Core Viewpoint - Kaisa Health (00876) reported a decline in revenue and a narrowed loss for the first half of 2025, primarily due to the adverse effects of China's centralized procurement price policy on dental product pricing [1] Financial Performance - Revenue for the first half of 2025 was HKD 69.577 million, a decrease of 21.4% year-on-year [1] - Loss attributable to equity holders was HKD 9.125 million, a reduction of 62.4% year-on-year [1] - Basic loss per share was HKD 0.18 [1] Market and Product Development - The decline in revenue was mainly due to the Chinese government's price ceiling on dental products, which led to a decrease in average selling prices [1] - The company maintains a research and development focus on "minimally invasive aesthetic restoration," aiming to reduce patient discomfort during cosmetic dental procedures [1] - Kaisa Health plans to establish regional manufacturing centers in cities like Shanghai and Chengdu to lower logistics costs and enhance local service [1] Operational Updates - As of June 2025, Kaisa Rehabilitation Clinic met the periodic performance assessment criteria set by the Shenzhen Municipal Medical Insurance Bureau, successfully renewing its qualification as a designated medical insurance institution [1] - Approximately 2%-5% of institutions lost their medical insurance designation due to failing assessments [1] - The Kaisa Rehabilitation Clinic expanded its team, resulting in a 15% year-on-year increase in operating revenue [1]