On August 27, Shenyang Blue Silver Industry Automation Equipment Co.,Ltd. (300293.SZ) released its 2026 semi-annual report. The company, driven by its dual-engine strategy of industrial cleaning and intelligent equipment, saw both revenue and profit decline during the reporting period, impacted by macroeconomic demand fluctuations and exchange rate movements. Notably, net cash outflow from operating activities expanded significantly, while its core subsidiary faced pressure in overseas markets, with non-recurring losses further weighing on current-period performance.

According to the financial data, the company recorded operating revenue of RMB 535 million for the reporting period, a year-on-year decrease of 8.71%. Net profit attributable to shareholders stood at RMB -20 million, with losses widening by 23.17% year-on-year. Deducted non-recurring profit and loss net profit was RMB -12 million, a narrowing of losses by 27.14%. Net cash flow from operating activities was RMB -43 million, with net outflows expanding by 61.46% year-on-year. Total assets at the end of the period reached RMB 1.689 billion, down 6.30% from the beginning of the year, while net assets attributable to shareholders of the listed company were RMB 667 million, a decrease of 14.77%. The combination of revenue contraction, widened losses, and persistent operating cash outflows indicates insufficient cash-generation capacity in its core business, raising concerns about earnings quality.

From a business structure perspective, the industrial cleaning systems and surface treatment business remains the company's primary revenue source, generating RMB 518 million in the reporting period, accounting for over 90% of total revenue, with a gross margin of 28.07%, a slight increase of 0.99 percentage points year-on-year. Despite the marginal improvement in gross margin, revenue from this segment declined by 9.19% year-on-year, primarily due to global macroeconomic volatility and slowing demand from downstream automotive and machinery industries. In the intelligent equipment manufacturing segment, rubber tire building machines and digital factory operations maintained technological leadership, but the overall scale remains relatively small and failed to effectively offset the gap left by the declining cleaning business.

Regarding the reasons for performance changes, the revenue decline is mainly attributed to a slowdown in order delivery pace and weak market demand in the industrial cleaning business. On the profit side, the widening losses stem from rigid periodic expenses, with selling expenses growing against the trend by 2.59% to RMB 83 million. Meanwhile, while financial expenses decreased by 34.19% year-on-year due to exchange rate changes, R&D investment was significantly reduced by 38.34% to RMB 13 million, which could impact long-term competitiveness. It is worth noting that the narrowing of deducted non-recurring profit and loss net losses was mainly driven by reversals or reductions in asset impairment losses and credit impairment losses, rather than a substantive reversal in core business profitability. Furthermore, non-recurring losses of approximately RMB 11.89 million in non-operating expenses, including subsidy clawback provisions, further exacerbated the loss magnitude in net profit attributable to shareholders.

Looking ahead, the industrial cleaning industry, as a technology-intensive sector, faces short-term macroeconomic adjustment pressures, but emerging demand such as cleaning systems for new energy vehicle battery packs still holds growth potential. Leveraging its global footprint and the Ecoclean brand advantage, the company is well-positioned to maintain market share in high-end niche segments. However, the company must remain vigilant about accounts receivable collection risks and inventory turnover pressure. Contract assets at the end of the period surged to RMB 152 million, signaling uncertainty in future revenue recognition. Meanwhile, the substantial non-recurring losses highlight the need for strengthened compliance management and reduced reliance on government subsidies. Key areas to monitor going forward include order conversion in the new energy sector for the industrial cleaning business and whether operating cash flow can turn positive as collections improve.