Company: OSRH
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001213900-25-045947
Chunk: 48

Company: OSR Holdings, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 1
Chunk 48
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    Cost of Sales 
     670,424  
     592,586  
     -77,838  
     -12%
  
    Gross Profit 
     239,802  
     168,686  
     -71,116  
     -30%
  
    Expenses: 

    Selling, general and administrative expenses 
     3,542,330  
     3,086,512  
     -455,818  
     -13%
  
    Operating loss 
     (3,302,528) 
     (2,917,826) 
     384,702  
     -12%
  
    Other income (expense) 
     (52,834) 
     (8,474,988) 
     -8,422,154  
     15,941%
  
    Profit (loss) before income taxes 
     (3,355,362) 
     (11,392,814) 
     -8,037,452  
     240%

Net
Sales

Net sales for the three months ended March 31, 2025 decreased by $149
thousand, or 16%, compared to the same period in 2024, primarily due to the termination of relationship with a key RMC customer Penumbra
in late 2024. OSR Holdings expects revenue to decrease in 2025 and possibly longer until RMC can replace the sales of Penumbra’s
products by increasing other sales or securing additional products from other manufacturers.

Cost
of Sales

Cost of sales for the three months ended March 31, 2025 decreased by
$78 thousand, or 12%, from the same period in 2024, in line with lower sales volume for RMC, after the termination of its relationship
with Penumbra.

Gross
Profit

Gross profit for the three months ended March 31, 2025 decreased by $71 thousand,
or 30%, from the same period in 2024. Gross margin percentage decreased from 26.3% to 22.2%, primarily due to KRW depreciation that led
to higher costs of imported goods for RMC. In the meantime, the Health Insurance Review and Assessment Service of Korea (“HIRA”)
will officially increase the reimbursement amount by 2% from April 1, 2025. This is expected to