Financial Performance - The company's operating revenue for 2021 was ¥290,951,595.17, representing a 2.11% increase compared to ¥284,925,965.97 in 2020[22]. - The net profit attributable to shareholders for 2021 was ¥47,332,599.14, a 22.26% increase from ¥38,713,469.94 in 2020[22]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥34,522,634.60, showing a slight increase of 0.79% from ¥34,252,757.14 in 2020[22]. - The net cash flow from operating activities for 2021 was ¥77,966,980.44, an increase of 11.20% compared to ¥70,111,641.75 in 2020[22]. - The net assets attributable to shareholders at the end of 2021 were ¥888,814,968.69, a 37.44% increase from ¥646,685,380.98 at the end of 2020[22]. - The total assets at the end of 2021 were ¥947,531,998.67, reflecting a 33.13% increase from ¥711,712,727.06 at the end of 2020[22]. - The company achieved a total revenue of RMB 290.95 million in 2021, representing a year-on-year growth of 2.11%[31]. - The sales of self-produced reagents reached RMB 223.47 million, an increase of 18.07% compared to the previous year[31]. - The company reported a significant increase in direct labor costs for self-produced reagents, rising by 78.28% to 209.04 RMB[127]. - The gross margin for self-produced reagents was 89.83%, despite a slight decrease of 0.54 percentage points year-on-year[123]. Research and Development - The company invested 23.59% of its operating income in R&D, a decrease of 2.51 percentage points from the previous year[23]. - R&D investment for 2021 was CNY 68.64 million, accounting for 23.59% of the revenue during the period[37]. - The company has developed multiple gene detection kits, including a 1,500 RMB EGFR mutation detection kit, which has completed clinical trials and is aimed at guiding targeted therapies[94]. - The company is focusing on expanding its product line, with new products such as a 2,000 RMB tumor methylation project and a 1,200 RMB lung cancer gene mutation detection kit currently in the registration phase[95]. - The company has established a strong technical advantage with advanced technologies like S-ddPCR and rapid FISH detection, enhancing its R&D capabilities[99]. - The company has developed a unique "primer-probe design database" and a matching "mix database" to support its proprietary technologies[84]. - The company has accumulated 31 patent authorizations as of December 31, 2021, including 29 invention patents and 2 utility model patents, with 38 new patent applications during the year[87]. - The company has established partnerships with authoritative molecular diagnostic laboratories and well-known hospitals to facilitate the rapid clinical application of advanced diagnostic technologies[85]. Market Position and Strategy - The company has established a leading position in the market with several unique or first-to-market molecular diagnostic kits, including those for leukemia and lymphoma[48]. - The company’s leukemia-related fusion gene testing kits have captured over 30% of the market share since their approval in 2012, establishing a strong presence in the field[55]. - The company is actively pursuing clinical trials and regulatory approvals for innovative medical devices to enhance its market position[155]. - The company is exploring potential mergers and acquisitions to strengthen its portfolio and drive innovation[190]. - The company is implementing new strategies to enhance customer engagement and retention[190]. - The company plans to enhance its sales strategy by targeting lower-tier hospitals that have established PCR testing capabilities post-COVID-19[176]. - The company is working to accelerate the approval process for its second-generation sequencing kits for diffuse large B-cell lymphoma in collaboration with major pharmaceutical companies[180]. Governance and Management - The board of directors and supervisory board members have confirmed the accuracy and completeness of the annual report[4]. - The company has established a governance framework consisting of the shareholders' meeting, board of directors, supervisory board, and senior management, ensuring clear responsibilities and coordinated operations[184]. - The company has maintained a stable board composition, with no changes in shareholding for key personnel during the reporting period[189]. - The total remuneration for the Chairman and General Manager, Xiong Hui, is 10,176,397 CNY, with no changes in shareholding during the reporting period[189]. - The company has a total of 10 directors and supervisors, with varying ages and terms, ensuring a diverse leadership team[189]. Risks and Challenges - The company has outlined potential risks in its management discussion and analysis section, advising investors to be cautious[4]. - The company faces risks related to new product development, including potential failures due to high costs and lengthy research cycles[106]. - The company’s financial performance may be impacted by the integration of acquired businesses and potential goodwill impairment[112]. - The company’s products are recognized for their quality, but there are risks associated with maintaining quality control as the business scales[110]. Future Outlook - Future guidance suggests an optimistic outlook with projected revenue growth of 359.65% for the upcoming fiscal year[190]. - The company is committed to making precision medicine affordable and aims to build a comprehensive patient database using AI and big data[173]. - The molecular diagnostics industry is projected to grow significantly due to aging populations and increased health awareness, presenting new opportunities for the company[172].

Financial Performance - The company's operating revenue for Q3 2021 was ¥72,937,626.80, representing a year-on-year increase of 5.20%[5] - The net profit attributable to shareholders for the same period was ¥17,807,204.65, an increase of 21.64% compared to the previous year[5] - Total operating revenue for the first three quarters of 2021 reached ¥208,957,521.99, a slight increase of 0.8% compared to ¥205,308,678.16 in the same period of 2020[22] - Operating profit for Q3 2021 was ¥39,777,053.58, up 28.1% from ¥31,085,789.13 in Q3 2020[23] - Net profit attributable to shareholders of the parent company for Q3 2021 was ¥42,736,350.75, an increase of 50.7% compared to ¥28,363,921.79 in Q3 2020[24] Research and Development - Research and development expenses totaled ¥21,157,140.03 in Q3 2021, accounting for 29.01% of operating revenue, which is an increase of 8.33 percentage points year-on-year[6] - The company has ongoing research and development efforts, focusing on new product innovations and technology advancements, although specific figures were not disclosed[16] - Research and development expenses for Q3 2021 totaled ¥53,941,908.56, slightly higher than ¥51,135,165.93 in Q3 2020, indicating continued investment in innovation[23] Assets and Liabilities - Total assets increased by 33.27% year-on-year, reaching ¥948,523,861.05 by the end of the reporting period[6] - Current assets totaled RMB 587,786,045.86, up from RMB 389,105,049.39, indicating a growth of about 50.9% year-over-year[17] - Total liabilities were reported at RMB 37,352,520.30, slightly down from RMB 37,523,882.79, indicating a decrease of about 0.5%[18] - Total liabilities increased to ¥52,773,196.26 in Q3 2021 from ¥49,924,013.97 in Q3 2020, reflecting a growth of 5.7%[23] - The total equity attributable to shareholders increased by 36.73% year-on-year, amounting to ¥884,218,721.21 by the end of the reporting period[6] - The company's total equity reached ¥895,750,664.79 in Q3 2021, up from ¥661,788,713.09 in Q3 2020, marking a significant increase of 35.3%[23] Cash Flow - The company reported a net cash flow from operating activities of ¥45,474,389.59 for the year-to-date period, which reflects a decrease of 8.40% year-on-year[6] - The company reported a net cash flow from operating activities of ¥45,474,389.59 for the first three quarters of 2021, down 8.8% from ¥49,646,134.13 in the same period of 2020[27] - Cash inflow from operating activities totaled ¥244,486,040.42 for the first three quarters of 2021, compared to ¥222,168,215.10 in the same period of 2020, an increase of 10%[27] - The net cash flow from investing activities was -228,225,662.57 RMB, compared to -22,527,416.84 RMB in the previous period[28] - The net cash flow from financing activities was 195,208,388.95 RMB, a significant increase from -10,848,100.00 RMB in the prior period[28] Government Support and Market Strategy - The company received government subsidies amounting to ¥6,585,520.84 during the reporting period, which contributed positively to the financial results[8] - The company is exploring market expansion opportunities, although detailed strategies and targets were not provided in the report[16] - There were no significant mergers or acquisitions reported during the quarter, with a focus on organic growth strategies[16] Earnings Per Share - The basic earnings per share for the year-to-date period was ¥0.32, reflecting a decrease of 8.57% compared to the same period last year[6] - The basic earnings per share for Q3 2021 was ¥0.89, compared to ¥0.68 in Q3 2020, representing a growth of 30.9%[24]

Financial Performance - The company reported a significant increase in revenue for the first half of 2021, with a year-on-year growth of 25%[1]. - The company's operating revenue for the first half of 2021 was approximately ¥136 million, a slight increase of 0.03% compared to the same period last year[22]. - Net profit attributable to shareholders for the first half of 2021 reached approximately ¥24.93 million, representing an increase of 81.64% year-on-year[22]. - The net profit after deducting non-recurring gains and losses was approximately ¥24.12 million, up 113.07% from the previous year[22]. - The net cash flow from operating activities was approximately ¥33.82 million, an increase of 58.33% compared to the same period last year[22]. - The company's total assets at the end of the reporting period were approximately ¥943.85 million, a 32.62% increase from the end of the previous year[22]. - The net assets attributable to shareholders at the end of the reporting period were approximately ¥866.41 million, reflecting a growth of 33.98% year-on-year[22]. - The basic earnings per share for the first half of 2021 was ¥0.57, a 72.73% increase compared to the same period last year[23]. - The weighted average return on net assets increased to 3.60%, up 1.37 percentage points from the previous year[23]. Research and Development - The company is investing heavily in R&D, with a budget increase of 20% for new technology development[1]. - R&D expenses decreased by 10.91% to ¥32,784,768.53 compared to the previous period, primarily due to reduced spending on COVID-19 reagent development[54]. - Total R&D expenses accounted for 24.10% of operating revenue, down from 27.06% in the previous period, reflecting a 2.96% decrease[54]. - The company has developed advanced technologies such as S-ddPCR and rapid FISH detection, which are essential for maintaining its competitive edge in the molecular diagnostics market[46]. - The company has a strong focus on R&D investment, which is crucial for sustaining its innovation and market leadership in molecular diagnostics[53]. - The number of R&D personnel increased to 110, up from 97, with R&D personnel accounting for 18.74% of the total workforce[61]. - The average salary of R&D personnel rose to 6.18 million RMB, compared to 5.17 million RMB in the previous period[61]. Product Development and Market Expansion - New product launches are expected to contribute an additional 10% to overall revenue in the upcoming quarters[1]. - The company is focusing on expanding its product offerings in the oncology diagnostics market, particularly for leukemia and related conditions[56]. - The company has registered several new products, including the TruDx 3000 microfluidic platform and various gene mutation detection kits, with expected regulatory approvals by the end of 2021[50]. - The company has established a health and disease immune profile database with nearly 30,000 cases, aiding in cancer early screening and generating revenue of ¥3.54 million[71]. - The company is actively pursuing regulatory approvals for new products, with several testing kits currently in the registration process[59]. Strategic Initiatives - Market expansion plans include entering two new international markets by the end of 2021[1]. - The company is considering strategic acquisitions to enhance its product portfolio and market presence[1]. - The company has acquired 100% stakes in Yuanqi Biology and Baitai Gene, and 51% stakes in Sitai Biological and Jite Biological, aiming to enhance business independence and product pipeline[78]. - The company plans to continue investing in innovative technologies and expanding its market presence through new product development and strategic initiatives[56]. Operational Efficiency - The management highlighted a focus on improving operational efficiency, aiming for a 15% reduction in costs by the end of the year[1]. - The operating cost decreased significantly by 41.86% to CNY 26,852,167.17, primarily due to the absence of high-cost COVID-19 testing services in 2021[81]. - Sales expenses increased by 39.51% to CNY 35,935,115.30, reflecting a recovery in marketing activities as the pandemic situation improved[81]. Risks and Challenges - The company has identified potential risks related to market competition and regulatory changes, which could impact future performance[1]. - The company faces risks related to new product development, including potential failures due to weak technical reserves and high R&D costs[75]. - The company is at risk of market competition intensifying due to the high growth and profit margins in the domestic in vitro diagnostic market, attracting many new entrants[78]. Environmental Compliance - The company has not faced any administrative penalties due to environmental issues during the reporting period[103]. - The company ensures that its wastewater meets the standards set by the "Discharge Standards for Wastewater into Urban Sewers" (GB/T 31962-2015) and is treated by municipal wastewater treatment plants[103]. - All hazardous waste generated is classified and stored in designated areas, with treatment handled by qualified vendors[104]. - The company has established hazardous waste storage areas in each production workshop, ensuring compliance with environmental regulations[105]. Shareholder Information - The lock-up period for shareholders of Ruian Gene is 36 months from the date of listing, during which they cannot transfer or manage their pre-IPO shares[112]. - The controlling shareholder intends to hold shares long-term to maintain control and will not reduce holdings below the IPO price within two years post-lock-up[118]. - The company has several shareholders with shares subject to lock-up until May 16, 2024[172]. - The total number of ordinary shareholders at the end of the reporting period was 5,096[175].