Core Viewpoint - Anno Yuda Gene Technology (Beijing) Co., Ltd. has submitted its IPO application but faces significant challenges, including continuous losses, a shrinking R&D budget, and a departure of its founding team [1][2][3]. Financial Performance - Anno Yuda has not achieved profitability since its establishment in 2012, with projected revenues of 435 million, 475 million, 518 million, and 269 million yuan for 2022, 2023, 2024, and the first half of 2025, respectively, reflecting a stable growth rate of around 10% [2]. - The company's net losses for the same periods are 117 million, 223 million, 136 million, and 30 million yuan, indicating persistent financial struggles [2]. - The adjusted net losses from 2022 to 2024 total approximately 94.46 million yuan, highlighting weak profitability in its core business [2]. R&D and Market Strategy - R&D expenditures dropped significantly from 73.7 million yuan in 2022 to 26.6 million yuan in 2024, a decline of 64%, while sales and distribution expenses surged by 84% [3]. - Anno Yuda holds a 12.1% market share in China's NIPT market, ranking third, but lags behind industry leader BGI with a 50.5% share [3][4]. - The company relies heavily on clinical sequencing solutions, which contributed 57.8%, 56.9%, and 63.6% of total revenue from 2022 to 2024 [4]. Product Development and Competition - Anno Yuda's product portfolio is limited, with only three Class III IVD products and two Class II bioinformatics analysis software approved, while 12 IVD products are in development [4]. - The company’s focus on a single product structure poses growth limitations, especially compared to competitors like BGI and Berry Genomics, which have diversified product lines [4]. Management Changes and Valuation - The departure of key founding members raises concerns about future product development, as they were instrumental in the R&D of core products [7]. - Anno Yuda's valuation reached 4.049 billion yuan in its last financing round, but its estimated market value post-IPO is projected to be between 1 billion and 1.4 billion yuan, significantly lower than its pre-IPO valuation [8].

Core Insights - The five-year survival rate for breast cancer patients can reach nearly 90% if detected early, while the rate drops to less than 30% for late-stage patients [8] Group 1: Breast Cancer Statistics and Trends - The five-year survival rate for breast cancer in China has gradually increased, exceeding 60% recently, but the early diagnosis rate still lags behind developed countries due to insufficient screening precision [2][3] - The incidence of breast cancer among women in China is rising, particularly in the age groups of 30 and below, and 35 to 45 years old [3][4] - Over 20% of breast cancer patients are diagnosed at late stages (III-IV) [4] Group 2: Screening and Diagnosis - The "Two Cancers" screening program (breast and cervical cancer) is included in basic public health services for women aged 35-64, but awareness and participation in screening among younger women are still low [2][5] - Current screening methods, including breast ultrasound and mammography, have shown high detection rates, with early detection rates in underdeveloped regions reaching 71% [4] - The precision of screening needs improvement, especially for younger women who may not prioritize regular check-ups [5] Group 3: Technological Innovations - Advances in imaging technology and the integration of AI in diagnostic processes are enhancing the accuracy of early breast cancer screenings [6][7] - Genetic testing and AI risk assessment technologies are becoming crucial for high-risk populations, particularly those with mutations in BRCA1 and BRCA2 genes [7] Group 4: Clinical Benefits of Early Detection - Early detection of breast cancer significantly improves clinical outcomes and societal benefits, with a stark contrast in survival rates between early and late-stage diagnoses [8]

Core Viewpoint - Obesity is a chronic metabolic disease that poses significant health risks, including diabetes, coronary heart disease, and stroke. It is essential to recognize the complex nature of obesity beyond simple lifestyle factors and to adopt a comprehensive approach to its management [4][21]. Summary by Sections Understanding Obesity - Obesity is often misunderstood as merely a result of personal behavior, but it is influenced by societal changes and has become a significant health issue in China, which has the fastest-growing obesity rates globally [4][6]. - The World Health Organization defines obesity with a BMI threshold of ≥30.0 kg/m², while Chinese guidelines set it at ≥28 kg/m², reflecting local health characteristics [7]. Health Risks Associated with Obesity - Obesity can lead to severe health issues, including a 6 to 14-year reduction in life expectancy. It is linked to increased risks of type 2 diabetes, hypertension, and psychological disorders [6][21]. - The importance of maintaining a healthy BMI (18.5-23.9 kg/m²) is emphasized as a critical factor in preventing chronic diseases [6]. Classification of Obesity - Obesity is not a single disease but has various classifications based on genetic, metabolic, and anatomical factors. This includes primary and secondary obesity, as well as classifications based on fat distribution and metabolic health [7][12]. - The evolution of obesity classification reflects a deeper understanding of its underlying causes, necessitating tailored treatment strategies for different obesity types [7][12]. Specific Conditions Related to Obesity - **Hypothyroidism**: Symptoms include weight gain, fatigue, and cold intolerance, often misattributed to general health issues, leading to delayed diagnosis [8]. - **Cushing's Syndrome**: Characterized by excessive cortisol levels, leading to central obesity and other systemic effects. Early recognition of symptoms is crucial for effective management [10][11]. - **Polycystic Ovary Syndrome (PCOS)**: Affects a significant portion of women in China, with high rates of hyperandrogenism leading to abdominal obesity and insulin resistance [12]. - **Genetic Obesity**: Rare but significant, often linked to specific genetic mutations affecting metabolic pathways. Early genetic testing is recommended for individuals with early-onset obesity [13][15][16]. Contributing Factors to Obesity - **Medication-Induced Obesity**: Certain medications, including diabetes treatments and psychiatric drugs, can lead to weight gain, highlighting the need for careful medication management [18]. - **Psychological Factors**: Increased anxiety and depression in modern society contribute to unhealthy eating behaviors and sedentary lifestyles, exacerbating obesity rates [19]. - **Endocrine Disorders**: Conditions like hypogonadism can complicate obesity management, necessitating a comprehensive evaluation of hormonal health [20]. Conclusion - Recognizing obesity as a chronic condition requiring long-term management is vital. A scientific understanding of its multifaceted nature can help in developing effective intervention strategies to prevent related health complications [21].

Core Insights - AI technology has the potential to transform traditional gene testing diagnostic processes [1] - The collaboration between KingMed Diagnostics, Tencent, and Guangzhou Medical University aims to develop a multi-modal AI model for accurate and accessible gene mutation predictions for cancer patients [2][5] Group 1: Traditional Gene Testing Challenges - Traditional tumor gene testing is expensive, with costs ranging from 15,000 to 20,000 yuan, making it unaffordable for many patients [4] - The waiting time for traditional gene testing can take 7 to 14 days, during which patients' conditions may deteriorate, delaying treatment and reducing survival rates [4] - There is a lack of gene testing capabilities in most hospitals outside of top-tier institutions, limiting access for patients [4] Group 2: AI Model Development and Validation - The AI model "DeepGEM" has been developed to predict lung cancer gene mutations using routine tissue pathology images, achieving a prediction accuracy of 78% to 99% within one minute [5] - A larger-scale validation of the DeepGEM model is planned for 2025 in collaboration with KingMed Diagnostics [5] - The partnership aims to expand the model's application in lung cancer gene identification and explore its capabilities in other cancer types [5] Group 3: Future Directions and Goals - KingMed Diagnostics emphasizes the importance of AI in transforming traditional diagnostic processes, providing timely guidance for urgent cases and affordable diagnostic pathways for patients without access to expensive testing [6] - The collaboration aims to create a new paradigm in smart medical testing, with aspirations to extend beyond cancer diagnostics to rare and complex diseases [6]

香港聯合交易所有限公司及證券及期貨事務監察委員會對本申請版本的內容概不負責，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申請版本全部或任何部分內容而產生或依賴該等內容而引致的任何損 失承擔任何責任。 Annoroad Gene Technology (Beijing) Co., Ltd. 安 諾 優 達 基 因 科 技（ 北 京 ）股 份 有 限 公 司 （「本公司」） （於中華人民共和國註冊成立的股份有限公司） 的申請版本 警告 本申請版本乃根據香港聯合交易所有限公司（「聯交所」）及證券及期貨事務監察委員會（「證監會」）的要求而刊 發，僅用作提供資訊予香港公眾人士。 本申請版本為草擬本，其內所載資訊並不完整，亦可能會作出重大變動。 閣下閱覽本文件，即代表 閣下知 悉、接納並向本公司、其相關保薦人、整體協調人、顧問或包銷團成員表示同意： 倘在適當時候向香港公眾人士提出要約或邀請，有意投資者務請僅依據於香港公司註冊處處長登記的本公司招 股章程作出投資決定。該文件的文本將於發售期內向公眾人士派發。 (a) 本文件僅向香港公眾人士提供有關本公司的資料，概無任何其他目的。投資者不應根據本文件中的資料作 ...

Core Viewpoint - The resignation of Xiong Hui, the chairman of Ruian Gene, raises concerns about the company's leadership and ongoing operations, although she remains the actual controller of the company [3][4]. Group 1: Leadership Changes - Xiong Hui has resigned from her positions as chairman, director, general manager, and core technical personnel due to personal reasons, but will continue to hold other roles within the company [1][3]. - Gao Shangxian, Xiong Hui's husband, will take over the chairman position following her resignation [3]. Group 2: Legal Issues - Xiong Hui and other key personnel have been subjected to criminal detention for alleged fraud, with the case currently under review by the prosecution [2][6]. - The legal troubles may be linked to a fraud case involving AstraZeneca, where there were allegations of falsifying genetic testing reports for insurance reimbursement [6][7]. Group 3: Company Background - Ruian Gene, established in 2012, specializes in the research, production, and sales of in vitro diagnostic products, focusing on precision testing for blood diseases, solid tumors, and infectious diseases [4]. - The actual controllers of the company include Xiong Hui, Gao Shangxian, Xiong Jun, and Gao Ze, collectively holding 30.62% of the company's shares [4]. Group 4: Financial Performance - In the first half of 2025, Ruian Gene reported a revenue of 105 million yuan, a decrease of 22.29% year-on-year, and a net profit attributable to shareholders of 3.55 million yuan, down 61.46% year-on-year [7].

Financial Data and Key Metrics Changes - The company has been focused on driving utilization, ensuring strong reimbursement coverage, and reducing turnaround times and costs to open up access [4] - The gross margin for chromosomal microarray tests has improved to 40% - 50% from previously being negative [16] Business Line Data and Key Metrics Changes - GeneDx has diagnosed more children with rare diseases than any other company globally, with a data asset of over 3 million patients and more than 850,000 exomes and genomes [3][4] - The company is expanding its focus from expert medical geneticists to include pediatric neurologists, immunologists, and other specialists to reduce the average age of diagnosis from five years to potentially three years [12][19] Market Data and Key Metrics Changes - There are approximately 600,000 children diagnosed with developmental delay or intellectual delay, with 60,000 general pediatricians involved in diagnosing these conditions [15] - The company aims to penetrate the general pediatrician market, which has not been actively targeted in recent years, through education and improved customer experience [17][19] Company Strategy and Development Direction - The company aspires to become a household name in genetic testing, aiming to reduce the time it takes for children with rare diseases to receive accurate diagnoses [2] - The recent updates to guidelines by the American Academy of Pediatrics present a significant opportunity for the company to shift the standard of care for children [12][18] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges of changing clinician behavior post-guideline publication, estimating an 18 to 24-month timeframe for significant shifts in general pediatrician ordering behavior [20][22] - The company is excited about the potential impact of its testing on families struggling with undiagnosed children, highlighting the associated mental health issues for parents [18] Other Important Information - The acquisition of Fabric Genomics is expected to enhance the company's interpretation capabilities and expand its reach into international markets without the need for extensive capital investment [39][40] - The company is also focusing on the biopharma sector, matching patients to clinical trials and FDA-approved therapies, which is becoming a higher priority [42][44] Q&A Session Summary Question: What is the anticipated mix between two-day and five-day tests? - The company charges more for ultra-rapid testing ($5,000 to $7,000) compared to the five-day turnaround tests, which are priced lower [32] Question: What is the size of the volume base that could be converted from pediatricians? - The company is focusing on the 25,000 general pediatricians actively diagnosing developmental or intellectual delays, expecting some to begin ordering tests from GeneDx [15][22] Question: How will the rollout of Epic integrated systems progress? - The company targets 12 Epic integrations by the end of the year, with five currently active, and aims to expand to more than 800 level three and four NICUs [24][27] Question: What are the expectations for NICU contributions in the back half of the year? - The company anticipates a couple of thousand tests mainly in the fourth quarter from the NICU segment [30][31] Question: What is the company's strategy for the biopharma business? - The biopharma business is becoming a priority, with efforts to raise awareness and match patients to clinical trials, leveraging the company's data [42][44]

Financial Data and Key Metrics Changes - The company recorded a consolidated pro forma turnover of approximately $1,570 million, marking a 20% increase compared to the same period in 2024 [5] - Pro forma EBITDA advanced by 21%, reaching around $234 million, resulting in a margin of 16.1% [11] - Gross sales increased by 20.3%, reaching around $1,670 million, while operating profit increased by 17.7% to approximately $92.3 million [11] - Pro forma net loss was reported at $4.2 million due to significant foreign exchange losses [11][18] Business Line Data and Key Metrics Changes - Clinics accounted for 37% of total sales, with a 20% growth driven by a 13% rise in the number of visits and a 6% increase in average fees [13] - Hospitals represented about 28% of total sales, growing by 38% due to increased patient numbers and higher average fees [15] - Laboratories accounted for 11% of total sales, posting an 18% year-on-year growth driven by a 21% increase in lab tests performed [15] - Corporate accounts remained largely flat, with a 1.2% decline in subscriptions offset by a 0.9% increase in average fees [16] Market Data and Key Metrics Changes - The dental services market contracted, with a 5.5% decline in sales, attributed to increased competition and market dynamics [14] - The pharmacy segment grew by 13%, driven by a 22% increase in average spend per client [16] - The overall market for medical services is influenced by purchasing power, particularly for elective services [17] Company Strategy and Development Direction - The company is focusing on strategic investments in technology and innovation, particularly in robotic surgery and AI integration [6][10] - There is a commitment to expanding genetic testing and sequencing projects to enhance access to personalized medicine [9][11] - The company plans to maintain a low capital expenditure approach in the short term, prioritizing operational efficiency [10][21] Management's Comments on Operating Environment and Future Outlook - Management expects to maintain a stable trajectory while adapting to the evolving macroeconomic environment [9] - The company is closely monitoring potential impacts on purchasing power due to recent fiscal measures [9][17] - There is confidence in achieving budget targets for the full year, despite challenges from foreign exchange losses [38] Other Important Information - The company completed several acquisitions to strengthen its market position, including RoutineMed Group and All Clinic [6] - A significant investment of over €2 million was made in diagnostic infrastructure, enhancing the company's capabilities [8] - The net debt to pro forma EBITDA ratio remains stable at 3.72% as of June 2025 [18][19] Q&A Session Summary Question: What is the negative EBITDA from new hospital units and their breakeven timeline? - Management indicated that two large hospitals are close to breakeven, with expectations for positive results by the end of the year [22][23] Question: What is the estimated impact of VAT on costs? - The estimated impact of a 2% to 3% VAT increase is around €2 million per year, which is not considered significant [26][27] Question: What are the expectations for capital expenditures? - Capital expenditures are expected to remain low, with no significant investments planned for the third or fourth quarters [28][30] Question: How will rising energy costs affect the company? - Management does not foresee a major impact from rising energy costs, estimating a potential annual impact of €1 to €2 million [35][36] Question: What is the outlook for personnel expenses and public sector salary caps? - Recent government measures are expected to positively impact personnel expenses, with more doctors from the public sector willing to negotiate [42] Question: How does management plan to address currency risk? - Management is actively monitoring currency risks and has strategies in place to mitigate potential impacts [45][46]

Group 1: Business Performance and Financials - In the first half of 2025, the company recorded a credit impairment loss of 116 million yuan due to extended payment cycles and decreased payment capabilities of some clients [6] - The company has established a specialized accounts receivable management team to improve cash flow and reduce future impairment risks [6] - The company aims to narrow the credit impairment provision ratio back to normal industry levels as client payment efficiency improves [6] Group 2: Cancer Screening and Diagnostics - The company has completed over 2.35 million fecal DNA methylation tests for colorectal cancer screening [8] - The company is expanding its screening services to include gastric cancer, liver cancer, and endometrial cancer, with plans for regulatory approval [8] - The company is developing non-invasive screening technologies that assess ctDNA status and dynamic changes, enhancing clinical applications [16] Group 3: Consumer Health Products - The company has launched over 30 consumer health products, focusing on fertility and chronic disease management, allowing customers to perform home tests [4] - The i99 Smart Health System offers a comprehensive health management model, integrating precise detection, scientific assessment, and dynamic monitoring [5] - The company is transitioning health management from "passive treatment" to "active prevention" with various health management solutions [4] Group 4: International Expansion - The company secured a 9.5 billion yuan contract for external testing services in Saudi Arabia, marking the largest procurement order to date [12] - The company is collaborating with Thailand's public health department to include non-invasive prenatal testing (NIPT) in government insurance coverage [13] - The company has completed over 100 technology transfer projects in 36 countries, enhancing local healthcare capabilities [14] Group 5: Research and Development - The company is increasing R&D investments in tumor companion diagnostics and aims to respond to regulatory requirements and market demands [3] - The company is focusing on developing products for genetic diseases and chronic conditions, particularly targeting the elderly population [17] - The company has developed the GeneT model for genetic testing, significantly improving analysis efficiency and accuracy [17]

Group 1 - The core viewpoint emphasizes the importance of early prevention of chronic diseases through genetic testing and personalized health management [3][6]. - The article discusses the evolution of genetic testing technology and its applications in predicting risks associated with chronic diseases, tumors, and drug metabolism [2][6]. - It highlights the target audience for genetic testing, particularly those aged 30-60 with high stress, irregular diets, and family histories of chronic diseases [5][6]. Group 2 - The article introduces the concept of "invisible aging," suggesting that genetic factors can reveal hidden health risks and the importance of lifestyle interventions [7][12]. - It stresses that appearing young does not equate to being healthy, advocating for scientific testing and lifestyle changes to maintain youthfulness and mitigate health risks [12]. - The content outlines a series of live sessions scheduled for September, October, and November, focusing on health management and genetic testing [13].