POM · POMDOCTOR Ltd

POMDOCTOR’s FY2025 results reflect aggressive growth execution amid strategic reinvestment: revenue expansion was led by the Internet hospital segment—up 69.3% year-over-year—driven almost entirely by online pharmacy sales, which surged from RMB87.8 million to RMB149.2 million. However, this growth came at a margin cost: Internet hospital gross margin fell sharply from 42.7% to 32.7%, explicitly attributed to the shift toward lower-margin pharmacy products. Simultaneously, the pharmaceutical supply chain segment—still the larger revenue contributor—saw revenues decline 1.7% and its gross margin compress to 1.2%, reflecting both competitive retail pressures (two stores closed) and onboarding of lower-margin wholesale customers. Operating expenses more than doubled, with sales and marketing up 70.7% and general and administrative expenses soaring 402.9%, largely due to IPO-related professional fees and investor relations spending. R&D investment spiked 328.5% to RMB12.9 million, focused on AI and smart wearable integration for chronic disease management—core to the company’s stated strategic upgrade. While net loss widened significantly to RMB130.9 million, management explicitly framed IPO costs as non-recurring and strategic, enabling access to capital markets after listing on Nasdaq on October 8, 2025. The balance sheet shows modest cash growth to RMB9.6 million, funded by IPO proceeds (US$23.0 million gross), even as operating cash outflow ballooned to RMB148.5 million—highlighting the capital intensity of scaling digital healthcare infrastructure in China. Forward-looking commentary emphasizes continued platform integration with medical insurance systems and AI-driven chronic care, but no quantitative guidance is provided.