Ninebot Ltd (689009.SS): 2Q26 Preview: Rev growth acceleration and share gains amid weak but improving beta, easing margin pressure; Buy

Research evidence excerpt

Ninebot Ltd (689009.SS): 2Q26 Preview: Rev growth acceleration and share gains amid weak but improving beta, easing margin pressure; Buy

d decline has been narrowing vs 1Q (-13% yoy in

1H26 vs -17% yoy in 1Q26) as the industry enters peak season and players launch

more new SKUs accordingly. Particularly, the decline notably narrowed to -4% yoy in

June. Looking into 2H, we expect further improvement potential considering more

contribution from recent new product launch, fading impacts from front-loaded

demand due to trade-in subsidy boost/national standards transition, and a lower

comp base especially into 4Q26.

n Robotic lawn mowers: We expect Ninebot’s robotic lawn mower sales to more than

double during the peak season in 2Q26, extending the structural growth momentum

as indicated by strong app downloads growth tracked by SensorTower in our

monthly tracker. Looking into 2H, we expect RLM sales contribution to be lower due

to weakening seasonality, but expect its yoy growth to remain robust as overall

demand remains strong.

n Electric scooters: We expect electric scooters sales to accelerate in 2Q vs 1Q,

supported by 1) strong 2C growth extending the momentum in 1Q amid rising

energy prices in Europe, and 2) delayed revenue recognition of 2B business from 1Q

that would contribute a yoy growth in 2Q. Looking into 2H, we expect 2C growth to

remain solid, while 2B growth to normalize.

n Cost inflation impacts: On cost inflation, management mentioned they have

implemented a round of price increase in Apr alongside new product launches under

an updated cost structure to mitigation cost impacts, and plans a second round of

price increase with a similar magnitude in July. We thus expect the likely largest

14 July 2026 2