AiXin Life International, Inc. reported significant declines in its financial performance for the second quarter and first half of 2025, as detailed in its latest 10-Q filing. For the three months ended June 30, 2025, the company generated total revenue of $460,929, a decrease of 65% from $1,332,650 in the same period of 2024. The six-month revenue also fell by 61% to $859,760 from $2,184,209 year-over-year. The company recorded a net loss of $351,505 for the second quarter, compared to a loss of $176,783 in the prior year, and a net loss of $1,073,213 for the first half of 2025, up from $780,383 in 2024.
The decline in revenue was attributed to reduced sales across all business segments, particularly in direct sales and pharmacy operations, which saw decreases of 91% and 90%, respectively. The company’s direct sales revenue was $31,337 for the quarter, down from $357,013, while pharmacy revenue dropped to $26,441 from $256,713. The hotel segment also experienced a slight decline, with revenue decreasing by 6% to $112,377. The overall decrease in sales was largely attributed to an economic downturn that affected marketing and promotional activities, as well as a shift towards online shopping.
Operationally, AiXin Life's total operating costs and expenses for the second quarter were $1,271,553, down from $1,601,475 in 2024. The cost of sales decreased to $290,675 from $480,089, reflecting the lower sales volume. However, the company reported a loss from operations of $810,624, which was a 202% increase compared to the previous year’s loss of $268,825. The increase in losses was primarily driven by heightened losses in the pharmacy and direct sales segments.
As of June 30, 2025, AiXin Life's total assets were reported at $3,346,709, a decrease from $4,406,360 at the end of 2024. The company also faced a working capital deficit of $6,423,194, raising concerns about its ability to continue as a going concern. Cash and cash equivalents fell to $29,621 from $62,310 at the end of the previous fiscal year. The company indicated that it is pursuing a liquidity plan that includes cost reductions and potential financing through loans and equity offerings to address its financial challenges.
Looking ahead, AiXin Life aims to explore opportunities in the growing healthcare market in China, including expanding its product line and acquiring additional pharmacies. However, the company acknowledged that its ability to achieve profitability remains uncertain, contingent on market conditions and the successful implementation of its business strategies.
About AiXin Life International, Inc.
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