Profit of Chanson Doubles, Achieving Daily Sales of Over a Million Bubble Tea Cups

Chanson International Holding Reports Financial Results for First Half of Fiscal Year 2025

Chanson International Holding, a leading coffee bakery chain, has announced its financial results for the first half of fiscal year 2025. The company reported a significant increase in gross profit, revenue, and operating expenses, while facing a net loss for the period.

The company's gross profit stood at $3.9 million, marking a 23.6% increase from the same period last year. This growth was driven by a 19.7% increase in revenue from China Stores, amounting to $7.8 million. The revenue from bakery products in China Stores also saw a 20.8% increase, reaching $7.2 million. Additionally, revenue from seasonal products in China Stores rose by 39.0%, totalling $0.51 million.

However, the increase in gross profit was offset by a rise in operating expenses. Operating expenses for the six months ended June 30, 2025, were $5.1 million, an increase from $3.7 million for the same period last year. The increase was primarily due to an increase in selling expenses, which rose by 26.3% to $2.8 million, and general and administrative expenses, which increased by 53.7% to $2.2 million.

The increase in general and administrative expenses was mainly due to an increase in allowance for credit losses, audit, legal, and professional service fees. The rise in selling expenses was primarily due to an increase in salaries and welfare benefit expenses, online platform service fees, rental expenses, renovation expenses, electricity expenses, and other related costs.

Despite the increase in revenue and gross profit, the company reported a net loss for the six months ended June 30, 2025, of $1.0 million, a contrast to net income of $0.02 million for the same period last year. This loss resulted in a basic and diluted loss per share of $2.87, a significant difference from the basic and diluted earnings per share of $0.15 for the same period last year.

As of June 30, 2025, the Company had cash of $22.1 million, a substantial increase from $12.1 million as of December 31, 2024.

Regarding Chanson International Holding's operations in the United States, no available search results could provide information about any initiatives taken to increase sales of bakery products or consumer fairs.

In conclusion, while Chanson International Holding has seen a positive growth in revenue and gross profit, the company faced a net loss for the first half of fiscal year 2025. The company's focus on expanding its operations in China and managing its expenses will be key factors to watch in the coming months.