21世纪经济报道·2025-05-21 15:27Core Viewpoint - The retail pharmacy industry in China is undergoing significant challenges, with a trend of store closures and a shift from aggressive expansion to a focus on quality and efficiency [3][4][10]. Group 1: Store Closures and Industry Trends - Major retail pharmacy chains, including Lao Bai Xing, Yi Feng Pharmacy, and Yi Xin Tang, have reported a continued strategy of closing underperforming stores while slowing down expansion efforts [3][4]. - In Q1 2025, Lao Bai Xing and Shu Yu Ping Min closed 161 and 86 stores respectively, while Yi Feng Pharmacy opened 94 stores but closed 84 [3][7]. - The overall closure rate in the retail pharmacy sector reached 5.7% in 2024, with over 39,000 stores shutting down [4][11]. Group 2: Financial Performance - Yi Feng Pharmacy reported Q1 2025 revenue of 600.9 million yuan, a year-on-year increase of 0.64%, while its net profit grew by 10.51% [7]. - In contrast, Lao Bai Xing, Yi Xin Tang, and Jian Zhi Jia experienced revenue declines of 1.88%, 6.53%, and 0.85% respectively in Q1 2025 [7][8]. - The financial performance of many listed pharmacy chains has shown a decline in both revenue and profit, indicating a challenging market environment [6][8]. Group 3: Market Dynamics and Future Outlook - The retail pharmacy industry is experiencing a consolidation phase, driven by increased market concentration and regulatory pressures [10][14]. - The shift from rapid expansion to a focus on closing unprofitable stores and improving operational efficiency is becoming a new trend in the industry [10][12]. - Companies are exploring new retail models and diversifying their offerings to adapt to changing market conditions, with some focusing on integrating online and offline sales [14][15].