Zheshang Major Manufacturing, Qiu Shiliang | Gu Chunhui [Jifeng Automotive Seating] Up ~5% Intraday; 26Q2 Net Profit +Over 3x YoY; Results Beat Expectations

English summary

Seat volume ramp plus Grammer efficiency improvement drive significant 26H1 profit increase. (1) 26Q2: Expected net profit of RMB 200-270 million (YoY +305%-439%). (2) 26H1: Expected net profit of RMB 330-400 million (YoY +116%-159%). (3) Overall results beat expectations, mainly due to continuous volume ramp in complete seat business and significant profit improvement at Grammer. Subsidiary Grammer's integration results continue to materialize; 26H1 profit significantly increased. (1) Grammer's 26Q2 operating EBIT doubled YoY: Q2 operating EBIT approximately 23.4 million euros, revenue approximately 500 million euros, +33.2 million euros YoY; expected net profit of 98.64 million yuan, +about 3x YoY; TOP 10 improvement plan continues to be implemented and full-year guidance maintained, both driving high profit growth. (2) Grammer 26H1 earnings preview: Operating EBIT approximately 41.7 million euros (YoY +17%); net profit approximately 24.3 million euros (YoY +86%). …