1. YI achieved first-ever annual operational profitability for FY 2024. 2. Net revenues decreased by 3.7% year-over-year to RMB14.4 billion. 3. Operational costs reduced by 5.9%, improving cost efficiency. 4. Strategic investments in AI and supply chain enhanced operational efficiency. 5. YI aims to capitalize on China's aging population and digital healthcare.
The announcement of operational profitability marks a significant turnaround. Historically, similar profitability milestones can boost investor confidence and interest, leading to potential price increases.
The financial results highlight significant operational improvements, indicating potential future profitability and growth that could attract investors.
The projected growth in digital healthcare and the aging population indicates long-term growth potential, which can sustainably influence YI’s market position.
SHANGHAI, March 20, 2025 /PRNewswire/ -- 111, Inc. ("111" or the "Company") (NASDAQ: YI), a leading tech-enabled healthcare platform company committed to reshaping the value chain of healthcare industry by digitally empowering the upstream and downstream in China, today announced its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2024.
(1) Gross segment profit represents net revenues less cost of goods sold.
(2) Non-GAAP loss (income) from operations represents loss (income) from operations excluding share-based compensation expenses.
Mr. Junling Liu, Co-Founder, Chairman, and Chief Executive Officer of 111, commented, "2024 was a year of both challenges and transformation."
"Our relentless focus on operational efficiency continues to drive impressive improvements through cost optimization and strategic infrastructure investments. In Q4, total operating expenses accounted for 5.5% of revenues, down 470 basis points year over year, while on a non-GAAP basis, the ratio fell 130 basis points to a record-low 5.3%."
"While challenges remain, we believe the most difficult period is now behind us. Looking ahead into 2025, we remain confident in the long-term growth opportunities driven by the digitalization of healthcare..."
Net revenues were RMB3.8 billion (US$527.1 million), representing a decrease of 6.3% from RMB4.1 billion in the same quarter of 2023.
| For the three months ended December 31 | 2023 | 2024 | YoY |
|---|---|---|---|
| Product | 3,996,772 | 3,759,824 | -5.9 % |
| Service | 24,045 | 21,771 | -9.5 % |
Operating costs and expenses were RMB3.9 billion (US$528.1 million), representing a decrease of 10.7% from RMB4.3 billion in the same quarter of 2023.
Net revenues were RMB14.4 billion (US$2.0 billion), representing a decrease of 3.7% from RMB14.9 billion in the previous year.
| For the year ended December 31 | 2023 | 2024 | YoY |
|---|---|---|---|
| Product | 14,483,935 | 14,033,543 | -3.1 % |
| Service | 86,831 | 89,609 | 3.2 % |
111's management team will host an earnings conference call at 7:30 AM U.S. Eastern Time on Thursday, March 20, 2025 (7:30 PM Beijing Time on the same day).
Event Title: 111, Inc. Fourth Quarter and Fiscal Year 2024 Unaudited Financial Results
Registration Link: click here