Bio Essence Corporation

What they do

Bio Essence Corp was incorporated in California in 2000 and, together with former subsidiaries Bio Essence Pharmaceuticals (BEP) and Bio Essence Health (BEH), manufactured and distributed health supplement products. BEP was sold to Newway Inc. for $300,000 in December 2023 and BEH was sold to Health Up Inc. for $400,000 in March 2024, so the company now outsources manufacturing and OEM services. McBE Pharma Inc., a subsidiary formed in 2021 for prescription medicine research and manufacturing, never operated and was dissolved in April 2024. The company is currently mainly engaged in selling health supplements and providing OEM services.

Revenue drivers

• Health supplement sales — Sale of health supplement products is the core business; after the BEP and BEH disposals, manufacturing is outsourced.
• OEM services — The company provides original equipment manufacturer services but, following the December 2023 disposal of BEP, it outsources the manufacturing/OEM service itself.
• Historically, manufacturing and distribution subsidiaries — BEP (manufacturing) and BEH (distribution) generated revenue until their sale for $300,000 and $400,000, respectively.
• No new product line yet — McBE Pharma was intended for prescription medicine R&D and manufacturing but never operated and was dissolved in April 2024.

Recent performance

Revenue was $1.9M in 2025 versus $323,940 in 2024, and net income was $896,197 in 2025 versus a $1.3M net loss in 2024. Operating cash flow was $1.6M in 2025 versus $623,865 in 2024. Recent quarterly revenue was $136,800 for 2025-09-30, $1.5M for 2025-12-31, $500,537 for 2026-03-31, and $794,711 for 2026-06-30. For the six months ended June 30, 2026, the company reported net income of $475,450 compared with a $145,888 net loss for the six months ended June 30, 2025.

Strategy

Management says it plans to increase income by strengthening its sales force, providing attractive sales incentive programs, and increasing marketing and promotion activities. It also says it intends to raise additional funds through a private or public offering, or by obtaining loans from banks or others. The company has disposed of its manufacturing and distribution subsidiaries and dissolved McBE Pharma, shifting to an outsourced model. On May 18, 2026, the company made a $500,000 loan to Golden Capital and Wealth Management, LLC, controlled by CEO Yin Yan, at 5% annual interest due June 30, 2027.

Risks

• Going concern — The company reported an accumulated deficit of $9,553,073 at December 31, 2025 and $9,077,623 at June 30, 2026, and management states these conditions raise substantial doubt about its ability to continue as a going concern.
• Pending litigation — On or about February 27, 2026, Stason Industrial Corporation and Stason Pharmaceuticals filed a complaint in Orange County Superior Court alleging breach of contract and lease obligations and seeking $1,504,823.81 in damages as of January 2026; the company denies the allegations.
• Related-party exposure — The company had loans from a major shareholder/officer of $1,186,177 as of December 31, 2024, loans to a major shareholder/officer of $385,173 as of December 31, 2025, and a $470,000 outstanding principal loan to an entity controlled by CEO Yin Yan as of June 30, 2026.
• Outsourced manufacturing dependence — After selling BEP in December 2023 and BEH in March 2024, the company relies on third parties to manufacture and provide OEM services, with no owned manufacturing operations.

Outlook

Management states it plans to increase income by strengthening its sales force, providing attractive sales incentive programs, and increasing marketing and promotion activities, and it intends to raise additional funds via private or public offerings or loans. The company reported net income of $475,450 for the six months ended June 30, 2026, but also an accumulated deficit of $9,077,623, so it says there can be no assurances its strategy will succeed. The financial statements do not include any adjustments that might result from the going-concern uncertainty.