Core Viewpoint - HeXin Instruments, known as the "first stock in mass spectrometry," reported a significant decline in revenue and continued losses, raising questions about its long-term stability and ability to navigate through industry challenges [1][2]. Financial Performance - In 2024, HeXin Instruments achieved revenue of 203 million yuan, a year-on-year decrease of 44.7%, and a net profit attributable to shareholders of -45.99 million yuan, although the loss margin has narrowed [1][2]. - The company has experienced three consecutive years of losses since 2022, with revenues of 280 million yuan in 2022, 366 million yuan in 2023, and 203 million yuan in 2024, alongside net losses of -63.33 million yuan, -96.11 million yuan, and -45.99 million yuan respectively [2]. Business Strategy and Adjustments - In response to market changes, HeXin Instruments adjusted its sales strategy in 2024, focusing on key provinces and important markets while promoting star products and potential offerings [3]. - The company aims to reduce reliance on government procurement in the environmental monitoring sector and is actively pursuing technological breakthroughs and product layouts in medical and laboratory fields [3][8]. Workforce and Cost Management - HeXin Instruments underwent significant layoffs, reducing its workforce from 684 in 2023 to 276 in 2024, including a sharp decrease in R&D personnel from 102 to 43 [6]. - The total salary for R&D staff decreased by 60.96%, while the average salary increased from 321,800 yuan in 2023 to 423,600 yuan in 2024 [6][7]. Research and Development - R&D expenses decreased by 51.44% to 32.81 million yuan in 2024, as the company streamlined its resource allocation after achieving a comprehensive technology roadmap and product line [7]. - The mass spectrometry industry is characterized by high value-added and technology-intensive features, with significant barriers to entry due to the dominance of foreign manufacturers in the market [7][8]. Market Position and Competition - HeXin Instruments has established an industry advantage in environmental monitoring but faces intense competition and pressure reflected in its financial performance [8]. - The company is also competing with domestic manufacturers that are increasingly launching mass spectrometry products and enhancing R&D investments under government encouragement for domestic substitution [8].