CR MEDICAL Issues Profit Warning, Anticipates 2025 Attributable Profit to Drop 17.5%-8.9%

Stock News02-27 21:46

CR MEDICAL (01515) has announced an expected attributable profit to the company's owners for the fiscal year ending December 31, 2025. The projected profit ranges between approximately RMB 467 million and RMB 516 million. This represents a decline of about 17.5% to 8.9% compared to the attributable profit of approximately RMB 566 million recorded for the fiscal year ended December 31, 2024.

After adjusting for a one-time receipt of approximately RMB 210 million, which includes historical management fees and compensation for supply chain losses under the Yanhua IOT agreement, and the corresponding corporate income tax, the attributable profit shows a more significant decrease. On this adjusted basis, the profit for 2025 is expected to fall by approximately 43.5% to 37.6% compared to the 2024 figure. This adjusted decline is an improvement of about 13.9 to 19.8 percentage points compared to the 57.4% drop seen in the first half of 2025, which was also calculated on a basis excluding the Yanhua compensation.

The primary factors contributing to the decrease in attributable profit for the 2025 reporting period are a reduction in operating profit at member medical institutions, driven by lower average medical insurance payments per visit, and a contraction in the scale of the company's IOT (Invest-Operate-Transfer) business.

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