Core Insights - Yonghe Medical (02279.HK) reported a mid-term performance for the six months ending June 30, 2025, with revenue of RMB 861.6 million and a gross profit of RMB 550.3 million, reflecting a year-on-year growth of 3.9% [1] - The gross margin increased from 58.8% to 63.9%, indicating improved operational efficiency [1] - The company achieved a net profit of RMB 27.9 million, recovering from a loss of RMB 138.6 million in the same period last year, with basic earnings per share of RMB 0.06 [1] Company Operations - As of June 30, 2025, the group operates 63 hair transplant medical institutions across 61 cities in China, making it the largest and most widely covered chain of hair medical groups in the country [1] - The group served a total of 64,845 consumers during the reporting period [1] Strategic Initiatives - The company optimized its store network layout and upgraded its self-developed chain medical management system "Hefan," leading to refined management in efficiency enhancement, quality control, and cost reduction [1] - Through restructuring management models and implementing precise marketing strategies, the company significantly improved employee efficiency, customer acquisition conversion rates, and return on investment [1] - These initiatives not only helped the company turn around its loss but also laid a solid foundation for sustainable long-term profitability [1]