CTS International Logistics Corporation Limited (CTS Logistics) (603128)

Individual Stock Analysis Report | Industry: Transportation—Logistics (Cross-border Logistics) | Report Date: September 13, 2026 | Closing price of September 11, 2026 (Friday); market data are snapshots as of that day's close unless otherwise noted.

This report is automatically compiled and generated by AI based on public information, for reference only, and does not constitute investment advice.

1. Core Summary

The most decision-relevant fact for CTS Logistics (603128.SH) is that between September 10 and 11, 2026, the company successively received the Shanghai Securities Regulatory Bureau's "Decision on Ordering Rectification Measures and Issuing Warning Letters to Xiang Hong, Wu Chunquan, Chen Yu, and Yu Yongqian" (Hu Zheng Jian Jue [2026] No. 232) and the Shanghai Stock Exchange's "Disciplinary Decision" ([2026] No. 153 Public Censure), which identified three violations—failure to timely and accurately disclose the performance commitment fulfillment status of former controlling subsidiary Jiacheng Logistics (RMB 33.0554 million in compensation due for 2021 and RMB 264.0041 million for 2022, totaling approximately RMB 297 million), failure to perform review procedures and timely disclosure for related-party transactions with Jiacheng Logistics and Wuhan Huamao Jiacheng after losing control of Jiacheng Logistics on 2023-09-27 (cumulatively exceeding RMB 2.4 billion from 2023-09-27 to 2026-07-31), and approximately RMB 150 million in payments made to Jiacheng Logistics in July 2023 and December 2024 (RMB 50.15 million and RMB 100 million respectively) being offset against equity payments without written agreements, constituting non-operating fund occupation by other related parties (Jiacheng Logistics returned the funds in August 2026). The above payments caused the 2023, 2024, and 2025 annual reports to understate payable equity payments by RMB 50.15 million, RMB 150 million, and RMB 150 million respectively. On the operational side, the company's 2026H1 revenue was RMB 9.801 billion, up 11.73% YoY, and net profit attributable to parent was RMB 221 million, down 2.90% YoY, continuing the pattern of revenue growth without profit growth; 2025 revenue was RMB 17.964 billion, up 2.51% YoY, net profit attributable to parent was RMB 488 million, down 9.37% YoY, non-GAAP net profit was RMB 376 million, down 18.91% YoY, and the consolidated gross margin fell to 8.99% (down 1.66pct YoY).

The structural pressure on profit quality is concentrated in international air freight: 2025 air freight revenue was RMB 5.925 billion, down 14.10% YoY, business volume was 305,600 tons (compared to 331,900 tons in 2024), gross profit was down 39.66% YoY, and gross margin was 7.04% (down 2.98pct YoY), attributed to tariff headwinds; sea freight volume was 924,900 TEUs (compared to 842,700 TEUs in 2024), up 9.75% YoY, but gross margin was 10.99% (down 0.89pct YoY), showing volume growth with price decline; cross-border e-commerce logistics revenue was RMB 3.010 billion, up 23.90% YoY, but gross margin was only 4.17% (down 0.68pct YoY), with the rising share of low-margin business diluting the consolidated gross margin. Air freight and sea freight together contributed RMB 1.015 billion in main business gross profit, accounting for 62.91%. The company overall presents a structure of "thin margins in channel-type businesses, relatively high margins in specialized businesses," with special logistics at 28.26% gross margin in 2025 and third-party warehousing logistics at 13.11%, which are potential directions for margin recovery.

Note the change in disclosure scope: starting from the 2026 semi-annual report, the main business composition only retains "cross-border comprehensive logistics" and "special logistics," with cross-border comprehensive logistics at RMB 9.485 billion (96.77%) and special logistics at RMB 326.8 million (3.33%) as of 2026-06-30, which cannot be directly compared with the 8-segment breakdown of previous years. 2026Q2 single-quarter revenue was RMB 5.467 billion, up 14.38% YoY, net profit attributable to parent was RMB 129 million, up 17.12% YoY, and gross margin was up 1.2pct YoY to 9.6%, showing marginal improvement in Q2 compared to Q1 (revenue of RMB 4.334 billion, up 8.6% YoY, net profit attributable to parent of RMB 92 million, down 21.7% YoY); however, 2026H1 financial expenses surged 1599.34% YoY, and the main reason for the profit decline was attributed by institutions to foreign exchange turning from a gain in the same period last year to a loss of RMB 42.24 million; excluding foreign exchange, total profit was up 20.5% YoY, which is an institutional calculation basis, not official disclosure.

At the market level, the closing price on September 11, 2026 was RMB 5.46, down 3.36% for the day, with an amplitude of 4.60%, turnover of RMB 321 million, turnover rate of 4.47%, total market capitalization of approximately RMB 7.147 billion, dynamic PE of approximately 16.17, and price-to-book ratio of approximately 1.11~1.16; the cumulative pullback over September 10 and 11 was approximately 5.2%, having fallen below the dense band of approximately RMB 5.47~5.68 where MA5/MA10/MA20/MA50/MA100 are located, only slightly above MA200 (approximately RMB 5.40). Main force funds saw a cumulative net outflow of approximately RMB 20.16 million over the past 5 days; on September 11, the East Money basis main force net inflow of +RMB 1.3903 million was inconsistent with the Sina extra-large order basis of +RMB 8.109 million, and volume-price and fund direction were not fully aligned. Institutional coverage is low; East Money's 2026-2028 earnings forecasts include only 2 institutions, with target price ranges of approximately RMB 4.60~7.60, showing wide divergence; the latest trading day's exchange quotes should be relied upon.

2. Company Overview

2.1 Basic Information

2.2 Main Business and Product Layout

• International air, sea, and rail integrated logistics services
• Cross-border e-commerce logistics
• International engineering integrated logistics
• International warehousing logistics
• International bulk commodity contract logistics
• Oversized and special professional logistics

2.3 Industry Chain Upstream/Downstream Position and Cost-Profit Structure

The company positions itself as "China's leading third-party international integrated logistics service provider and preferred international logistics solution provider," offering cross-border one-stop integrated logistics services centered on international freight forwarding. The research notes do not disclose specific quantitative data on upstream supplier concentration, combined share of top five customers, accounts receivable turnover days, prepayments/accounts payable, etc. The following judgments on upstream, downstream, and working capital are mainly inferred based on the business model and information disclosed in the research notes regarding freight rates, cargo volume, cost composition, and gross margin changes; relevant missing items have been truthfully noted.

• As a third-party international freight forwarder, the company's upstream costs mainly consist of capacity and operational services procured from airlines, shipping companies, railway operators, and other capacity providers, as well as overseas agents. Examples of cost items disclosed in the research notes: international air/sea/rail freight forwarding and other businesses have "outsourced procurement costs," such as rail freight forwarding outsourced procurement costs of RMB 698,129,594.06 (5.52%, the corresponding year is not explicitly noted in the notes and should be subject to the annual report); third-party warehousing logistics costs include labor costs of RMB 44,125,068.36 (0.20%, source: 2021 annual report); cross-border e-commerce logistics outsourced procurement costs of RMB 3,134,291,067.57 (source: 2022 audit report).
• The research notes do not disclose specific data on supplier concentration (such as combined share of top five suppliers).
• The company overall exhibits price-taker characteristics on the capacity procurement side: 2025 international air freight revenue was down 14.10% YoY, business volume down 7.92%, air freight gross margin at 7.04% (down 2.98pct YoY), gross profit down 39.66% YoY; the notes attribute air freight pressure to tariff headwinds; sea freight business volume was up 9.75% but gross margin at 10.99% (down 0.89pct YoY), described in the notes as "sea freight volume growth with price decline," both reflecting that freight rate fluctuations are mainly determined by external markets (freight rate benchmarks), and the company has limited pricing power over upstream capacity costs.
• Cross-border e-commerce logistics 2025 revenue was up 23.90% YoY but gross margin was only 4.17% (down 0.68pct YoY), showing volume growth with thin profit, further confirming weak cost pass-through capability for upstream freight rates and capacity.
• Downstream customers are various cargo owners with cross-border logistics needs, covering international air freight, international sea freight, cross-border e-commerce, international engineering, warehousing, special logistics, etc. The research notes do not disclose combined share of top five customers or customer concentration data; specifics should be subject to the latest annual report.
• The 2025 product revenue structure shows customer demand dispersed across multiple segments: international air freight RMB 5.925 billion (32.98% of main business revenue, down 14.10% YoY), international sea freight RMB 5.445 billion (30.31%, up 11.68% YoY), cross-border e-commerce logistics RMB 3.010 billion (16.75%, up 23.90% YoY), rail freight forwarding RMB 965 million (5.37%, down 37.72% YoY), other logistics RMB 873.5 million (4.86%), third-party warehousing logistics RMB 787.3 million (4.38%, up 153.96% YoY), special logistics RMB 745.9 million (4.15%, up 0.68% YoY), international engineering logistics approximately RMB 213 million.
• Industry structural bargaining characteristics: the freight forwarding segment is an intermediary layer between capacity providers and cargo owners, with prices fluctuating with the market; the notes do not disclose specific arrangements regarding annual price reduction clauses, rebates, or payment terms with downstream customers.
• Revenue scale in recent years has been significantly lower than the 2021 peak due to business structure changes: 2021 revenue reached RMB 24.668 billion (2021 annual report), 2023 revenue was RMB 14.608 billion with net profit attributable to parent of RMB 617 million (2025 annual report three-year comparison table), 2024 revenue was RMB 17.525 billion (up 19.96% YoY, China Galaxy research report 2025-04-21), net profit attributable to parent of RMB 539 million (down 12.60%). 2022 revenue data was not obtained this time and is recommended for supplementary verification.
• The research notes do not disclose specific data on accounts receivable relative to net profit or revenue, accounts receivable turnover days, prepayments/accounts payable, and other working capital occupation, making it impossible to quantitatively judge the company's actual bargaining position in the upstream and downstream. Indirect clues available in the notes: 2025 revenue was RMB 17.964 billion, up 2.51% YoY, non-GAAP net profit was RMB 376 million, down 18.91% YoY, but "operating cash flow doubled" (LanJing Finance report basis, no specific amount or cross-source provided); financial expenses during the same period surged 122% (Caibao Kuaidi report basis). Whether the above cash flow and financial expense changes stem from working capital occupation or settlement method changes is not explained in the research notes and should be subject to the latest annual report cash flow statement and related notes.
• The research notes do not disclose combined share of top five customers or combined share of top five suppliers. The only information related to concentration in the notes is equity concentration: controlling shareholder China Logistics Group Co., Ltd. holds 45.81% (2024 annual report basis), Tonghuashun company profile page shows 46.64%, the difference may be explained by China Logistics Group Capital Management Co., Ltd. holding an additional 0.83%, i.e., the group holds approximately 46.6% in total; the actual controller is SASAC (indirectly 18.14%). Customer and supplier concentration data is missing; specifics should be subject to the latest annual report disclosure.

The company is positioned in the midstream cross-border freight forwarding and integrated logistics services segment of the industry chain, representing a typical "midstream processing/services, thin margin" positioning: 2025 consolidated gross margin was only 8.99% (down 1.66pct YoY), international air freight gross margin 7.04%, cross-border e-commerce logistics gross margin 4.17%, while special logistics gross margin reached 28.26% and third-party warehousing logistics 13.11%, presenting an internal structure of "thin margins in channel-type businesses, relatively high margins in specialized businesses." The key to further improving profit margins lies not in upstream resource acquisition, but in tilting the business structure toward high-margin special logistics, warehousing, and other professional logistics, as well as the recovery of pricing power in high-margin channel businesses such as air freight after freight rate and tariff disruptions; meanwhile, the notes do not disclose customer and supplier concentration, accounts receivable turnover, and other data, making it impossible to quantitatively verify the above judgments from the perspective of bargaining position, and supplementary verification with the latest annual report is needed.

3. Financial Data and Valuation Analysis

3.1 Recent Operating Performance

The 2026 semi-annual report disclosure date was after close on 2026-08-24 to 08-25 (some sources say released on August 24, referring to the same interim report). The 2026 semi-annual report is unaudited. The 2025 annual report disclosure date was 2026-04-30. Historical annual series sourced from stockanalysis.com, Reuters, East Money earnings forecast page; YoY growth rates for each year are not provided in the notes. 2026 Q1 report data sourced from Huatai Securities research report (Sina reprint) 2026-05-05.

2026 H1 revenue growth without profit growth: operating revenue of RMB 9.801 billion, up 11.73% YoY, net profit attributable to parent of RMB 221 million, down 2.90% YoY, non-GAAP net profit attributable to parent of RMB 220 million, down 2.70% YoY, basic earnings per share of RMB 0.17, flat YoY. Q2 single-quarter operating revenue of RMB 5.467 billion, up 14.38% YoY and up 26.14% QoQ, net profit attributable to parent of RMB 129 million, up 17.12% YoY and up 40.19% QoQ. Negative factors include financial expenses up 1599.34% YoY, with the main reason for the profit decline attributed by institutions to foreign exchange turning from a gain in the same period last year to a loss of RMB 42.24 million; excluding foreign exchange impact, the research report states total profit was up 20.5% YoY (institutional calculation basis, not official disclosure); Q2 gross margin was up 1.2pct YoY to 9.6%. The 2025 annual report shows operating revenue of RMB 17.964 billion, up 2.51% YoY, net profit attributable to parent of RMB 488 million, down 9.37% YoY, non-GAAP net profit attributable to parent of RMB 376 million, down 18.91% YoY, basic earnings per share of RMB 0.37 (RMB 0.41 in 2024), net cash flow from operating activities of RMB 407 million, up 163.52% YoY, consolidated gross margin of 8.99%, down approximately 1.66pct YoY, dividend proposal of RMB 2.24 per 10 shares. 2025 Q3 report operating revenue of RMB 13.720 billion, down 4.84% YoY, net profit attributable to parent of RMB 307 million, down 35.07% YoY. 2026H1 main business composition: cross-border comprehensive logistics RMB 9.485 billion (96.77%), special logistics RMB 327 million (3.33%).

3.2 Earnings Forecasts

The above table is based on East Money (Tonghuashun-style) institutional consensus forecast basis, excerpted from various institutional research reports, contributed by only 2 institutions, representing a narrow consensus with limited reference value. Individual brokerage forecasts show significant version and timing differences: Huatai Securities on 2026-08-24/25 raised 2026-2028 net profit attributable to parent to RMB 464/550/609 million, EPS RMB 0.35/0.42/0.47, target price RMB 6.45, Overweight; Huatai Securities' previous version on 2026-05-05 had 2026-2027 net profit attributable to parent of RMB 452/543 million, with newly added 2028 at RMB 595 million, EPS RMB 0.35/0.41/0.45, target price RMB 6.40 (formerly RMB 6.80), based on 18.4x 26E PE, Overweight. Shenwan Hongyuan on 2026-05-20 had EPS RMB 0.36/0.43/0.52, Buy; another source states its net profit attributable to parent forecast of RMB 478/559/680 million, revenue RMB 18.363→21.812 billion; an earlier version had RMB 480/560/680 million, showing basis/version differences. Tianfeng Securities on 2025-11-25 forecast 2025-2027 net profit attributable to parent of RMB 410/450/530 million, Buy. Huachuang Securities on 2025-11-12 forecast 2025-2027 net profit attributable to parent of RMB 390/450/520 million, EPS RMB 0.30/0.35/0.40, target price RMB 7.6 (PE 22x 26E, corresponding to approximately RMB 10 billion market cap), Recommend; Baidu stock page shows the same Huachuang rating as Overweight at RMB 7.38, inconsistent with the RMB 7.6 basis. BOC International on 2025-11-10 forecast 2025-2027 net profit attributable to parent of RMB 402/452/513 million, EPS RMB 0.31/0.35/0.39, Overweight. Historical consensus (Tonghuashun as of 2026-03-05, 5 institutions within 6 months): 2025E net profit attributable to parent average of RMB 448 million (range RMB 393-563 million), 2026E average of RMB 505 million (RMB 452-615 million), 2027E average of RMB 568 million (RMB 513-681 million), corresponding to EPS 2025E RMB 0.34, 2026E RMB 0.39, 2027E RMB 0.43. Securities Star's more recent forecast has 2026E/2027E/2028E EPS of RMB 0.31/0.35/0.40. Forecasts vary considerably across platforms, with most institutions continuously downgrading earnings forecasts after 1Q26 and 2026H1; the number of sample institutions and release timing must be noted when citing.

3.3 Valuation Levels and Institutional Ratings

Total shares of 1.309 billion (1,309,046,494 shares), market cap estimated accordingly: if the stock price is approximately RMB 5.05 (stockanalysis shows 2026-06-30), market cap is approximately RMB 6.6 billion; if the stock price is approximately RMB 5.46 (Baidu Stock Connect current price), market cap is approximately RMB 7.1 billion; if the stock price is approximately RMB 5.69 (aaStocks last updated 2026/09/07, that day +0.090/+1.607%), market cap is approximately RMB 7.5 billion. The three price sources have different timings, and no authoritative closing price at the same point in time was obtained; the market cap range is approximately RMB 6.6-7.5 billion, subject to the latest exchange closing price. P/E ratio: stockanalysis shows FY2025 PE 15.47x, FY2026E PE 12.02x; Huatai's target valuation corresponds to 18.4x 26E PE. P/B ratio: 2025 net assets per share of RMB 4.7629 (East Money), 2026E RMB 4.89; calculated at a stock price of RMB 5.46, PB is approximately 1.15x, and at RMB 5.05 approximately 1.06x. 52-week price range of RMB 4.95-6.50 (Investing.com/stockanalysis). TTM basis (stockanalysis, as of 2026-03-31): revenue approximately RMB 18.306 billion, net profit approximately RMB 463 million. Institutional target prices: Baidu Stock Connect target average of RMB 7.00, high of RMB 7.60, low of RMB 6.40; Investing.com consensus of 3 analysts, consensus Buy (2 Buy/1 Hold/1 Sell, the count inconsistent with 3 itself, source has flaws), 12-month average target price of RMB 5.55, high of RMB 6.45, low of RMB 4.60; stockanalysis.com (S&P Global basis) 5 analysts, consensus Buy, average target price of RMB 5.53, low of RMB 4.60, high of RMB 6.40, rating distribution trend as of May 2026 was Strong Buy 2/Buy 1/Hold 1/Sell 1. Over the past 3-6 months, mainstream ratings have concentrated on Overweight/Buy/Recommend, with explicit target prices mainly from Huatai (RMB 6.40→6.45) and Huachuang (RMB 7.38-7.60, older), and the consensus target price range is approximately RMB 5.5-7.0, but with few sample institutions and wide divergence. Uncertainty and data limitations: the current stock price/market cap/PE were not obtained from authoritative closing data at the same point in time (the last search was interrupted due to step limit); the above market cap and PB are range estimates and must be subject to the latest trading day's exchange quotes; the 52-week range and PE are third-party platform aggregations, not raw exchange data. The consensus sample is extremely small (East Money basis 2026-2028 earnings forecasts from only 2 institutions), and the number of institutions and target prices on Tonghuashun, Securities Star, Investing, and stockanalysis all differ (with a very wide span of RMB 4.6-7.6); do not treat any single basis as full-market consensus. Individual research reports have version differences, such as Huatai's upward revision from RMB 6.40 in 2026-05 to RMB 6.45 in 2026-08 and earnings upward revision, Shenwan's net profit attributable to parent forecast appearing in multiple versions of RMB 478/560/680 million in different reprints, and Huachuang's target prices of RMB 6.45/7.38/7.60 coexisting; all must be cited with source and timing noted and must not be mixed. The 2026 semi-annual report is unaudited; financial expenses up 1599% YoY and foreign exchange gains/losses significantly impact profit; the total profit of +20.5% excluding foreign exchange is an institutional calculation basis, not official disclosure, and should be cited with caution. Some data are forecast/average in nature, differing from official annual/interim report disclosure data. Time reference: most materials retrieved this time were published in August-September 2026 (the 2026 interim report disclosed 2026-08-24/25); please understand all latest statements based on that point in time.

4. Recent News and Announcements

4.1 Confirmed Target: CTS Logistics (603128.SH)

Stock code 603128 (SH), securities abbreviation CTS Logistics. Company full name CTS International Logistics Corporation Limited, listed on the Shanghai Stock Exchange Main Board, listing date 2012-05-29; controlling shareholder is China Logistics Group Co., Ltd. (holding approximately 45.81%, state-owned controlling). Main business covers six major segments: international air, sea, and rail integrated logistics services, cross-border e-commerce logistics, international engineering integrated logistics, international warehousing logistics, international bulk commodity contract logistics, oversized and special professional logistics (third-party cross-border comprehensive logistics). Code identification has been cross-confirmed through multiple sources including East Money F10, Securities Times, STCN, and China Securities Journal announcement pages.

4.2 Receipt of Shanghai Securities Regulatory Bureau Administrative Regulatory Measures Decision (Announcement No.: Lin 2026-029)

The company announced on the evening of 2026-09-10 that it recently received the Shanghai Securities Regulatory Bureau's "Decision," document number Hu Zheng Jian Jue [2026] No. 232, titled "Decision on Ordering Rectification Measures Against CTS International Logistics Corporation Limited and Issuing Warning Letters to Xiang Hong, Wu Chunquan, Chen Yu, and Yu Yongqian." The regulator identified three violations: (1) Failure to timely and accurately disclose the performance commitment fulfillment status of former controlling subsidiary Hangzhou Jiacheng International Logistics Co., Ltd. (Jiacheng Logistics). On 2026-04-30, the company disclosed the "Announcement on Matters Related to Jiacheng Logistics' Performance Commitment Fulfillment Status and Performance Compensation Plan," confirming that Jiacheng Logistics' actual non-GAAP net profit attributable to parent for 2021 and 2022 was below the committed amounts for those years, triggering performance compensation clauses; the internal sellers (Song Cheng, Hangzhou Jiajing Technology Co., Ltd., etc.) should pay the company total cash compensation of RMB 297.0595 million (approximately RMB 297 million), of which RMB 33.0554 million was due for 2021 and RMB 264.0041 million for 2022. According to the "Share Transfer Agreement" dated 2021-07-28, annual special audits should have been conducted, but the company did not disclose until 2026-04-30, constituting untimely disclosure; the 2021 and 2022 annual reports disclosed the commitment fulfillment status as "Yes," which was inaccurate; the 2024-04-18 "Capital Increase Progress Announcement" once stated that "during the performance bet period, Jiacheng Logistics actually achieved total non-GAAP net profit of approximately RMB 200.4084 million, completing 102.77% of the bet performance," which was also inaccurate; the 2021-2025 annual report financial statements did not reflect the performance compensation matter. (2) Some related-party transactions failed to perform review procedures and were not timely disclosed. Yu Yongqian (former CFO and Board Secretary, currently Deputy General Manager) served as Chairman of Jiacheng Logistics from 2021-12 to 2026-07 and as Director of Wuhan Huamao Jiacheng Logistics Technology Co., Ltd. (Wuhan Huamao Jiacheng) from 2023-11 to present; on 2023-09-27, the company lost control of Jiacheng Logistics, after which Jiacheng Logistics and Wuhan Huamao Jiacheng both became related legal entities of the company; from 2023-09-27 to 2023-12-31, accepting labor services from Jiacheng Logistics and its subsidiaries of RMB 1.5123 million and providing labor services of RMB 207 million; in 2024, 2025, and January-July 2026, accepting labor services from Wuhan Huamao Jiacheng and its subsidiaries of RMB 33.0746 million, RMB 907 million, and RMB 25.1393 million respectively, and providing labor services of RMB 417 million, RMB 844 million, and RMB 31.3322 million respectively; the above related-party transactions failed to perform review procedures and were not timely disclosed (according to NBD reports, related-party transactions during 2023-09-27 to 2026-07-31 cumulatively exceeded RMB 2.4 billion). (3) Inaccurate disclosure of certain large payment information and non-operating occupation by other related parties. The company paid Jiacheng Logistics RMB 50.15 million in July 2023 and RMB 100 million in December 2024 (totaling approximately RMB 150 million), without signing written agreements specifying the purpose, directly offsetting the equity payments stipulated in the "Share Transfer Agreement," causing the 2023, 2024, and 2025 annual reports to understate payable equity payments by RMB 50.15 million, RMB 150 million, and RMB 150 million respectively; the payments constituted non-operating fund occupation by other related parties; Jiacheng Logistics returned the above payments to the company in August 2026. Outcome: The Shanghai Securities Regulatory Bureau took administrative regulatory measures ordering the company to rectify, and issued warning letters to former Chairman Xiang Hong, former Chairman Wu Chunquan, former General Manager Chen Yu, and former CFO and Board Secretary Yu Yongqian; the company must submit a rectification report within 30 days from receipt of the decision. Sources: China Securities Journal announcement page, Securities Times Network (2026-09-10 23:37), National Business Daily, Zhitong Finance/Securities Star, CNR, Dahe Caicube, China Fund News, and other reprints.

4.3 Shanghai Stock Exchange Disciplinary Decision [2026] No. 153: Public Censure of the Company and Relevant Responsible Persons

The Shanghai Stock Exchange issued the "Disciplinary Decision" [2026] No. 153 "Decision on Publicly Censuring CTS International Logistics Corporation Limited and Relevant Responsible Persons." The parties are the company itself, former Chairman Wu Chunquan, former General Manager Chen Yu, and former CFO and Board Secretary Yu Yongqian; the basis for determination is the same facts ascertained in Hu Zheng Jian Jue [2026] No. 232, with three violations consistent with the regulatory bureau. Disciplinary decision: public censure of the company and former Chairman Wu Chunquan, former General Manager Chen Yu, and former CFO and Board Secretary Yu Yongqian; the parties replied within the prescribed period without objection. Date: 2026-09-11. Sources: East Money announcement, Securities Star, Sina Finance announcement page, NBD. Note: The SSE public censure list does not include "former Chairman Xiang Hong" (the regulatory bureau warning letter includes Xiang Hong); the wording difference should be noted.

4.4 2026 Semi-annual Report Disclosure (2026-08-25)

On 2026-08-25, the 2026 semi-annual report was disclosed: 2026 H1 main business revenue of RMB 9.801 billion, up 11.73% YoY; net profit attributable to parent of RMB 221 million, down 2.9% YoY; non-GAAP net profit of RMB 220 million, down 2.7% YoY. Of which 2026 Q2 single-quarter revenue of RMB 5.467 billion, up 14.38% YoY; single-quarter net profit attributable to parent of RMB 129 million, up 17.12% YoY; single-quarter non-GAAP net profit of RMB 130 million, up 18.87% YoY. By product: cross-border comprehensive logistics revenue of RMB 9.483 billion (96.76%); special logistics RMB 318 million (3.24%). Sources: CS Intelligent Finance (China Securities Journal), Securities Star (this is a paraphrased basis; the original semi-annual report disclosed by the company on sse.com.cn should be relied upon).

4.5 2025 Annual Report Disclosure (2026-04-30)

On 2026-04-30, the 2025 annual report was disclosed: 2025 full-year revenue of RMB 17.96 billion; net profit attributable to parent of approximately RMB 488 million (down approximately RMB 50 million YoY). 2025 international air freight business volume of 305,600 tons (331,900 tons in 2024), international sea freight business volume of 924,900 TEUs (842,700 TEUs in 2024). Source: China Securities Journal annual report summary page.

4.6 Earnings Preview Situation

As of the retrieval time (2026-09-11), no 2026 Q3 earnings preview was found; the 2026 semi-annual report was released on August 25, with no separately disclosed key information from an earnings preview prior to that. This item has not been cross-verified and is "not found" rather than "confirmed non-existent."

4.7 M&A/Bet-Related Announcement Clues

Jiacheng Logistics transaction history: On 2019-08-21, announced the acquisition of 70% equity in Hua'an Runtong and 70% equity in Huada International to take over the related freight forwarding business portfolio, with total transfer price of approximately RMB 619 million (historical background). Jiacheng Logistics acquisition: On 2021-07-28, disclosed the "Announcement on the Acquisition of Jiacheng Logistics Project," stipulating 2021/2022/2023 performance commitments and annual special audits. On 2023-09-27, the company lost control of Jiacheng Logistics (Jiacheng Logistics became a related legal entity thereafter), which is the root cause of the related-party transaction compliance issues in this period. On 2026-04-30, the "Announcement on Matters Related to Jiacheng Logistics' Performance Commitment Fulfillment Status and Performance Compensation Plan" confirmed total compensation triggered of RMB 297 million. Sources: Cailian Press/Tonghuashun, etc.

4.8 Shareholder/Governance/Other Developments

D&O Liability Insurance: The 2025 annual shareholders' meeting held on 2026-06-29 approved the "Proposal on Purchasing Directors and Senior Management Liability Insurance," with cumulative coverage limit of RMB 50 million (NBD report); this timing is only about two months before the violation exposure. Senior management position changes: Yu Yongqian served as CFO from 2016-05-10 to 2026-06-29 and as Board Secretary from 2016-05-10 to 2026-05-26, and has served as Deputy General Manager since 2026-06-29 (per the "Decision" disclosure basis). Top ten circulating shareholders (data date 2025-09-30): China Logistics Group 45.81% (largest, state-owned controlling); China Life Traditional Ordinary Insurance Product 1.85%; Hong Kong Central Clearing 0.68%; several CSI 1000 ETFs also listed; Huaxi Securities F10 (update date 2026-08-29) shows 52,204 shareholder accounts, down 6,092 from the previous period; China Logistics Group 45.81% unchanged (static data published in quarterly/annual reports, not recent increase/decrease announcements). Buybacks/increases: No new share buyback, D&O, or major shareholder increase/decrease announcements were found in this period (August-September 2026); buyback information found was all historical—the centralized bidding buyback initiated in 2018 cumulatively repurchased 20,622,962 shares; in 2023-07 the board / 2023-12-25 shareholders' meeting approved cancellation of some repurchased shares and capital reduction (cancelling 9,990,197 shares, with total shares changing from 1,309,462,971 to 1,299,472,774), which was a 2023 matter and does not constitute "recent."

4.9 Stock Price/Market Cap Reference (Background Information)

2026-09-10 closing price of RMB 5.65, market cap of approximately RMB 7.396 billion (NBD 2026-09-10 report). Relevant pages on 2026-09-11 show: Sina Finance quote page shows RMB 5.46, down RMB 0.19 (-3.36%), previous close 5.650 (Hexun's same-day report also states closing price of RMB 5.46). Note: This item is auxiliary background, not the focus of this task; stock price data comes from quote pages/news reprints, with timing and basis differences, for reference only.

4.10 Brokerage Research Trends (News Supplement)

Securities Star (2026-09-11) noted: In the past year, only BOC International Securities published 1 research report on CTS Logistics, dated 2025-11-10, titled "First Three Quarters Profit Under Pressure, Overseas Warehouse Investment Continues to Increase." Huatai Securities' 2026-05-05 research report "Awaiting Medium-to-Long Term Integrated Logistics Capability Enhancement": lowered 2026-2027 net profit attributable to parent to RMB 452/543 million, expected 2028 at RMB 595 million, EPS RMB 0.35/0.41/0.45, lowered target price by 6% to RMB 6.40, maintained "Overweight." Source: Sina Finance research report page. Note: Institutional coverage is low (only 1-2 institutions in the past year); the research report represents a single institution's view, not multi-institution consensus.

4.11 Uncertainty and Source Limitations

1. Core regulatory information (regulatory bureau decision, SSE public censure) has been cross-verified by multiple sources including China Securities Journal, Securities Times, NBD, Zhitong Finance, and CNR, with high credibility; specific amounts should be subject to the original announcements (Hu Zheng Jian Jue [2026] No. 232, Disciplinary Decision [2026] No. 153). 2. Semi-annual/annual report financial figures are paraphrased by financial media; the original annual/semi-annual reports on sse.com.cn were not directly read; verification with exchange-disclosed originals is recommended. 3. "No 2026 Q3 earnings preview found" and "no recent buyback/increase announcements found" are conclusions based on this retrieval scope and cannot exclude the existence of unretrieved announcements. 4. Buyback cancellation information is a 2023 historical matter; do not mistake it for recent developments. 5. The SSE public censure party list is not completely consistent with the regulatory bureau warning letter list (public censure does not list "Xiang Hong"); note the distinction when citing. 6. Stock price, market cap, main force funds, and other data come from quote pages and news reprints, with timing/basis differences (e.g., 2026-09-10 close of RMB 5.65 vs. 2026-09-11 close of RMB 5.46). 7. The search pages show a time span from April 2026 to September 11; if the report requires earlier or more detailed item-by-item announcement lists, it is recommended to directly access the SSE 603128 announcement list page for verification.

5. Stock Price Trend and Technical Analysis

5.1 Price Overview

5.2 Technical Indicators

CTS Logistics (603128.SH) closed at RMB 5.46 on September 11, 2026, down 3.36% for the day, with amplitude of 4.60%, turnover of RMB 321 million, and turnover rate of 4.47%. From September 4 to September 9, it had risen for four consecutive trading days (5.60→5.76), and on September 10 and 11, it cumulatively pulled back approximately 5.2%, almost erasing all recent gains. Regarding technical indicators, both snapshots provided by Investing.com (2026-09-04, 2026-09-07) predate this decline; their readings (RSI, MACD, ADX, CCI, moving average ratings) reflect the pre-decline slightly strong/neutral state. Compared with the September 11 close of RMB 5.46, the stock price has fallen below the dense band of approximately RMB 5.47~5.68 where MA5/MA10/MA20/MA50/MA100 are located, only slightly above MA200 (approximately RMB 5.40). Bollinger Band values could not be obtained from cross-verifiable data in this retrieval and were therefore not included; key levels are derived from moving average clusters, trading dense zones, and 52-week lows. On the fund side, East Money basis main force net inflow on September 11 was +RMB 1.3903 million, but the 5-day main force cumulative net outflow was approximately RMB 20.16 million, and September 11 volume was approximately 5.2x the normal average, representing significant volume expansion on a decline while main force net amount was marginally positive; volume-price and fund direction are not fully aligned, with possible volume-driven turnover/matched trades, a fuzzy signal requiring continued observation. On shareholder structure, controlling shareholder China Logistics Group holds 45.81% with one dominant shareholder, and external institutions are mainly passive central SOE dividend/shareholder return ETFs, with no active public funds or social security portfolios observed; the data source page update date is 2026-08-29 and the reporting period is not explicitly indicated (presumed to be the 2026 interim report), lagging at least one quarter, and the structure may have changed; it is approximately 5 quarters apart from the 2025 Q1 report when social security portfolios appeared, and it cannot be asserted that "social security has fully exited." The 52-week high/low has adjustment basis differences (unadjusted 6.50/4.95; forward-adjusted 6.28/4.73, with the RMB 0.22 difference consistent with the 2026-07-29 ex-dividend); when discussing future support, the unadjusted actual trading price of RMB 4.95 should be used; aastocks' 52-week high of 6.80 is a single source that cannot be cross-verified and is treated as pending verification, not used as a key level.

5.3 Short-term Outlook (Next Week, Scenario Projection, for Reference Only)

⚠️ Risk Warning: The following content is solely a subjective scenario projection based on historical prices, technical indicators, and fund data; all "weights" are subjective empirical judgments (heuristic weights), absolutely not statistical probabilities, and do not constitute any investment advice or operational instructions.

① Key Technical Levels

② Next Week Scenarios (Subjective Weights, Not Statistical Probabilities)

• Range-bound consolidation (relatively higher weight, approximately 60% (subjective heuristic weight, not statistical probability)): price oscillates within RMB 5.40~5.66, possibly dipping to the MA200 area (approximately 5.40~5.45) intraday before rebounding to the lower edge of short-term resistance (approximately 5.55). Trigger conditions: no clear direction in the broader market and logistics sector, no new catalysts for the stock, turnover falls back to normal levels (approximately RMB 50~130 million), volume cannot continue to expand. If volume remains low, this scenario is relatively more likely.
• Weaker downside (moderate weight (subjective heuristic weight, not statistical probability)): price breaks below the first support of RMB 5.38~5.45 (effectively breaking below MA200 around 5.40), testing RMB 5.20 and the 52-week low of RMB 4.95 (unadjusted) direction. Trigger conditions: turnover expands again to above RMB 300 million with large order/main force net outflow, sector or broader market weakens simultaneously, no positive catalysts; if volume-driven break below first support occurs with consecutive closes below it, the weight of this scenario increases.
• Rebound strengthening (lower weight (subjective heuristic weight, not statistical probability)): price regains and effectively holds above short-term resistance of RMB 5.55~5.66, testing second resistance of RMB 5.75~5.80 upward, further watching RMB 5.88 (9/9 intraday high) and even the 6.00 round number. Trigger conditions: clear positive catalysts (company announcements/industry policies/central SOE logistics consolidation news), significant turnover expansion with main force funds turning to sustained net inflow, overall sector strength; if only low-volume rebound without volume support, it is considered a technical bounce rather than a trend reversal.

③ Fund and Liquidity Background

Liquidity background: On September 11, 2026, turnover rate was 4.47%, turnover was RMB 321 million, volume was 585,600 lots, representing abnormal volume expansion (MarketWatch marked that day's volume at approximately 516% of the 65-day average, i.e., approximately 5.2x; MSN lists average trading volume of 8,419,000 shares as a longer-window average). Normal level reference: May 26 turnover 0.66% (turnover RMB 46,516,700), May 29 0.64% (RMB 44,578,900), May 11 0.86% (RMB 64,520,200), with daily turnover typically in the RMB 50~130 million range. Shareholder structure (source: Huaxi Securities F10, page update date 2026-08-29; reporting period not explicitly indicated on the page, presumed to be the 2026 interim report, lagging at least one quarter, structure may have changed, subject to verification with the company's 2026 semi-annual/Q3 report originals): number of shareholders 52,204, down 6,092 from previous period, average holdings per person 25,100 shares; among top ten shareholders, China Logistics Group Co., Ltd. holds 45.81% (unchanged), China Logistics Group Capital Management Co., Ltd. 0.83% (unchanged), Hong Kong Central Clearing Limited 0.79% (increased), CITIC Securities—Huatai-PineBridge CSI Central SOE Dividend ETF 0.61% (increased), Zheng Hongyin 0.36% (increased), Yang Hui, ICBC—GF CSI Guoxin Central SOE Shareholder Return ETF, Gao Feng, Du Wanshuo, Zhang Qimei each approximately 0.11%~0.12% (new). Structural points: controlling shareholder one dominant (45.81%), external institutional holdings mainly passive central SOE dividend/shareholder return ETFs, no active public funds or social security portfolios observed, top ten dominated by natural persons and small shareholders. Historical comparison (use caution): The 2025 Q1 report (disclosed 2025-04-18) top ten circulating shareholders once included National Social Security Fund Portfolio 411, National Social Security Fund Portfolio 502, China Life Traditional/Dividend accounts, E Fund Value Growth, Southern CSI 1000 ETF, etc.; the current snapshot no longer shows social security and active equity products, but the two data points are approximately 5 quarters apart and the source page does not indicate the reporting period, so it cannot be asserted that "social security has fully exited," and can only serve as an observation clue that "active institutional attention may have declined." Liquidity implication: 1.309 billion shares fully circulating, but 45.81% is long-term locked by the controlling shareholder, with actual free float of approximately 700 million shares (corresponding to approximately RMB 3.8 billion market cap), daily turnover typically in the RMB 50~130 million range, a small-to-mid-cap, thin order book variety with significant slippage for rapid entry/exit; the 4.47% turnover on September 11 was already abnormal volume expansion, indicating low normal activity. Fund side supplement: East Money basis 2026-09-11 main force net inflow +RMB 1.3903 million (extra-large orders +RMB 2.769 million, large orders -RMB 1.3787 million); 5-day main force net inflow daily was +1.3903 million, -14.9907 million, -5.4428 million, -669,300, -451,700, totaling approximately -RMB 20.16 million; Sina basis (main force = extra-large orders) same-day extra-large order net inflow +RMB 8.109 million, inconsistent with East Money basis value (+RMB 8.109 million vs +RMB 1.3903 million), due to different "main force" definitions; both coexist for reference only, not considered contradictory. Jiufang Zhitou (single source, contains internal contradictions, credibility discounted) states main force funds outflow of RMB 30.8178 million in the past 10 days, extra-large orders outflow of RMB 18.0195 million in 10 days, large households outflow of RMB 12.7983 million in 10 days; northbound funds latest reduced 801,800 shares, total holdings of 13,607,300 shares, same-day outflow proportion 0.06%; margin trading: margin net buying RMB 179 million, cumulative margin balance RMB 185 million, margin difference RMB 184 million (up RMB 7.8231 million from previous), short-selling balance RMB 1.5278 million. September 11 volume-price and fund direction are not fully aligned, with possible volume-driven turnover/matched trades, a fuzzy signal requiring continued observation, and should not be unilaterally interpreted as "distribution" or "accumulation."

Volume confirmation signal: If subsequent single-day turnover continues to expand above RMB 300 million (significantly above the normal RMB 50~130 million level, comparable to the September 11 level of RMB 321 million) with main force funds turning to continuous net inflow, it can be considered a fund intervention signal; if volume expands while main force funds continue net outflow, it more closely resembles position reduction; if turnover falls below RMB 100 million, it more likely enters low-volume consolidation. The above are observation thresholds calibrated based on the stock's own recent trading range, not operational instructions.

④ Points of Attention (Observation Ideas Only, Not Operational Instructions)

• Key level observation: whether short-term resistance of RMB 5.55~5.66 can be recovered and held, whether first support of RMB 5.38~5.45 (MA200 around 5.40) can be defended, the far-end reference significance of strong support at RMB 4.95 (unadjusted 52-week low); breaking below first support opens space toward lower levels, holding above short-term resistance opens upside to RMB 5.75~5.80, 5.88, 6.00 and 6.28~6.50 (52-week high).
• Volume observation: whether daily turnover can continue to expand above RMB 300 million with main force funds continuous net inflow, or fall back below RMB 100 million in a low-volume state; how the inconsistent signal of September 11's abnormal volume expansion (approximately 5x normal) and marginally positive main force net amount evolves.
• Technical indicator verification: existing RSI/MACD/ADX/CCI snapshots all predate the September 10-11 sharp decline; recommend verifying latest readings with quote software, and focus on whether the "MACD death cross above 0 axis" (Jiufang Zhitou single source description) two lines can stabilize above the 0 axis.
• Data basis and lag notes: 52-week high/low has unadjusted (6.50/4.95) and forward-adjusted (6.28/4.73) differences; when discussing support, use unadjusted actual trading prices; shareholder structure data source page update date 2026-08-29, reporting period not explicitly indicated (presumed to be 2026 interim report), lagging at least one quarter, structure may have changed, recommend verifying with the company's latest periodic report originals. All of the above are observation ideas, not operational instructions.

The above scenario projection is based on September 11, 2026 closing data and historical prices, technical indicator calculations; short-term stock prices will also be affected by multiple factors including news, fund flows, and broader market environment; technical indicators themselves have lag and limitations, do not guarantee future actual trends, and do not constitute buy/sell recommendations. Please combine with the latest market information for independent judgment and bear investment risks yourself.

6. Industry Landscape and Competitor Analysis

6.1 Industry Status

The company operates in the cross-border logistics (international freight forwarding) industry under Transportation—Logistics. Research notes show that the company provides cross-border one-stop integrated logistics services centered on international freight forwarding, covering six major segments: international air, sea, and rail integrated logistics, cross-border e-commerce logistics, international engineering integrated logistics, international warehousing logistics, international bulk commodity contract logistics, and oversized and special professional logistics. 2025 company revenue was RMB 17.964 billion (up 2.51% YoY), net profit attributable to parent of RMB 488 million (down 9.37% YoY), showing "revenue growth without profit growth" characteristics; international air freight saw both revenue and gross profit decline due to tariff headwinds, sea freight showed volume growth with price decline, and cross-border e-commerce logistics grew rapidly but with gross margin of only 4.17%. The industry overall is significantly affected by international freight rate fluctuations, tariff policies, and cross-border trade demand changes; the research notes do not provide quantitative data on overall industry size, growth rate, or competitive landscape.

6.2 Competitive Landscape

• Industry position: The company positions itself as "China's leading third-party international integrated logistics service provider and preferred international logistics solution provider," a central SOE "logistics national team," with controlling shareholder China Logistics Group Co., Ltd. (45.81% per 2024 annual report), and actual controller SASAC.
• Freight rates and policy disruptions are core industry variables: 2025 international air freight revenue was down 14.10% YoY, gross profit down 39.66% YoY, attributed in the notes to tariff headwinds; international sea freight business volume was up 9.