Lakeside Holding Limited (NASDAQ: LSH) Q3 2025 Earnings Call | 05/23/2025

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Lakeside Holding Limited (NASDAQ: LSH) reported its Q3 2025 results on May 23, 2025, reflecting a challenging quarter amid persistent headwinds in the global freight and logistics sector. Total revenue for the quarter declined 14.7% year-over-year to $3.80 million, compared to $4.46 million in Q3 2024, primarily due to reduced demand and pricing pressure in cross-border freight solutions. Gross profit for the quarter was $0.72 million, down from $0.98 million a year earlier, as margins were squeezed by ongoing market normalization. Operating expenses for Q3 rose to $1.79 million, nearly doubling from $0.94 million in the prior-year period, driven by higher general and administrative costs and new selling expenses related to the integration of the recently acquired Hupan Pharmaceutical business. As a result, Lakeside recorded a loss from operations of $1.10 million for the quarter, a reversal from a small operating profit in Q3 2024. Net loss attributable to the company was $1.07 million, or $0.14 per basic and diluted share, compared to net income of $0.01 million, or breakeven per share, in the same period last year. For the nine months ended March 31, 2025, total revenue was $11.48 million, down from $13.53 million in the prior year, with gross profit at $1.20 million and a net loss of $4.35 million, or $0.58 per share. The cross-border freight segment contributed $10.76 million in revenue for the nine months, while the new pharmaceutical distribution segment, following the acquisition of Hupan Pharmaceutical, added $715,362, including $497,276 in Q3 alone. Management emphasized that, despite the revenue decline and widening losses, Lakeside is executing a strategic pivot toward the Asia-Pacific pharmaceutical distribution market, leveraging the Hupan Pharmaceutical acquisition to diversify revenue streams and pursue growth opportunities. The company also completed a successful IPO in July 2024, raising $6.75 million in gross proceeds, and secured a $4.5 million convertible debt financing agreement in March 2025 to support future expansion and integration efforts. Outlook: Management remains focused on integrating Hupan Pharmaceutical, optimizing logistics operations, and expanding in the Asia-Pacific healthcare market. Continued investment in high-growth segments and cost controls are expected to support long-term shareholder value creation, despite near-term financial pressures. About Inside Ticker: For more expert analysis and real-time updates on Lakeside Holding Limited (NASDAQ: LSH) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies. #LakesideHolding #LSH #EarningsCall #Q32025 #Logistics #Pharmaceuticals #RevenueDecline #FinancialResults #AsiaPacific #StockMarket #InsideTicker