Fangzhou's Impressive 1H Performance Reflects User Growth and AI Integration

Fangzhou's Impressive Financial Performance in the First Half of 2025

Fangzhou Inc. (06086.HK), a prominent player in the realm of AI-driven internet healthcare solutions, has revealed a remarkable financial outcome for the first half of 2025. The company's latest report showcases solid growth fueled by an expanding user base, operational efficiency, and a focus on artificial intelligence (AI) across various healthcare services.

Robust Revenue Growth and Profitability

In the six months ending June 30, 2025, Fangzhou reported revenues amounting to RMB 1.494 billion—marking a 12.9% increase compared to the same period the previous year. What stands out even more is the turn to profitability; net profit soared to RMB 12.5 million, a significant recovery from the loss of RMB 818.7 million posted a year earlier. Adjusted net profit showed a similarly encouraging trend, increasing by 16.8% to reach RMB 17.6 million, indicating a new peak for the company.

The growth trajectory is further illustrated by the impressive increase in user engagement. Registered users on Fangzhou’s platform surged to 52.8 million, reflecting a year-on-year growth of 15.8%. Monthly active users saw even more remarkable growth, jumping to 11.9 million—up 34.4% from the previous year. Additionally, the number of registered doctors increased to 229,000, showcasing the platform's expanding network.

The company also reported a notable rise in its paid user repurchase rate, now at 85.4%, underscoring high user satisfaction and stickiness in its services. Particularly, revenue from its online pharmacy services rose 28.2% to RMB 864 million, while revenue from medical services increased by 11.4% to RMB 357 million. By mid-2025, Fangzhou’s drug catalog had expanded to include an impressive 215,000 SKUs, of which 62% were prescription medicines. To support this growth, Fangzhou has developed supply chain partnerships with over 1,650 suppliers and more than 980 pharmaceutical companies.

Launch of Innovative Healthcare Solutions

During the first half of 2025, Fangzhou introduced a range of innovative drugs on its platform, sourced from leading pharmaceutical companies including Novo Nordisk, Otsuka Pharmaceutical, Novartis AG, and Takeda Pharmaceuticals. These collaborations are critical as they enhance the platform's service offerings and cater to a growing list of healthcare needs.