Pharmesis International (BFK) H2 2025 earnings summary

Executive summary

• FY2025 revenue fell 35.3% to RMB43.8m, mainly reflecting the absence of FY2024 TCH procurement revenue; core non-prescribed drug sales grew, but attributable results shifted to a RMB4.3m net loss.

• Prior-year net profit benefited from a one-off RMB6.9m impairment reversal; FY2025 recorded no impairment reversal or impairment loss on the assessed non-financial assets.

Financial highlights

• Revenue was RMB43.8m versus RMB67.7m in FY2024; gross profit was RMB15.8m versus RMB24.1m.

• Gross margin increased to 36.2% from 35.7%, mainly as the lower-margin TCH procurement segment contributed no FY2025 revenue.

• Loss before tax was RMB4.0m versus FY2024 profit before tax of RMB8.4m; net loss attributable to equity holders was RMB4.3m versus profit of RMB8.3m.

• Other income was RMB2.0m versus RMB7.1m; FY2024 included the one-off RMB6.9m Jiangyou factory impairment reversal.

Outlook and guidance

• Priorities are to strengthen core pharmaceutical businesses, improve margins and operating efficiency, manage capital prudently, and assess opportunities supporting sustainable long-term growth.

• China healthcare policy continues to support healthcare development and TCM revitalisation, innovation, and product standardisation.