New Stock News | Beijing Tongrentang approved by the Hong Kong Stock Exchange, with Chinese medicine healthcare services accounting for approximately 80% of the revenue.

According to the disclosure by the Hong Kong Stock Exchange on September 30th, Beijing Tongrentang Medical Care Investment Co., Ltd. (referred to as Beijing Tongrentang Medical Care) has conducted a listing hearing on the main board of the Hong Kong Stock Exchange, with CICC as its exclusive sponsor. According to the prospectus, Beijing Tongrentang Medical Care is a subsidiary of Beijing Tongrentang that strategically focuses on traditional Chinese medical services in China. It specializes in providing comprehensive traditional Chinese medical services to individual clients, standardized management services to institutional clients, and various medical and other products. The company combines "medical" and "care" to provide modern and customized traditional Chinese medical services. As of September 23, 2025, the company has established a hierarchical traditional Chinese medical service network, including 12 self-owned offline medical institutions and one internet hospital, as well as 10 offline managed medical institutions. Leveraging the well-known brand "Beijing Tongrentang" and high-quality drugs, the company has accumulated and integrated a large amount of medical resources. Based on the total outpatient visits and inpatient visits in 2024, the company is the largest traditional Chinese medical group in China's private traditional Chinese medical service industry, with a market share of 1.7%. Based on the total medical service revenue in 2024, the company ranks second in the private traditional Chinese medical service industry with a market share of 0.2%, accounting for 46.5% of the total market size of China's traditional Chinese medical service industry in the same year. During the reporting period, the company's revenue mainly came from traditional Chinese medical services, management services, and sales of health and other products. In terms of revenue contribution, the revenue generated from traditional Chinese medical services increased from RMB 815 million in the year ended December 31, 2022, to RMB 995 million in the year ended December 31, 2023, a 22.1% increase; revenue from management services increased significantly from RMB 1.9 million to RMB 9.6 million; revenue from the sale of health and other products increased by 57.0% from RMB 87.7 million to RMB 138 million during the same period. Beijing Tongrentang Medical Care noted that other listed members of the Beijing Tongrentang group also provide limited traditional Chinese medical services, but the company's main business activity of providing traditional Chinese medical services differs. The subsidiary company primarily provides traditional Chinese medical services through resident Chinese medicine doctors as a supplement to its drug retail business, with differences in operating scale, business positioning, service scope, and target customer groups from the company's traditional Chinese medical services. The ultimate controlling shareholder of the company, Beijing Tongrentang, has the right to directly and indirectly exercise approximately 93.83% of the voting rights through Beijing Tongrentang Kangyang, Beijing Tongrentang Inheritance Fund Management, Beijing Tongrentang Medical Fund Management, Beijing Tongrentang Elderly Fund, Tongkang Fund, and Tongqing Fund. The prospectus mentioned that the company's business operations primarily focus on the traditional Chinese medicine field, and the acceptance of traditional Chinese medicine in China may change, potentially significantly impacting the company's business, financial condition, and operating performance. In addition, the company may not be able to maintain or renew the licensing and authorization to use the "Beijing Tongrentang" trademark or lease properties from Beijing Tongrentang. In terms of performance, Beijing Tongrentang Medical Care achieved revenues of approximately RMB 911 million, RMB 1.153 billion, RMB 1.175 billion, and RMB 477 million in the fiscal years 2022, 2023, 2024, and the five months ending May 31, 2025, respectively; during the same periods, profits were -RMB 9.233 million, RMB 42.634 million, RMB 46.197 million, and RMB 13.062 million respectively.