DJ Activation Group (9919.HK) Announces 2026 Interim Results with Revenue of approx. RMB 287 million; Client Portfolio Diversification Achieves Substantial Breakthrough; Healthy Cash Flow Position
EQS Newswire / 24/08/2026 / 17:54 UTC+8
?Immediate Release? - 24 August 2026
Activation Group Holdings Limited
(Stock code: 9919.HK)
Announces 2026 Interim Results with
Revenue of approx. RMB 287 million
Client Portfolio Diversification Achieves Substantial Breakthrough;
Healthy Cash Flow Position;
Maintains Track Record of Consecutive Dividend Payouts since Listing
(24 August 2026 - Hong Kong) Activation Group Holdings Limited ("Activation Group" or the "Company", together with its
subsidiaries, the "Group" stock code: 9919.HK), a leading marketing group for pan-fashion brands in Greater China, is
pleased to announce its interim results for the six months ended 30 June 2026 (the "Period" or "1H2026").
Leveraging its resilient business model and longstanding, deep-rooted relationships with leading global brands, the
Group further strengthened its industry-leading position during the Period. The Group remained the largest experiential
marketing services provider for premium and luxury brands in Greater China. According to China Insights Industry
Consultancy Limited, the Group's market share reached 13.9% in 2025. Over the years, the Group has accumulated more
than 550 world-renowned brand clients, including: (i) renowned premium fashion brands such as CARTIER, CHANEL, DIOR,
LOUIS VUITTON, PRADA and VAN CLEEF & ARPELS; (ii) renowned premium automotive brands such as LAND ROVER and BMW; and
(iii) premium sportswear such as ADIDAS, NIKE and NEW BALANCE; beauty & skincare brands such as LANCÔME, LA PRAIRIE and
HR, providing each client with tailor-made, one-stop integrated marketing solutions.
2026 First-Half Results Highlights
Against a backdrop of ongoing volatility in the macroeconomic and consumer markets, the Group's business resilience was
fully demonstrated, with its client base remaining highly stable. During the Period, the retention rate among the
Group's Top 25 clients reached 95%. The Group continued to maintain long-term and in-depth cooperation with leading
international luxury brands, premium fashion, beauty & skincare brands, sportswear brands and premium Chinese brands,
further demonstrating strong client stickiness and the irreplaceable value of its one-stop integrated marketing
services.
Supported by its robust client base, the Group's financial performance improved progressively, while profit quality
remained stable. In 1H2026, the Group recorded revenue of approximately RMB287 million, representing a year-on-year
decrease of 8.1%; overall gross profit margin remained healthy at 32.0%; net profit was approximately RMB 25.18 million
(1H2025: approximately RMB 35.14 million).
The Group maintains a sound cash flow and financial structure. As of June 30, 2026, cash and cash equivalents amounted
to approximately RMB298 million, remaining at the same level as the end of 2025. The Board has resolved to declare an
interim dividend of HK1.8 cents per share, representing dividend payout ratio of approximately 50%. Since its listing
in 2020, the Group has paid dividends for six consecutive years. The Group continues to return value to shareholders
across market cycles while retaining sufficient financial resources to support business expansion.
Building on its stable client base, the Group achieved a major breakthrough in optimising its client mix, with emerging
sectors becoming key growth drivers. During the Period, revenue from the sportswear sector increased by more than 50%
year-on-year, while revenue from the beauty & skincare sector increased significantly by more than 150% year-on-year.
These results demonstrate the successful transformation and diversification of the Group's business mix beyond its
traditional categories.
In terms of business segment, experiential marketing remained the Group's core business, generating revenue of
approximately RMB220 million during the Period, accounting for 76.9% of total revenue. Its gross profit margin was
31.4%, overall pricing power remained stable. The digital and communication business recorded revenue of approximately
RMB65.31 million, representing 22.8% of total revenue, with a gross profit margin of 33.9%, down 5.2 percentage points
from the same period in 2025, mainly due to intensified industry competition, client and project mix changes, and other
factors. The Group is addressing these pressures through business portfolio optimisation, technology and AI-driven
efficiency enhancements. The IP business segment recorded revenue of approximately RMB 1.0 million, with a gross profit
margin of 47.2%.
Business Review
Collaborating with Leading Brands to Deliver Flagship Projects and Amplify Interactions through Online and Offline
Integration
During the Period, the Group continued to work closely with leading international luxury and premium brands, delivering
a number of exclusive experience marketing projects targeting high-value Very Important Clients ("VICs"). According to
a Bain & Company industry report, the top 2% of VICs in the global luxury market contribute approximately 45% of
industry sales. Demand for exclusive experience marketing among this client segment remained strong in the first half
of 2026. In 1H2026, the Group's representative projects included: the LOUIS VUITTON Mythica High Jewellery Exhibition
and Gala Dinner, the DIOR Suzhou Villa dinner, MIU MIU "Tales and Tellers" event in Shanghai, the ROLEX exhibition
opening ceremony and gala dinner, and a large-scale event for VAN CLEEF & ARPELS in Hong Kong. These projects covered a
broad range of categories, including high jewellery, watches, leather goods and apparels.
The Group's one-stop online and offline marketing capabilities continued to be recognized. Taking the LOUIS VUITTON
"Visionary Journeys" exhibition as an example, through a combination of immersive offline experiences and viral
marketing on online social media platforms, data released by the Jing'an District People's Government of Shanghai
showed that by the end of June 2026, the total number of online interactions exceeded 30 billion. This "offline
experience × online viral marketing" model achieves multi-cycle dissemination of a single event, effectively amplifying
the return on marketing investment.
Client Mix Achieves Diversified Breakthrough, with Sportswear and Beauty & Skincare Categories Recording Rapid Growth
A key development during the Period was the continued expansion of the Group's client base into the sportswear, beauty
& skincare sectors. The Group established or deepened cooperation with leading sportswear brands, including ADIDAS,
NIKE, NEW BALANCE and DESCENTE. Revenue from this sector increased by more than 50% year-on-year. Beauty & skincare
clients included international brands such as LANCÔME, LA PRAIRIE and HR. Revenue from this sector increased by more
than 150% year-on-year.
The expansion into these new categories enables the Group to participate in a wider range of consumer scenarios and
creates greater synergies between its experiential marketing and digital marketing businesses. The Group's ability to
serve both established luxury brands and fast-growing sportswear, beauty & skincare brands reflects the flexibility and
adaptability of its creative, content and execution capabilities.
Enhanced Regional Service Capabilities with Revenue from Hong Kong, Macau and Singapore Increased by 209.9%
The Group's regional business covering Hong Kong and Singapore continued to develop during the Period, recording
revenue of approximately RMB29.40 million, representing a year-on-year increase of 209.9%. Its contribution to total
revenue increased from 3.0% in the same period last year to 10.2%. The Group established an office in Singapore in 2024
and has built its own local team to capture opportunities in emerging markets and replicate its successful Greater
China experience. Hong Kong and Singapore provide the Group with platforms to serve international and Asia-Pacific
brand clients, while enabling it to bring its experience in premium brand experience marketing and digital marketing to
a broader range of markets.
Management Strategy and Outlook
As a marketing services provider, the Group's revenue is directly affected by the marketing budgets of brand clients.
Marketing budget recovery generally lags behind the recovery of end-consumer spending. As industry budgets gradually
return to normal levels, the Group expects to capture opportunities arising from the industry recovery.
Mr. Lau Kam Yiu, Steve, Joint-Chairman and Chief Executive Officer of Activation Group, commented, "The first half of
2026 demonstrated the resilience of our client relationships, while the adjustment of our business mix achieved
encouraging progress. Our clients continued to choose Activation Group as their partner, and we successfully expanded
into the emerging sportswear, beauty & skincare sectors, which offer significant growth opportunities. Our cooperation
with brands including ADIDAS, NIKE, DESCENTE, LANCÔME and LA PRAIRIE demonstrates the adaptability of the Group's
integrated service solutions. Looking ahead, we will continue to integrate our online and offline service capabilities.
On the one hand, we will deepen cooperation with clients and strengthen our market position in premium fashion
experiential marketing. At the same time, we will expand our client base among sportswear, beauty & skincare brands and
premium Chinese brands, while capturing business opportunities in overseas markets. We will strengthen cost control,
remain committed to rewarding shareholders through cash dividends and strive to achieve sustainable long-term
development."
- End -
About Activation Group Holdings Limited
Activation Group Holdings Limited (9919.HK) is a leading marketing Group for pan-fashion brands in Greater China,
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