OBiO Tech(SH:688238) Jin Rong Jie·2025-07-22 10:59Core Viewpoint - He Yuan Bio disclosed a research meeting with investors, highlighting its focus on domestic clients and the growth in the cell and gene therapy sector despite challenges in the broader healthcare financing landscape [1][2]. Company Overview - He Yuan Bio hosted an event titled "I am a Shareholder - Walk into the Listed Company" on July 18, 2025, attended by over 10 investors [2]. - The company is led by key personnel including Chairman and General Manager Pan Oudong, and other executives participated in the discussions [1]. Financial Performance - In 2024, the company achieved revenue of 248.15 million yuan, a year-on-year increase of 21.16%, with specific growth in CRO and CDMO segments [4]. - For Q1 2025, revenue was 52.85 million yuan, a decline of 11.29% compared to the previous year, primarily due to a drop in CDMO revenue [4]. Client Distribution - The company primarily serves domestic clients, with plans to expand its CRO services to pharmaceutical enterprises and enhance its international presence in the CDMO sector [3]. Data Security Measures - He Yuan Bio emphasizes data security, having achieved ISO27001 certification and implementing robust data management and protection systems [5]. CDMO Dependency - The company noted that the complexity of new drug development increases reliance on CDMO services, with over 65% of gene therapy companies outsourcing production [6]. Competitive Advantages - He Yuan Bio possesses a comprehensive CRO/CDMO technology platform, advanced GMP production facilities, and a strong project management capability, which collectively enhance its competitive edge in the cell and gene therapy market [6][7][8]. Cash Flow Situation - In 2024, the company reported a net cash flow of -218.09 million yuan, with ongoing challenges in cash flow due to extended payment cycles from clients [9]. - As of Q1 2025, the company continued to experience negative cash flow but anticipates improvement with the recovery of the investment environment [9]. Accounts Receivable and Bad Debt - As of December 31, 2024, the company had accounts receivable of 85 million yuan, with a bad debt provision of 6.96 million yuan, indicating a low risk of bad debts due to a strong client base [9]. Market Trends - In H1 2025, global healthcare financing decreased by 10%, while financing in China's cell and gene therapy sector increased to approximately 409 million USD, reflecting a recovery in this niche market [9].