Kaisa Health 2025 Annual Report: Dental Business Revenue of HKD 132 Million, Down 26.2% Year-on-Year

Image Source: Kaisa Health Group's Full-Year Results Announcement

Revenue Down 25.0% / Net Loss Attributable to Owners of HK$46.678 Million / Dental Business Under Pressure from VBP

DentalGoodNews | March 25, 2026 – Kaisa Health Group Holdings Ltd. (hereinafter referred to as "Kaisa Health") released its full-year results report for 2025. During the reporting period, the company recorded revenue of HK$139 million (approximately RMB 123 million), a year-on-year decrease of 25.0% compared to 2024. The net loss attributable to owners of the company was HK$46.678 million (approximately RMB 41.1738 million), compared to a loss of HK$46.355 million (approximately RMB 40.8888 million) in the same period last year.

Image Source: Kaisa Health Group's Full-Year Results Announcement

In terms of business structure, Kaisa Health's core businesses include dental and health services. In 2025, revenue from the dental business was HK$132 million (approximately RMB 116 million), a decrease of approximately 26.2% from HK$179 million (approximately RMB 158 million) in 2024. According to previous reports by DGN, Kaisa Health's dental business revenue had already seen a year-on-year decline of 22.7% in the first half of 2025, and the full-year data reflects the continuation of this trend. The financial report indicates that the decrease in this segment's revenue in 2025 was primarily attributable to the ongoing adverse impact of the Chinese government's VBP policy, which includes the establishment of price ceilings for dental products sold domestically, leading to a decline in the average selling price of dental products.

In terms of profitability, Kaisa Health's gross profit for 2025 was HK$50.644 million (approximately RMB 44.6721 million), a decrease of 38.2% from HK$81.858 million (approximately RMB 72.2054 million) in 2024. The gross profit margin decreased from 44.2% to 36.4%. The significant compression of the gross profit margin is also directly related to the decline in unit prices under the VBP environment. The company's administrative expenses decreased from HK$45.960 million (approximately RMB 40.5404 million) to HK$35.086 million (approximately RMB 30.9487 million), a reduction of 23.7%, primarily due to lower labor costs and improved management efficiency.

Regarding operational efficiency indicators, as of December 31, 2025, Kaisa Health had approximately 825 employees. Based on total revenue of HK$139 million, the overall employee productivity (revenue per employee) for 2025 was approximately HK$168,600 per person (approximately RMB 148,700 per person), a decrease from the approximately HK$215,300 per person (approximately RMB 189,900 per person) in 2024 (based on 861 employees). In terms of R&D deployment, the company's full-year R&D expenditure was HK$16.911 million (approximately RMB 14.9169 million), an increase of approximately HK$4.4 million (approximately RMB 3.8812 million) compared to the previous year, with a focus on investment in 3D engraving machines, 3D printers, 3D scanners, and invisible orthodontic software development.

In terms of industrial layout, Kaisa Health continues to advance the construction of its Chengdu Dental Implant production facility, "Bishijia (Chengdu) Medical Device Co., Ltd." The factory obtained ISO 13485 certification in August 2025 and received a Class II medical device production license in September of the same year, commencing smooth production. Furthermore, on March 18, 2026, after the reporting period, the company announced its intention to acquire the entire equity of Chongxing Co., Ltd. for RMB 21.604 million (approximately HK$19.0565 million), aiming to enter the field of anesthetic and psychotropic drug manufacturing and attempt to build a comprehensive "pharmaceutical manufacturing + medical devices + rehabilitation services" big health industry chain.

Image Source: Kaisa Health Group's Full-Year Results Announcement

Regarding cash flow and capital structure, as of the end of the reporting period, Kaisa Health's bank balances and cash were approximately HK$110 million (approximately RMB 97 million). The current ratio was 3.98, an increase of approximately 0.27 compared to the same period in 2024. The asset-liability structure remained robust, with no net debt. To optimize the capital structure, the company has currently proposed a share consolidation, with a basis of consolidating every 50 existing shares with a par value of HK$0.00125 (approximately RMB 0.0011) into 1 consolidated share with a par value of HK$0.0625 (approximately RMB 0.055).