Kelun Pharmaceutical's 2025 revenue and net profit both decline, with non-infusion formulations' revenue surpassing infusion products for the first time

Questioning AI: Non-infusion revenue first surpasses infusion—what is the deeper meaning behind Kelun Pharmaceutical’s strategic transformation?

Blue Whale News, April 3—On April 2, Kelun Pharmaceutical released its 2025 performance report. The data shows that in 2025, the company achieved operating revenue of 18.513 billion yuan, down 15.13% year on year; net profit attributable to shareholders was 1.702 billion yuan, down 42.03% year on year; and net profit after deducting non-recurring gains and losses was 1.597 billion yuan, down 44.99% year on year.

Net cash flow from operating activities for the full year was 2.642 billion yuan, down 41.19% year on year. The magnitude of the change was significantly higher than the revenue decline. The main reason is that the revenue downturn led to reduced sales collections, further highlighting cash-flow pressure. The gross margin of the pharmaceutical manufacturing business fell by 3.93 percentage points year on year to 47.52%.

The company’s product structure is accelerating its iteration. The revenue share of infusion products fell to 40.43%, while the revenue share of non-infusion formulations rose to 47.90%. Together, the two accounted for 88.33% of revenue—marking the first time a structural reversal occurred in which non-infusion revenue overtook infusion.

The regional layout continues to exhibit the characteristics of “strong in the East, stable in the West, and initial scale in going global.” The East China region’s revenue share reached 27.47%, ranking first compared with 20.40% in Southwest China and 13.43% in international business, making it the company’s largest market. The revenue share of international business remained at a relatively high level, indicating that overseas expansion has entered a stage of scaled volume ramp-up.

The company’s R&D investment totaled 2.205 billion yuan, up 1.57% year on year. Its share of revenue increased to 11.91%. The number of R&D personnel was 2,799, down 1.96% year on year. Increased R&D intensity coexisted with fine-tuning of human resources, reflecting a shift in R&D strategy from large-scale expansion to efficiency-driven development.

Selling expenses were 3.039 billion yuan, down 12.98% year on year. The decline was slightly greater than the revenue decline, reflecting tighter expense controls, but it was not able to fully offset the overall impact on the revenue side caused by the contraction.

In Q4 2025, the company recorded single-quarter operating revenue of 5.236 billion yuan, net profit attributable to shareholders of 501 million yuan, and net profit after deducting non-recurring gains and losses of 450 million yuan. All three indicators improved quarter on quarter, indicating enhanced operating resilience, but it has not yet reversed the full-year trend of year-on-year decline.

The year-on-year decline in net profit after deducting non-recurring gains and losses was 44.99%, larger than the 42.03% decline in net profit attributable to shareholders. This was mainly because government subsidies included in non-recurring gains and losses amounted to 23,700.00 million yuan, and fair value changes and gains/losses from disposal of financial assets were 6,100.00 million yuan; together, they contributed about 10,500.00 million yuan to non-recurring gains and losses.

As for dividends, the company used 1.59 billion shares as the base. Cash dividends of 4.68 yuan were paid for every 10 shares (including tax), for a total cash dividend of 74,400.00 million yuan, accounting for 43.73% of net profit attributable to shareholders.