KPC Pharmaceuticals, Inc. (KPC), in which China Resources Pharmaceutical Group Limited (stock code: 3320) holds approximately 28.05% equity interest through its subsidiary, released its unaudited preliminary financial data for the year ended 31 December 2025. According to the announcement, KPC’s total operating revenue declined by 21.72% year-on-year, and net profit attributable to shareholders decreased by 46.00%. The reduction is attributed to multiple factors, including subdued progress in centralized procurement of proprietary Chinese medicines, continued medical insurance fee control policies, and pressure on in-hospital business income.

Gross profit margin also experienced a year-on-year drop, and basic earnings per share fell by 46.51%. Non-recurring gains or losses rose by 6.1%, mainly driven by fair value changes in certain financial assets and investment income. Although government subsidies decreased by 24.15% year-on-year, the overall net profit downturn was further compounded by the larger proportion of non-recurring gains.

Looking ahead, KPC indicates that 2026 will continue to be marked by industry adjustments and deeper internal reforms. The company plans to focus on aging health demands, strengthen brand upgrading, enhance channel capabilities, systematically reduce costs, and build synergies with China Resources Sanjiu Medical & Pharmaceutical Co., Ltd. in order to stabilize and grow its operations. KPC’s final audited figures will be disclosed in its 2025 annual report.