Zhangzhou Pien Tze Huang Pharmaceutical Co., Ltd. (Pien Tze Huang) reported a decrease in operating income for the year 2025 to 9.001 billion yuan, down 16.56% year-on-year, with a corresponding drop of 27.49% in net profit attributable to the parent company. This marks the first annual revenue decline for Pien Tze Huang since its initial public offering in 2003. Additionally, in the first quarter of 2026, Pien Tze Huang continued the trend of declining revenue and net profit from 2025.
Dubbed as the “Maotai of Medicine,” Pien Tze Huang released its “2025 Annual Report” on April 30. According to the report, the operating income was 9,001,411,806.06 yuan, reflecting a 16.56% decrease year-on-year. The total profit amount stood at 2,537,828,299.17 yuan, down by 28.28%, with a net profit attributable to the shareholders of the listed company of 2,158,633,048.42 yuan, a 27.49% decline. The net profit excluding non-recurring gains and losses was 1,999,617,616.75 yuan, down by 34.25%.
This is the first time since its listing in 2003 that Pien Tze Huang has experienced an annual decrease in revenue. Furthermore, the net cash flow from operating activities for Pien Tze Huang in 2025 decreased by 94.14% compared to the previous year.
According to the “2026 First Quarter Report” released by Pien Tze Huang on the same day, operating income decreased by 12.74% year-on-year, total profit decreased by 25.92%, and net profit attributable to the shareholders, excluding non-recurring gains and losses, decreased by 27.73%.
These figures indicate that Pien Tze Huang’s revenue and net profit in 2026 have continued the downward trend from 2025. The “Huaxia Times” stated on May 2 that despite the decrease in revenue, the decline in profit for Pien Tze Huang is still greater, suggesting that the dual pressures of cost and terminal discount have not been alleviated. Pien Tze Huang has seen a continuous decline in revenue for six consecutive quarters.
During the performance briefing on April 30, Pien Tze Huang stated that the dual decline in revenue and net profit in 2025 was a result of “a phase of adjustment”.
However, the “Huaxia Times” pointed out that the main reason for the decline in revenue and net profit for Pien Tze Huang in 2025 was the over-reliance on the sales of its core traditional Chinese medicine product, Pien Tze Huang, which experienced a significant decline in both volume and price in 2025.
As a well-known Chinese brand, Zhangzhou Pien Tze Huang Pharmaceutical Co., Ltd. produces traditional Chinese medicine Pien Tze Huang, which is used for various chronic diseases caused by heat, toxins, blood stasis, and viral hepatitis, and has been promoted as a “liver-protecting miracle drug.”
The “2025 Annual Report” shows that the revenue from liver disease medications, the company’s main products, amounted to 4.268 billion yuan for the entire year, a decrease of 19.63% year-on-year, with a gross profit margin dropping to 61.29%, a decrease of 6.62 percentage points. According to Huatai Securities research, the domestic sales volume of the traditional Chinese medicine Pien Tze Huang dropped by approximately 20% in 2025, and starting from the second quarter, the revenue growth rate has been negative for six consecutive quarters.
It is believed that the simultaneous decrease in volume and price of Pien Tze Huang traditional Chinese medicine is a result of the bursting of market speculation and a contraction in consumer demand.
Fu Yifu, a contracted researcher at Su Merchants Bank, believes that “the company has long been overly reliant on its core single product, with weak research and development investment. The slow progress in new product development and category expansion, without a new growth curve to replace it, has not only failed to offset the pressure of the existing growth model’s failure but also difficult to support the previously high valuation. This is the fundamental issue hindering the company’s long-term recovery.”
Since its listing in 2003, the Pien Tze Huang series of traditional Chinese medicine products have seen more than 20 price increases for both domestic and international sales. The domestic factory price of a pill was 125 yuan in 2003 and increased to 760 yuan in May 2023, marking the largest price hike in nearly twenty years, with scalpers even selling it for 1600 yuan per pill at that time. A recycler revealed to the media on April 30 that the buyback price for Pien Tze Huang tablets manufactured in 2024 had fallen to 460 yuan per pill, almost halving from its peak. On e-commerce platforms, the discounted price of Pien Tze Huang traditional Chinese medicine frequently falls below the official price, with the lowest price on Meituan for drug purchases dropping to 683 yuan per pill and Jingxi’s official self-operated store on JD.com momentarily dropping to 599 yuan per pill.
As of the close of trading on May 1, Pien Tze Huang’s stock price was reported at 143.55 yuan per share, with a total market value of 103.596 billion yuan.