentiated products to position for an eventual industry recovery.

Dividend The board does not propose an interim dividend for 2026.

Outlook The company intends to pursue “controlling debt, reducing costs, improving efficiency, strengthening innovation, promoting growth, and mitigating risks” in the second half, aiming to stabilise operations amid ongoing PV market adjustments.