How did LSB's revenue and expenses shift in Q4 2024?

LakeShore Biopharma (LSB) experienced a significant shift in its revenue and expenses in Q4 2024, driven by strategic initiatives and market conditions: 1. **Revenue Growth**: LSB achieved total revenue of RMB 371.9 million, reflecting a substantial year-over-year growth of 36.2%. This increase was primarily attributed to the company's successful product portfolio and effective market positioning. 2. **Gross Profit Improvement**: The gross profit margin improved to 82.6%, up from 80.9% in the same period of FY2024. This enhancement was a result of enhanced operational efficiency and profitability measures, including cost reduction and organizational restructuring. 3. **Operating Expenses Reduction**: Total operating expenses decreased to RMB 276.4 million, marking a significant year-over-year decline of 31.6%. This reduction was achieved through selective outsourcing, planned attrition, and modest downsizing, which allowed LSB to lower costs without compromising service quality. 4. **Net Income Achievement**: LSB recorded a net income of RMB 20.6 million in Q4 2024, marking a remarkable turnaround as it was the first quarter since 2013 to report a net profit. The adjusted net income (Non-GAAP) was even higher at RMB 30.4 million, indicating robust financial performance and profitability. In summary, LSB's Q4 2024 financial results showcased strong revenue growth, improved gross profit margin, reduced operating expenses, and a notable achievement of net income, reflecting effective strategic management and market adaptation.