#China #Ürümqi #Chanson International #China Stores #Beverage Products

Chanson International Holding Reports Fiscal Year 2025 Financial Outcomes

Overview of Financial Results

On April 20, 2026, Chanson International Holding (Nasdaq: CHSN) shared its financial results for the fiscal year ending December 31, 2025. The company, a notable provider of bakery, seasonal, and beverage items operating in China and the United States, reported total revenue of approximately $18.3 million, marking a modest increase of 0.2% from the previous year's revenue of $18.2 million.

Insights from Leadership

Mr. Gang Li, the Chairman and CEO, highlighted the positive trajectory in profitability, with significant gross profit growth. In 2025, gross profit reached $8.2 million, an increase of 14.2% year-on-year, propelling gross margin to an impressive 45.0%, up from 39.5% in 2024. This improvement is attributed to effective product marketing strategies, strict cost controls, and superior inventory management, achieved through refined customer traffic forecasting.

Future Growth Projections

Looking ahead, Chanson remains committed to growth and enhanced profitability. The company is focused on optimizing marketing strategies, bolstering product innovation with a major emphasis on nutritious offerings, and improving customer engagement through in-store and online experiences. By sustaining a culture of cost discipline and utilizing data-driven forecasting methods for inventory and demand, the company aims to grasp new growth opportunities, ultimately driving long-term value for shareholders.

Detailed Financial Analysis

Revenue Breakdown

• - Total Revenue: The limited increase in total revenue to $18.3 million in 2025 was supported primarily by growth in the China market, where revenue rose by 1.3% to approximately $16.4 million. Conversely, the United States segment faced challenges, with revenue declining by 8.4% to $1.9 million.

Performance of China Stores

• - Bakery Products: Revenue from bakery items witnessed a slight decrease of 1.1%, bringing in $14.6 million. Factors attributed to this include a challenging economy and a shift in consumer behavior towards online purchasing as opposed to traditional in-store shopping.
• - Seasonal and Beverage Products: Notably, revenue from other products surged by 28.5% to $1.7 million, spurred by a successful campaign in seasonal items, which saw a growth of 52.8%. However, beverage product sales fell by 35.2%, suffering from intensified competition and the emergence of new coffee brands within the region.

Performance of United States Stores

• - Bakery Sales Decline: Revenue from this segment plunged dramatically by 50.4%, primarily due to operational suspensions of crucial locations in April and January 2025, affected by stiff competition.
• - Increased Beverage Sales: On a positive note, beverage revenue in the U.S. grew by 17.6% to $1.5 million, buoyed by enhanced product offerings and new cocktail lines.

Profitability Metrics

Gross profit’s notable rise to $8.2 million corroborated the company’s operational efficiency strategies. The gross margin's ascension to 45.0% indicates successful management of direct costs.

Conclusion and Forward-looking Statements

Chanson International Holding’s completion of fiscal year 2025 presents a snapshot of resilience in a fluctuating market. With a clear vision aimed at innovative product development and responsive marketing strategies, the company sets an optimistic tone for its growth trajectory and shareholder value maximization. As they navigate industry challenges, stakeholders can monitor future developments with interest, understanding that Chanson's commitment to quality and customer satisfaction remains at the forefront of its operational focus.

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