Core Viewpoint - The company, Yaoyigou, faces severe challenges amid industry transformation, with its B2B e-commerce business being squeezed by the "unified procurement and distribution" policy and intensified competition from both traditional and internet giants in the outpatient market [2][3]. Financial Performance - In the first half of 2025, the company's revenue declined by 3.06% year-on-year to 2.157 billion yuan, and the net profit turned into a loss of 7.6144 million yuan, a year-on-year decrease of 162.95% [3][12]. - The company's revenue growth has been consistently weak since its IPO, with growth rates decreasing from 21.87% in 2021 to -1.12% in 2024, entering a negative growth phase [3][5]. - The first quarter of 2025 showed a profit of 4.1837 million yuan, but the second quarter saw a sharp loss exceeding 11.79 million yuan, indicating increased operational pressure [3]. Business Segments - The TOB business remains the main revenue source, accounting for over 97% of total revenue, with B2B e-commerce revenue down 15.61% to 1.441 billion yuan and other terminal sales down 36.20% to 489 million yuan [5][7]. - Digital distribution showed growth, increasing by 23.52% to 2.349 billion yuan, but overall TOB business still declined by 2.22% [5][7]. - The TOC business, while showing a significant increase in online retail revenue (up 225.87% to 56.97 million yuan), still contributed minimally to overall performance due to its small revenue share [5][7]. Market Challenges - The company is experiencing a "growth without revenue" dilemma, where key performance indicators in e-commerce have improved, yet total revenue has decreased by 5.89% [9][10]. - The increase in new users is primarily from small-scale customers with low transaction values, which, combined with price compression from procurement policies, hampers the realization of scale effects [10]. - The company is under pressure from both national policies and local competition, reflecting a broader industry shift from traditional distribution models to specialized service providers [10]. Cost Structure - The company's operating loss is exacerbated by rising costs, with sales expenses increasing by 46.25% to 164 million yuan, management expenses up 6.94% to 34.48 million yuan, and financial expenses rising by 12.72% [12]. - Research and development expenses have decreased significantly, down 39.73% to 5.619 million yuan, indicating a lack of effective implementation of its R&D strategy [12]. Stock Performance - Since its IPO, the company's stock price has been on a downward trend, with a cumulative decline of 79.79% from its peak of 150 yuan, resulting in a market capitalization loss of over 10 billion yuan [11].