QINQIN FOODS (01583) issued a profit warning, expecting the shareholders' profit for the first half of the year to be approximately 4 to 6 million yuan, a decrease of about 73% to 82% year-on-year.

QINQIN FOODS (01583) announced that the group is expected to generate approximately RMB 485 million in revenue for the six months ending on June 30, 2026, compared to revenue of approximately RMB 530 million for the six months ending on June 30, 2025, representing a decrease of approximately RMB 45 million, or about 8%. The group also expects to achieve a net profit attributable to shareholders of the company of between RMB 4 million and RMB 6 million for the reporting period, compared to a net profit attributable to shareholders of the company of approximately RMB 22 million for the six months ending on June 30, 2025, representing a decrease of approximately RMB 16 million to RMB 18 million, or about 73% to 82%. The decrease in revenue and net profit attributable to shareholders is mainly due to a slowdown in traditional physical retail consumption leading to a decrease in sales through traditional sales channels, partially offset by an increase in sales through leisure food chain channels and growth in OEM manufacturing business. Decreased sales volumes of jelly products and rice wine products have led to a lower utilization rate and economies of scale for the company's production facilities, resulting in a decrease in gross profit of approximately RMB 22 million and a decrease in gross profit margin of approximately 2 percentage points.