Hengan International Group stock reports weaker sales and profit

Published on 09/30/2026 at 22:54 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Hengan International Group stock posted RMB 11.09 billion in six-month revenue through June 30, 2026. Gross margin reached 35.3 percent, while the interim dividend was RMB 0.70 per share.

Hengan, HK1044000044, Illustration mit AI erstellt.

Hengan International Group (ISIN HK1044000044) reported RMB 11.09 billion in revenue for the six months ended June 30, 2026, down 6.10 percent year over year. The result puts sales pressure at the center of the Hengan stock story, even as margin data improved, according to FilingReader on September 9, 2026.

Revenue falls while margins improve

Gross profit margin increased by 3.00 percentage points to 35.30 percent in the first half, while operating profit rose 12.60 percent to RMB 1.98 billion. The comparison is important: lower sales did not prevent operational improvement, but the gains did not flow through fully to shareholders.

Profit attributable to equity holders fell 8.70 percent to RMB 1.25 billion, and basic earnings per share were RMB 1.10. The board declared an interim dividend of RMB 0.70 per share for the period, according to Moomoo on September 9, 2026.

Digital channels provide a counterweight

Hengan's e-commerce and new retail sales grew 4.60 percent to more than RMB 4.25 billion during the period, representing 38.30 percent of total sales. That channel mix gives the company a concrete growth area while traditional household-product demand faces promotional pressure.

The tissue paper business generated RMB 6.75 billion in revenue, down 5.90 percent year over year, while hygiene products contributed RMB 3.21 billion, down 2.80 percent. The figures show that the two core divisions remain exposed to volume and pricing pressure, despite higher margins in both areas.

Market value and analyst target

Hengan International Group had a market capitalization of HKD 22.6 billion as of September 30, 2026, and its 52-week range stood at HKD 19.44 to HKD 29.96. The Hong Kong listing uses ticker 1044 and trades on HKEX.

Analyst expectations remain above the recent Hong Kong reference level cited by Fintel on September 4, 2026. Its average one-year target was HKD 26.95 as of August 25, 2026, down from HKD 33.83 on August 1, 2026, a 20.33 percent reduction that highlights a more cautious valuation backdrop.

Next results date points to March

Barron's lists March 23, 2027, as Hengan's next fiscal-year earnings date. For investors, the central test is whether margin gains and digital-channel growth can offset the 6.10 percent first-half revenue decline.