Health and Happiness (H&H) International Holdings Limited (H&H INTL HLDG) reported robust interim results for the six months ended 30 June 2026, driven by broad-based momentum across its Adult (ANC), Baby (BNC) and Pet (PNC) Nutrition & Care businesses.

Financial Highlights • Revenue rose 23.90% year on year to RMB 8.70 billion. • Adjusted EBITDA jumped 71.90% to RMB 1.89 billion; margin widened 6.1 ppts to 21.8%. • Net profit surged to RMB 610.63 million (1H25: RMB 71.02 million), while adjusted net profit increased 153.20% to RMB 919.24 million, lifting the margin to 10.6% (1H25: 5.2%). • Gross margin improved to 65.4% (1H25: 62.5%) on product-mix upgrade, lower inventory provisions and sourcing efficiencies. • Operating cash flow reached RMB 1.70 billion; cash and equivalents stood at RMB 1.86 billion. • Net debt fell to RMB 5.81 billion and the net leverage ratio dropped to 2.05× (31 Dec 2025: 3.45×) after more than RMB 1.00 billion of gross debt reduction.

Segment Performance • ANC revenue grew 13.90% LFL to RMB 3.97 billion, buoyed by Chinese mainland sales (+20.5%) and resilient growth in ANZ and Asian expansion markets. • BNC revenue accelerated 45.20% to RMB 3.63 billion, underpinned by a 58.0% surge in infant milk formula sales and market-share gains in China, where Biostime’s super-premium IMF share rose to 20.6%. • PNC revenue edged up 4.80% LFL to RMB 1.09 billion; high-margin pet supplements advanced 16.5%, offsetting a planned contraction in Chinese mainland pet food. High-margin nutritional supplements contributed 60.2% of group revenue.

Geographic Mix The Chinese mainland accounted for 74.3% of total sales, followed by North America (11.0%), Australia & New Zealand (8.9%) and other territories (5.8%).

Capital Structure and Liquidity • Debt mix is 97.8% RMB-denominated or hedged. • On 5 August 2026 H&H signed new facilities totalling approximately USD 330 million to refinance loans maturing in 2027, extending maturities and lowering financing costs. • Post-period, a further voluntary prepayment of RMB 300 million on USD term loans was completed.

Dividend The board declared an interim dividend of HKD 0.82 per share, payable on 12 October 2026 to shareholders on record as of 16 September 2026, equating to roughly 50% of adjusted net profit.

Tax Audit Update The Australian Tax Office largely upheld its amended assessment against subsidiary BHA, seeking AUD 208.10 million in primary tax plus penalties and interest. BHA has appealed to the Federal Court and Administrative Review Tribunal. A deposit of AUD 104 million (RMB 486.99 million) remains on account with the ATO; management does not consider an outflow probable at this stage.

Outlook Management targets further sales growth in H2 2026, supported by ongoing investment in product innovation, channel expansion and marketing, while maintaining a commitment to deleveraging and balance-sheet strength.