China-based Alibaba Health Information Technology Ltd (HKG: 0241) has released its financial report for the first half of 2022 (ended September 30, 2022), recording total revenues of RMB 11.5 billion (USD 1.6 billion), representing a 22.9% year-on-year (YOY) increase.
Business Performance
AliHealth’s self-operated pharmaceutical direct sales business generated RMB 10.01 billion (USD 1.39 billion), up 24.2% YOY, with the prescription drug business growing by 46.2%. Gross profits reached RMB 2.3 billion (USD 321 million), maintaining a 20% gross profit margin. The growth was driven by enriching self-operated B2C retailing and SKUs, expanded prescription sales through deepened partnerships with pharmaceutical companies, and an optimized user experience through improved information security and more professional consulting services.
Pharmaceutical E-Commerce
In the pharmaceutical e-commerce realm, AliHealth’s self-operated pharmaceutical business unit deepened its collaborations with hundreds of pharmaceutical companies, establishing 17 “Health Care Centers” covering cardiovascular, skin, tumors, and other diseases. Its professional pharmacy services enable consumers to enjoy integrated digital medicine services online.
Platform and Digital Services
AliHealth’s pharmaceutical e-commerce platform business includes drugs, health food, medical devices, adult family planning, contact lenses, and other categories acquired from Alibaba Group. It also provides outsourcing services to the Tmall pharma platform and new drug retailing. These businesses generated a total of RMB 99.97 million (USD 13.95 million) in revenues during the period. The company continued to upgrade medical and healthcare service experiences, providing end-users from Taobao, Tmall, Alipay, the “Yilu” APP, AutoNavi, DingTalk, Hema, Quark, and others with services related to traditional Chinese medicine, physical check-ups, COVID-19 nucleic acid tests, and more. Its digital services, including tracking services, generated RMB 419.3 million (USD 58.5 million) in revenues, up 74.9% YOY.-Fineline Info & Tech
