Runda Medical(SH:603108) Mei Ri Jing Ji Xin Wen·2025-09-09 13:08Core Viewpoint - The case of Dong Hua, former head of the laboratory department at Gong'an County People's Hospital, highlights corruption in the medical procurement sector, involving two listed companies, Dahua Gene and Run Da Medical, with significant financial implications for the industry [1][2][3]. Company Summaries - Dong Hua was sentenced to 10 years in prison for bribery and 6 months for money laundering, with a total fine of 1 million yuan, after accepting bribes totaling 6.5 million yuan from five entities and individuals from 2010 to 2023 [1][2]. - Dahua Gene's regional director, Qiao Peng, and Hu Yingguo, the actual shareholder of Wuhan Run Da, were identified as bribers in the case, with Dahua Gene benefiting from sales of medical equipment and supplies to the hospital [1][3]. - Dahua Gene reported a revenue of 339 million yuan in the first half of 2025, a decrease of 15.44% year-on-year, with a net loss of 182 million yuan, although this represented a significant reduction in losses compared to the previous year [4][5]. - Run Da Medical's first half of 2025 revenue was 3.47 billion yuan, down 16.08% year-on-year, with a net loss of 121 million yuan, reflecting a 232.14% decline compared to the previous year [5]. - Both companies are facing challenges due to intensified competition in the in vitro diagnostics (IVD) industry, driven by ongoing centralized procurement policies and price adjustments, leading to declining demand and prices for testing services [4][5].