Zhongjie Fahui: Conservative order outlook for the second half of the year, focusing on high-margin products

Shoe manufacturer Zhongjie (6965) held a press conference today and stated that Zhongjie Chairman Liu Anzhe said that as the consumption boom is still weak, customers remain cautious in placing orders, and the order outlook for the second half of the year is conservative, and the company has comprehensively adjusted its production and marketing strategy. (Provided by Zhongjie)

[Reporter Yang Yamin/Report from Taipei] Shoe manufacturer Zhongjie (6965) held a press conference today and stated that Zhongjie Chairman Liu Anzhe said that as the consumption boom is still weak, customers remain cautious in placing orders, and the order outlook for the second half of the year is conservative. The company has comprehensively adjusted its production and sales strategy, shifting from pursuing capacity utilization and revenue scale to focusing on high-margin products and profitable quality. Gross profit margins are expected to gradually improve in 2027.

Liu Anzhe said that the current consumer demand and industrial boom are relatively flat. Zhongjie does not wait passively, but chooses to take the initiative and shift the core of its strategy from pursuing revenue scale to focusing on profitability quality. Customers' demand for production capacity in Southeast Asia and India is better than expected. Zhongjie will accelerate the balanced allocation of global production capacity and adjust the production and marketing strategy to make the mid- to long-term profit structure more robust.

This year's capital expenditure is estimated to be between US$20 million and US$28 million. The focus of this year's advancement is the Indonesian factory. The East Java factory has started construction at the end of October 2025 and continues as planned. Shipments are expected to begin in early 2027; the Vietnam factory has started production in the third quarter of 2025, and the output in 2026 is estimated to be 320,000 pairs of molded shoes.

The Indian factory's annual output last year was about 600,000 pairs, which is expected to gradually increase. In response to new customers, the annual output this year is estimated to be 1.3 to 1.5 million pairs, and will increase to 2.4 million pairs in 2027.中傑目標10年內（2034年）達成年出貨量超過8,000萬雙，實現規模倍增與穩健獲利成長。

中傑第二季合併營收為56.6億元，年增8.4%。 Benefiting from the recovery in capacity utilization and optimization of product mix, the gross profit margin in the second quarter reached 12.8%, an increase of 1.1 and 2.7 percentage points from the same period last year and the first quarter respectively.第二季營業利益為1.51億元，年增4.7%；第二季稅後淨利為0.47億元，每股盈餘為0.3元。