TRAD CHI MED (00570) announced its interim results for the six months ended June 30, 2025. The group recorded revenue of RMB 7.463 billion, representing an 11% decrease year-over-year. Shareholders' loss attributable to owners of the company amounted to RMB 108 million, compared to a profit of RMB 211 million in the same period last year. Basic loss per share was 2.14 cents.
According to the announcement, the revenue decline was primarily attributed to the significant increase in the proportion of centralized procurement business for traditional Chinese medicine formula granules and intensified market competition, which led to decreased sales revenue during the period. Meanwhile, the group actively promoted business structure optimization. The traditional Chinese medicine materials production and operation focused on developing regional and advantageous varieties, strategically reducing low-margin and high-risk businesses, resulting in a year-over-year decrease in revenue for the period. The traditional Chinese medicine health segment suspended some homogeneous and non-competitive product lines and businesses, also contributing to the revenue decline for the period.