Distinct Healthcare Posts 17.0% Revenue Growth and Higher Margins in 1H26

Bulletin Express
09/17

Distinct Healthcare reported revenue of RMB595.91 million for the six months ended 30 June 2026, a 17.0% year-on-year increase driven mainly by in-person services (RMB549.69 million). Gross profit rose 40.5% to RMB162.40 million, lifting gross margin to 27.3% from 22.7% a year earlier.

\n\nNet profit under IFRS climbed 10.5% to RMB83.39 million, including a RMB68.41 million fair-value gain on the re-measurement of convertible redeemable preference shares. On a non-IFRS basis, adjusted net profit swung to RMB28.40 million from a RMB0.57 million loss, while adjusted operating profit surged to RMB38.81 million from RMB3.74 million. Adjusted EBITDA increased 45.5% to RMB103.77 million.

\n\nOperating cash inflow improved to RMB65.16 million versus RMB55.24 million in the prior-year period. Cash and cash-like items amounted to RMB698.60 million at 30 June 2026, up from RMB535.10 million at year-end 2025; this includes RMB291.67 million of cash, RMB170.39 million of term deposits, and RMB236.48 million of wealth-management products.

\n\nThe clinic network expanded to 18 multi-specialty sites in mainland China—four of which are one-stop healthcare service centres—plus three GP clinics in Singapore and one in Kuala Lumpur. Revenue from Tier-One cities accounted for roughly 62% of in-person service income.

\n\nFollowing the February 2026 IPO, the company raised net proceeds of HK$220.10 million (approximately RMB200 million). As of 30 June 2026, HK$199.90 million remains unutilised, earmarked mainly for AI development, clinic upgrades, and potential acquisitions.

\n\nNo interim dividend was declared. The board believes strengthened margins, rising adjusted profitability, and ample liquidity position Distinct Healthcare for continued network and technology investment.

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