Fast fashion group Shein reports 50 percent drop in first-half operating profit

Hong Kong - Fast fashion platform Shein announced on Monday that its operating profit, or adjusted earnings before interest and taxes (adjusted EBIT), fell by 50.4 percent in the first half of this year, year-over-year.

It amounted to 538 million dollars in the first half, compared to 1.09 billion in the same period of 2025.

In the same period, net profit more than doubled, rising by 111.7 percent to 2.30 billion dollars from 1.09 billion in the first half of 2025. These figures were provided by the company, which did not immediately offer further details.

"We expect the environment to remain uncertain in the second half of 2026, given the headwinds from customs duties and persistent volatility in logistics costs," said Shein's chairman, Sky Xu, in a filing with the Hong Kong Stock Exchange.

The group nevertheless remains "cautiously optimistic" for the rest of the year, he added.

In the same period, revenue grew by 1 percent to 20.13 billion dollars.

The company had a lacklustre debut on the Hong Kong Stock Exchange after raising 1.7 billion dollars in a high-profile initial public offering. Its share price has since fallen by more than 27 percent.