Group CEO and the CEO for China, Mr. Jason Wang Yi Dong, Group CFO and COO, and myself, Mavis, Head of Investor and Bank Relations. First, Mr. Luo Fei will deliver the opening remarks, then Suceka will introduce the results review and outlook of the group. Next, Jason will present the financial performance for the first half of this year. After the presentation session, we will open up for questions. You can click on the question mark icon on the left side of the live streaming interface at any time to submit your questions. You can ask questions in either Chinese or English. Now, let's welcome Mr. Luo Fei to give us the opening remarks. Good afternoon, investors. Welcome to the 2025 Interim Results of H&H International Holdings Limited.
As we know, the external environment is ever-changing, and the key words in the Chinese market are "fierce" or "competition." Under such a situation, we have proposed different strategies for our three businesses. ANC, BNC, and PNC have all realized growth. At the same time, we have a mature 15% of EBITDA margin, which is a very healthy profitability level. Such kind of results are attributable to our long-term strategy. I believe for those who are familiar with us, starting from 2020, during the COVID times, we have set up a gross profit for 2021- 2023. Our CAGR has realized 9.8%, almost 10%. The logic behind it is that we are very lucky to have the supplements business, which includes adult, pediatric, and pet nutrition. It caters to the needs of health products for the market, and we are winning in such a track.
We have a very good and professional team to realize such growth. If you look at 2024, because of the global transition for IMF, our growth was a bit dragging. Actually, if you exclude such factors, we have realized double-digit growth. For 2025, supplements already account for 65% of our business, and it has become the driving force for our growth in the future. I will share several highlights with you. For ANC business, for the core markets, which is mainland China, we have realized 13% of growth. We are very happy to share that in China, we have become the No. 1 brand for such a category. This is the first time that we have realized this target. We are very happy to share that such a realization is done through the mix of products and brands.
We have our core brands and also the anti-aging products and categories, which has given us a leading position in such a category. For the Swisse business, we have realized a structural change for our product mix, which provides growth for our future. In the ANZ market, we have realized 5.6% of growth. For the ANZ market, we have realized No. 1 position in terms of values and volumes. This is the 10th anniversary for our acquisition of Swisse. Our original mission is to bring the brand from Australia to the world. China now contributes 70% of the Swisse business, and we have expanded into new markets, which include Asia, Middle East, and other European countries. If we include the new expansion markets, we have realized 40% of growth for the first half of the year. This is a very encouraging result for the expansion markets.
We are seeing profitable market share for our expansion markets. Management has been very focused for our IMF due to the decrease of birth rate in the first half of 2025. Our market share has grew from 12.9% to 15.9%, and we have realized 10% growth for our IMF business. Last year, we had the transition of the global. We had such a challenge. In 2025, we have realized growth under such circumstances. The other business is the probiotic business. Half of the business was contributed from the meat market. In the first half of the year, we still see a decline of our probiotic business, which was around 10%. If we split it between the maternity channels and the online channel, our probiotic business actually was returned to normal. Another thing is about PNC.
There was a 14% growth globally, and we are very happy to see that Solid Gold returned to 17.5% of growth. For Zesty Paws, we have expanded from U.S. to European countries and Asian countries. We believe that our PNC business will continue to contribute more to our business. We are also very happy to see that in the year beginning, we have finished the refinancing of $300 million. This new financing loan would mean a higher percentage for our R&B financing. 70% would be coming from our Chinese market, which is in line with our business. Our interim dividend payout would be HKD 0.19 per share as a thanks to the support to our shareholders. In the second half of the year, our teams will continue our efforts to realize our whole-year targets.
Now, I would like to pass the time to our Rotating CEO, also the CEO for China, Suceka. Hello, Suceka. I'm Suceka. Very happy to share with you our interim results here today. Since the beginning of H&H , our product innovation always fueled our growth. In the past six months, we continue to center around consumers to grow our business. For our ANC business, as you can see, the NAD and Swisse anti-aging products have led the market, not only in mainland China and ANZ region. We have also launched the Swisse professional products in the European countries, which help us to expand to the European market. At the same time, we can see that we have the tablets, supplements. We also have the efflorescence and the gummies, which are innovative products to support our presence.
For our BNC business, after the new GB, we have launched the new Bounce Time IMF. We stay unwavering in executing our strategy, and we have won the love of many new mothers. For the BNC business, we continue to launch new products. For example, in terms of probiotics, we have the Super Gold probiotics and also the allergy probiotics as well. For PNC, we continue to launch new products. For our Zesty Paws, we have the 8 in 1 supplements and probiotics. In China, we have launched new nutritional product lines for pets. We will continue to innovate and turn the innovation into our driving force for sustainable growth, just like Fei said earlier. In the first half of 2025, we have realized over RMB 7 billion of revenue, which represents 4.9% of growth. In the three major business segments, we have realized positive growth.
In terms of profitability, we have maintained 15.7% of EBITDA margin, which is very sound and healthy. Our EBITDA reached RMB 1.1 billion. The adjusted net profit reached RMB 363 million. The margin was 5.2%, and we have seen 4.6% of growth. With the efficiency improvement for our working capital, we have realized a very strong operating cash flow. We have realized 100.2% of our operating cash flow of adjusted EBITDA. Just now, Fei was very happy to announce our interim dividend payout earlier. In terms of the product mix, our nutritional supplements are our core business, which accounts for 65.6% of our revenue, up by 4.1%. We have seen the positive growth of our nutritional products. Our IMF has also overcome the challenge of the GB transition and realized 9.6% of growth year-on-year. Our nutritional supplements and IMF have shown positive growth momentum. Let's take a look at the detailed breakdown.
For the nutritional supplement segments, ANC continues to realize stable growth, which accounts for 74.2% of our nutritional supplement revenue. Our PNC realized 15.5% of growth, accounting for 16.5% of our revenue. PNC has seen some adjustment, which presents a - 60% of growth year-on-year. This kind of decline is narrowing down. Just like Fei said, we have launched new products, which is our gold line. We are more focused on the online channel. For our maternity shops, our probiotics business has recovered to a three-digit growth. Now it accounts for less than 10% of our nutritional supplement revenue. Let's take a look at the revenue mix and growth by geography. China accounts for 70% of our total revenue, which is our key region. The growth is mainly driven by the recovery of IMF sales, Solid Gold's growth, and our nutritional products.
For the North American market, we have seen 4.6% of growth, which is very sound and moderate, and has become one of the major revenue contributions for us. Because of the daigou channels' sales decline, we have seen 15.6% of decline for our ANZ business. If we take a look at the local market for ANZ, we have seen very stable single-digit growth. For our expansion market, it contributed 66% of our revenue, grew by 18.6%, the highest of the group. It is the strongest growing momentum for us. If you take a look at the geographical presence, a diversified market and selective brand promotion will help us to continue to grow. If we exclude China, for other overseas markets, we have also seen very strong and moderate growth momentum, which lays a good foundation for our future.
Page 12, you can see the revenue mix and growth by business segment. We are very happy to share with you that we have realized positive growth for all three business segments. ANC increased by 5.9%, BNC increased by 2.9%, and PNC increased by 8.6%. We are happy to share that we have recovered to a very healthy growth curve. We are back to the growing curve of 2021, which laid a very solid foundation for our growth in the second half of the year and the future. Now, let's take a look at the breakdown of different businesses in different markets. First, for ANC and BNC, China, mainland China, is still the biggest contributor for ANC and BNC business. The major contributor for BNC business is North America. According to our strategy, we will diversify our markets and our brands, as well as categories.
We will consolidate our core market. At the same time, we continue to vigorously expand into new markets. We have seen good revenue growth. For ANC and BNC, our expansion markets account for more than 7% of our revenue. It has proven that our expansion markets are continuing to grow in terms of the revenue size. Now, let's take a look at the EBITDA. From the group level, ANC is still the biggest contributor. It contributed more than 65% of our EBITDA. ANC's EBITDA margin has declined slightly from 22.1% to 20.9% for the first half of this year. It's mainly because of the change of the channels in the Chinese market. We have a higher percentage of business from Douyin and also the expansion markets. For BNC, our EBITDA margin declined to 12.4%. It is mainly affected by the new GB transition.
We are very happy to see that the PNC business increased from 5.1% from the same period of last year to 6.7% for the same period of this year. It's because of our premiumization strategy and our promotion of our high-value products. Our EBITDA is maintained at 15.7%, which is a very healthy level, which can help us to balance our growth of revenue and also the investment in our sustainable profitability. Next page, let's take a look at the EBITDA by market and by BU. Here, you can clearly see the results of our strategy. ANC's EBITDA margin declined slightly. As you can see, ANZ's EBITDA margin reached 31.1%. Mainland China, 19%. A slight decrease, mainly due to the channel change. As we can see, the ANC EBITDA margin is maintained at a very healthy level, more than 20%.
For the PNC business, the overall growth curve reminded me of the Swisse curve. We continue to invest in our core market and the new expansion markets. For our core market, which is North America, we have seen the EBITDA margin increase, which can help us to continue to promote the Zesty Paws' rapid growth and consolidate our adjustment for Solid Gold in North America. Our new and emerging market is mainly China, mainland China. We have seen the EBITDA margin increase. We have narrowed down the decline to 19.4% from the premiumization and the strategic selection of our channels. We have seen the possibilities of stable profitability. Now, let's take a look at the performance by geography and the performance of different brands in the past six months. Let's take a look at the Swisse and mainland China. We have the makeup brand strategy being executed.
We can see that the brand is very attractive to the Chinese consumers. The ANC mainland business revenue grew by 13.1%. Our CBEC increased by 18.1%, contributed 81.5% of total ANC sales in mainland China. For the online and omnichannels, Swisse has realized No. 1 ranking. We have been very focused on Douyin. The growth on Douyin channel has exceeded all other brands. Now we are No. 4 in the VHMS category across Douyin channel. In terms of new retail channel and O2O channel, we have realized a revenue growth of 28.2%, contributed 9% of the total ANC sales in mainland China. This is also a high profitability channel, which can help us stabilize our ANC revenue growth and make sure that we can continue to invest in such channels. For the sub-categories, for example, LITTLE SWISSE revenue grew by 32.9%, leading to the growth in the mainland China market.
The anti-aging category with Swisse PLUS has realized a revenue of 31.9%, contributed the strongest growth momentum. Swisse will continue to lead with product innovation and driven by the subcategories and focus in consumer education. We will continue to lead the markets. Now, let's take a look at our BNC business, which is the Bounce Time in mainland China. We have seen the transition of the new GB. We have walked out of the challenge of 2024. We have realized growth for IMF and BNC. IMF revenue grew by 10%. It's flat compared to the industry level. We continue to increase our overall market share for Bounce Time. We focus more on the super premium IMF segment. It has proven that our strategy is executable and can be realized with the results in the first half of the year.
Our super premium IMF business has realized a historic high of 15.9% growth, up by 3% compared to the same period of last year. The main momentum is from our stage one and stage two IMF. We have realized high double-digit growth for both stages, outpacing the overall market growth, which gives us a lot of confidence for the second half of the year. We will continue to stabilize our Bounce Time IMF growth and overall business. According to our observation, in the past 12 months, Bounce Time has changed the mother's impression on the brand. For important online platforms such as Red Note and Douyin, we have realized double growth on such platforms. The sales of pediatric probiotics and nutritional supplements have both declined. We are very confident with the launch of new products.
With our focus on the offline pharmacy channels and the online channels, we can come back to positive growth and stabilize our No. 1 leading position in PNC and probiotics. Now, let's take a look at the PNC business in mainland China. In the first half of 2025, Solid Gold returned to double-digit growth. Our overall PNC business grew by 17.5% thanks to the successful premiumization of our products portfolio, such as the cat's food and the nutritional supplements. We are very happy to see that for Solid Gold, fish oil being top 10 after a launch. We are very happy to say that we have more MOA products launched to the market. These are the highlights of the Chinese market. Now, let's take a look at the ANZ market.
If we take a look at the revenue contribution of the ANZ market, the local business accounted for 70%, almost 70% of our revenue. We have seen single-digit growth for the domestic market revenue, which further solidified our leading position in the supplement nutritional supplement market in ANZ. In the first half of the year, Swisse has become No. 1 VMS brand across the overall domestic market in Australia. In terms of values and volumes, we have both been No. 1. Apart from the Australian domestic market, our channel sales also grew by 14.8% compared to the industrial level, which is 8.7%. This is quite encouraging. With the product innovation, we focus on consumer and also on reforming our communication with the markets. For the ANZ market, we can continue to realize growth and grasp more market share. Now, let's take a look at the North American market.
We have realized a positive growth of 4.6% on a lifelike basis. For Zesty Paws, it grew by 12.8% year-on-year. We are a leader on the Amazon and Chewy channel. We have expanded our offline distribution channels as well. The two-prong strategies can help us to continue to realize double-digit growth. For Solid Gold, we have made different adjustments. We used to focus on individual stores' coverage. Now, we have switched to channels that are more premium. We have adopted the portfolio premiumization strategies. We have adjusted a structural change for our Solid Gold. Now, 25% of our sales in North America are high-margin products and channels. With the continuous expansion of Zesty Paws and Solid Gold, we believe that we will have a very clear and stable growth track for our PNC business in North America. Now, let's take a look at our expansion markets.
We are very happy to say that Swisse brands continue to sustain very strong growth in the first half of the year. The revenue in Asia grew by 71.7%. For Hong Kong, Thailand, Malaysia, India, and the Middle East, we have seen very robust growth, which laid a very good foundation for our future growth. For the Swisse brands in Singapore, which includes the beauty products, the liver health products, and the men health products, continue to maintain No. 1 in the market. We'll continue to focus on the specific categories so that we can lead in most of the categories. In the European markets, we have seen a moderate decline, - 0.1%. For the beauty nutritional products in Italy, we are No. 2. Bounce time in pharmacies in France maintains No. 1 in organic IMF and goat milk.
For Zesty Paws, we have already entered the EU and UK markets successfully. Generally, we will say that we have realized the expected growth for Asia and the European market. We'll continue the structural adjustment. That's the sharing for the performance of different markets. Let's share with you the sustainability progress. We are very happy and very proud to say that we continue to advance our ESG performance to make people healthier and happier. We have speeded up our pace in coping with climate change. We have enhanced our overall workplace environment. Our ranking for Hang Seng and MSCI is A and A+. We have also been awarded with the Company of Good Three Hearts in Singapore. We are also featured in the S&P Sustainability Yearbook of China in the top 10%. We will continue to make people healthier and happier on the basis of sustainable development.
That's a review of our performance in 2025. What is our conclusion for the first half of 2025? We continue to stay unwavering for our overall strategy. We continue to serve our consumers in the premium nutrition and health. We continue to lower our leverage and pursue sustainable and profitable growth. For the second half of the year, we will carry on this trend. Now, let's take a look at our outlook for different BUs. For ANC, we will continue to focus on mainland China's mega brand strategy. We will also continue to capitalize on evolving consumer segmentation trends to cater to the needs of different consumer groups so that we can continue to maintain No. 1 position. In the ANZ markets, we will continue the premiumization position and solidify our leadership position. For the expansion markets, we will drive higher growth and improve our profitability.
We are very happy to see that the profitability has been enhancing continuously. For the BNC business and the Mainland China market, we will focus on the IMF growth. We will focus on new mother education and older stage IMF conversion so that we can consolidate our leading position in super premium IMF. We will also continue to gain shares in super premium IMF segments such as the offline mother care shops. For North America, we will continue to maintain No. 1 position for Zesty Paws. We will focus on premiumization of pet nutritional products. We will also continue to adjust the profitability of the e-commerce business in North America and cover more retail channels. For the Mainland China market, we will leverage on our high profitability food and nutrition and continue to promote the growth of our BNC business.
Zesty Paws as a global brand will continue to be promoted in the European markets, Asia, and other emerging markets. We will continue our premiumization and diversification strategy and realize our whole-year target for the second half of the year. Now, I'll pass the time to Jason to talk about the financial performance in the first half of 2025. Thank you, Suceka. Now, let's take a look at the P&L summary. I will share with you some highlights for our financial performance in the first half of the year. Our revenue grew by 4.9%. Just like the Chairman and the CEO said, we have realized a very encouraging performance. For the whole year, we believe that we can realize a high single-digit sales growth, which is in line with what the Chairman said, our continuous high single-digit growth from 2021- 2023.
The adjusted EBITDA has maintained at a very healthy level. If we compare to the first half of last year, there was some gap. This is in line with what we have shared with the market. In 2024, we had a high base. Our investment in the new GB mainly happened in the second half of 2024. If we compare with the level of the whole year of 2024, which is 15%, then 15.7% of EBITDA margin actually is very healthy. We have the confidence to realize the guidance that we have given to the market for the whole year, which is around 15%. For adjusted net profit, we are very happy to see that with our refinancing effort, we continue to optimize our financial expenses in the first half of the year. Our adjusted net profit increased by 4.6%. The net profit margin reached 5.2%.
For the whole year, we have the confidence to realize a mid-single-digit adjusted net profit margin. Some investors might have a question, how come the net profit on our financial statements is not the same as the adjusted net profit? There's a gap of 2.6 percentage points. Let me explain a little bit about this. We hope that the market can use the adjusted net profit as a benchmark for the valuation, which can truly reflect the operations and the financial status of the company. For the financial statements, there are some non-recurring and non-consistently adjusted items. As the chairman said, we have completed the $300 million refinancing. The refinancing can give us a lower rate of senior notes to replace the high-interest bonds. We will redeem the old bonds, which has realized $200 million of expenses, which is one-off.
With such a replacement, in the future, three to 3.5 years, we can enjoy lower interest bonds. This is a favorable act for our future, which can lower our overall financial expenses. Another big factor is the derivatives, the fair values of the derivatives. There are some changes, which are around $68.5 million. The main purpose is to help us to manage the exchange rates and also the risk of the exchange rate for our loans in U.S. dollars. This is a swap transaction. The exchange rate was 7.2 for U.S. to RMB. Maybe you still remember that in the end of June, there was a depreciation of U.S. to RMB, which was around 7.1. That's why there was such a fair value variation, a loss of $68 million. In July and August, as you can see, the exchange rate has returned to 7.2.
Such a fair value loss actually has been offset. After making such a swap, our company can enjoy a 2% interest savings for our U.S. dollar loans and U.S. dollar bonds. Such kind of hedging can protect our loss and gains for exchange rates and also give us opportunity to save financial expenses. We want to emphasize again that for our capital market, when you do the valuation of the companies, please use the adjusted net profit as the main measuring standard. Next page, page 30. We are very happy to see that in the first half of the year, the gross profit margin increased by 1.4 percentage points. For our core product categories, which includes ANC and BNC, we have seen both enhancement. We mainly benefited from the product mix enhancement and the channel mix enhancement. We have also optimized our overall procurement costs.
We have the confidence to maintain a healthy gross profit margin in the future. For the IMF, it decreased by 55.4%. It's because we have some impairment provision for the first half of the year. For the second half of the year, such kind of provision impact will decrease. We believe that for the whole year, our IMF gross profit margin can increase back to more than 57%. For the PNC business, as Suceka has said, in the past year, we have adjusted our products for both the Mainland China market and the North American market. We will continue to optimize our procurement costs at the same time. Therefore, our PNC food gross profit margin has returned to more than 40%. We are very happy to see that the gross profit margin has seen great growth. Next page, page 31.
For our selling and distribution expenses ratio of sales, for the first half of the year, we have seen some slight increase to 41%. There were two reasons. First, as Suceka mentioned, for ANC China, we have seen more contribution from Douyin channel. There is a mix change for channels in China. Secondly, for ANC and PNC, we have invested in the new emerging markets, which is a necessary move for our sustainable growth in the future. With the completion of the transition of GB for IMF and also the rapid growth, our BNC selling and distribution expenses have been optimized. Next page is about the admin expenses. We have benefited from the continuous operation efficiency enhancement. The absolute expenses and the ratio have improved very evidently. Now, let's take a look at our balance sheet for the working capital analysis.
Our account receivables and payables have maintained a very stable level. For the inventory turnover days, we have a major improvement to 131 days. It's mainly because the sales of IMF is better than expectation. In the first half of the year, our inventory turnover days have decreased from 146 days from last year to 131 days for the first half of this year. We need to make a balance between the optimization of inventory turnover days and the secured supply. In the future, our turnover days for IMF inventory should be maintained at 140 days. With such an assumption, we're very confident that we can maintain more than 90% of our operating cash flow generation. Next page is the liquidity status of the group. In the first half of the year, we have benefited to our greater profitability and cash flow generation.
We have realized RMB 1.8 billion of cash surplus. We also have the USD revolving credit facility and RMB credit lines on the book. These resources can give us abundant funding for our business expansion. We have benefited to our healthy liquidity in the first half of the year. We don't need to use the revolving credit facilities and RMB facilities. This is a very good proof for our sound and healthy liquidity status. Now, let's take a look at our leverage status. Here, you can see that for our debt and liabilities are based on the exchange rates. Our overall liabilities actually decreased by $20 million. We believe that our overall liabilities would decrease by RMB 250 million -RMB 300 million. We believe that our leverage ratio will continue to decrease for the whole year from 3.89 for the first half of the year.
For the first half of last year, we were impacted by this transition of GB. That's why in 2024, we had a temporary increase of our leverage ratio. We want to share with the capital market that we continue to maintain the trend of decrease for our leverage ratio and our net debt. This year, as you can see, such results. Our finance cost, as I have mentioned, we have included different measures such as hedging. We have realized RMB 293 million for the interest expense, a 10% saving compared to the same of last year. If we look at the exchange ratio, it's around 6.63%. Last year was around 7%. As you can see, there's an improvement. For the whole year, we believe that the actual interest rate would be close to 6%.
All in all, we are very happy to share that our business segments continue to grow in a steady manner. This will continue for the whole year. We'll continue to maintain a very healthy adjusted EBITDA around 15%, adjusted net profit margin around 5%. For the leverage ratio for the whole year, we expect that it will be decreased to 3.7x- 3.8x . We are very happy about the outstanding performance for the first half of the year. Thank you, management, for the presentation. Now, we will start the Q&A session. Please click the question mark on the left-hand side of the interface to submit your questions. You can ask questions in either Chinese or English. The first question is from Jesse. Do you have any guidance update for the whole year performance? Let me take this opportunity to share again our guidance for the revenue.
For the whole group, we expect to realize high single-digit growth, adjusted EBITDA margin around 15%, adjusted net profit margin. This is the first time that we give such guidance. Adjusted net profit margin will be close to 5%. If we were to break it down by BUs, ANC for the whole year is expected to grow at mid to single digit for the whole year. We can maintain a healthy EBITDA margin around 20%. Suceka has already mentioned about this. For the BNC, IMF, we expect for the first half of the year, we'll realize a 10% of growth. For the whole year, we will accelerate the growth to low double digits. At the same time, for the probiotics for babies, we expect to grow on par with the same level of last year.
The BNC EBITDA margin is expected to increase year on year and realize low double-digit growth. For PNC, for Zesty Paws, for the whole year, we expect to realize 12%- 15% of revenue growth. For Solid Gold, we expect that we can realize low single-digit growth. For PNC EBITDA margin, we expect to maintain at a mid-single-digit level because we need to balance the enhancement of profitability and also the investment in the expansion markets and new markets for PNC business. This is the guidance for three BUs for the whole year. Thank you, Jason. Next question. For the BNC business, we have seen outstanding growth apart from the expanded presence in new markets. What are the other key drivers? Is it product innovation to enhance the shelf space or to enhance the penetration of the current products? What is the growth target and the profitability targets?
The second question is about IMF gross profit margin. For the non-core IMF and probiotics had a big impact on the BNC's profitability. Does it mean that the product mix and the brand will be restructured strategically? Do you have plans to reduce or remove the non-core or non-performing SKUs to enhance the profitability of the BNC business? Thank you for the questions. First, for the PNC growth, the main driver is the innovative products and also the penetration into new channels. We have expanded in the retail channels and different channels. These are the new rich points for our consumers. For the PNC business, we'll continue to innovate on our product categories and educate the new consumers. In the mid to long term, Jason has already mentioned the expectations and the profitability targets. We will stay in line with our guidance for the whole year.
For the BNC business, for the first half of the year, it is true that because of some non-core IMF and probiotic business, our BNC profitability for the China region has been impacted. With the adjustment for the whole year and our expectations for the second half of the year, we have already made a certain adjustment for different product categories. We can see that 80% of our product categories have returned to our expected growth. It might still take some time for us to execute our strategy so that our IMF matrix can better suit the development of our business in China. For our BNC supplement, we will utilize our newly adjusted channels, which include the online channels and the maternity shops to cope with our risks. For PNC, we have two core markets. The first one is North America, and the second one is mainland China.
Of course, the main contributor is still the nutritional supplements for pets. The penetration in the U.S. is actually still very low compared to humans' nutritional supplements. Your question is about the driving force. First, the categories itself is still growing because now we are a leading brand. We will continue to grow in terms of penetration rates. The second one is about channels. When we merged with Zesty Paws, it mainly was sold online, including Amazon. Now we have started to increase our presence in offline channels. In the U.S., in Walmart, CVS, and other pharmacy channels, we continue to increase our penetration. There is still space to grow. For the China region, we mainly have the Solid Gold brand. We had to share that Solid Gold has returned to high double-digit growth. The supplements for pets in China, the penetration is even lower. Therefore, this must be our growth potential.
Apart from China and the U.S., Zesty Paws has been expanded to EU, UK, France, and other Asian markets. The PNC business will be driven by these new expanded markets as well. Thank you. Next question. China's EBITDA rate has decreased to 19%. It's mainly because of the Douyin channel. Do you think this trend will continue? Thank you for this question. This is also a question of high interest to the management for Swisse China and the adult nutritional supplements. I believe that for most of the investors, as you know, the e-commerce environment and the offline pharmacies in China have encountered a lot of structural changes. Douyin has become the biggest engine for growth for nutritional supplements. For Swisse, a leading brand, we'll continue to enjoy our advantage in diversified channels. We will continue to invest in our education for consumers and continue to expand into multiple channels.
We have made adjustments in the past 18 months. In the first half of 2025, the channel structure would be the more ideal channel structure for us. It can help Swisse China to reach new consumer groups and at the same time maintain sustainable profitability growth. In the future, we will continue with such kind of a channel structure and composition so that we can solidify our revenue and realize continuous profitability growth. Apart from mainland China, for the ANC, for the global business, the profitability will also continue to grow so that we can maintain 20% of EBITDA margin for ANC globally. ANC, as the most important revenue contributor and profitability growth engine, will continue to grow. Sophie, I understand your questions about Douyin, but this is a necessary channel for us. The market share for supplements is over 37%.
For our strategy, we have realized 80% of growth for Douyin, ranking No. 4. We are discussing whether we want to speed up the pace. Our overall strategy is that we want to maintain our ranking for being top five. If you want to be higher in the ranking, you need to invest more. Another thing is that our Douyin business continues to see a profitability enhancement. For example, our expense ratio for some live streaming is decreasing. Several years ago, we were not at Douyin. With our Douyin business, our overall expense ratio has decreased. We have better bargaining power with some KOLs. Our investment and the return on Douyin channel is improving. Secondly, for the new retail channel and the O2O business, for the first half of the year, our new retail business grew by 28%, which is quite fast.
The profitability for a new retail channel is quite ideal. It accounts for 9% of our Swisse business. Back to Douyin. Douyin has an overflowing effect. Some people might have seen the products on Douyin, and then they might go to an offline channel to buy the products. Douyin has driven the growth of our business. Also, in the Western China market, we have seen very ideal growth as well. We need to balance growth and expense investment. In the long term, the overall efficiency for the Douyin channel is improving. We have enjoyed the overflowing effect from Douyin. Of course, we will continue the efforts. We will continue to follow the traffic of our consumers, and we will continue to make adjustments accordingly. We will accept one last question from Policy Securities. The question is about the ANC business in ANZ, which is double-digit growth.
What is the whole year expectation for the whole year? Is there any improvement measures for ANZ business in ANZ? The local business for ANZ accounts was 70% already. In the future, we will continue to promote the growth and the penetration of the domestic business. In the second half of the year, in the first half of the year, we have actually adjusted the structural channels and also the digital channel. Compared to the group, of course, there is a decline. In the first half of the year, the decline of the ANZ business is 100% because of the adjustment of the digital channel. For the domestic channels, we have realized high single-digit growth. For the second half of the year, we will carry on such strategy to enlarge our market share for the domestic business to offset the decline of the digital business.
Our expectation and the guidance for the whole year, just like Jason mentioned, we will continue to maintain our whole-year guidance. Thank you. Thank you to the management for the presentation, and thank you for the questions. This marks the end of the resound briefing. Thank you.