Wai Yuen Tong Medicine Holdings Limited (00897) reported an 8.3% decline in revenue for the financial year ended 31 March 2026, amounting to approximately HK$683.4 million, chiefly due to weaker sales in both Chinese and Western pharmaceutical and health food products. Gross profit fell by HK$14.6 million, reaching around HK$361.9 million, though the gross profit margin rose slightly to 53.0%. Net other income and gains decreased from HK$72.1 million to HK$47.1 million, reflecting lower disposal gains from self-use properties, while selling and distribution expenses were trimmed by 7.5% to about HK$276.6 million.

For the year under review, the Group recorded a total net profit of HK$4.076 million, down 42.5% from HK$7.092 million in the prior year. Profit attributable to owners of the Company was approximately HK$4.0 million (FY2025: HK$7.1 million). No dividend was declared for FY2026. During the period, the Group continued to enhance its core segment of Chinese pharmaceutical and health food products, opening new stores in Hong Kong and Macau. In the mainland market, channel integration proceeded with streamlining of store networks, supported by targeted collaborations with major retailers and e-commerce platforms.

Management highlighted the steady performance of the TCM operations, which now encompass around 90 locations in Hong Kong, Macau, and mainland China. New TCM consultation services and e-commerce extensions further bolstered outreach, while cross-border efforts sought to capitalize on regulatory support in the Greater Bay Area. The Group also advanced product innovation, launching “Ultimate Bone & Joint Revive” in partnership with a local university and upgrading its traditional Chinese medicine formulas, including securing full registration for “Hou Tsao Powder.”

Wai Yuen Tong maintained its corporate governance frameworks, including an Audit Committee, Remuneration Committee, Nomination Committee, and Executive Committee. The Board of Directors comprises both Executive and Independent Non-executive Directors, with the Chairman leading oversight of strategic development, risk management, and compliance. Under the controlling interest of Wang On Group Limited, the Group’s shareholding structure features Mr. Tang Ching Ho as Chairman and Managing Director, supported by an executive team guiding operations, financial controls, and corporate strategies.

Looking ahead, the Company intends to drive the modernization of TCM, expand its cross-border e-commerce footprint, and enhance its brand presence through advanced technologies and data analytics. Management underscores the importance of lean operations and diversified marketing channels to address challenges such as market competition, regulatory shifts, and evolving consumer preferences. By prioritizing innovation, stronger retail networks, and brand rejuvenation, the Group aims to reinforce its position across the TCM and healthcare landscape.