DMEGC’s solar PV revenue declined despite shipments exceeding 12 GW in H1 2026
Management says cost controls and expansion into differentiated markets helped the PV business remain profitable
Lithium-ion battery revenue jumped 35.91% YoY with shipments exceeding 300 million units
Chinese solar PV manufacturer DMEGC Solar reported an 8.50% year-on-year (YoY) decrease in its H1 2026 solar business revenue, even as its lithium-ion battery cells division contributed to overall results.
The group’s total operating revenue for the period totaled RMB 12.34 billion, a year-on-year (YoY) improvement of 3.41%, and a net profit of RMB 948 million. This includes its magnetic materials and devices business division. The net profit declined primarily due to the appreciation of the RMB against the euro and USD.
DMEGC’s solar PV business segment achieved revenue of RMB 7.369 billion. While it accounted for 60.42% of the group total, revenue fell 8.50% YoY. It shipped over 12 GW of solar cells and modules during the reporting period, compared with 13.4 GW in H1 2025 (see DMEGC Solar Improves H1 2025 Revenues By Over 36% YoY).
According to InfoLink Consulting, DMEGC was among the top 10 solar module suppliers in H1 2026 (see Top 10 Solar Module Suppliers See 31% Shipment Drop In H1 2026).
DMEGC management lists a temporary decline in industry demand, escalating trade barriers, and rising raw material prices as some of the factors responsible for the drop in performance of the PV division.
Nevertheless, the manufacturer says its strict cost control and expansion into differentiated markets have enabled its PV business to remain profitable.
According to the PV manufacturer, the solar PV industry is currently in the ‘short-term correction, long-term improvement’ phase in terms of overall volume, mainly due to policy adjustments in the Chinese market. Other factors that are likely to bring down global solar installations in 2026 include grid congestion, solar power curtailment, and negative electricity prices.
The China Photovoltaic Industry Association (CPIA) forecasts an 8% YoY drop in global PV installations to about 612 GW, projecting the same level as SolarPower Europe (see CPIA: China’s H1 2026 Solar PV Installations Drop 66% YoY).
DMEGC’s solar manufacturing capacity currently stands at 23 GW for cells and 21 GW for modules, unchanged from the end of 2025 (see DMEGC Solar’s FY2025 PV Shipments Improve Over 45%).
On the other hand, DMEGC’s lithium-ion battery cell business, which it entered in 2016, reported RMB 1.748 billion in revenue, up 35.91% YoY. This segment accounted for 14.33% of the group revenue with shipments exceeding 300 million units. It also improved lithium battery capacity utilization, launched a full-tab pilot line, and added strategic customers.
DMEGC operates 8.5 GWh of lithium battery production capacity. It supplies cylindrical batteries for electric two-wheelers, smart home appliances, power tools, portable energy storage, and other fields. It also serves the residential energy storage segment and is actively exploring the commercial and industrial (C&I) and drone market segments.
