Freshippo Achieves First Full-Year Profit

According to Chinese media reports, Freshippo achieved its first full-year profit for the fiscal year spanning April 2024 to March 2025, accompanied by a series of recent senior management changes.

In March of last year, Hou Yi, vice president of Alibaba and founder and CEO of Freshippo, retired, with former CFO Yan Xiaolei stepping into the role. At the end of the year, Yan introduced a new strategy focusing on two core business models: Freshippo’s standard stores, which target middle-to-high-end consumers, and Freshippo NB stores, which operate as discount outlets. Both models have since developed entirely distinct product systems and are actively strengthening their self-owned brands, which now comprise approximately 35% of their offerings.

Under the new strategy, Freshippo has significantly accelerated its store openings. Over the past year, the company opened 72 new stores, averaging one every five days, with one-third located in tier 2 and tier 3 cities and counties. In 2024, Freshippo expanded into 21 new cities and regions. Following a series of strategic adjustments, the company achieved double-digit growth last year, accompanied by a more than 50% increase in its customer base.

In 2025, Freshippo plans to maintain its focus on expansion, aiming to open nearly 100 new stores and enter dozens of additional cities. The company’s growth strategy prioritizes deeper penetration into tier 2 and tier 3 cities and counties, alongside broadening its presence in northern China.

Image: Freshippo

This article was translated from Chinese. Read the original article.