SSSW(SH:688399) 2 1 Shi Ji Jing Ji Bao Dao·2025-09-08 13:18Core Viewpoint - The IVD industry is facing significant challenges, leading to salary reductions among executives and a general downturn in performance across the sector [2][4][7]. Company Summary - The company, Shuoshi Biological, has announced voluntary salary reductions for its executives due to ongoing economic and industry challenges, aiming to optimize operational costs and enhance management efficiency [2]. - The core executive team's salaries will be significantly reduced starting August 15, 2025, with the chairman's and general manager's salaries cut by 50% [4]. - The company's revenue for the first half of 2025 was 176 million yuan, a slight decrease of 1.05% year-on-year, while net profit dropped by 86.35% to 3.99 million yuan [4][5]. - The company experienced explosive growth during the pandemic, with revenue peaking at 5.535 billion yuan in 2022, but has since declined to 403 million yuan in 2023 and is projected to fall further to 349 million yuan in 2024 [4][5]. Industry Summary - The IVD industry has entered a downward cycle since peaking in 2022, with over 40 out of 60 publicly listed companies reporting declines in both revenue and net profit in the first half of 2025 [7]. - Price pressures from centralized procurement have significantly impacted profit margins, with average price reductions of 77% to 92% reported in certain regions [7]. - The implementation of mutual recognition of test results among medical institutions has reduced the demand for repeated testing, further decreasing the consumption of testing reagents [7]. - The company is exploring overseas markets as a potential solution to domestic challenges, with plans to establish international marketing teams and diversify sales channels [8]. - Despite a 31.32% year-on-year increase in overseas revenue to 693,420 yuan, it still represents only 3.95% of total revenue [8].