ARS 业务稳步复苏，培育期医院扭亏在即 锦欣生殖（1951.HK）/医疗服务 证券研究报告/公司点评 2024年03月31日 [Table_Industry] [评Ta级ble：_T买itle入] (维持) [公Ta司ble盈_F利in预anc测e]及 估值 市场价格：2.43 HKD 指标 2022A 2023A 2024E 2025E 2026E 营业收入（百万元） 2364.0 2788.9 3162.6 3611.7 4146.3 分析师：祝嘉琦 增长率yoy% 28.6% 18.0% 13.4% 14.2% 14.8% 执业证书编号：S0740519040001 净利润（百万元） 121.1 344.7 476.8 557.5 659.1 电话：021-20315150 增长率yoy% -64.4% 184.6% 38.3% 16.9% 18.2% 每股收益（元） 0.05 0.12 0.17 0.20 0.24 Email：zhujq@zts.com.cn 每股现金流量 1.27 -0.26 0.18 0.44 0.44 分析师：孙宇瑶 净资产收益率 1.4% 3.4% 4.5% 5.0% 5. ...

Investment Rating - The report maintains an "Outperform" rating for Jinxin Fertility (1951 HK) with a target price of HKD 5.35, indicating an expected upside from the current price of HKD 2.43 [3][7]. Core Insights - The company's performance in 2023 was in line with expectations, achieving a revenue of CNY 2.789 billion, representing an 18.0% increase, driven by the recovery of domestic and international patient numbers and the full-year consolidation of Jiuzhou Hospital and He Wanjia Hospital [7]. - Net profit for 2023 was approximately CNY 347 million, a significant increase of 194.2%, with a net profit margin returning to 12.4% [7]. - The gross margin improved to 42.1%, up by 5.2 percentage points, due to effective cost control and operational efficiency [7]. Summary by Sections Financial Performance - In 2023, revenue breakdown included: - Assisted reproductive services: CNY 1.336 billion (+26.7%) - Management services: CNY 566 million (+12.5%) - Ancillary medical services: CNY 310 million (+36.6%) - Maternal and child business: CNY 577 million (-0.6%) [7]. - The adjusted net profit for 2023 was about CNY 472 million, reflecting a 72.0% increase [7]. Business Developments - The company has established a comprehensive IVF and obstetrics service model, obtaining key licenses for advanced reproductive technologies [7]. - The Hong Kong market for embryo cryopreservation has shown significant growth, with a 145% increase in the number of embryos frozen compared to the previous year [7]. Market Outlook - The report highlights a positive outlook for the Chinese assisted reproductive market, driven by increasing older mothers and supportive fertility policies [7]. - Revenue forecasts for 2024 and 2025 are projected at CNY 3.209 billion and CNY 3.695 billion, respectively, with year-on-year growth of 15.1% [7].

医药生物/医疗服务 公 司 2023 年业绩快速恢复，深圳新院区有望 2025 年投入 研 锦欣生殖（01951.HK） 究 2024年04月01日 运营 ——港股公司信息更新报告 投资评级：买入（维持） 余汝意（分析师） 阮帅（联系人） yuruyi@kysec.cn ruanshuai@kysec.cn 日期 2024/3/28 证 书编号：S0790523070002 证书编号：S0790124010004 港 当前股价(港元) 2.430  2023年业绩快速恢复，盈利能力持续提升，维持“买入”评级 股 一年最高最低(港元) 5.800/2.050 公司发布2023年报，2023年公司实现收入27.89亿元（同比+18%，以下均为同 公 司 总市值(亿港元) 67.01 比口径），经调整净利润4.71亿元（+72%），毛利率42.1%（+5.17pct），经调整 信 流通市值(亿港元) 67.01 净利率16.9%（+5.31pct）。考虑2023年并购市场估值较高，我们下调2024-2025 息 总股本(亿股) 27.58 年并新增2026年盈利预测，预计2024-2026年归母净利润为3.87/ ...

公 司 2024年03月 29日 报 锦欣生殖(1951.HK) 告 周期数稳步增长，公司盈利能力不断提升 推荐（维持） 事项： 公司发布 2023 年年报，实现收入 27.89 亿元（+18.0%）；净利润 3.47 亿元 股价：2.43 港元 （+194.2%）；经调整净利润4.72亿元（+72.0%），公司增速符合预期。 公 主要数据 分配预案：每股派发现金股利每股5.95港仙。 司 行业 医药生物 平安观点： 年 公司网址 www.jxr-fertility.com  周期数稳定增长推动公司业绩稳中有升：2023 年，公司 IVF取卵周期为 大股东/持股 11.74% 报 30368个，同比增长16.2%，实现稳定增长。分区域看1）成熟机构（成 实际控制人 JINXIN Fertility Investment 点 总股本(百万股) 2757.71 都&大湾区）周期数22260个，同比增长6%，增长稳健；2）孵化机构（云 流通A股(百万股) 0 南&武汉）周期数4261个，同比增长42.7%；3）境外机构（美国&老挝） 评 流通B/H股(百万股) 2757.71 周期数3847个，同比增长11.7% ...

如此亮服的成绩单也再次印证了此前的宏观研究数据：辅助生殖需求与人口出生率之间并非简单的正相关关系。对于投资者而言，单纯盯着生育率来判断辅 助生殖行业的投资前景显然过于片面。 而且，近日，"锦欣生殖"也在资本市场上获得南向资金连续多日净买入，迎来市场的重新关注。 结合下文的进一步分析，笔者认为，我们重新关注锦欣生殖的时机已经到来。 响应国家政策，兼顾社会价值及经济价值的高成长赛道 毋庸置疑，自2021年5月国家提出三胎改策以来，国家对人口问题的重视就已摆到台面，并不断通过医疗、教育、生育补贴等改革政策未为人口增长解决养 育上的障碍，人口作为经济增长的底座，能带来劳动力和消费需求，拉动投资、消费和出口。但全球大部分国家都在面临人口出生率下滑的挑战。 我们不难发现，导致人口出生率下滑的主因，一部分是不想生，一部分是想生却不能生。不想生的背后除了政府近年来一直在解决的养育成本命企，还涉及 多重复杂的社会因素，并非政策就能推动；关于不能生的问题，三弦政策导致的高龄产妇增加和女性生育年龄推迟是其中的重要因素、同时，工作生活压 力、不良环境、不良习惯以及身体机能衰退也导致了育龄夫妇的不孕不育率上升。除此之外，单身未婚生育和 ...

Financial Performance - The group's revenue for the year ended December 31, 2023, was approximately RMB 2,788.9 million, an increase of 18.0% compared to RMB 2,364.5 million for the year ended December 31, 2022[2]. - The group's net profit for the year ended December 31, 2023, was approximately RMB 347.0 million, representing a significant increase of 194.2% from RMB 117.9 million for the year ended December 31, 2022[2]. - The adjusted net profit under non-IFRS was approximately RMB 471.5 million, up 72.0% from RMB 274.1 million in the previous year[2]. - The non-IFRS EBITDA for the year ended December 31, 2023, was approximately RMB 706.1 million, an increase of 92.4% from RMB 367.0 million for the year ended December 31, 2022[2]. - The adjusted EBITDA under non-IFRS was approximately RMB 781.2 million, reflecting a 63.1% increase from RMB 479.1 million in the previous year[2]. - Basic earnings per share for the year ended December 31, 2023, were RMB 0.13, while the adjusted basic earnings per share under non-IFRS were RMB 0.18[2]. - The gross profit for the year was RMB 1,175.4 million, compared to RMB 874.3 million in the previous year[6]. - The total comprehensive income for the year was RMB 402.0 million, compared to RMB 447.6 million in the previous year[8]. - Pre-tax profit for 2023 was RMB 464,269,000, a substantial increase from RMB 154,324,000 in 2022, reflecting a growth of 201.5%[39]. - The group's income tax expense rose by 222.4% from approximately RMB 36.4 million for the year ended December 31, 2022, to approximately RMB 117.3 million for the year ended December 31, 2023, driven by increased pre-tax profits and improved operational efficiency[100]. Assets and Liabilities - Total assets decreased from RMB 13,328,163 thousand in 2022 to RMB 13,553,729 thousand in 2023, representing an increase of approximately 1.68%[9]. - Non-current assets increased from RMB 10,186,812 thousand in 2022 to RMB 10,091,423 thousand in 2023, reflecting a growth of about 5.16%[10]. - Current liabilities decreased significantly from RMB 2,763,971 thousand in 2022 to RMB 1,689,833 thousand in 2023, a reduction of approximately 38.93%[10]. - The total liabilities decreased from RMB 3,900,688,000 in 2022 to RMB 2,665,435,000 in 2023, indicating a reduction of approximately 31.6%[22]. - The company's net asset value increased from RMB 8,735,128 thousand in 2022 to RMB 10,186,812 thousand in 2023, marking a growth of around 16.56%[10]. - The total equity attributable to owners of the company increased from RMB 8,639,743 thousand in 2022 to RMB 10,091,423 thousand in 2023, reflecting an increase of approximately 16.83%[10]. - The company’s bank borrowings decreased from RMB 2,070,678 thousand in 2022 to RMB 1,379,664 thousand in 2023, a reduction of about 33.43%[10]. - The total current liabilities of accounts payable and other payables decreased to RMB 805,083,000 in 2023 from RMB 916,929,000 in 2022, a reduction of 12.1%[52]. Revenue Breakdown - Total revenue for the year ended December 31, 2023, was RMB 2,788,910,000, with RMB 2,218,608,000 from Greater China and RMB 570,302,000 from overseas[20]. - Revenue from assisted reproductive services increased to RMB 1,335,511,000 in 2023, up from RMB 1,053,776,000 in 2022, representing a growth of approximately 26.7%[28]. - Revenue from the US business increased by 22.7% from approximately RMB 462.4 million for the year ended December 31, 2022, to approximately RMB 567.5 million for the year ended December 31, 2023[90]. - Revenue from Chengdu business increased by 6.2% from approximately RMB 1,384.9 million for the year ended December 31, 2022, to approximately RMB 1,471 million for the year ended December 31, 2023[85]. - Revenue from Shenzhen business rose by 16.9% from approximately RMB 348.3 million for the year ended December 31, 2022, to approximately RMB 407.3 million for the year ended December 31, 2023[86]. - Wuhan business revenue surged by 124.6% from approximately RMB 17.0 million for the year ended December 31, 2022, to approximately RMB 38.2 million for the year ended December 31, 2023[87]. - Revenue from Kunming business increased by 154.8% from approximately RMB 92.4 million for the year ended December 31, 2022, to approximately RMB 235.5 million for the year ended December 31, 2023[88]. - Revenue from Hong Kong business grew by 12.3% from approximately RMB 59.5 million for the year ended December 31, 2022, to approximately RMB 66.8 million for the year ended December 31, 2023[89]. Operational Developments - The company has restructured its internal reporting framework, resulting in changes to its reportable segments, now classified as Greater China and overseas operations[19]. - The company’s overseas business has been rapidly developing, prompting management to designate two operational segments for better resource allocation and performance assessment[19]. - The company aims to create a comprehensive service model integrating IVF and obstetrics, enhancing operational efficiency and reducing costs[60]. - The company has implemented a digital platform and proprietary customer relationship management system across its medical facilities, improving patient management and appointment processes[57]. - The company is focusing on expanding its services to cover the entire life cycle of women's and children's health management[60]. - The company has successfully registered medical devices and drugs with the National Medical Products Administration, showcasing its high-quality clinical results and R&D capabilities[60]. - The company aims to expand its service offerings to include comprehensive fertility services and enhance synergies between assisted reproduction and maternal-child health services[71]. - The company has established partnerships with several universities to improve patient care and medical services, including collaborations with Hong Kong Chinese University and USC Keck School of Medicine[76]. Employee and Governance - The group has a total of 3,231 employees as of December 31, 2023, with employee costs amounting to approximately RMB 778.9 million, an increase from RMB 674.9 million in the previous year[123]. - The board has proposed a final dividend of HKD 0.0595 per share for the year ended December 31, 2023, compared to zero for the previous year[125]. - The group has established an audit and risk management committee to assist the board in monitoring compliance with applicable laws and regulations[129]. - The group has adopted corporate governance codes to enhance accountability and protect shareholder interests[127]. Future Outlook - The company anticipates a recovery in business growth in 2024, driven by strong demand for assisted reproductive technologies and supportive government policies[67]. - The overall market penetration of ARS in China remains relatively low compared to approximately 30% in Europe and the US, indicating significant growth potential[67]. - The company is actively seeking opportunities to expand its business network through acquisitions in high-growth potential markets in China and recruiting new doctors in the US, particularly in the West[74].

Financial Performance - Revenue for the first half of 2023 reached RMB 1,333,906 thousand, representing a 17.2% increase compared to RMB 1,138,228 thousand in the same period of 2022[10]. - Gross profit increased by 21.5% to RMB 564,324 thousand, up from RMB 464,304 thousand year-on-year[10]. - The company reported a profit before tax of RMB 278,535 thousand, a 19.2% increase from RMB 233,660 thousand in the previous year[10]. - Net profit for the period was RMB 223,801 thousand, reflecting a 19.3% growth compared to RMB 187,597 thousand in the first half of 2022[10]. - The gross profit margin improved to 42.3% from 40.8% year-on-year, while the net profit margin increased to 16.8% from 16.5%[10]. - The company's net profit increased by 19.3% from approximately RMB 187.6 million for the six months ended June 30, 2022, to approximately RMB 223.8 million for the six months ended June 30, 2023[55]. - The net profit margin for the six months ended June 30, 2023, was 16.8%, up from 16.5% for the same period in 2022, attributed to increased demand from global patients and improved operational efficiency[55]. Assets and Liabilities - Total assets as of June 30, 2023, were RMB 15,230,368 thousand, showing a slight decrease of 0.01% from RMB 15,232,037 thousand at the end of 2022[10]. - Total equity increased by 16.6% to RMB 10,187,083 thousand, up from RMB 8,735,128 thousand at the end of 2022[10]. - Total liabilities decreased significantly by 22.4% to RMB 5,043,285 thousand, down from RMB 6,496,909 thousand[10]. - The company's total assets as of June 30, 2023, were RMB 13,687,634 thousand, an increase from RMB 13,328,163 thousand at the end of 2022[136]. - The total liabilities decreased from RMB 2,763,971 thousand at the end of 2022 to RMB 1,626,056 thousand as of June 30, 2023, reflecting a reduction of approximately 41.2%[137]. Market Expansion and Strategy - The company aims to expand its hospital network to enhance access to quality Assisted Reproductive Services (ARS) in China and the US[6]. - The company has made multiple acquisitions in 2021 and the first half of 2023 to capitalize on the growing demand for ARS in China[6]. - The company has expanded its capacity in existing hospitals, leveraging industry development potential, and has established a dual referral network with 111 medical institutions across 23 cities in China, an increase of 16% compared to the same period in 2022[14]. - The company plans to expand its business network through acquisitions in high-growth markets in China, focusing on first-tier cities and cities with radiation capabilities[26]. - The company is actively exploring acquisition opportunities in Southeast Asia, recognizing significant growth potential in the ARS sector[26]. Research and Development - The company has made significant investments in R&D teams and activities to promote clinical advancements and improve service quality[11]. - The company published 20 SCI journal articles and 8 core journal articles, and obtained 19 scientific research projects, along with 5 patents[28]. - Research and development expenses rose by 124.8% from approximately RMB 4.7 million to approximately RMB 10.6 million, reflecting increased investment in reproductive technology[47]. Patient Services and Satisfaction - Patient satisfaction at Sichuan Jinxin Xinan Hospital (Bisheng District) increased from 92.9% to 95.8% in the first half of 2023, enhancing the hospital's reputation in the ARS market[14]. - The company has successfully launched three specialized service packages to meet diverse patient needs, focusing on personalized ARS treatment plans[14]. - The company has expanded its service offerings to cover the entire fertility cycle, including pre-pregnancy, IVF, prenatal, delivery, and postnatal services[11]. Financial Management - Cash generated from operating activities for the six months ended June 30, 2023, was RMB 336.8 million, compared to RMB 273.0 million for the same period in 2022[62]. - The company's cash and cash equivalents at the end of June 30, 2023, were approximately RMB 770.1 million, down from RMB 1,178.8 million at the end of June 30, 2022[62]. - The company completed a placement of 175 million shares at a price of HKD 6.725 per share, raising approximately RMB 999.1 million in net proceeds[61]. - The company has unutilized financing from bank agreements amounting to RMB 719,276,000 as of June 30, 2023, which supports its liquidity position[145]. - The company anticipates sufficient liquidity to meet its financial obligations for at least the next twelve months from June 30, 2023[145]. Shareholder Information - The company granted 65,853,241 restricted shares under the 2022 Restricted Share Award Scheme, with 57,170,247 shares awarded to key management and directors on August 23, 2023[92]. - The total number of issued shares as of June 30, 2023, is 2,720,913,796[100]. - The company has no significant events affecting its operations reported after June 30, 2023[92]. Regulatory and Compliance - The group maintained compliance with all applicable corporate governance codes during the reporting period[72]. - There were no significant contingent liabilities or guarantees as of June 30, 2023[66]. - The company has been exempt from tax under Cayman Islands law and has subsidiaries in the British Virgin Islands that are also exempt from tax[162].

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，概不就因本公告全部或任何部分內容所產生或 因依賴該等內容而引致的任何損失承擔任何責任。 Jinxin Fertility Group Limited 錦 欣 生 殖 醫 療 集 團 有 限 公 司 * （根據開曼群島法律註冊成立的有限公司） （股份代號：1951） 截至2023年6月30日止六個月的業績公告 | --- | --- | |----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...

Market Position and Expansion - The group ranked third in the Chinese ARS market in 2018, conducting 20,958 IVF cycles, capturing approximately 3.1% of the total market share[5]. - The group expanded its service range by acquiring Jin Xin Women's and Children's Hospital and other facilities, enhancing its presence in Sichuan and the Greater Bay Area[6]. - The group completed the acquisition of Jiuzhou Hospital and Huanjia Hospital, expanding its market share and influence in Southwest China[6]. - The group anticipates significant growth in the Chinese assisted reproductive services market due to government policies encouraging childbirth, allowing couples to have up to three children[8]. - The company plans to focus on business expansion in the U.S. and Greater Bay Area, as well as Southeast Asia, to enhance its market share in assisted reproductive services[19]. - The company aims to leverage strategic acquisitions to solidify its leading position in the assisted reproductive industry[19]. - The company plans to expand its business network through acquisitions in high-growth potential markets, focusing on first-tier cities in China[41]. - The company is actively pursuing acquisition opportunities in Southeast Asia, recognizing significant growth potential in the assisted reproductive sector[43]. Financial Performance - In 2022, the company achieved total revenue of RMB 2.364 billion, representing a year-on-year growth of 28.6%[17]. - The group's revenue increased by 28.6% from approximately RMB 1,838.8 million for the year ended December 31, 2021, to approximately RMB 2,364.5 million for the year ended December 31, 2022[51]. - Revenue from the Chengdu business rose by 57.2% from approximately RMB 881 million to approximately RMB 1,384.9 million, primarily due to the integration of Jinxin Women and Children's Hospital[55]. - Revenue from the Shenzhen business decreased by 18.4% from approximately RMB 426.9 million to approximately RMB 348.3 million, mainly due to the impact of COVID-19[56]. - The company's net profit decreased by 66.7% from approximately RMB 353.7 million for the year ended December 31, 2021, to approximately RMB 117.9 million for the year ended December 31, 2022, with a net profit margin of 5% compared to 19.2% in the previous year[76]. - The gross profit margin for 2022 was 37.0%, down from 42.0% in 2021, indicating pressure on profitability[14]. - The cost of revenue rose by 39.6% from approximately RMB 1,067.3 million to approximately RMB 1,490.2 million, mainly due to the integration of additional hospitals[61]. Operational Developments - The group increased its control over Shenzhen Zhongshan Hospital from 79.44% to 99.90% in 2022, further integrating its ARS and obstetrics and gynecology services[6]. - The group has undergone internal restructuring to expand its service scope and comply with applicable Chinese laws regarding genetic services[6]. - The company has implemented a series of strategic measures to strengthen its operational resilience and risk management capabilities post-pandemic[17]. - The company aims to enhance its competitiveness by adding molecular genetic services, including prenatal testing, to its offerings[6]. - The company has established a research center in the Greater Bay Area to enhance clinical research and innovation, aiming to improve clinical quality and competitiveness[44]. Research and Development - The number of published SCI journal papers from the Shenzhen Innovation Center reached 18 in 2022, with a cumulative total exceeding 100 papers by the end of the year[28]. - Research and development expenses increased by 64.1% from approximately RMB 10.7 million to approximately RMB 17.5 million, attributed to an increase in the number of R&D personnel and costs of materials and equipment[65]. - The company has established a strong research and innovation platform, led by Ms. Liu Hongkun, who oversees investment and merger activities[117]. Customer Engagement and Satisfaction - Patient satisfaction for transplant patients at Chengdu Xinan Hospital improved to 93.6% in 2022, up 0.6% from 2021[23]. - The "Jinxin Member" service platform has accumulated 39,641 members as of December 31, 2022, facilitating digital appointment and consultation processes[49]. - The company aims to enhance its digital platform to improve customer engagement and streamline service delivery[106]. Leadership and Governance - The company has a strong leadership team with extensive experience in the medical field, including Mr. Duan Tao, who has 30 years of experience in the healthcare industry[117]. - The board of directors includes five executive directors and four independent non-executive directors, with specific terms for re-election at the annual general meeting[146][147]. - The company has established a remuneration committee to review the remuneration policies for all directors and senior management[153]. Future Outlook - Future outlook includes expansion plans in the Asia-Pacific region, targeting a 20% increase in market share over the next three years[106]. - The company has set a revenue growth target of 25% for the upcoming fiscal year, driven by increased demand for fertility services[107]. - The company plans to enhance ESG initiatives, focusing on creating social value and improving healthcare accessibility through charitable efforts and green operations[50].

Financial Performance - The group's revenue for the year ended December 31, 2022, was approximately RMB 2,364.5 million, an increase of 28.6% compared to RMB 1,838.8 million for the year ended December 31, 2021[2]. - The group's net profit for the year ended December 31, 2022, was approximately RMB 117.9 million, a decrease of 66.7% from RMB 353.7 million for the year ended December 31, 2021[2]. - The adjusted net profit under non-IFRS was approximately RMB 274.1 million, down 39.8% from RMB 455.3 million for the previous year[2]. - The non-IFRS EBITDA for the year ended December 31, 2022, was approximately RMB 367 million, a decrease of 33.1% from RMB 548.5 million for the year ended December 31, 2021[2]. - The adjusted non-IFRS EBITDA was approximately RMB 479.1 million, down 23% from RMB 622.5 million for the previous year[2]. - Basic earnings per share for the year ended December 31, 2022, were RMB 0.05, compared to RMB 0.14 for the previous year[8]. - The board did not recommend a final dividend for the year ended December 31, 2022, compared to a dividend of HKD 0.0738 per share for the previous year[2]. - The total comprehensive income for the year ended December 31, 2022, was RMB 447.6 million, compared to RMB 196.9 million for the previous year[8]. Assets and Liabilities - Non-current assets increased to RMB 13,328,163 thousand in 2022 from RMB 10,282,258 thousand in 2021, representing a growth of approximately 29.9%[9]. - Current liabilities rose significantly to RMB 2,763,971 thousand in 2022, compared to RMB 1,071,522 thousand in 2021, marking an increase of about 157.5%[10]. - The company's total assets minus current liabilities amounted to RMB 12,468,066 thousand in 2022, up from RMB 11,753,868 thousand in 2021, indicating a growth of approximately 6.1%[10]. - The net asset value stood at RMB 8,735,128 thousand in 2022, slightly down from RMB 8,752,701 thousand in 2021, reflecting a decrease of about 0.2%[10]. - The company reported a significant increase in accounts payable and other payables, which reached RMB 916,929 thousand in 2022, compared to RMB 445,518 thousand in 2021, an increase of approximately 106.5%[10]. - The goodwill increased to RMB 3,484,725 thousand in 2022 from RMB 2,719,747 thousand in 2021, representing a growth of about 28.1%[9]. - Deferred tax assets rose to RMB 88,516 thousand in 2022, compared to RMB 7,020 thousand in 2021, indicating a substantial increase of approximately 1,125.4%[9]. - The company’s cash and cash equivalents increased to RMB 1,316,549 thousand in 2022 from RMB 862,325 thousand in 2021, reflecting a growth of approximately 52.7%[9]. Operational Highlights - The company continues to focus on expanding its assisted reproductive services and related healthcare offerings, aiming for further market penetration and growth in the coming years[11]. - The group's revenue for the year ended December 31, 2022, primarily came from operations in Chengdu, Shenzhen, Wuhan, Kunming, the United States, and Hong Kong[20]. - The acquisition of a new business in Kunming was completed during the year ended December 31, 2022[20]. - The group reported its operating segments based on geographical areas, specifically Greater China and the United States[20]. - The company reported a pre-tax profit of RMB 154,324 thousand for the current year, compared to RMB 457,927 thousand in the previous year[21][22]. - The company recorded a loss of RMB 34,543 thousand from the sale of property, plant, and equipment[25]. - The company’s administrative expenses included share-based compensation of RMB 87,437 thousand[21]. - The company reported a fair value change loss of RMB 76,733 thousand on preferred stock investments[21]. Research and Development - Research and development expenses for the year were RMB 17.5 million, an increase from RMB 10.7 million in the previous year[6]. - The company has increased investment in R&D to enhance clinical transformation and improve clinical standards[59]. - The company published a total of 106 scientific papers in 2022, including 38 in core journals, and obtained 35 scientific research projects[79]. - The company established the Jinxin Medical Innovation Research Center in January 2022 to enhance research management and clinical application[79]. Market Expansion and Strategy - The company aims to leverage the growth potential in the Greater Bay Area, aligning with national strategies to enhance market share[74]. - The company is actively seeking acquisition opportunities in Southeast Asia, believing in significant growth potential in the assisted reproduction sector[78]. - The company plans to continue its expansion in the Chinese market, leveraging its established network of hospitals and clinics[141]. - The company aims to strengthen clinical research and its transformation into clinical applications to enhance competitiveness and create new business growth points[79]. Governance and Compliance - The group has maintained compliance with all applicable corporate governance codes throughout the year ended December 31, 2022[123]. - The company is focused on enhancing its governance and risk management practices as part of its corporate governance code compliance[139]. Employee and Operational Metrics - As of December 31, 2022, the group employed a total of 3,158 employees, with 2,761 in China and 397 in the United States[120]. - Employee costs for the year ended December 31, 2022, amounted to approximately RMB 674.9 million, compared to RMB 457.9 million for the year ended December 31, 2021, representing a year-over-year increase of 47.5%[120]. - The company provided training courses in assisted reproductive technology to 1,378 clinical staff during the year ended December 31, 2022[80]. Future Outlook - The company aims to expand its service range to provide comprehensive fertility services covering pre-pregnancy, IVF, prenatal, delivery, and postnatal care[76]. - The company plans to renovate Jiuzhou Hospital in the first half of 2023 to optimize service environment and expand capacity[75].