Demand for AI servers explodes, Inspur Information's net profit surges 270% in the first half of the year, while revenue increases by 5.22% | Financial Report Highlights

Inspur Information, a leading domestic server provider, delivered an impressive interim report, with net profit nearly quadrupling year-on-year, signifying that the wave of investment in domestic AI computing infrastructure is deeply translating into the profitability of leading suppliers.

According to the company's 2026 semi-annual report, Inspur Information's net profit attributable to shareholders of the listed company reached RMB 2.952 billion in the first half of the year, a year-on-year increase of 269.59%; operating revenue was RMB 84.379 billion, a year-on-year increase of 5.22%. Although the revenue growth was moderate, the leap in profit scale indicates that the company's product structure and profitability have undergone substantial improvement.

In terms of earnings per share, basic earnings per share rose from RMB 0.54 in the same period of the previous year to RMB 2.01, an increase of 270.53%; the weighted average return on net assets jumped significantly from 3.96% to 12.74%, an increase of 8.78 percentage points, indicating a significant improvement in profitability. This combination of data is of direct reference value to investors holding positions—the company has shifted from a low-margin hardware assembly model to a higher-value product structure.

Solid earnings quality, with significant growth in net profit excluding non-recurring items.

The rapid growth in net profit was not driven by non-recurring gains and losses. During the reporting period, net profit excluding non-recurring gains and losses was RMB 2.419 billion, a year-on-year increase of 260.08%, which is highly consistent with the overall net profit growth rate, indicating that the improvement in profitability has strong sustainability.

In terms of total assets, they reached RMB 109.091 billion at the end of the reporting period, an increase of 30.19% compared to the end of the previous year; net assets attributable to shareholders of the listed company were RMB 24.534 billion, an increase of 12.75% year-on-year. The rapid expansion of asset size reflects the company's continued increase in resource investment during the business expansion period.

It is worth noting that the net cash flow from operating activities was -7.493 billion yuan, a further decline of 34.39% compared to -5.576 billion yuan in the same period of the previous year. This phenomenon is common in the rapid expansion phase of server manufacturers and is usually related to longer inventory cycles and larger accounts receivable, but it is also a risk indicator that investors need to continuously monitor.

The debt-to-equity ratio is rising, and bond financing continues to expand.

As the company's business expanded, its financial leverage increased. The debt-to-asset ratio rose to 77.20% at the end of the reporting period, an increase of approximately 3.56 percentage points from 73.64% at the end of the previous year, indicating increased debt repayment pressure.

Meanwhile, corporate bond financing remained active. As of the end of the reporting period, the company's outstanding bonds included green medium-term notes issued in 2024 (outstanding balance of RMB 1.5 billion, interest rate of 2.2%), technology innovation bonds issued in 2025 (outstanding balance of RMB 1 billion, interest rate of 1.95%), and two new technology innovation bonds issued in the first half of 2026 (each RMB 1 billion, with interest rates of 1.76% and 1.85% respectively), totaling RMB 4.5 billion in outstanding bonds.

The EBITDA interest coverage ratio increased significantly from 4.1 times in the same period last year to 13.45 times, indicating that despite the increase in debt size, the ability of operating profit to cover debt interest has been significantly enhanced, and the short-term debt repayment risk is controllable.

Stable shareholding structure, concentrated holdings by institutional investors

In terms of shareholding structure, the controlling shareholder, Inspur Group Co., Ltd., holds 32.12% of the shares, totaling 472 million shares. There were no changes in the controlling shareholder and actual controller during the reporting period, and the company's governance structure remained stable.

Among the top ten shareholders, apart from Inspur Group, Hong Kong Securities Clearing Company Limited holds 2.48% of the shares. The remaining seats are occupied by domestic funds and insurance funds, including Industrial Bank Enhanced Income Bond Fund, Yong'an Property Insurance Traditional Insurance Products, Huashang Credit Enhanced Bond Fund, and China Life Traditional Insurance Products. This shareholding structure shows that the company has gained widespread allocation from mainstream domestic institutional investors.

At the end of the reporting period, the company had a total of 324,671 ordinary shareholders. The company also announced that it would not distribute cash dividends, issue bonus shares, or transfer capital reserves to share capital in the first half of the year.

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