Tigermed reports revenue dip, significant profit margin decline in H1 2025

Hangzhou Tigermed Consulting Co., Ltd. announced its interim results for the six months ended June 30, 2025, reporting a total revenue of 3,250.4 million yuan, a 3.2% decrease year-over-year. Gross profit also saw a significant decline of 26.6% to 978.0 million yuan, with the gross profit margin falling by 9.6 percentage points to 30.1%. Net profit attributable to owners of the company decreased by 22.2% to 383.3 million yuan.

The decline in overall revenue was primarily due to a 10.2% year-over-year slide in Clinical Trial Solutions (CTS) segment revenue to 1,469.5 million yuan. This was mainly attributed to a reduction in the workload for executed domestic innovative drug clinical trials and a decrease in the average unit price of newly signed domestic clinical operations orders. Conversely, revenue from Clinical Trial-Related Services and Laboratory Services (CRLS) increased by 3.5% year-over-year to 1,780.9 million yuan.

Despite the revenue challenges, the company's net cash generated from operating activities improved significantly, increasing by 130.4% to 408.6 million yuan. This was driven by a higher collection rate of accounts receivable and a decrease in cash paid for taxes. The board resolved not to declare any interim dividend for the period.