Healthcare (SH:603313) Xin Lang Cai Jing·2025-08-26 12:35Core Viewpoint - The company reported a strong performance in the first half of 2025, with revenue and net profit showing significant year-on-year growth, indicating a positive trend in both domestic and international markets [1][2]. Revenue Performance - In 1H2025, the company achieved revenue of 4.32 billion yuan, up 9.4% year-on-year, and a net profit of 110 million yuan, up 117.8% year-on-year [1]. - Domestic and international sales for 1H2025 were 750 million yuan and 3.42 billion yuan, respectively, reflecting growth of 11.7% and 8.1% year-on-year [2]. - In 2Q2025, the company reported revenue of 4.4 billion yuan for domestic sales, up 17.7% year-on-year, and 1.75 billion yuan for international sales, up 2.8% year-on-year [2]. Channel Performance - The company experienced a reduction in the number of offline stores, with a net decrease of 17 direct stores and 10 dealer stores compared to the end of 2024 [3]. - Online sales for the company's proprietary brand saw rapid growth, driven by enhanced e-commerce and live-streaming strategies [3]. Profitability - The gross margin for 1H2025 was 39.2%, an increase of 1.1 percentage points year-on-year, with domestic gross margins reaching 51.1%, up 6.7 percentage points [5]. - In 2Q2025, the gross margin was 39.1%, up 1.3 percentage points year-on-year, with domestic gross margins at 51.3%, up 6.8 percentage points [6]. Cost Structure - The company's expense ratio for 1H2025 was 34.9%, up 0.8 percentage points year-on-year, primarily due to increased e-commerce operational costs [8]. - In 2Q2025, the expense ratio remained at 34.9%, with sales expenses increasing due to the focus on online business development [8]. Market Outlook - The domestic furniture retail market showed strong growth, with a 22.6% year-on-year increase in total retail sales from January to July 2025 [8]. - The company is expected to benefit from potential interest rate cuts and tariff policies that may enhance its competitive position in the U.S. market [8].