H&H reports growth in 2025 Annual Results

Media Release – 2025 Annual Results
24 March 2026

• The Group has returned to a positive double-digit growth trajectory (10.3%) with a healthy adjusted EBITDA margin of 14.3%
• Adult Nutrition and Care (ANC) segment reached 4.4% growth, the Group celebrated 10 years since the acquisition of Swisse, which achieved revenue of USD$1 billion in 2025[^1] and cemented its market leadership in core Chinese mainland and Australia markets
• Baby Nutrition and Care (BNC) segment rebounded to achieve 20.0% growth, propelled by a surge in infant milk formula (IMF) sales in Chinese mainland which supported the Group's return to growth
• Pet Nutrition and Care (PNC) segment established as a key revenue driver, achieving 8.7% growth and making up 15.0% of total Group revenue
• The Group furthered its balance sheet deleveraging, improving its net leverage ratio from 3.99x to 3.45x, led by its strong operating cash flow and enhanced capital structure
• H&H has announced a final dividend of HKD 0.16 per ordinary share. Combined with its interim dividend of HKD 0.19 per ordinary share, the total full-year dividend totalled HKD0.35 per ordinary share, representing a payout ratio of 30% of adjusted net profit
  
  

Leading global nutrition company Health and Happiness (H&H Group) International Holdings Limited (stock code: 1112.HK) has today announced its 2025 annual results, delivering 10.3% positive growth on a like-for-like (LFL) basis, reaching an adjusted EBITDA margin of 14.3% and adjusted net profit growth of 22.7% for the year ending 31 December 2025. The Group achieved growth across all three business segments and made strong progress in its strategic and financial priorities.

Ms. Suceka Li, Rotating Group CEO and CEO for China at H&H Group, says it has been a year of growth, collaboration and progress for the Group, driven by positive performances for its three business segments.

"The Group has demonstrated an excellent performance in 2025 and I'm proud to share we've achieved positive topline growth and made advances in all our strategic priorities. Our Adult Nutrition and Care segment maintained its steady growth rate as we strengthened our No. 1 positions in Chinese mainland and Australia and proudly celebrated Swisse achieving the USD$1 billion annual revenue milestone 10 years since our acquisition – a significant moment to reflect on our stewardship of the brand. We made the strategic decision to deprioritise the corporate daigou channel and, excluding the impact of this, our ANC segment contributed an outstanding 48.4% of overall revenue. Our Baby Nutrition and Care segment returned to growth thanks to a stand-out performance from our IMF business in Chinese mainland, where our outperformance in the market catapulted Biostime to a new all-time market share high in the super-premium IMF category of 17.1% in 2025 (up from 13.3% in 2024)[^2]. This is a truly remarkable achievement that has been instrumental to the overall growth of the Group in 2025, as we overcame challenges including the new GB standards and intensifying competition in the market over the past couple of years. Meanwhile our Pet Nutrition and Care segment also demonstrated a good performance and contributed 15.0% of total Group revenue, cementing itself as an important growth power for the Group. Zesty Paws continued its solid growth momentum in North America reaching double-digit growth, whilst we have now completed the restructuring of Solid Gold in the region, a crucial step to position us for future growth."

The Group accelerated its balance sheet deleveraging by significantly improving its net leverage ratio from 3.99x in 2024 to 3.45x in 2025.

Ms. Li notes, "The Group has demonstrated proactive financial discipline and pleasingly improved its capital structure. I'm happy to announce we have accelerated our deleveraging trajectory by reducing gross debt by over RMB 600 million during the year, while maintaining healthy cash reserves of over RMB 1.7 billion. We also remain committed to sustaining a steady track record of dividend payouts in addition to steadily reducing our leverage and strengthening our balance sheet. Overall, 2025 has left the Group well poised for future growth as we drive forward our vision to become a global leader in nutritional supplements and nutrition for the whole family."

As of 31 December 2025, RMB-based and RMB hedged debts represented 82.2% of total borrowings. This shift has lowered the Group's interest costs and mitigated currency risk, further enhancing its overall financial resilience.

Chinese Mainland

The Group maintained its growth across Chinese mainland (17.5%), which made up 71.1% of total Group revenue. In this market, ANC segment revenue increased by 13.3%, led by Swisse which reinforced its No.1 position in the overall VHMS market in Chinese mainland[^3] thanks to a healthy performance across e-commerce and a robust innovation pipeline.

"Our ANC segment in Chinese mainland continues to perform incredibly well," comments Ms. Li. "Our mega-brand strategy has broadened our consumer reach as we continue to tap into innovative product categories and effectively adapt to changing consumer preferences. An area we're particularly seeing results is cellular health (including anti-ageing), heart health and detox, a major global trend that is especially prominent in Chinese mainland where we've been positioning ourselves amongst high-end consumers with our Swisse Plus range. Our performance was further propelled by other ranges such as Little Swisse, as well as our impressive channel diversification strategy. Douyin has become a key growth channel for Swisse as sales grew a mammoth 71.4% in 2025 and we ranked the No.4 position in the market[^4]. Meanwhile, new retail channels such as Sam's Club played an important role in expanding our presence as we achieved 29.7% growth. We also continued our growth momentum across online channels seeing sales in cross-border e-commerce (CBEC) growing by 18.9% and making up 82.0% of total ANC sales in Chinese mainland."

The Group's BNC segment in Chinese mainland rebounded led by an encouraging resurgence in IMF sales and expanding market share.

Ms. Li says, "I'm really pleased to share the results of our BNC business in Chinese mainland in 2025, particularly our IMF segment – we have remained very resilient in navigating a highly complex industry over the past few years and completed the transition to the new GB standards in June 2025, whilst reviving our competitive advantage. We significantly outpaced overall market growth and, while delivering against a low base, this encouraging growth is a clear reflection of our strong execution, strategy in action and success at reaching our crucial target audience – new mothers – through vital e-commerce platforms and baby specialty stores. We saw substantial momentum in Stage 1 and 2 IMF with 37.7% and 37.9% growth respectively[^5] – these results are very encouraging as it shows we're capturing this significant target audience which sets a good foundation moving into 2026 to secure customers for Stage 3 formulas. Collectively, these efforts are reflected in Biostime's impressive share of the super-premium IMF segment, achieving a market share of 17.1% for the full year and a new high of 19.5% in Q4 2025[^6]."

At the same time, paediatric probiotic and kids nutritional supplements in Chinese mainland also achieved a turnaround in sales (2.0% growth) partly thanks to our expanding product portfolio, including children's nutrition powder supplements. This was also driven by growth in baby speciality stores and online channels. Despite the industry-wide decline in the pharmacy channel, the Group saw signs of stabilisation in 2025. Biostime also fortified its position as the No. 1 paediatric probiotics brand in Chinese mainland[^7].

As a result of the completion of the premiumisation and restructuring of Solid Gold in Chinese mainland, the PNC segment has also returned to growth (8.6%). Following a renewed focus on high-margin pet food and supplements, this segment contributed 35.5% of total PNC revenue in this market. In the second half of 2025, revenue decline was mainly due to tariff impact in 2025, which pressured profitability and prompted a proactive shift to supply localisation (from imported to domestic products), with the transition temporarily impacting sales.

Australia & New Zealand (ANZ)

The Group outperformed the overall domestic market in ANZ to achieve 5.8% LFL growth, while boosting its market leadership as the No.1 vitamin and supplement brand in Australia on both volume and value basis[^8].

"Innovation was a key factor to our success in 2025 for our ANZ region as we prioritised best-in-class product launches such as Swisse Magnesium Glycinate and Little Swisse Kids Gummies. This, alongside impressive marketing campaigns including "Here Life Comes" and excellent retail execution, strengthened our position as the undisputed leader in the market," says Ms. Li.

Due to the Group's strategic choice to deprioritise the corporate daigou business, total ANZ ANC revenue declined by 20.6%.

North America

Zesty Paws delivered 12.8% LFL growth in North America, spearheaded by e-commerce and global pet health trends. Meanwhile, the restructuring of Solid Gold was completed and its decline has since begun to narrow (13.1%), with the decline stabilised in the second half of 2025.

Ms. Li remarks, "I'm pleased to see the consistent growth levels achieved by Zesty Paws in North America, propelled by e-commerce which remained a crucial channel for us – mainly Amazon and Chewy – as well as our continued ability to skilfully leverage global pet health and wellness trends. Major retailers also played an important part in our performance including Walmart, Petsmart, Petco, Tractor Supply, Target, Sam's Club, CVS and Menards. 2025 further cemented Zesty Paws' position as one of the most recognised brands in the US. Meanwhile, we've finalised the restructuring of Solid Gold to support our channel optimisation and the premiumisation of our product portfolio – a measure that is already paying off as we're seeing the brand's overall decline in the market improving, especially in the second half of the year. Similarly to Zesty Paws, e-commerce was a key contributor to Solid Gold's sales, contributing 83.1%, while high-margin products accounted for 37.4% of sales."

The Group's presence remained solid across stores in North America, with the brands now available in more than 20,000 (Zesty Paws) and 4,000 (Solid Gold) stores nationwide.

Other Territories

Expansion markets proved a strong area for the Group particularly across the ANC and PNC segments.

"Our expansion markets are emerging as a solid growth area for the Group, notably for our ANC segment as they now make up 6.9% of total Group ANC sales. We've achieved excellent progress in our 13 expansion markets, while cementing our market share and reinforcing our leading position including the No. 1 position in the liver health and men's health in Singapore[^9] and No. 2 position in Italy's beauty VHMS market[^10]. Our PNC segment is also successfully expanding its footprint worldwide across Europe, Asia and ANZ."

2026 Outlook

For 2026, H&H will continue to grow its nutritional supplements and IMF businesses, supported by the growth of all three business segments to deliver a healthy level of profitability.

Ms. Li explains, "I'm confident in our ability to build on our growth momentum from 2025 as we continue to focus on growing our high-margin nutritional supplements business alongside our IMF business. Our ANC segment is well-positioned to maintain growth across Chinese mainland, the ANZ domestic market and expansion markets. In Chinese mainland, expect our mega-brand strategy and investment in e-commerce and innovation to continue to pay off as we expand our consumer base and tap into new high-growth channels – such as Douyin and new retail opportunities – to strengthen our overall leading market position. For ANZ, we anticipate a continued decline in the corporate daigou channel in the first half of 2026, but nevertheless we expect growth in the domestic market through our product innovation and retail strategies that will boost our market leadership. Our expansion markets will remain a crucial focus area for us as we replicate our proven strategies in Singapore and Hong Kong SAR and expect to see continued strong growth in Thailand, Italy and Indonesia."

"We've set a solid foundation for our BNC segment as we kick off 2026, paving the way for further growth in our IMF business with our strategy focused on marketing campaigns aimed at new mothers and improving conversion from early-stage to Stage 3 IMF products – predominantly across e-commerce and baby-speciality channels. Finally, we recognise the need to extend the consumer lifecycle beyond infancy and will therefore focus on tapping into the broader children's nutrition category next year," concludes Ms. Li.

For the Group's PNC segment, it is expected to continue growing led by Zesty Paws in North America which will expand its omni-channel strategy and disruptive category innovation. Meanwhile, the focus for Solid Gold will be high-margin products in North America (aiming for a sales contribution of over 37.4%), and in Chinese mainland, to continue the localisation of supply (expected for completion end of 2026 and may have an impact on the topline) as well as to also drive growth by leveraging new high-margin supplements categories.

H&H remains committed to long-term sustainable growth through its deleveraging trajectory, maintaining robust liquidity, optimising its debt profile and reinforcing its financial resilience against external factors such as foreign exchange volatility.

FINANCIAL RESULTS

Year ended 31 December

	2025 (RMB million)	2024 (RMB million)	Change
Revenue	14,353.6	13,051.7	10.0%
Gross profit	8,963.7	7,915.5	13.2%
EBITDA[^11]	1,772.6	1,405.8	26.1%
Adjusted EBITDA[^11]	2,050.5	1,952.3	5.0%
Adjusted EBITDA margin	14.3%	15.0%	-0.7pts
Net profit/(loss)	196.1	(53.7)	465.2%
Adjusted Net profit[^12]	664.1	541.2	22.7%
Adjusted net profit margin	4.6%	4.1%	0.5pts

About H&H Group

H&H Group is a global health and nutrition company. Dynamic, courageous and ambitious in its mission to make people healthier and happier, the Group strives to inspire wellness while contributing positively to the needs of society and the planet. The Group has three business segments – Adult, Baby and Pet Nutrition and Care – supporting whole-family health and happiness, with premium brands providing nutrition and wellness solutions backed by science. Consumer brands include Biostime, Swisse, Zesty Paws, Solid Gold, Dodie, Good Goût, and Aurelia. H&H Group is a B Corp certified company, committed to continuously improving and using business as a force for good to drive positive impact for people, pets, communities and the planet. The Group is headquartered in Hong Kong SAR and listed on the Hong Kong Stock Exchange ("H&H INTL HLDG" stock code 1112), with a second head office in London. More than 2,800 team members are located across 16 countries. www.hh.global

For media inquiries, contact:

H&H Group

Annabel Vinten
+44 7514535600
Annabel.vinten@hh.global

Think Alliance Group

Matthew Schultz
+852 3481 1161
matt.schultz@think-alliance.com

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[^1]: Net sales for the twelve months ended 31 December 2025.
[^2]: According to research statistics by Nielsen, an independent research company, market share data for the past twelve months ended 31 December 2025 and 31 December 2024, respectively.
[^3]: According to research statistics by brand for the past twelve months ended 31 December 2025, prepared by Kantar Worldpanel, an independent research company.
[^4]: According to research statistics by Feigua, an independent data provider, market share data for the past twelve months ended 31 December 2025.
[^5]: According to research statistics by Nielsen, an independent research company, market share data for the past twelve months ended 31 December 2025.
[^6]: According to research statistics by Nielsen, an independent research company, market share data for the past twelve months ended 31 December 2025.
[^7]: According to research statistics by Kantar Worldpanel, an independent research company, market share data for the past twelve months ended 31 December 2025.
[^8]: According to research statistics by IQVIA, an independent research company, market share data for the past twelve months ended 31 December 2025.
[^9]: According to research statistics by Nielsen, an independent research company, market share data for the past twelve months ended 31 December 2025.
[^10]: According to research statistics by IMS IQVIA, an independent research company, market share data for the past twelve months ended 31 December 2025.
[^11]: EBITDA refers to earnings before interest, income tax expense, depreciation and amortization. Adjusted EBITDA = EBITDA + Non-cash losses of RMB228.3 million for the year ended 31 December 2025 (2024: losses of RMB286.0 million) + Non-recurring losses of RMB49.6 million for the year ended 31 December 2025 (2024: losses of RMB260.5 million).
[^12]: Adjusted net profit = Net profit + EBITDA adjustment items of losses of RMB277.9 million for the year ended 31 December 2025 (2024: losses of RMB546.5 million) + Other non-cash or non-recurring loss of RMB190.1 million for the year ended 31 December 2025 (2024: losses of RMB48.4 million).