- **Zhongchao Inc. reported a significant financial decline for the six months ended June 30, 2025, with total revenues falling to $5,601,079 from $8,348,329 in the prior year, and a net loss attributable to shareholders of $(965,254) compared to a net income of $90,047 in the same period of 2024, resulting in a basic and diluted loss per share of $(0.04)**.  **[1785566_0001213900-25-093066_ea025884801ex99-1_zhongchao.htm:1]** 
- **The company's gross profit decreased by 42.8% to $2,709,724, and the overall gross margin declined from 56.7% to 48.4%**, primarily due to reduced patented drug sales and intensified competition in medical training and education services.  **[1785566_0001213900-25-093066_ea025884801ex99-1_zhongchao.htm:1]** **[1785566_0001213900-25-093066_ea025884801ex99-2_zhongchao.htm:3]** 
- **Operationally, Zhongchao Inc. strategically shifted its focus by ceasing its patented pharmaceuticals sales business on June 30, 2025, to concentrate on customized medical courses and training services**.  **[1785566_0001213900-25-093066_ea025884801ex99-2_zhongchao.htm:1]** 
- **Despite the net loss, net cash provided by operating activities significantly increased to $1,820,881 for the six months ended June 30, 2025, from $809,598 in the prior year, with cash and cash equivalents ending at $8,912,022**.  **[1785566_0001213900-25-093066_ea025884801ex99-2_zhongchao.htm:6]**

Zhongchao (ZCMD)