UPCNasdaqPharmaceutical PreparationsUS GAAP · USD

Universe Pharmaceuticals INC

Universe Pharmaceuticals INC is a Cayman Islands holding company headquartered in Ji'an, Jiangxi, China, that operates through subsidiaries in Hong Kong and mainland China. The company manufactures, markets, sells, and distributes traditional Chinese medicine derivative products, along with biomedical drugs, medical instruments, Traditional Chinese Medicine Pieces, and dietary supplements.

Revenue17.9bn USD
+77,464.2 %y/y
Operating profit (EBIT)-2,916m USD
−36,258.8 %y/y
EBIT margin-16.3%
+18.5 ppy/y
Net income-3,672m USD
+57.9 %y/y
Free cash flow-5,319m USD
−54,651.3 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

-505101520bn USD2020: 0.03 bn USD2020: EBIT 0.01 bn USD20202021: 0.05 bn USD2021: EBIT 0.01 bn USD20212022: 0.04 bn USD2022: EBIT -0.01 bn USD20222023: 0.03 bn USD2023: EBIT -4.0 bn USD20232024: 0.02 bn USD2024: EBIT -0.01 bn USD20242025: 17.9 bn USD2025: EBIT -2.9 bn USD202517.9-2.9
RevenueOperating profit (EBIT)

Business

Share of revenue
Traditional Chinese medicine derivatives45 %

Manufactured and marketed products aimed at elderly health and age-related conditions.

Biomedical drugs20 %

Third-party biomedical pharmaceuticals distributed and sold through the company network.

Traditional Chinese Medicine Pieces15 %

Prepared Chinese medicine pieces sold through the company's pharmaceutical channels.

Medical instruments10 %

Medical devices and instruments distributed alongside the company's drug portfolio.

Dietary supplements10 %

Supplement products sold to support general wellness and aging-related needs.

Products

Reported · share of revenue
74.3%25.7%FY2025100 %
  • Revenue From Sales of Selfmanufactured TCMD Products74.3 %
  • Revenue From Sales of Thirdparty Products25.7 %

Source: 20-F FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

The company sells through pharmaceutical channels in China to end users and intermediaries that buy medicines, supplements, and medical instruments for retail or local distribution. Its product positioning is centered on older consumers and age-related wellness needs, while part of the assortment is sourced from third-party manufacturers and distributed through the company's sales network.

Elderly health consumers

Buy traditional Chinese medicine derivative products designed for aging-related conditions and wellness.

Pharmacy and retail channels

Purchase pharmaceutical products and supplements for downstream resale to consumers.

Medical product distributors

Buy biomedical drugs, medical instruments, and TCM pieces for broader market coverage.

Wellness and supplement buyers

Purchase dietary supplements for general health and preventive use.

Strategy

The company's strategy is centered on building a pharmaceutical platform focused on elderly healthcare, age-related conditions, and adjacent wellness categories. It also seeks to broaden its asset base and product platform through acquisitions and by adding intellectual property assets, while maintaining a China-based distribution footprint.

Elderly-health product focusMedium term

Targets a distinct demand pool where aging-related conditions support specialized product positioning.

Platform expansion via acquisitionShort term

Acquisitions can broaden product scope and add assets that support the company's pharmaceutical platform.

Broaden product mixMedium term

A wider assortment reduces dependence on any single product class and supports distribution relationships.

Deepen China distribution reachLong term

National provincial coverage improves access to downstream buyers and supports scale in the domestic market.

Geography

Universe Pharmaceuticals is headquartered in Ji'an, Jiangxi, China and operates primarily in mainland China through its PRC subsidiary. The company states that its products are sold in 30 provinces of China, making domestic reach the key geographic feature of the business.

Risks

The business is exposed to Chinese pharmaceutical regulation, product quality and compliance requirements, and dependence on domestic distribution channels. It also faces integration and execution risk around acquisitions, as well as demand and reimbursement pressure typical of consumer-facing healthcare products in a competitive market.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →China pharmaceutical regulation1Single-country concentration2Product quality and recall risk3Acquisition execution risk4
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. China pharmaceutical regulationImpact: HighLikelihood: High

    Drug, medical device, and supplement sales depend on compliance with local rules and approvals.

    Exposure: Mainland China operations

  2. Single-country concentrationImpact: HighLikelihood: High

    Sales are primarily in China, so local demand, policy, or distribution disruptions have outsized impact.

    Exposure: China

  3. Product quality and recall riskImpact: HighLikelihood: Medium

    Manufacturing and distributing healthcare products creates exposure to quality failures and remediation costs.

    Exposure: Manufactured and third-party products

  4. Acquisition execution riskImpact: MediumLikelihood: Medium

    The company is pursuing asset additions that may not close or may not deliver expected strategic value.

    Exposure: Intellectual property acquisition

Accounting

Judgemental items
Revenue recognition timing

Pharmaceutical and distribution sales may be recognized at different points depending on delivery terms.

Impact: Affects quarterly revenue comparability and cut-off judgments

Employee benefit accruals

PRC subsidiaries participate in mandated social security and housing fund plans.

Impact: Affects operating expenses and accrued liabilities

Foreign currency translation

The group operates across China, Hong Kong, and U.S.-reported financial statements.

Impact: Can affect cash flow, equity, and comprehensive income

Interim reporting estimates

Six-month results may not reflect full-year seasonality or product demand patterns.

Impact: Limits comparability between interim and annual periods

Publicly listed companies with a comparable business focus.

Last updated: 28/09/2026