IVD Medical Holding Limited 華 檢 醫 療 控 股 有 限 公 司 （ 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ） （股份代號：1931） 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 除上文所披露者外，於本公告日期，本公司並無任何其他根據上市規則須予披露 的內幕消息。 由於預期延遲刊發二零二四年年度業績，故預計董事會會議將延期舉行以考慮及 批准（其中包括）二零二四年年度業績。本公司將適時公佈董事會會議日期。 (1)委任核數師及 (2)可能延遲刊發二零二四年年度業績 本公告乃由華檢醫療控股有限公司（「本公司」）根據香港聯合交易所有限公司（「聯 交所」）證券上市規則（「上市規則」）第13.51(4)條及香港法例第571章證券及期貨條 例第XIVA部項下的內幕消息條文（定義見上市規則）以及上市規則第13.09(2)(a)及 13.51(4)條作出。 茲提述本公司日期為二零二五年二月十七日的公告（「該公告」）， ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 IVD Medical Holding Limited 華 檢 醫 療 控 股 有 限 公 司 （ 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ） （股份代號：1931） 1 董事會認為，委聘另一家核數師符合本公司及股東的最佳利益，以便股東及投資 者盡快獲得本集團截至二零二四年十二月三十一日止年度的業績。本公司現正物 色合適的繼任者，以填補辭任後的臨時空缺。本公司將根據上市規則適時就委任 新核數師作出進一步公告。 承董事會命 華檢醫療控股有限公司 主席及執行董事 核數師辭任 本公告乃由華檢醫療控股有限公司（「本公司」，連同其附屬公司統稱「本集團」） 根據香港聯合交易所有限公司證券上市規則（「上市規則」）第13.51(4)條作出。 本公司董事（「董事」）會（「董事會」）謹此宣佈，大華馬施雲會計師事務所有限公 司（「香港大華馬施雲」）已辭任本公司核數師，自二零二五年二月十七日起生效（「辭 任」） ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 IVD Medical Holding Limited 華 檢 醫 療 控 股 有 限 公 司 （ 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ） （股份代號：1931） 持續關連交易及 關連交易 重續租賃交易 重續租賃交易 茲提述本公司日期為二零二一年十二月三十一日的公告，內容有關本集團截至 二零二四年十二月三十一日止三個年度，向創始集團及新華醫療集團租賃物業。 本集團預計與創始集團及新華醫療集團的租賃交易於二零二四年十二月三十一 日後將繼續進行或將訂立。於二零二四年十二月三十一日，(i)本公司與何先生、 梁先生及林先生訂立創始集團租賃框架協議及(ii)上海威士達（本集團的成員公司） 與上海新華訂立新華醫療租賃協議。 上市規則之涵義 創始集團租賃框架協議 何先生、梁先生及林先生為本公司關連人士，根據上市規則第14A章，訂立創始 集團租賃框架協議及其項下擬進行的交易構成本公司的持續關連交易。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 IVD Medical Holding Limited 華 檢 醫 療 控 股 有 限 公 司 （ 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ） （股份代號：1931） 諒解備忘錄之訂約各方須盡快就建議投資的相關方訂立之正式買賣協議（「正式協 議」）之條款及條件進行真誠磋商。 1 可退還按金 自願性公告 建議投資目標公司 及申請於場外交易市場進行跨境交易 本公告乃由華檢醫療控股有限公司（「本公司」，連同其附屬公司統稱「本集團」） 自願作出，旨在向本公司股東及有意投資者提供有關本集團近期發展的最新資料。 建議投資目標公司 本公司董事（「董事」）會（「董事會」）欣然宣佈，於二零二四年十二月三十日（交易 時段後），本公司與Believe In AI Technology Limited（「賣方」）就本公司（或其代名 人）建議透過收購一間私人公司（「目標公司」，連同其附屬公司統稱為「目標集團」） ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任 何部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 IVD Medical Holding Limited 華 檢 醫 療 控 股 有 限 公 司 （ 於 開 曼 群 島 註 冊 成 立 之 有 限 公 司 ） （股份代號：1931） 更換核數師 本公告乃由華檢醫療控股有限公司（「本公司」，連同其附屬公司統稱「本集團」） 根據香港聯合交易所有限公司（「聯交所」）證券上市規則第13.51(4)條作出。 核數師辭任 本公司董事（「董事」）會（「董事會」）謹此宣佈，其已就更換核數師知會安永會計 師事務所（「安永」）。安永已辭任本公司核數師，自二零二四年十月二十八日起生 效，原因為本公司與安永未能就截至二零二四年十二月三十一日止年度的建議審 計費用達成共識。 安永已作出書面確認，除因本集團的營運規模令審計工作量增加導致審計費用分 歧外，並無有關其辭任之其他情況須提請本公司股東（「股東」）垂注。董事會及本 公司審核委員會（「審核委員會」）亦均已確認，除上文所披露者 ...

Financial Performance - For the six months ended June 30, 2024, the company reported revenue of RMB 1,353,470,000, a decrease of 1.7% compared to RMB 1,377,314,000 in the same period of 2023[5] - The gross profit for the same period increased by 7.7% to RMB 324,692,000, up from RMB 301,540,000 in 2023[5] - The net profit for the period rose by 22.7% to RMB 127,566,000, compared to RMB 104,002,000 in the previous year[6] - Profit attributable to equity holders of the parent increased by 21.6% to RMB 125,288,000 from RMB 103,009,000[5] - The adjusted profit for the period, a non-GAAP measure, was RMB 127,790,000, reflecting an 8.9% increase from RMB 117,396,000 in 2023[6] - Basic and diluted earnings per share for the period were RMB 9.27, up from RMB 7.62, representing an increase of 1.65[5] - The company reported an operating loss of RMB 5,012,000 from its proprietary brand product business, which is still in the early research stage, but this loss did not significantly impact overall financial performance[11] - The gross profit margin improved to 24.0%, up by 2.1 percentage points from 21.9% in the previous year[18] - The net profit for the reporting period was RMB 127,566,000, a 22.7% increase from RMB 104,002,000 for the six months ended June 30, 2023, mainly due to the increase in after-sales service gross profit margin[39] - The adjusted net profit for the reporting period was RMB 127,790,000, an increase of 8.9% from RMB 117,396,000 in the previous period, also driven by the increase in after-sales service gross profit margin[40] Revenue Breakdown - Distribution business revenue was RMB 1,253,634,000, accounting for 92.7% of total revenue, down 3.0% from RMB 1,293,002,000[22] - Revenue from solution services provided to clinical laboratories in hospitals reached RMB 117,462,000, a 4.7% increase from RMB 112,227,000 for the six months ended June 30, 2023[9] - Revenue from the sale of medical consumables was RMB 1,170,596,000, an increase of 1.2% from RMB 1,156,622,000 in the previous year[83] - Revenue from after-sales services increased significantly to RMB 95,258,000, up 22% from RMB 78,163,000 in the prior year[83] - Revenue from sales to hospitals and medical institutions was RMB 188,124,000, an increase from RMB 171,061,000 in the previous year[83] Market Position and Strategy - The company is a leading distributor of IVD products in China and is involved in the research, development, production, and sales of its own brand IVD products[7] - The company aims to stabilize and increase market share and profitability through a competitive and diversified product portfolio and extensive distribution network[7] - The company continues to focus on expanding its market presence and enhancing its product offerings in the IVD sector[7] - The company plans to expand its product portfolio and distribution network to capture high growth potential in the IVD market[14] - The company aims to enhance its R&D capabilities by investing in equipment and hiring experts to develop proprietary IVD products[16] Assets and Liabilities - Cash and cash equivalents increased by 29.8% to RMB 1,589,593,000 compared to RMB 1,224,786,000 at the end of 2023[19] - The total assets of the company rose by 11.3% to RMB 5,328,067,000 from RMB 4,785,052,000[19] - The net current assets increased to RMB 1,829,422,000 as of June 30, 2024, compared to RMB 1,783,091,000 as of December 31, 2023, reflecting an increase of RMB 46,331,000[45] - The group's debt-to-asset ratio was approximately 15.0% as of June 30, 2024, significantly up from 6.7% as of December 31, 2023[54] - The total liabilities as of June 30, 2024, were RMB 259,617,000, a decrease from RMB 330,790,000 as of December 31, 2023, reflecting a reduction of approximately 21.5%[95] Shareholder Information - The total issued and paid-up share capital is 1,354,590,080 shares, with a par value of USD 0.0005 per share, equivalent to RMB 4,637,000[97] - The company has a total of 175,517,429 shares held by KS&KL Investment Co. Limited, representing 12.96% of the issued shares[106] - The company’s major shareholder, King Sun Limited, also holds 175,517,429 shares, accounting for 12.96% of the issued shares[108] - The total shares held by the directors and major executives amount to 465,185,899 shares collectively[107] - The company’s shareholding structure indicates significant control by a few major shareholders, which may impact future strategic decisions[108] Employee Stock Option Plan - The employee stock option plan allows for the issuance of up to 32,507,627 shares, representing 5% of the total issued shares at the time, aimed at attracting and retaining top talent[117] - The management of the employee stock option plan is vested in the board or a committee authorized by the board, ensuring compliance with applicable laws and company regulations[118] - The total number of unexercised stock options as of the interim report date is 19,504,576, representing approximately 0.96% of the total issued shares[128] - The stock option plan is effective for ten years from July 12, 2019, unless terminated earlier by the shareholders or the board[132] - The employee stock option plan is designed to reward employees and promote the overall success of the group, aligning employee interests with company performance[116] Corporate Governance - The company has complied with all applicable corporate governance code provisions except for the separation of the roles of Chairman and CEO[146] - The audit committee reviewed the interim report and found the financial statements to be prepared in accordance with applicable accounting standards[148] - The board composition has changed with several new appointments and resignations during the reporting period[151][152] - The company has adopted a standard code for securities transactions by directors, and all directors confirmed compliance during the reporting period[145] Future Outlook - The Chinese IVD market is projected to reach RMB 278.7 billion by 2027, with a compound annual growth rate (CAGR) of 15.7% from 2021 to 2027[12] - The company is actively exploring business cooperation opportunities, including technology exchanges, to enhance its market competitiveness[16] - The company signed a strategic cooperation agreement with Sysmex in 2023 to deepen collaboration and revise distribution rights, transitioning to long-term distribution rights in specific regions[8]

Financial Performance - The company reported revenue of RMB 1,353,470,000 for the six months ended June 30, 2024, a decrease of 1.7% compared to RMB 1,377,314,000 in the same period of 2023[2]. - Profit for the period increased by 22.7% to RMB 127,566,000, up from RMB 104,002,000 in the previous year, primarily due to an increase in the gross margin of after-sales service[2]. - Adjusted profit attributable to the owners of the parent company was RMB 125,288,000, representing a 21.6% increase from RMB 103,009,000 in the prior year[3]. - Basic and diluted earnings per share increased to RMB 9.27 from RMB 7.62, reflecting a growth of 21.6%[6]. - Total comprehensive income for the period was RMB 127,758,000, compared to RMB 118,288,000 in the same period last year[5]. - Gross profit increased to RMB 324,692,000, representing a growth of 7.7% from RMB 301,540,000 in the previous year[39]. - Net profit for the period was RMB 127,566,000, an increase of 22.7% compared to RMB 104,002,000 in the same period last year[39]. - Adjusted net profit rose to RMB 127,790,000, reflecting an 8.9% increase from RMB 117,396,000 in the prior year[39]. - The gross margin improved to 24.0%, up 2.1 percentage points from 21.9%[38]. - The net profit margin increased to 9.4%, up 1.8 percentage points from 7.6%[38]. Revenue Breakdown - Revenue from the sale of medical equipment was RMB 87,616,000, down 38.6% from RMB 142,529,000 in the previous year[17]. - Revenue from the sale of medical consumables increased to RMB 1,170,596,000, up 1.2% from RMB 1,156,622,000 in the prior year[17]. - Revenue from after-sales services rose to RMB 95,258,000, an increase of 22% compared to RMB 78,163,000 in the previous year[17]. - Revenue from government subsidies was RMB 6,775,000, significantly higher than RMB 3,720,000 in the previous year, reflecting a 82.5% increase[18]. - Distribution business revenue accounted for 92.7% of total revenue, while after-sales service revenue increased by 21.9% to RMB 95,258,000, representing 7.0% of total revenue[44]. - The revenue from IVD analysis instruments in the distribution business decreased by 38.2% to RMB 87,032,000, while IVD reagents and other consumables revenue increased by 1.2% to RMB 1,170,596,000[45]. Assets and Liabilities - The company's total assets as of June 30, 2024, amounted to RMB 5,171,489,000, an increase from RMB 5,085,920,000 as of December 31, 2023[7]. - Current assets increased to RMB 3,522,083,000 from RMB 2,982,213,000, indicating a growth of 18.1%[7]. - The company's net asset value rose to RMB 3,436,885,000, up from RMB 3,385,889,000, reflecting a growth of 1.5%[8]. - Non-current liabilities decreased slightly to RMB 198,521,000 from RMB 200,041,000, showing a reduction of 0.8%[8]. - Non-current assets totaled RMB 1,766,561,000 as of June 30, 2024, slightly down from RMB 1,770,653,000 as of December 31, 2023[15]. - The debt-to-asset ratio as of June 30, 2024, was approximately 15.0%, an increase from 6.7% as of December 31, 2023[71]. Operational Highlights - The company continues to focus on enhancing its after-sales service business, which has contributed positively to its profit margins[2]. - The group has installed approximately 6,723 Sysmex coagulation analyzers in hospitals and medical institutions in China as of June 30, 2024[30]. - The group has a distribution network covering 31 provinces, municipalities, and autonomous regions in China, with 234 direct customers and 950 distributors as of June 30, 2024[31]. - The group incurred an operating loss of RMB 5,012,000 from its proprietary brand product development projects, which had no significant impact on overall financial performance[33]. - The company has established a joint venture with Carbon Cloud Intelligent for the development of molecular diagnostic reagents[33]. Employee and Governance - As of June 30, 2024, the group had a total of 815 employees, an increase from 779 employees as of June 30, 2023[74]. - Total employee compensation expenses amounted to RMB 66,402,000 for the reporting period, compared to RMB 62,898,000 for the six months ended June 30, 2023, reflecting an increase of approximately 8%[74]. - The company has adopted a competitive compensation system based on performance, with employees eligible for year-end bonuses and stock rewards[74]. - The board of directors has undergone changes, with new appointments and resignations during the reporting period[76]. - The company confirms compliance with the corporate governance code, with a clear division of responsibilities between the chairman and the CEO[77]. Future Outlook - The company plans to expand its product portfolio and distribution network to capture high growth potential in the IVD market[36]. - The company aims to enhance its R&D capabilities and accelerate the expansion of its proprietary brand product customer base, including AI-related projects[37]. - The Chinese IVD market is projected to reach RMB 278.7 billion by 2027, with a compound annual growth rate (CAGR) of 15.7% from 2021 to 2027[34].

Financial Performance - The company recorded revenue of RMB 3,088,387,000 in 2023, a year-on-year increase of 12.4%, with net profit growing by 21.3% to RMB 237,126,000[3] - Revenue for the reporting period reached RMB 3,088,387,000, a 12.4% increase compared to RMB 2,748,809,000 in 2022, driven by increased demand for IVD products as hospital operations normalized post-COVID-19[36] - Net profit for the year was RMB 237,126,000, a 21.3% increase from RMB 195,530,000 in 2022, with profit attributable to owners of the parent company rising 13.4% to RMB 238,163,000[25] - Adjusted net profit under non-GAAP measures increased by 17.0% to RMB 262,124,000, compared to RMB 224,052,000 in 2022[25] - The company's revenue for 2023 reached RMB 3,088,387,000, a 12.4% increase compared to 2022[80] - Net profit for 2023 grew by 21.3% to RMB 237,126,000, driven by increased revenue and reduced expenses[80] - Adjusted profit for the year reached RMB 262,124,000, a 17.0% increase compared to the previous year[61] Gross Profit and Margins - The company's gross profit in 2023 was RMB 671,701,000, a year-on-year increase of 10.5%[18] - Gross profit margin decreased slightly by 0.4 percentage points to 21.7%, while net profit margin improved by 0.6 percentage points to 7.7%[32] - The company's gross profit increased by 10.5% to RMB 671,701,000 in 2023[80] EBITDA and Adjusted Net Profit - EBITDA in 2023 was RMB 397,928,000, a year-on-year increase of 13.8%[18] - The company's adjusted net profit in 2023 was RMB 262,124,000, a year-on-year increase of 17.0%[18] Product and Market Performance - As of December 31, 2023, the company had installed and put into use 6,920 Sysmex coagulation analyzers in hospitals and medical institutions[1][4] - The company's solution services generated revenue of RMB 241,944,000 in 2023, an increase of 17.8% compared to RMB 205,406,000 in 2022[13] - The company provided solution services to seven top-tier hospitals in China in 2023[13] - The company holds a 43.2% market share in the Chinese coagulation analysis IVD primary distribution market, with a penetration rate of 74.0% in the top 100 hospitals[19] - Sales through distributors to hospitals and medical institutions grew by 8.5% to RMB 2,355,731,000, accounting for 80.9% of total sales[22] - Sales of self-branded products surged by 69.8% to RMB 10,623,000, with sales to hospitals and medical institutions increasing by 581.7% to RMB 1,493,000[22] - Distribution business revenue accounted for 93.9% of total revenue, amounting to RMB 2,898,390,000, with a year-on-year growth of 12.5%[37] - After-sales service revenue grew by 7.3% to RMB 179,374,000, representing 5.8% of total revenue[37] - Own-brand product revenue surged by 69.8% to RMB 10,623,000, contributing 0.3% to total revenue[37] - The IVD reagent and consumables segment under the distribution business grew by 15.9% to RMB 2,567,873,000, accounting for 88.3% of the distribution business revenue[52] - Own-brand IVD reagent and consumables revenue increased significantly by 89.3% to RMB 8,755,000[52] - The company installed 106 Sysmex coagulation immunoassay analyzers in Chinese hospitals and medical institutions by the end of 2023, expanding its product portfolio with 4 types of thrombus markers[62] - The Chinese coagulation analysis IVD market size reached RMB 5 billion in 2021, with the top three market participants holding a cumulative market share of 77.7%[38] - The company's product portfolio now includes over 500 products from 20 local IVD manufacturers and 6 foreign IVD manufacturers[64][68] - Solution services revenue increased by 17.8% to RMB 241,944,000 in 2023, serving seven top-tier hospitals in China[77] R&D and Strategic Expansion - The company plans to expand its product portfolio and distribution network, and increase hospital coverage[7] - The company aims to enhance its R&D capabilities through organic growth and acquisitions[9] - The company plans to expand its R&D capabilities in 2024, focusing on mass spectrometry reagents, microbiology analyzers, and molecular diagnostics[65] - The company's "Huajian Ecosystem" project has been expanded to cover all major product categories, with a focus on instant testing and precision diagnostics[64][87] - The company has acquired two local IVD R&D companies with expertise in mass spectrometry and microbial sample preprocessing[69] - The company's strategic partnership with Sysmex has been renewed, with Sysmex increasing its investment in the company's subsidiary[70][84] Financial Position and Capital - Total assets increased by 10.9% to RMB 4,785,052,000, with cash and cash equivalents rising by 20.0% to RMB 1,224,786,000[32] - The average turnover days for trade receivables decreased by 9 days to 65 days, while inventory turnover days increased by 20 days to 131 days[32] - The company's return on equity (ROE) improved by 0.5 percentage points to 7.3%, and return on assets (ROA) increased by 0.7 percentage points to 5.2%[32] - The company's total capital expenditure during the reporting period was approximately RMB 40,508,000, mainly used for the purchase of property, plant, and equipment[122] - The company did not hold any significant equity investments in other companies as of December 31, 2023[109] - The company did not have any significant contingent liabilities, guarantees, or litigation as of December 31, 2023[108] - The company focuses on maintaining a balance between funding continuity and flexibility through bank borrowings and expected operating cash flows[102] - The company has a nationwide distribution network and employs strict guidelines for selecting, evaluating, and monitoring distributors[119] - The company did not use any interest rate swaps to hedge its interest rate risk as of December 31, 2023[101] - The company recorded a net foreign exchange gain of RMB 9.2 million during the reporting period, compared to a net foreign exchange loss of RMB 10.335 million in the previous year[126] - The company's asset-to-liability ratio was approximately 6.7% as of December 31, 2023, down from 7.6% in the previous year[128] - The company made a capital commitment of RMB 29.829 million to a joint venture as of December 31, 2023, slightly lower than RMB 30.401 million in the previous year[129] - The net proceeds from the company's initial public offering were approximately HKD 902.9 million, with a remaining balance of HKD 1.3 million at the beginning of the reporting period allocated for continued R&D of proprietary products[132] - The recoverable amount of the allocated cash-generating unit exceeded its carrying amount by no less than RMB 100 million, based on a five-year financial budget forecast[126] Dividends and Shareholder Returns - The company declared a final dividend of RMB 76,314,000, equivalent to 6.209 HK cents per share[74] - The company declared a final dividend of HK$0.06209 per share for the reporting period, with a total of approximately RMB 76,314,000 to be paid from the share premium account[161] - The company's share premium account balance as of December 31, 2023, was approximately RMB 2,224,295,000, and after the final dividend payment, the remaining balance will be approximately RMB 2,147,981,000[161] - The company declared an interim dividend of HK$0.0297 per share for the six months ended June 30, 2023, totaling approximately RMB 36,935,000[178] Corporate Governance and Board - The company's board of directors is committed to achieving a high level of corporate governance[190] - The company's board of directors has adopted the standard code set out in Appendix C3 of the Listing Rules for securities transactions by directors, and all directors have confirmed compliance during the reporting period[191] - The company's board of directors has implemented a share incentive plan, with details provided in the board report section on "Share Plans"[183] - The board consists of 8 members, with 1 being female, ensuring gender diversity and diverse perspectives[194] - The board maintains at least one female representative to ensure balanced gender representation[194] - No reward shares were granted or issued during the reporting period[200] - The audit committee is responsible for reviewing and monitoring financial reporting, risk management, and internal control standards, meeting at least twice a year[199] Employees and Compensation - The company employed 803 staff as of December 31, 2023, an increase from 755 in the previous year, with total employee compensation (including directors' remuneration) amounting to RMB 183.869 million[130] - The company's mandatory provident fund (MPF) plan for Hong Kong employees is a defined contribution retirement benefit scheme, with contributions based on a percentage of employees' basic salaries[157] - The company's senior management's annual compensation ranges were disclosed during the reporting period, though specific figures were not provided[156] Market and Competition - The IVD market in China is projected to reach RMB 278.7 billion by 2027, with a compound annual growth rate (CAGR) of 15.7% from 2021 to 2027[21] - The company may face intense competition due to government policies encouraging large distributors to expand through acquisitions of smaller distributors[174] Partnerships and Relationships - The company maintained long-term partnerships with multiple suppliers, ensuring compliance with quality and ethical standards[139] - The company's major customers include distributors, hospitals, medical institutions, and logistics providers, with a focus on superior customer service to enhance profitability[148] - The company has maintained close relationships with several well-known hospitals through its Chinese subsidiaries[187] - The company signed a strategic cooperation agreement with Sysmex Medical Electronics (Shanghai) Co., Ltd., revising the distribution rights to long-term distribution rights and receiving an equity investment from Sysmex[160] Share Capital and Issuance - The company's issued share capital as of December 31, 2023, was 1,500,000 USD, divided into 3,000,000,000 shares of 0.0005 USD each[181] - No unvested reward shares as of December 31, 2023[92] - The company did not grant or will grant options and rewards exceeding 1% of the total issued shares[93] Credit and Risk Management - Expected credit losses are recognized in two stages: 12-month expected credit losses for exposures without significant credit risk increase, and lifetime expected credit losses for exposures with significant credit risk increase[95] - The company uses a simplified method to calculate expected credit losses for trade receivables without significant financing components, based on historical credit loss experience and forward-looking factors[96]

Financial Performance - The company's total revenue for the year ended December 31, 2023, was RMB 3,088,387 thousand, an increase of 12.4% compared to RMB 2,748,809 thousand in 2022[21] - Net profit for the year grew by 21.3%, primarily due to increased revenue and the absence of certain expenses related to employee compensation and asset impairments that were present in the previous year[10] - Basic and diluted earnings per share for the year were RMB 17.62, compared to RMB 15.61 and RMB 15.50 in the previous year, respectively, reflecting a significant increase[3] - The company's total comprehensive income for the year was RMB 237,193 thousand, slightly down from RMB 237,615 thousand in 2022[3] - The adjusted net profit under non-GAAP was RMB 262,124,000, reflecting a 17.0% increase from RMB 224,052,000 in the previous year[63] - The group's profit before tax increased by 21.3% to RMB 237,126,000 compared to RMB 195,530,000 for the previous year[171] - The adjusted profit for the year was RMB 262,124,000, an increase of 17.0% compared to RMB 224,052,000 for the year ended December 31, 2022, primarily due to increased demand for IVD products as hospital operations gradually returned to normal post-COVID-19[176] Revenue Sources - Revenue from solution services provided to seven Chinese tertiary hospitals reached RMB 241,944,000, up 17.8% from RMB 205,406,000 in the previous year[39] - The distribution business generated revenue of RMB 2,898,390,000, accounting for 93.9% of total revenue, with a growth of 12.5% compared to the previous year[79] - Revenue from self-branded products in mainland China for the year 2023 was RMB 1,765,767 thousand, compared to RMB 1,769,320 thousand in 2022, indicating a decrease of about -0.3%[128] Financial Stability - Non-current liabilities decreased to RMB 200,041 thousand from RMB 215,649 thousand in the previous year, indicating improved financial stability[4] - The net asset value of the company increased to RMB 3,385,889 thousand from RMB 3,153,464 thousand in the previous year, showcasing growth in shareholder equity[4] - Total assets increased by 10.9% to RMB 4,785,052,000 from RMB 4,314,277,000, and equity attributable to owners of the parent rose by 6.1% to RMB 3,344,935,000 from RMB 3,153,386,000[71] - The debt-to-equity ratio remained stable at 0.1, indicating a consistent leverage position[71] - The debt-to-asset ratio as of December 31, 2023, was approximately 6.7%, down from 7.6% as of December 31, 2022[200] Cost Management - Financing costs decreased to RMB 21,040 thousand from RMB 30,580 thousand in the previous year, reflecting better cost management[22] - The cost of sales for the period was RMB 2,416,686,000, up 12.9% from RMB 2,140,668,000 for the year ended December 31, 2022, mainly due to increased sales[81] - The gross profit margin for the reporting period was 21.7%, a decrease of 0.4 percentage points compared to the previous year[60] - The gross profit margin for the period was 21.7%, a decrease from 22.1% for the year ended December 31, 2022, attributed to lower sales prices of IVD analyzers and increased service costs[89] Operational Insights - The company continues to focus on the sales and manufacturing of medical equipment and consumables, along with providing after-sales services, indicating a stable business model[26] - The company has established a distribution network covering 31 provinces, municipalities, and autonomous regions in China, with 332 direct customers and 1,164 distributors as of December 31, 2023[52] - The company aims to expand its product portfolio and distribution network to capture the high growth potential of the IVD market[61] - The company plans to enhance its R&D capabilities and accelerate the expansion of its proprietary brand product customer base[58] - The company intends to hire more sales personnel to manage the promotion and marketing of its solution services[57] Market Trends - The IVD market in China is projected to reach RMB 278.7 billion by 2027, with a compound annual growth rate (CAGR) of 15.7% from 2021 to 2027[50] - The coagulation analysis IVD market in China was valued at RMB 5 billion in 2021, with the top three market participants holding a combined market share of 77.7%[54] Employee and Administrative Expenses - The total employee benefit expenses, including salaries and wages, amounted to RMB 183,869 thousand, compared to RMB 177,517 thousand in the previous year, showing an increase of approximately 3.5%[132] - Administrative expenses rose by 4.6% to RMB 159,980,000 from RMB 152,917,000, primarily due to increased business activities as COVID-19 impacts diminished[167] Cash Flow and Liquidity - Cash and cash equivalents increased by 20.0% to RMB 1,224,786,000 from RMB 1,020,626,000[71] - Cash and cash equivalents increased to RMB 1,224,786,000 from RMB 1,020,626,000, indicating improved liquidity[101] - Trade receivables at the end of the reporting period amounted to RMB 532,158,000, a decrease from RMB 566,796,000 in the previous year[142] Research and Development - Research and development costs for the year were RMB 8,665 thousand, up from RMB 7,219 thousand in 2022, reflecting an increase of about 20%[132] - The company plans to enhance its R&D capabilities by investing in equipment and hiring experts, focusing on developing proprietary IVD products with market potential[92] Dividends - The company proposed a final dividend of HKD 0.06209 per share, subject to approval at the upcoming annual general meeting[99] - The proposed final dividend for the year is HKD 6.209 per share, an increase from HKD 5.556 per share in the previous year, representing an increase of approximately 11.7%[134]

Revenue and Profitability - The company's revenue for the reporting period was RMB 1,377,314,000, an increase of 17.1% compared to RMB 1,176,557,000 for the six months ended June 30, 2022, primarily due to increased demand for IVD products as hospital operations gradually returned to normal post-COVID-19[1] - Distribution business revenue reached RMB 1,293,002,000, accounting for 93.9% of total revenue, with a year-on-year increase of 17.8% from RMB 1,097,468,000[3] - The self-branded product business saw a significant increase of 241.0%, with revenue rising to RMB 6,149,000 from RMB 1,803,000[3] - The company's gross profit was RMB 301,540,000, representing a 13.2% increase from RMB 266,423,000 for the same period last year[17] - The group's net profit for the period was RMB 104,002,000, a 49.2% increase from RMB 69,701,000 in the previous year[37] - Adjusted net profit for the period was RMB 117,396,000, reflecting a 21.3% increase from RMB 96,773,000 year-on-year[38] - Profit attributable to equity holders of the parent company rose by 26.9% to RMB 103,009,000 from RMB 81,149,000[159] - The EBITDA for the period was RMB 191,864,000, representing a significant increase of 41.7% compared to RMB 135,442,000 in the prior year[186] Cost and Expenses - The gross profit margin for the reporting period was 21.9%, a decrease from 22.6% for the six months ended June 30, 2022, mainly due to increased service costs[22] - Sales costs increased by 18.2% to RMB 1,075,774,000 from RMB 910,134,000 in the previous year[11] - Sales and distribution expenses rose by 31.7% to RMB 60,568,000, attributed to increased marketing activities following the easing of COVID-19 impacts[29] - Administrative expenses decreased by 7.1% to RMB 71,933,000, primarily due to the absence of share-based payment expenses that occurred in the previous year[31] Cash Flow and Financial Position - As of June 30, 2023, the group's cash and cash equivalents amounted to RMB 1,248,799,000, up from RMB 1,020,626,000 at the end of 2022[42] - The total equity attributable to the company's owners was RMB 3,202,848,000, an increase from RMB 3,153,386,000 at the end of 2022[43] - The company recorded a net cash inflow from operating activities of RMB 131,125,000, a significant improvement compared to a net outflow of RMB 100,554,000 in the same period last year[123] - The company's debt-to-asset ratio was approximately 10.9% as of June 30, 2023, compared to 7.6% as of December 31, 2022[57] - The total liabilities decreased to RMB 216,741,000, indicating a stable financial position[115] Market and Business Development - The company plans to continue expanding its market presence and investing in new product development to meet growing customer demand[1] - The company plans to continue expanding its distribution business and improving distribution channels[73] - The company aims to enhance its customer base under the expanded distribution business, with an investment of RMB 52,400,000[73] - The group established a distribution network covering 31 provinces, municipalities, and autonomous regions in China, with 240 direct customers and 935 distributors as of June 30, 2023[167] - The company aims to enhance its R&D capabilities by investing in equipment and hiring experts, focusing on developing proprietary IVD products with market potential[182] Foreign Exchange and Other Income - Other income and gains increased by 1,276.7% to RMB 18,957,000, primarily due to an increase in foreign exchange gains[27] - The company recorded a net foreign exchange gain of RMB 12,730,000 during the reporting period, compared to a net foreign exchange loss of RMB 2,232,000 for the six months ended June 30, 2022[1] - The company experienced a foreign exchange loss of RMB 531,000, compared to a loss of RMB 2,795,000 in the same period last year[131] Inventory and Receivables - The company’s inventory increased to RMB 822,814,000 from RMB 628,622,000, indicating a rise of approximately 31%[112] - Trade receivables decreased to RMB 491,036,000 from RMB 566,796,000, a decline of about 13.3%[112] Future Outlook - The Chinese IVD market is expected to reach RMB 278.7 billion by 2027, with a compound annual growth rate of 15.7% from 2021 to 2027[175] - The compound annual growth rate (CAGR) for the Chinese coagulation analysis IVD first-level distribution market is projected to increase from 13.3% to 17.5% from 2021 to 2027, with expected sales revenue reaching RMB 15.7 billion by 2027[178]