STOCKS | Kunming Pharmaceutical Group Expects First-Half Net Profit to Swing to Loss

Kunming Pharmaceutical Group said it expected a net loss attributable to shareholders for the first half of 2026. According to Jin10, the company announced it expected net profit attributable to shareholders to be between -400 million yuan and -330 million yuan, compared with net profit of 198 million yuan in the same period a year earlier, representing a year-on-year decline of 302% to 266%. The company said the expected loss was mainly due to external factors including an expanded scope of centralized procurement for traditional Chinese patent medicines, deeper medical insurance cost controls, and intensified competition in non-hospital channels. It also cited internal adjustments such as optimizing channel inventory and advancing a shift in its marketing model, adding that progress in improving operations fell short of expectations.