NewTimeSpace | Persistent Losses vs. High Overseas Growth: Zhida Technology (Diagens) (02650.HK) Stock Price Rebounds Over 90% Recently

In the spring of 2026, Zhida Technology  (02650.HK) experienced a "roller coaster" market trend. The stock plummeted after initially failing to meet expectations for Stock Connect inclusion, only to stage a valuation revaluation rebound following its official inclusion.

As of the close on April 14, 2026, Zhida Technology was quoted at HKD 49.90. Since March 24, 2026, the company’s stock price has rebounded by more than 90%.

Multiple Positives Drive a Rebound of Over 90%

NewTimeSpace learned that on April 10, 2026, Zhida Technology announced that its H-shares had been included as a constituent of the Hang Seng Composite Index effective March 9, 2024. Furthermore, as of April 10, 2026, the stock was officially added to the list of eligible securities for both the Shenzhen-Hong Kong and Shanghai-Hong Kong Stock Connect programs.

The Hang Seng Index Company had previously announced its quarterly review results on February 13. While Zhida Technology was included in the Hang Seng Composite Index effective March 9, the market’s widespread expectation that it would simultaneously be included in the Stock Connect list was not immediately met.

This delay was partly attributed to the company's official implementation of a "1-for-5 share split" plan on March 3. Following the split, the share price was proportionally adjusted from around HKD 280 to approximately HKD 56. The market required time to adapt to the new trading units; this, combined with skepticism regarding the motives behind the split, intensified short-term selling pressure.

Starting March 17, 2026, the company's stock underwent a continuous correction until March 23, during which it fell by 47.95%. The post-split share price touched a low of HKD 22.70 before closing at HKD 25.88.

On March 24, 2026, Zhida Technology began to rebound. On March 25, the company released its full-year 2025 results, showing that revenue had exceeded RMB 700 million for the first time, while the net loss narrowed significantly by 30.5% year-on-year. As the trend of earnings recovery was confirmed, capital market confidence began to mend, and the stock price gradually bottomed out.

On April 10, 2026, after its official inclusion in Stock Connect, Zhida Technology saw significant trading activity, with the stock’s price amplitude exceeding 50% over the last three trading days.

As of the close on April 14, 2026, Zhida Technology finished at HKD 49.90, up 8.71% for the day. Since March 24, the stock has achieved a cumulative gain of 92.81%.

Persistent Losses Amidst Brilliant Overseas Market Performance

NewTimeSpace understands that Zhida Technology is a smart energy solution provider whose portfolio covers "smart home charging piles and accessories, electric vehicle (EV) charging robots, EMS energy management systems, and integrated solar-storage-charging solutions."

By the end of 2025, the company held a total of 154 authorized patents, including 47 invention patents, and had deeply participated in the formulation of eight domestic and international standards.

Home charging piles constitute the company’s core business. By sales volume, the company holds a global market share of approximately 9.0% and a Chinese market share of approximately 13.6%, ranking first in both categories with a cumulative global shipment of over 1.3 million units. Its products and services now reach 23 countries worldwide.

Additionally, the company is progressively building a "hardware + software + service" ecosystem through automated charging robots, smart charging cloud platforms, and EMS solutions.

In 2025, Zhida Technology achieved a total revenue of approximately RMB 716.5 million, a year-on-year increase of 20.7%, marking the first time it breached the RMB 700 million threshold. Revenue from product sales surged by approximately 46.8% to RMB 447.1 million, accounting for 62.4% of total revenue. Annual gross profit was approximately RMB 108.9 million (+23.0% YoY); the gross margin improved from 14.9% to 15.2%, driven by an increased proportion of overseas business and high-margin innovative products.

However, the net loss attributable to the parent company was RMB 164 million. Although this narrowed by 30.5% year-on-year, the company has yet to achieve overall profitability under GAAP standards. Since its founding in 2010, the company has not recorded a profit in 15 years. Operating cash flow has remained negative for a long period; in 2025, the net cash outflow from operating activities was RMB 202 million, wider than the same period in 2024. This lack of self-sustaining "blood-making" capability means operations remain highly dependent on external financing.

The overseas business emerged as the most significant highlight. Data shows that annual overseas revenue reached RMB 122.6 million, a year-on-year increase of 70.5%, with its contribution to total revenue rising from 12.1% in 2024 to a record high of 17.1%. The company exported approximately 102,500 charging piles for the year (+79.6% YoY). European and American standard products were primarily sold to markets including Thailand, Brazil, Australia, Malaysia, and Indonesia.

Zhida Technology has defined four strategic priorities for 2026: accelerating global expansion, strengthening retail presence, advancing innovative product development, and optimizing the cost structure.

Market Enters "Red Ocean" Competition; Tech Giants like Tesla Enter the Fray

NewTimeSpace learned that private charging facilities have become the main battlefield for industry growth.

Public disclosures show that by the end of February 2026, China's total charging infrastructure reached 21.01 million units, up 47.8% year-on-year, maintaining its position as the global leader in scale. Notably, the growth of private charging facilities has significantly outpaced public ones. In the first two months of 2026, the increment of private charging facilities was 801,000 units (+110.4% YoY), while the increment for public facilities decreased by 53.8% compared to the previous year's growth.

Furthermore, New Energy Vehicle (NEV) sales continue to climb. In January 2026, NEV sales reached 945,000 units, accounting for 40.3% of total new car sales, providing a solid demand foundation for charging infrastructure.

The charging pile sector has now entered a phase of intense rivalry. The domestic market has reached a "Red Ocean" stage of competition, with leading players like TELD and Star Charge holding significant market shares, while tech giants such as Tesla, Huawei, and Xiaomi have made strong entries.

It is worth noting that Zhida Technology’s gross margin remains significantly below the industry average. Peers such as Autel Intelligent Technology  and TGOOD  maintain margins above 40%, whereas Zhida’s 2025 margin was only 15.2%. Although this was an increase over 2024, a substantial gap remains.

While overseas expansion has brought revenue growth, the company also faces competition from international brands like ChargePoint and EVBox, as well as the challenge of high localization costs.

NewTimeSpace noted that pressure on average product prices remains a common pain point for the industry. The average price of the company's products has dropped from RMB 1,084.8 in 2022 to RMB 780.3 in the first quarter of 2025. This downward trend is expected to continue. In the context of persistent price wars, companies that can provide differentiated products (such as automated charging robots) and globalized services will see their competitive advantages become increasingly prominent.

Industry insiders point out that the global EV industry is currently undergoing a critical transition from being "policy-driven" to "market-driven." Companies that are the first to complete a global layout will gain greater growth elasticity. Given the bright spots in its recent performance, "going global" may become the strongest engine for Zhida Technology’s future growth.

Once the short-term speculative heat from Stock Connect inclusion subsides, the market's true focus will inevitably return to the long-term question of whether the company can fundamentally improve its profitability and cash flow.

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