111 Stock Price, News & Analysis

111, Inc. (NASDAQ: YI) is described by the company as a tech-enabled healthcare platform that operates within the healthcare ecosystem in China. It is committed to reshaping the value chain of the healthcare industry by digitally empowering both upstream and downstream participants in the market. According to its public disclosures, 111, Inc. connects consumers, pharmacies, and pharmaceutical companies through an integrated online and offline platform focused on pharmaceutical products and healthcare services.

The company is classified in market data as operating in the pharmacies and drug stores industry within the broader retail trade sector. It trades on the Nasdaq Stock Market under the ticker symbol YI via American Depositary Shares (ADSs). In its announcements, 111, Inc. positions itself as a technology-driven participant in China’s healthcare and pharmaceutical distribution landscape.

Business Model and Operating Segments

Based on the company’s description and segment reporting, 111, Inc. operates an integrated online and offline platform in the healthcare ecosystem in China. The group is engaged in the sales of medical and wellness products through online retail pharmacies, wholesale pharmacies, and offline retail pharmacies. It also provides value-added healthcare-related services to consumers in the People’s Republic of China.

The company reports two main operating segments: a B2C segment and a B2B segment. The B2C business represents revenue generated from individual consumers, while the B2B business represents revenue generated from corporate customers. Public disclosures state that a majority of the company’s revenue is derived from the B2B segment, reflecting its focus on serving pharmacies and other institutional buyers alongside individual end-users.

Core Platforms and Services

In its "About 111, Inc." statements in press releases, the company explains that it provides consumers with better access to pharmaceutical products and healthcare services directly through its online retail pharmacy, 1 Pharmacy, and indirectly through an offline virtual pharmacy network. Through this network, offline pharmacies are connected to the company’s cloud-based services.

111, Inc. also offers online healthcare services through its internet hospital, 1 Clinic. According to the company, 1 Clinic provides cost-effective and convenient online consultation, electronic prescription services, and patient management services. These offerings are designed to support consumers seeking digital access to healthcare professionals and prescription-related services.

For pharmacies and other institutional buyers, the company operates an online platform called 1 Medicine, which it describes as a one-stop shop for pharmacies to source a large selection of pharmaceutical products. This platform is part of the company’s B2B operations and is intended to support procurement and distribution within the pharmacy channel.

In addition, 111, Inc. states that it provides an omni-channel drug commercialization platform to strategic partners. The services on this platform include digital marketing, patient education, data analytics, and pricing monitoring. These activities are aimed at pharmaceutical companies and other partners that seek to reach pharmacies and consumers more effectively through digital channels.

Technology-Enabled Healthcare Focus

Across its recent financial results announcements, 111, Inc. repeatedly characterizes itself as a tech-enabled healthcare platform. The company emphasizes that it is focused on digitally empowering the upstream and downstream of the healthcare value chain in China. This includes using technology to support marketing, distribution, procurement, and online healthcare services.

The company has publicly discussed initiatives that relate to supply chain and logistics, such as the "MANTIANXING" initiative and the development of a nationwide network of fulfillment centers, as well as a logistics framework referred to as the Kunpeng Network with multiple transportation routes and geographic hubs. These initiatives are described as part of efforts to strengthen supply chain capabilities, improve operational efficiency, and support its healthcare e-commerce activities.

Asset-Light Transition and Partnership Network

In its third quarter 2025 financial results press release, 111, Inc. explains that it is transitioning from an asset-heavy business model to an asset-light business model. As part of this transition, the company completed the divestiture of 100% equity interests in three self-operated subsidiaries that historically functioned as self-run facilities and incurred operating losses. The company states that these facilities have now joined its ecosystem as warehouse partners, providing fulfillment services to its customers exclusively.

According to the company, this shift represents a change in ownership structure rather than a reduction in service capability. The divestiture and partnership structure are described as part of a broader initiative to move away from a capital-intensive, self-operated warehouse model toward a warehouse partnership model in which the company aims to generate recurring commission income instead of bearing the full operational and capital burdens of self-run facilities.

Financial Reporting and Non-GAAP Measures

111, Inc. files periodic reports as a foreign private issuer and furnishes current reports on Form 6-K under the Securities Exchange Act of 1934. Recent Form 6-K filings include exhibits containing unaudited financial results for its first, second, and third quarters of 2025. In these and other releases, the company highlights metrics such as income from operations, non-GAAP income from operations, net income or loss, and cash flows from operating activities.

The company uses several non-GAAP financial measures as supplemental indicators of operating performance. These include non-GAAP income from operations, non-GAAP net income (or loss), non-GAAP net loss attributable to ordinary shareholders, and non-GAAP loss per ADS. 111, Inc. defines these measures primarily by excluding share-based compensation expenses, net of tax, from the corresponding GAAP metrics. The company states that these adjustments are intended to help identify underlying business trends and provide an additional perspective on its core operating performance.

In its disclosures, 111, Inc. notes that non-GAAP measures have limitations, are not defined under U.S. GAAP, and may differ from similarly titled measures used by other companies. It provides reconciliations of non-GAAP measures to the most comparable GAAP measures in its financial releases and encourages readers to consider the full set of financial information.

Capital Markets and Nasdaq Listing

111, Inc. is listed on the Nasdaq Stock Market under the symbol YI. In a February 2025 press release, the company reported that it had regained compliance with Nasdaq Listing Rule 5450(a)(1) after its ADS closing bid price met the minimum requirement for ten consecutive business days. The company also announced in January 2025 that it planned to change the ratio of its ADSs to Class A ordinary shares from one ADS representing two Class A ordinary shares to one ADS representing twenty Class A ordinary shares. The company stated that this ADS ratio change would have the same effect as a one-for-ten reverse ADS split for ADS holders, while not altering the number of underlying Class A ordinary shares.

Strategic Focus and Supply Chain Initiatives

In multiple earnings announcements, 111, Inc. outlines a strategic focus on operational efficiency, supply chain optimization, and technology investment. The company has described initiatives such as the "MANTIANXING" project, which involves a network of fulfillment centers across China, and supply chain practices including traceability code scanning, relay picking by warehouse personnel, and carrier matching to improve logistics performance and reduce fulfillment costs.

The company also refers to its Kunpeng Network, which it describes as operating transportation routes across major geographic hubs in China, as part of its efforts to streamline logistics, reduce delivery times, and lower costs. These initiatives are presented as supporting its role as a healthcare e-commerce and procurement platform.

AI and Digitalization in Healthcare

In its public statements, 111, Inc. indicates that it is investing in AI and digital solutions to enhance its platforms and supply chain. The company has articulated a vision of building an AI-powered transaction platform for pharmaceutical procurement, aiming to aggregate industry information and streamline transactions on a single interface. It also mentions using AI and digital tools to deepen customer engagement and support decision-making for pharmacies and suppliers.

Across its communications, the company links these technology investments to its broader goal of reshaping the healthcare value chain in China by enabling more efficient distribution, procurement, and access to pharmaceutical products and healthcare services.

Risk and Liquidity Considerations

In its financial results announcements, 111, Inc. discloses information about its cash, cash equivalents, restricted cash, and short-term investments. It also describes obligations to a group of investors in an entity referred to as 1 Pharmacy Technology, arising from equity investments made in 2020. The company notes that amounts owed to these investors are included in balances of redeemable non-controlling interests and accrued expenses and other current liabilities.

According to the company’s disclosures, it has received redemption requests from certain of these investors and has reached agreements or received commitment letters to reschedule repayments, allowing for phased repayments over extended periods if redemption rights are exercised. The company refers readers to sections of its annual reports for more details on these arrangements and on its liquidity and capital resources.

Position in the Healthcare and Retail Trade Sector

While 111, Inc. is categorized in market data under pharmacies and drug stores in the retail trade sector, its own descriptions emphasize its role as a tech-enabled healthcare platform. The company’s activities span online retail pharmacy services to consumers, virtual pharmacy networks for offline pharmacies, online healthcare services through an internet hospital, and B2B procurement and commercialization services for pharmacies and pharmaceutical partners.

According to its disclosures, 111, Inc. seeks to connect multiple participants in the healthcare value chain in China through digital platforms, logistics infrastructure, and data-driven services. Its reporting of B2B and B2C segments, focus on technology, and emphasis on supply chain initiatives reflect this positioning within both healthcare and retail trade classifications.