Raily Aesthetic Medicine International Holdings Limited posted a strong turnaround for the six months ended 30 June 2026 (1H26), delivering a profit of RMB3.51 million after last year’s RMB9.46 million loss.

Revenue climbed 35.7% year-on-year to RMB114.78 million, underpinned by a surge in aesthetic medical device product sales, which jumped 289.9% to RMB36.50 million and accounted for 31.8% of total revenue (1H25: 11.1%). The company attributed the increase chiefly to higher volumes of Bellafill collagen injections, its flagship Class III medical device approved by China’s NMPA in 2024.

Aesthetic medical services remained the core contributor at 68.2% of revenue, rising 4.5% to RMB78.28 million. Within this segment, minimally-invasive procedures advanced 9.7% to RMB42.13 million, while aesthetic dermatology grew 2.9% to RMB34.06 million. Aesthetic surgery revenue declined 36.5% to RMB1.74 million.

Gross profit expanded 51.3% to RMB44.08 million, lifting the margin to 38.4% (1H25: 34.4%), helped by higher-margin device sales and lower rental-related costs. Selling and distribution expenses increased 11.2% to RMB22.37 million on stepped-up marketing, whereas administrative expenses fell 8.7% to RMB14.40 million following premises consolidation.

The balance sheet showed cash and bank balances of RMB48.67 million (end-2025: RMB57.79 million). Net current liabilities narrowed sharply to RMB0.71 million from RMB29.21 million six months earlier. Interest-bearing bank borrowings rose to RMB35.00 million (end-2025: RMB18.00 million), while lease liabilities declined to RMB13.64 million (end-2025: RMB37.68 million).

Capital expenditure reached RMB23.57 million, largely for new equipment and clinic upgrades. No interim dividend was declared.

Management highlighted continued investment in research and development of collagen-based aesthetic products and the expansion of non-surgical service capacity in Mainland China and Hong Kong. As of 30 June 2026, the Group operated three mainland clinics with a combined 9,500 sq m and had launched its first Hong Kong medical institution, contributing RMB8.46 million in revenue during the period.

The company reiterated a focus on strengthening direct sales and distribution of Bellafill, scaling R&D for next-generation collagen implants and hydrogels, and prudently managing liquidity as it pursues further growth opportunities.