Bubble Tea Business Surges: Chanson Secures Double Profit After Selling Over a Million Cups Daily
Chanson International Holding Reports Financial Results for First Half of Fiscal Year 2025
Chanson International Holding, a leading retail company, has released its financial results for the first half of fiscal year 2025. The company reported a total revenue of $8.7 million, marking a 15.2% increase from the same period last year.
Revenue from the United States Stores decreased by 13.2% to $0.9 million, while revenue from China Stores saw a significant growth of 19.7%, reaching $7.8 million. The revenue increase from China Stores was primarily driven by a 20.8% rise in bakery products and a 39.0% increase in sales from seasonal products.
Gross profit for the first half of fiscal year 2025 stood at $3.9 million, a 26.4% increase from the same period last year. This growth was underpinned by a 2.9 percentage point increase in gross margin to 44.5%.
However, the company's operating expenses rose to $5.1 million, a 34.8% increase from the same period last year. This increase was primarily due to increased allowance for credit losses, audit, legal, and professional service fees. As a result, the company reported a net loss of $1.0 million for the first half of fiscal year 2025, a significant change from the net income of $0.02 million for the same period last year.
Despite the net loss, Chanson International Holding managed to generate $8.6 million in net cash from financing activities, a significant improvement from the $0.4 million for the same period last year. However, the company used $0.4 million in operating activities, a reversal from the $0.8 million it provided in the same period last year.
As of June 30, 2025, the Company had cash of $22.1 million, compared to $12.1 million as of December 31, 2024.
It's worth noting that the search results do not provide information on which company opened nineteen new backstores in the second half of fiscal year 2024, nor do they report how these openings affected both the backstores' revenues and the company’s overall sales.
The company also closed two coffee bakery stores as of June 30, 2025, one in fiscal year 2024 and another in the six months ended June 30, 2025.
The basic and diluted loss per share for the first half of fiscal year 2025 were $2.87, a significant change from the basic and diluted earnings per share of $0.15 for the same period last year.
In conclusion, while Chanson International Holding saw a growth in revenue and gross profit for the first half of fiscal year 2025, the increase in operating expenses led to a net loss for the period. The company's cash position improved significantly, but the impact of the new backstores and store closures remains unclear.
