Swallow's House (01497) expects medium-term net profit of about 105 million to 116 million yuan, a year-on-year increase of about 35% to 50%

According to Zhitong Finance App, Yanzhiya (01497) announced that the Group expects to obtain revenue of about RMB 1,167 billion to RMB 1,217 billion for the six months ending June 30, 2026 (mid-2026 period), up to about 15% to 20% over the same period in 2025; and the Group expects to obtain net profit of about RMB 105 million to RMB 116 million during the mid-2026 period, an increase of about 35% to 50% over the same period in 2025.

The Board believes that the anticipated increase in net profit is mainly due to the following reasons:

1. Combining the current economic situation and market environment, the company focuses on core categories, further expands consumption scenarios, enriches the product matrix, and drives the simultaneous growth of online and offline channel revenue;

2. Through intelligent manufacturing upgrades and process iterative improvements in the bird's nest smart factory, the company's production and operation efficiency has been steadily improved, effectively promoting the optimization and upgrading of the cost structure, thereby driving the improvement of gross margin; and

3. In June 2025, the company applied a valuation model to evaluate its relevant cash generating units and accrued goodwill impairment losses accordingly. In June 2026, the same valuation model was used to evaluate, and no impairment losses relating to the corresponding cash-generating units were calculated.