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。 Suzhou Basecare Medical Corporation Limited 蘇 州 貝 康 醫 療 股 份 有 限 公 司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：2170） 中期業績公告 截至2023年6月30日止六個月 蘇州貝康醫療股份有限公司董事會謹此宣佈，本公司及其子公司（統稱「本集團」） 於截至2023年6月30日止六個月的未經審核綜合中期業績，連同2022年同期的 比較數字。 財務概要 截至6月30日止六個月 2023年 2022年 人民幣千元 人民幣千元 （未經審核）（未經審核） 收入 85,546 68,568 銷售成本 (51,982) (38,350) 毛利 33,564 30,218 經營業務虧損 (58,166) (31,603) 除稅前虧損 (58,256) (32,036) 持續經營業務的期內虧損 (62,493) (33,551) ...

Financial Performance - In 2022, the company reported revenue of RMB 140.9 million, an increase of 30.2% compared to RMB 107.3 million in 2021[15]. - The gross profit for 2022 was RMB 59.5 million, representing a gross margin of approximately 42.3%[15]. - The company experienced an operating loss of RMB 126.1 million in 2022, slightly higher than the operating loss of RMB 124.5 million in 2021[15]. - Administrative expenses increased by 56.2% from RMB 52.1 million in 2021 to RMB 81.4 million in 2022, primarily due to increased bad debt provisions from RMB 8.9 million to RMB 26.7 million and personnel costs rising from RMB 17.9 million to RMB 27.5 million, a 53.6% increase[51]. - R&D expenses rose by 62.6% from RMB 73.7 million in 2021 to RMB 119.8 million in 2022, driven by an increase in R&D personnel costs from RMB 29.2 million to RMB 42.8 million (46.6%) and testing services and consumables costs from RMB 41.0 million to RMB 71.8 million (75.1%)[52]. - The company recorded income tax expenses of RMB 18.3 million and RMB 6.0 million for the years ended December 31, 2021, and 2022, respectively, with the decrease primarily due to changes in deferred tax items[53]. - The company reported no final dividend for the year ended December 31, 2022, consistent with the previous year[182]. - The company has incurred significant net losses since its inception and is expected to continue incurring losses, potentially never achieving or maintaining profitability[197]. - The financial outlook of the company depends on the success of its product portfolio[198]. Product Development and Innovation - The PGT product line generated sales revenue of RMB 88.0 million in 2022, with a growth rate of 34.6%[16]. - The PGT-A reagent kit achieved sales revenue of RMB 37.9 million, reflecting an 11.8% growth rate[16]. - The company has developed a series of innovative products, including the PGT-M and PGT-SR test kits, which are expected to receive regulatory approval in 2024 and 2025, respectively, further solidifying its market leadership in China's third-generation IVF genetic testing market[36]. - The PGT-M test kit is the first and only registered product of its kind in China, significantly reducing testing costs and time for patients[36]. - The company has launched an intelligent sperm analysis platform that improves accuracy to 95% and enhances efficiency in sperm quality analysis, with registration expected in 2023[38]. - The company is developing a range of products for embryo culture, including CO2 incubators and programmable cooling devices, with expected registration certifications in 2025 and 2026[27]. - The company aims to create customer value through continuous R&D innovation and a rich product pipeline, which is expected to be a significant highlight for future performance growth[28]. - The company has developed a comprehensive solution for assisted reproduction that includes software and hardware upgrades, promoting standardization, automation, and intelligence in laboratory operations[36]. - The company has developed a comprehensive solution for male fertility assessment, including an intelligent sperm quality analysis platform and sperm function testing kits[44]. - The company is committed to independent research and development, aiming to provide comprehensive solutions in reproductive health, including embryo laboratories and software labs[132]. Market Presence and Partnerships - The company aims to enhance its market presence through strategic partnerships, such as the collaboration with Haier Biomedical in July 2022[16]. - The company has established partnerships with over 300 assisted reproductive centers nationwide, achieving a market share of 73% among top-tier centers[28]. - The company aims to maintain sufficient cash and cash equivalents to meet short-term funding needs and regularly reviews its funding and treasury policies to ensure adequacy and effectiveness[58]. Regulatory and Compliance - The company completed the construction of its industrial base in October 2022, accelerating its industrialization process[16]. - The DA500 gene sequencer, designed for PGT testing, is expected to receive medical device registration certification in 2023[22]. - The DA5000 high-throughput sequencer is anticipated to obtain registration certification in 2024, expanding its application in reproductive genetics[22]. - The company has completed registration inspections for PGT-M and PGT-SR software, with expected registration certifications in 2024 and 2025 respectively[29]. - The company has not utilized any financial instruments for hedging purposes during the reporting period[57]. - The company faced risks related to product sales and distribution, particularly concerning regulatory approvals necessary for commercialization[184]. - Failure to comply with relevant laws and regulations may adversely affect the company's business and operating performance[199]. Corporate Governance - The audit committee consists of two independent non-executive directors and one non-executive director, with Mr. Zou as the chairman, ensuring compliance with listing rules[111]. - The board of directors has established three committees: the audit committee, the remuneration and assessment committee, and the nomination committee, each with defined powers and responsibilities[84]. - The company emphasizes the importance of training for newly appointed directors to ensure they understand their responsibilities and obligations under listing rules and relevant laws[82]. - The company has a commitment to corporate governance, with regular updates provided to directors on relevant laws and regulations[82]. - The board of directors has maintained a high attendance rate, with all members attending 100% of the meetings held during their tenure[109]. - The company has received annual confirmation letters from independent non-executive directors regarding their independence, confirming compliance with listing rules[116]. - The board has adopted a diversity policy aimed at enhancing its effectiveness and maintaining a competitive advantage[122]. - The company has established a system for reviewing the independence of its non-executive directors, ensuring compliance with relevant guidelines[115]. - The company has arranged appropriate insurance for directors and senior management against legal actions arising from company affairs[154]. - The company will continue to promote investor relations and enhance communication with shareholders and stakeholders[149]. Employee and Director Information - As of December 31, 2022, the company had a total of 479 employees, with 261 females (54.5%) and 218 males (45.5%), indicating a balanced gender diversity[123]. - The board aims to maintain a minimum of one female director and at least one director with accounting or other professional qualifications as part of its diversity policy[123]. - The company encourages all directors to participate in relevant training courses, with costs covered by the company[82]. - The company has established a Compensation and Assessment Committee, consisting of one executive director and two independent non-executive directors, to review and formulate compensation policies for directors and senior management[113]. - The company appointed Mr. Yin Lejun as the joint company secretary effective from November 28, 2022, and Mr. Zhong Minghui effective from August 29, 2022, both bringing extensive experience in corporate governance and financial reporting[129][130]. Risk Management - The audit committee and board are satisfied with the effectiveness of the risk management and internal control systems in place[140]. - The board is responsible for assessing risks associated with achieving strategic goals and maintaining effective risk management systems[158]. - The company’s internal audit department is fully equipped to ensure effective execution and supervision of internal controls[175].

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。 Suzhou Basecare Medical Corporation Limited 蘇 州 貝 康 醫 療 股 份 有 限 公 司 （於中華人民共和國註冊成立的股份有限公司） （股份代號：2170） 截至2022年12月31日止年度的 全年業績公告 蘇州貝康醫療股份有限公司（「本公司」）董事會（「董事會」）欣然宣佈本公司及 其子公司（統稱「本集團」）截至2022年12月31日止年度的經審核綜合業績，連同 2021年同期的經審核比較數字。 於本公告內，「我們」指本公司（定義見上文），及倘文義另有規定，亦指本集團 （定義見上文）。 財務概要 截至12月31日止年度 2022年 2021年 人民幣千元 人民幣千元 收入 140,901 107,299 銷售成本 (81,373) (56,152) 毛利 59,528 51,147 經營業務虧損 (126,118) (124,486) 除稅前虧損 (126, ...

Revenue and Profitability - Revenue for the six months ended June 30, 2022, was RMB 68.568 million, an increase of 36.5% compared to RMB 50.162 million for the same period in 2021[7]. - Gross profit for the same period was RMB 30.218 million, with a gross margin of 44.1%, compared to RMB 22.155 million and a gross margin of 44.1% in 2021[7]. - The company recorded a loss from continuing operations of RMB 33.551 million for the six months ended June 30, 2022, an improvement from a loss of RMB 42.093 million in the same period of 2021[7]. - Revenue from PGT-related solutions rose by 53.4% from RMB 26.6 million to RMB 40.8 million during the same period[47]. - The net loss attributable to equity shareholders was RMB 21,285,000, compared to a loss of RMB 42,093,000 in the same period last year, reflecting a 49.5% improvement[131]. Product Development and Innovation - The company is developing two additional PGT products, PGT-M and PGT-SR, expected to receive regulatory approval in 2023 and 2024 respectively, enhancing its market position[10]. - The PGT-M kit is the first and only registered product of its kind in China, offering standardized solutions with reduced testing costs[10]. - The PGT-SR kit has the potential to become a standardized commercial product in China, significantly reducing result generation time from months to two weeks[10]. - The company has developed innovative equipment and instruments to enhance workflow in molecular genetic laboratories, positioning itself as an innovative platform in the PGT field[14]. - The company is expanding its product pipeline, with several products expected to receive registration certificates in 2023 and 2024, including the automated workstation and various gene sequencing instruments[15]. Market Position and Strategy - The company aims to become a leading medical technology company globally, focusing on innovative reproductive genetic testing solutions[9]. - The company has transformed from a single product provider to a comprehensive supplier in the assisted reproductive field, covering over 200 medical institutions nationwide, including 60 leading assisted reproductive centers, achieving high market penetration[11]. - The company anticipates a surge in self-developed products and pipeline approvals over the next two to three years, aiming to meet the evolving demands of the assisted reproductive market[11]. - The company aims to create customer value through continuous R&D innovation and a rich product pipeline, which is seen as a key driver for future revenue growth[11]. - The company is focusing on providing customized solutions based on clinical needs, which has resulted in high customer satisfaction[11]. Financial Position and Assets - Non-current assets as of June 30, 2022, were RMB 135.478 million, up from RMB 98.195 million as of December 31, 2021[7]. - Total equity attributable to shareholders was RMB 1.694 billion as of June 30, 2022, compared to RMB 1.715 billion at the end of 2021[7]. - The company maintained a net cash position as of June 30, 2022, making the debt-to-equity ratio not applicable[72]. - As of June 30, 2022, total current assets amounted to RMB 1,668,468 thousand, a slight decrease from RMB 1,702,693 thousand as of December 31, 2021[146]. - The company's total equity as of June 30, 2022, was RMB 1,707,619 thousand, slightly down from RMB 1,715,039 thousand as of December 31, 2021[160]. Expenses and Costs - Total employee compensation costs for the six months ended June 30, 2022, were approximately RMB 50.6 million, up from RMB 26.3 million for the same period in 2021[37]. - Administrative expenses rose by 68.1% from RMB 18.2 million for the six months ended June 30, 2021, to RMB 30.6 million for the six months ended June 30, 2022, mainly due to the expansion of the administrative team and impairment losses on trade and other receivables[52]. - Research and development expenses significantly increased from RMB 22.8 million for the six months ended June 30, 2021, to RMB 45.5 million for the six months ended June 30, 2022, driven by the expansion of the R&D team and increased clinical trial expenses[55]. - Sales cost increased by 37.1% from RMB 28.0 million to RMB 38.4 million, in line with revenue growth[48]. - Sales and distribution expenses increased by 5.5% from RMB 29.1 million for the six months ended June 30, 2021, to RMB 30.7 million for the six months ended June 30, 2022, primarily due to the expansion of the sales and distribution team[51]. Cash Flow and Financing - The company’s net cash used in operating activities for the six months ended June 30, 2022, was RMB (91,640) thousand, compared to RMB (70,718) thousand for the same period in 2021, representing an increase of approximately 29.5%[171]. - Total cash used in investing activities amounted to RMB (118,896) thousand for the six months ended June 30, 2022, significantly higher than RMB (2,910) thousand in the previous year[171]. - The cash generated from financing activities was RMB 230 thousand for the six months ended June 30, 2022, a sharp decline from RMB 1,569,543 thousand in the same period of 2021[171]. - The company incurred RMB (63,192) thousand in payments for the purchase of property, plant, and equipment, a significant increase from RMB (6,244) thousand in the previous year[171]. - Financing costs for the period rose to RMB 1,444,000 from RMB 711,000, an increase of about 103%[194]. Shareholder Information - As of June 30, 2022, the total issued share capital of the company was 273,526,000 shares[77]. - Major shareholder Hillhouse Hong Kong held 6,006,010 H shares, representing approximately 2.20% of the company's equity[82]. - Dawn Capital Limited held 4,652,000 H shares, accounting for approximately 1.70% of the company's equity[84]. - OrbiMed Capital LLC managed 10,551,725 H shares, which is about 3.86% of the company's equity[85]. - The company is ultimately controlled by Xu Wenbo, who is considered to have interests in the shares of Bohua Investment and Bohua and Rui[88].

Financial Performance - In 2021, the company reported a revenue of RMB 107,299,000, representing a 32.3% increase from RMB 81,109,000 in 2020[9] - The gross profit for 2021 was RMB 51,147,000, which is a significant increase of 84.5% compared to RMB 27,714,000 in 2020[9] - The company experienced an operating loss of RMB 124,486,000 in 2021, worsening from a loss of RMB 53,468,000 in 2020[9] - The company’s total equity attributable to shareholders reached RMB 1,715,466,000 in 2021, a significant recovery from a deficit of RMB 938,853,000 in 2020[9] - Revenue increased by 32.3% from RMB 81.1 million in 2020 to RMB 107.3 million in 2021, driven by growth in PGT series reagent sales and NIPT reagent sales[69] - Gross profit rose significantly from RMB 27.7 million in 2020 to RMB 51.1 million in 2021, with gross margin improving from 34.2% to 47.7%[71] Asset Growth - Total assets increased to RMB 1,800,888,000 in 2021, up from RMB 350,298,000 in 2020, indicating substantial growth in asset base[9] - Non-current assets rose to RMB 98,195,000 in 2021, compared to RMB 39,905,000 in 2020, reflecting increased investment in long-term assets[9] - The company's current assets net value surged from RMB 2,422 million as of December 31, 2020, to RMB 16,424 million as of December 31, 2021, primarily due to net proceeds from a global offering[95] Product Development and Innovation - The company aims to transition from a technology-focused company to a scalable delivery company, expanding from a single product to a full range of upstream reagents, consumables, and instruments[12] - The PGT-M reagent kit is expected to complete clinical trial patient enrollment in 2022, while the PGT-SR reagent kit is anticipated to finish national registration testing in 2022[12] - The PGT-M kit is the first and only registered PGT product for single-gene diseases in China, with expected regulatory approval from the National Medical Products Administration in 2023[29] - The company has developed various innovative devices and instruments to enhance workflow in molecular genetic laboratories, contributing to a comprehensive solution for clinical trials[18] - The company has developed an intelligent liquid nitrogen tank, expected to be the first medical device registered in this category globally, addressing issues related to embryo management[36] Market Expansion and Strategy - The company aims to establish an advanced manufacturing base and an international incubation center focused on upstream reagents, consumables, and instruments in the assisted reproduction field[11] - The company is expanding its product line through both internal and external growth strategies, aiming to provide comprehensive clinical solutions in the assisted reproductive field[13] - The company plans to enhance its commercialization strategy by expanding coverage and penetration in hospitals and reproductive clinics, focusing on building stronger relationships with key clients[42] - Future strategies include rapid commercialization of product portfolios and development of next-generation automated and intelligent hardware[64] Regulatory and Compliance - The company is actively involved in regulatory submissions to ensure compliance and market readiness for its products[110] - The company has established a risk management and internal control system, which was reviewed and deemed effective by the board during the period from the listing date to December 31, 2021[181] - The company has a policy in place to ensure strict monitoring of information disclosure and to prevent unauthorized access to insider information[183] Corporate Governance - The company reported a commitment to high standards of corporate governance, ensuring shareholder interests and enhancing corporate value[138] - The board of directors has maintained compliance with the corporate governance code since the listing date, with no known violations reported[140] - The company has adopted a board diversity policy, aiming to enhance board effectiveness through various factors including professional experience, skills, and gender diversity[149] Management and Leadership - The management team includes experienced professionals with backgrounds in biotechnology and medical research, enhancing the company's strategic direction[112] - Recent appointments in the management team aim to bolster financial oversight and strategic planning capabilities[131] - The company encourages continuous professional development for directors to enhance their knowledge and skills[176] Shareholder Communication - The company has established a shareholder communication policy to ensure that shareholder opinions and concerns are properly addressed[199] - The company provides multiple communication channels for shareholders, including interim and annual reports, and platforms for shareholders to express opinions during annual or extraordinary general meetings[196] - Shareholders holding 10% or more of the paid-up capital can request the board to convene an extraordinary general meeting[193]

Financial Performance - For the six months ended June 30, 2021, the company recorded revenue of RMB 50.16 million, compared to RMB 32.17 million for the same period in 2020, representing a year-over-year increase of 55.8%[10]. - The gross profit for the same period was RMB 22.16 million, with a gross margin of 44.1%, compared to RMB 11.40 million and a gross margin of 35.4% in 2020[10]. - The company reported an operating loss of RMB 36.67 million for the six months ended June 30, 2021, compared to an operating loss of RMB 9.75 million in the prior year[10]. - Revenue increased by 56.0% from RMB 32.2 million for the six months ended June 30, 2020, to RMB 50.2 million for the six months ended June 30, 2021, primarily due to increased sales of PGT-A kits, instruments, and CNV kits[43]. - Gross profit increased from RMB 11.4 million for the six months ended June 30, 2020, to RMB 22.2 million for the six months ended June 30, 2021, with a gross margin improvement from 35.5% to 44.2%[48]. - The company reported a total comprehensive loss of RMB (42,093) thousand for the six months ended June 30, 2021[157]. - The net cash used in operating activities for the six months ended June 30, 2021, was RMB (70,718) thousand, compared to RMB (27,531) thousand for the same period in 2020, representing a decline of 156%[159]. - The net cash generated from financing activities was RMB 1,569,543 thousand, a substantial increase from RMB 13,092 thousand in the previous year[159]. Assets and Liabilities - The total net assets of the company increased to RMB 1.81 billion as of June 30, 2021, up from RMB 281.34 million at the end of 2020[10]. - Current assets surged to RMB 1.81 billion from RMB 310.39 million in the previous year[10]. - Non-current assets increased to RMB 48.76 million as of June 30, 2021, compared to RMB 39.91 million at the end of 2020[10]. - The company’s total liabilities decreased, with current liabilities at RMB 49.51 million compared to RMB 68.18 million in the previous year[10]. - Total liabilities decreased from RMB 37,494,000 as of December 31, 2020, to RMB 26,951,000 as of June 30, 2021, indicating a reduction of 28.1%[195]. - The company has no contingent liabilities as of June 30, 2021[68]. - The company has unfulfilled capital commitments of RMB 5.5 million as of June 30, 2021, mainly due to contracts for the construction of a new headquarters[69]. Research and Development - The company is developing two additional pre-implantation genetic testing (PGT) products, PGT-M and PGT-SR, which will complete its PGT product line based on NGS technology[13]. - Research and development expenses increased by 69.9% from RMB 13.4 million for the six months ended June 30, 2020, to RMB 22.8 million for the six months ended June 30, 2021, due to the expansion of the R&D team and increased costs related to reagents and equipment[54]. - The company aims to enhance its product offerings and expand PGT testing indicators to strengthen its market position[41]. - The company is also developing innovative devices and instruments to improve workflow in molecular genetic laboratories using its kits[14]. Market Position and Strategy - The company is the only approved manufacturer of PGT-A test kits in China, marking a significant milestone in the regulated third-generation IVF market[12]. - The company aims to become a global leader in genetic technology, focusing on innovative solutions for assisted reproductive genetic testing[12]. - The company has expanded its focus from pre-implantation to prenatal and postnatal stages, developing kits for each stage, thus covering the entire reproductive cycle in China[14]. - The commercialization strategy emphasizes expanding coverage and penetration in licensed hospitals and reproductive clinics across China, leveraging existing relationships[30]. - The company plans to collaborate with licensed third-party medical testing institutions to broaden its customer base in China[30]. Shareholder Information - As of June 30, 2021, Dr. Liang holds 55,231,640 shares of domestic shares, representing 20.19% of the company's equity[73]. - Dr. Liang also has controlled corporation interests amounting to 36,090,379 shares, which is 13.19% of the company's equity[73]. - Mr. Xu holds 22,196,511 shares of domestic shares through controlled corporations, accounting for 8.11% of the company's equity[74]. - The total issued share capital of the company as of June 30, 2021, is 273,526,000 shares[75]. - The company raised approximately HKD 1,898.7 million (equivalent to RMB 1,584.1 million) from its initial global offering[98]. Regulatory and Compliance - The company expects to receive regulatory approval for the PGT-M and PGT-SR kits from the National Medical Products Administration in 2022 and 2024, respectively, solidifying its market leadership in China's third-generation IVF genetic testing[13]. - The company has complied with all applicable corporate governance code provisions since its listing date[94]. - The independent auditor's review confirmed that the interim financial report was prepared in accordance with International Accounting Standard 34[110]. Employee and Operational Costs - Employee compensation costs totaled RMB 26.3 million for the six months ended June 30, 2021, compared to RMB 13.9 million for the same period in 2020[35]. - Sales and distribution expenses grew from RMB 4.5 million for the six months ended June 30, 2020, to RMB 29.1 million for the six months ended June 30, 2021, mainly due to increased sales expenses and an expanded marketing team[50]. - Administrative expenses rose from RMB 4.9 million for the six months ended June 30, 2020, to RMB 18.2 million for the six months ended June 30, 2021, primarily due to talent recruitment and impairment losses on trade and other receivables[51]. Impact of COVID-19 - The company has not experienced significant adverse impacts from the COVID-19 pandemic on its business or financial performance as of the report date[38].

Financial Performance - Total revenue for 2020 was RMB 81,109,000, representing a 45.7% increase from RMB 55,685,000 in 2019[11] - Gross profit for 2020 was RMB 27,714,000, with a gross margin of 34.2%[11] - The company reported a net loss of RMB 877,959,000 for 2020, compared to a net loss of RMB 533,997,000 in 2019[11] - The total equity attributable to shareholders was RMB 281,335,000, a significant recovery from a negative equity of RMB (945,896,000) in 2019[11] - The company's revenue increased by 45.7% from RMB 557 million in 2019 to RMB 811 million in 2020, primarily due to the growth in revenue from genetic testing solutions[56] - Sales costs rose by 81.4% from RMB 294 million in 2019 to RMB 534 million in 2020, mainly due to increased procurement costs for NIPT and MGD reagent kits[57] - Gross profit increased from RMB 263 million in 2019 to RMB 277 million in 2020, but the gross margin decreased from 47.1% to 34.2% due to lower margins on distributed NIPT and MGD kits[58] - R&D expenses surged by 73.4% from RMB 199 million in 2019 to RMB 345 million in 2020, driven by increased clinical trial costs and personnel expenses[67] - Administrative expenses significantly increased from RMB 80 million in 2019 to RMB 252 million in 2020, primarily due to a rise in employee costs and expenses related to the IPO[61] - The company recorded a loss from discontinued operations of RMB 57 million in 2019 and RMB 38 million in 2020, following the sale of several medical testing businesses[71] - Other income decreased by 29.5% from RMB 40 million in 2019 to RMB 28 million in 2020, mainly due to a reduction in government subsidies received[59] - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the fiscal year 2020, representing a growth of 15% compared to the previous year[92] - The company reported a significant increase in revenue, achieving a total of 22 million in 2020, representing a growth of 15% compared to the previous year[108] Market and Product Development - The company aims to innovate in gene technology and has registered the first third-generation gene testing product in China[15] - The company is focused on expanding its market presence in the assisted reproductive technology sector[15] - The company plans to leverage its technological advancements to improve health outcomes for families struggling with infertility[15] - The company emphasizes its mission to ensure that no child in China faces difficulties in being born healthy[15] - The company's third-generation IVF genetic testing product has received national Class III medical device registration, marking the official entry of third-generation IVF technology into a regulated era in China[17] - The PGT-A kit, the first and only approved pre-implantation genetic testing kit in China, was registered in February 2020, establishing the regulated third-generation IVF market[20] - The company is developing two additional PGT products, PGT-M and PGT-SR, expected to receive registration approvals in 2022 and 2024 respectively, which will enhance its market position in the PGT field[21] - The PGT-M kit offers a standardized solution for single-gene defects, reducing result generation time from approximately two months to about two weeks, thus lowering testing costs for patients[21] - The PGT-SR kit aims to provide a standardized commercial product for chromosome structural rearrangements, with a significant market potential and reduced result generation time from three to six months to two weeks[21] - The company has expanded its product range to cover the entire reproductive cycle, developing innovative devices and instruments to improve workflow in molecular genetic laboratories[22] - The company plans to continue its commitment to research and development across the entire reproductive cycle, striving to create a comprehensive industry chain platform[17] - The company is positioned as an innovative platform in the broader reproductive genetics market, leveraging its core advantages in the PGT field[22] - The company aims to contribute to the health of future generations by helping families conceive healthy babies, reinforcing its mission in the reproductive health sector[17] - The company is the only one in China with a comprehensive product portfolio covering all key stages of the reproductive cycle[27] Operational and Strategic Initiatives - The company has completed clinical trials involving 3,362 families, demonstrating its commitment to regulatory compliance and product development[15] - The company maintains a rational and optimistic attitude towards the reproductive industry, focusing on addressing market pain points while aiming for substantial market growth[17] - The company plans to expand its coverage and penetration in licensed hospitals and reproductive clinics across China, aiming to enhance customer loyalty and lay the foundation for offering additional products[37] - The company has sufficient working capital to maintain financial stability, with cash and cash equivalents amounting to RMB 192.3 million as of December 31, 2020[47] - The company successfully acquired land use rights for an industrial site in Suzhou, Jiangsu Province, for a total price of RMB 7.96 million, covering an area of 21,626.14 square meters[48] - The company plans to collaborate with licensed third-party medical testing institutions to expand its customer base in China[37] - The company’s internal R&D team has resumed work, and R&D activities are proceeding as planned despite the impact of the COVID-19 pandemic[44] - The company has not experienced significant adverse effects on its business or financial performance due to the COVID-19 pandemic, and it does not anticipate long-term impacts on its operations[43] - The company aims to provide comprehensive solutions to increase the sales proportion from hospitals and clinics, targeting other medical specialties such as neonatology and pediatrics[37] - The company has implemented new operational strategies aimed at improving customer service, which is expected to increase customer satisfaction ratings by 15%[103] - The management team emphasized the importance of regulatory compliance and quality assurance in all new product developments to maintain market trust[95] Corporate Governance - The company has adopted a new corporate governance framework to ensure compliance and enhance shareholder value, effective from the listing date[116] - The management team has emphasized the importance of maintaining high standards of corporate governance, with ongoing reviews to adapt to market conditions[116] - The company has confirmed compliance with all applicable corporate governance codes since its listing, ensuring transparency and accountability[119] - Independent non-executive directors have been appointed to ensure a balanced board structure, meeting regulatory requirements[119] - The board of directors has a term limit of three years, with re-election possible upon term completion[121] - The company emphasizes board diversity, considering factors such as professional experience, gender, and age in candidate selection[127] - The board consists of members aged between 31 and 68, ensuring a balanced mix of knowledge and skills[129] - Independent non-executive directors are responsible for maintaining high standards of regulatory reporting and providing independent judgment[125] - The company has implemented measures to promote gender diversity at all levels, including the appointment of a female Chief Financial Officer[128] - Directors are required to participate in ongoing professional development to ensure informed contributions to the board[131] - The company has established three committees: Audit Committee, Remuneration and Nomination Committee, with defined powers and responsibilities[135] - The board will continue to seek suitable female candidates for directorships within one year post-listing[128] - The company provides liability insurance for directors and senior management against legal actions arising from company affairs[130] - The nomination committee evaluates the skills and experience required for board efficiency and identifies suitable candidates[122] - The Audit Committee reviewed the audited annual performance for the year ended December 31, 2020, and confirmed that the financial statements were prepared in accordance with applicable accounting standards and regulations[139] - The Audit Committee held one meeting during the reporting period, with all members present[139] - The Compensation and Assessment Committee reviewed the group's compensation policy and the remuneration of executive directors and senior management during the reporting period[143] - The Compensation and Assessment Committee also held one meeting during the reporting period, with all members present[143] - The Nomination Committee reviewed the independence of independent non-executive directors and the composition of the board during the reporting period[148] - The Nomination Committee held one meeting during the reporting period, with all members present[148] - The company has established an Audit Committee, Compensation and Assessment Committee, and Nomination Committee in compliance with corporate governance codes[140][145][149] - The company encourages directors to participate in continuous professional development to enhance their knowledge and skills[150] - The board is composed of three executive directors, three non-executive directors, and three independent non-executive directors[152] - The board is required to hold at least four regular meetings annually, with most directors expected to attend in person or participate actively via electronic communication[153] - The company held one board meeting from the listing date to the report date, approving the full-year performance for the year ended December 31, 2020[154] Risk Management and Financial Stability - The company has established a comprehensive internal management and control system to ensure normal business operations[180] - The company’s financial statements for the year ending December 31, 2020, were reviewed and deemed to accurately reflect its financial condition and operating performance[178] - The company plans to enhance supervision of its financial situation in 2021 to protect the rights of the company and its shareholders[183] - The company faces risks related to maintaining relationships with key business partners, which could adversely affect its operational performance and outlook[193] - The company relies on third-party promoters for marketing and promoting its products, with no guarantee of successfully expanding its sales network[194] - The company has incurred substantial net losses since its establishment and anticipates continued losses, potentially hindering its ability to achieve or maintain profitability[197] - The company’s financial outlook is heavily dependent on the success of its product portfolio, which poses a risk to its financial stability[199] - The company has appointed KPMG as the external auditor for the year ended December 31, 2020[162] - The company reported a total audit fee of RMB 2,011,000, which includes RMB 1,711,000 for audit services and RMB 300,000 for non-audit services related to internal control consulting[163]