Boji Medical announces significant impairment provisions in Q3 2025

Guangzhou Boji Medical & Biotechnological (SZSE:300404) announced a total provision for asset impairment losses of CNY 1,916,089.27 and credit impairment losses of CNY 4,998,909.35 for the third quarter of 2025. These provisions, coupled with a reversal of impairment provisions totaling CNY 210,397.52 and asset write-offs of CNY 97,193.47, are expected to reduce the company's Q3 2025 total profit by CNY 6,704,601.10. The impairment provisions cover various assets, including inventories, accounts receivable, contract assets, fixed assets, construction in progress, intangible assets, goodwill, and assets held for sale, following a comprehensive review.

The company's Q3 2025 financial report shows a significant -49.36% decrease in net profit attributable to shareholders of listed companies, reaching CNY 21,913,904.30. Total profit also declined by -41.18% to CNY 18,330,632.81, primarily due to increased operating costs. Despite this, the company saw a 5.06% increase in operating revenue to CNY 584,317,656.85 and a substantial 148.60% rise in net cash flow from operating activities, reaching CNY 7,794,974.90.

The company's balance sheet reflects the impact of these adjustments, with total assets increasing by 9.47% to CNY 1,587,919,783.62 compared to the end of the previous year. Notable changes include a 602.31% increase in transactional financial assets due to the purchase of wealth management products, and a 58.46% increase in contract assets attributable to revenue growth.