Lantian Dental 2026H1: Oral Medical Service Revenue Reaches 200 Million Yuan, Up 33.80% Year-on-Year.

Source: Blue Sky Dental 2026 Interim Report

Oral medical service revenue grew 33.80% year-on-year / Net profit attributable to shareholders of the parent company grew 17.87% year-on-year / Anhui region revenue reached RMB 51.3272 million

DentalGoodNews｜Guangxi Lantian Stomatological Hospital Group Co., Ltd. (NEEQ:873101, hereinafter "Lantian Dental") disclosed its 2026 semi-annual report on August 25, 2026. From January to June 2026, the company achieved total operating revenue of RMB 201 million, up 31.98% year-on-year; net profit attributable to shareholders of the listed company (hereinafter "net profit attributable to shareholders of the parent company") was RMB 5.3769 million, up 17.87% year-on-year.

Source: Blue Sky Dental 2026 Interim Report

During the same period, the company's net profit (including minority interest gains and losses) was RMB 5.7913 million, down 13.30% year-on-year; net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses (hereinafter "net profit attributable to shareholders of the parent company after deductions") was RMB 4.3912 million, down 2.45% year-on-year. During the reporting period, Lantian Dental's operating costs were RMB 112 million, up 29.05% year-on-year; gross margin was 44.30%, up 1.26 percentage points year-on-year.

Source: Blue Sky Dental 2026 Interim Report

By product category, oral medical service operating revenue was RMB 200 million, up 33.80% year-on-year, with operating costs of RMB 111 million, up 30.79% year-on-year, and a gross margin of 44.34%, up 1.27 percentage points; technical service operating revenue was RMB 773,200, down 70.84% year-on-year, with operating costs of RMB 512,600, down 66.91% year-on-year, and a gross margin of 33.70%, down 7.87 percentage points, mainly due to the contraction of the technical service business scale during the period.

By region, Guangxi region operating revenue was RMB 149.7498 million, up 4.91% year-on-year, with a gross margin of 41.07%, down 1.03 percentage points year-on-year; Anhui region operating revenue was RMB 51.3272 million, up 433.87% year-on-year, with its revenue share rising from approximately 6.31% in the same period last year to 25.53%, making it the primary source of revenue growth for the period. It is noteworthy that Anhui region operating costs grew 472.92% year-on-year, outpacing revenue growth, which drove the region's gross margin down to 53.71%, a decrease of 3.16 percentage points year-on-year.

According to previous reports by DGN, Lantian Dental completed the acquisition of a 55% equity stake in Anhui Beijie Medical Technology Co., Ltd. in 2025 for RMB 22.44 million (RMB 12.36 million in cash + RMB 10.08 million in targeted share issuance). The Anhui region operating data for this period covers the full six months following the acquisition, which is one of the key reasons for the revenue growth during the period; the semi-annual report also noted that improved customer acquisition capabilities at existing stores and coordinated online-offline marketing and promotion efforts also contributed to the overall business scale growth.

Source: Blue Sky Dental 2026 Interim Report

In terms of expenses, selling expenses were RMB 35.5459 million, up 92.66% year-on-year. The company stated this was mainly due to intensified business promotion efforts in the Anhui region, with promotional and advertising expenses and sales personnel compensation increasing by RMB 3.4641 million and RMB 12.2949 million year-on-year, respectively; financial expenses were RMB 3.7265 million, up 47.12% year-on-year, mainly due to a RMB 1.3599 million increase in interest accrued on lease liabilities; taxes and surcharges were RMB 348,000, up 333.80% year-on-year, mainly due to increases in property tax and other related taxes during the period.

Source: Blue Sky Dental 2026 Interim Report

In terms of cash flow, net cash flow from operating activities was RMB 23.6705 million, up 6.59% year-on-year, differing from net profit of RMB 5.7913 million, mainly due to increases in non-cash expenses such as depreciation and amortization and right-of-use asset depreciation resulting from the increase in operating stores; net cash flow from investing activities was RMB -15.36 million, with net outflows narrowing by 46.19% year-on-year, as the same period last year included RMB 12.36 million in expenditures for the acquisition of Anhui Beijie Medical's equity. Net cash flow from financing activities was RMB 856,900, compared to RMB -18.4127 million in the same period last year, turning from negative to positive mainly due to RMB 14 million in new bank borrowings and increased investments from minority shareholders during the period.

In terms of assets and liabilities, as of the end of the reporting period, the company's total assets were RMB 472 million, up 0.86% from the beginning of the year; total liabilities were RMB 241 million, up 0.12% from the beginning of the year; net assets attributable to shareholders of the listed company were RMB 180 million, down 0.40% from the beginning of the year; the asset-liability ratio (consolidated basis) was 51.13%. The weighted average return on equity was 2.92%, and 2.39% after deducting non-recurring gains and losses; basic earnings per share were RMB 0.10.

Source: Blue Sky Dental 2026 Interim Report

In terms of personnel, as of the end of the reporting period, the company had 1,739 employees, an increase of 18 from 1,721 at the beginning of the period, including 966 medical staff, 262 sales personnel, and 369 administrative management personnel. Based on the period-end employee count, per capita revenue for the period was approximately RMB 115,600 (RMB 201.077 million / 1,739 employees).

In terms of expansion, during the reporting period, Pingnan Outpatient Clinic, Liuzhou Xijiang Outpatient Clinic, and Anhui Lujiang Outpatient Clinic commenced operations; Laibin Hospital, Lingshan Outpatient Clinic, and Anhui Dangshan Outpatient Clinic entered the trial operation preparation stage. In addition, the company's wholly-owned subsidiaries Guigang Hospital and Liuzhou Outpatient Clinic recently mortgaged 24 commercial units with a guarantee provided by the ultimate controller Ning Zhenjian and his spouse, collectively applying for RMB 13 million in working capital loans for daily operational turnover [⑪].