Jinxin Fertility (JXR): 2025 Swings to RMB983.90 Million Loss on Goodwill Impairment; Revenue Slides 5.8%

Jinxin Fertility Group Limited reported a net loss of RMB983.90 million for the year ended 31 December 2025, reversing a profit of RMB273.47 million in 2024. The downturn was mainly driven by RMB992.58 million of goodwill and intangible-asset impairments tied to its U.S. and Laos operations, alongside a RMB99.01 million expected-credit-loss provision and a one-off RMB50.00 million contribution to a co-managed hospital.

Revenue declined 5.8% year on year to RMB2.65 billion, weighed down by a 6.2% fall in assisted-reproductive-services (ARS) income and a 15.5% drop in obstetrics revenue. Gross profit fell 19.4% to RMB886.54 million and the gross margin narrowed to 33.5% from 39.1%.

On a non-IFRS basis, adjusted net profit slid 49.7% to RMB209.31 million, while adjusted EBITDA contracted 30.6% to RMB491.12 million. Reported non-IFRS EBITDA turned negative at RMB-682.84 million versus RMB628.79 million a year earlier.

Segment-wise, Greater China generated RMB2.03 billion of revenue and RMB194.80 million of segment profit, while Overseas operations delivered RMB618.09 million of revenue and a RMB37.50 million segment loss before group-level adjustments.

Operating cash flow remained positive at RMB588.89 million (2024: RMB629.20 million). Cash and cash equivalents rose to RMB905.78 million from RMB570.82 million, supported by lower investing (RMB149.58 million) and financing outflows (RMB116.55 million). Bank borrowings increased to RMB2.46 billion, lifting the interest-bearing debt ratio to 17.6% (2024: 15.1%).

The Board proposed a final dividend of HK$0.0418 per share—equivalent to approximately RMB100 million—after no payout in 2024. Basic loss per share for 2025 was RMB0.36; adjusted basic earnings per share were RMB0.08.

Total assets stood at RMB13.96 billion with net assets of RMB9.20 billion at year-end. Capital commitments amounted to RMB97.39 million, primarily for property, plant and equipment. No material contingent liabilities were disclosed.

Looking ahead, management reiterated its intention to tighten capital allocation, improve free-cash-flow generation and return 50–80% of non-IFRS adjusted EBITDA to shareholders via dividends and/or buy-backs over 2026-2028. A new RMB300 million share-repurchase mandate has been approved, subject to market conditions.