Summary of Madi Technology Conference Call Company Overview - Madi Technology has divested its photovoltaic business, resulting in a significant reduction in debt-to-equity ratio to 32.41%, indicating a substantial optimization of its financial structure [1][4] - The company operates in the medical information technology sector, covering 32 provinces and cities in China, serving over 2,400 hospitals [2][5] Key Achievements and Developments - Madi Technology has established high barriers in the medical information field, participating in the formulation of regional emergency data exchange standards and collaborating deeply with Huawei to create a regional emergency rescue network [2][5][6] - Since acquiring Haikou Mary Hospital in 2019, Madi Technology has achieved steady growth in asset scale, revenue, and profit through scientific management and optimized treatment plans [2][7] - The company’s health care robot won a silver award at the Shenzhen International Smart Elderly Care Industry Expo, indicating its commitment to exploring smart elderly care service robots [2][8] Financial Performance - In the first three quarters of 2025, Madi Technology reported revenue of approximately 220 million yuan, with a 63% decrease in operating costs compared to the previous year [4] - The total profit exceeded 38 million yuan, with a net profit attributable to shareholders of 34.27 million yuan, marking a turnaround from losses [4] - Operating cash flow increased by 128.11% year-on-year, significantly boosted by cash inflows from the divestiture of the photovoltaic subsidiary [4] Innovations and Collaborations - Madi Technology has launched an automated AED drone rescue solution in collaboration with Northwestern Polytechnical University, aiming to enhance medical rescue efficiency with a 4-minute emergency response circle [2][9][10] - The company is actively exploring the application of smart elderly care robots in various settings, addressing current challenges such as high costs and insufficient suitability for the elderly [2][8] Future Strategy - Madi Technology plans to continue promoting high-quality development in smart healthcare and drive industry integration, focusing on emerging fields such as low-altitude economy and health care robots [3][11] - The company aims to leverage AI intelligent services and the medical care market, integrating self-developed software platforms with AI models to create an efficient collaborative smart health care platform [3][11]

Core Viewpoint - The rapid development of health monitoring and caregiving robots is driven by the increasing demand for elderly care services, showcasing significant advancements in technology and policy support [14][22]. Industry Overview - The health and caregiving robot industry in China is entering a phase of accelerated growth, addressing the shortage of caregivers and representing a new driving force for the entire industry chain [14][16]. - The introduction of the world's first international standard for elderly care robots, implemented in February, marks a significant milestone in the industry [18]. Technological Advancements - Innovations in technology are enhancing the functionality of caregiving robots, with features such as environmental recognition, interactive communication, and emotional companionship being integrated into products [14][27]. - A new AI and smart health platform has been developed to address the challenges of processing vast amounts of health data, transitioning elderly care from reactive to proactive services [13][27]. Market Demand - By the end of 2024, the elderly population aged 60 and above in China is projected to reach 310 million, accounting for 22% of the total population, with expectations to exceed 400 million by 2035 [22]. - The increasing elderly population is driving the demand for smart caregiving robots, highlighting their practical and long-term value [22]. Challenges and Future Outlook - Despite the positive momentum, the industry faces challenges such as high costs, complex operations, and the need for breakthroughs in core technologies [23][25]. - Current mid-to-high-end caregiving robots are priced above 20,000 yuan, with some rehabilitation products exceeding 50,000 yuan, which may be unaffordable for many families [23][25]. - The industry is expected to see a reduction in costs for core components as demand increases, potentially making basic function robots more accessible to ordinary households within the next 3 to 5 years [25][29].

Core Viewpoint - The company has successfully turned around its financial performance by divesting from its photovoltaic business and focusing on its core medical information technology sector, leading to significant profit growth and improved operational efficiency [1][2]. Financial Performance - In the first half of 2025, the company achieved a net profit attributable to shareholders of 28.33 million yuan, a substantial increase of 137.11% year-on-year, marking a return to profitability [1]. - The company's asset-liability ratio has significantly decreased, and cash flow conditions have improved following the divestment of the photovoltaic business [2]. Business Structure - The core business of medical information technology remains stable, with ongoing innovation and expansion into new areas such as health care robots, which are currently in the scenario validation phase [2]. - The company has developed a comprehensive smart robot health care solution that integrates intelligent interaction, big data analysis, and health management, targeting elderly and rehabilitation patients [2]. Research and Development Investment - The company plans to invest 43.55 million yuan in new projects focused on innovative product development, including low-altitude medical rescue and smart medical service robots [3]. - An additional 130 million yuan is earmarked for upgrading products and services based on large model artificial intelligence technology, aiming to enhance the existing smart medical product system [3]. Strategic Focus - The company emphasizes that medical information technology remains its core value, having established applications in over 2,400 medical institutions across the country, which provides a strong foundation and competitive advantage [3]. - The company is strategically positioned in the auxiliary reproductive business, with its Haikou Mary Hospital being the second private hospital in Hainan to obtain a reproductive license, indicating a stable operation in a scarce market [4]. Synergy and Market Opportunities - The company is exploring synergies between its various business segments, leveraging data and technology to enhance overall competitiveness and core value [4]. - The strategic focus on health care robots and low-altitude emergency rescue aligns with national trends, providing significant market opportunities in elder care and rehabilitation [4].

Core Viewpoint - The company is focusing on developing integrated solutions in the fields of low-altitude rescue and health care robotics, leveraging its proprietary technology and addressing market challenges. Group 1: Company Developments - The company has launched a fully autonomous AED drone rescue solution, achieving a 4-minute emergency response time, which is an improvement over the traditional 15-minute response time with ambulances [2][4]. - The company is not manufacturing drones but providing comprehensive low-altitude rescue solutions, including software and control systems [2][4]. - The company is currently not involved in the brain-computer interface sector but is monitoring advancements in this area for potential applications in rehabilitation and human-computer interaction [2]. Group 2: Market Position and Challenges - The health care robotics industry is still in its early stages, facing challenges such as low public awareness, high costs, and a lack of standardized regulations [3]. - The company aims to build a smart health management platform that integrates intelligent interaction and health management, focusing on deep integration of software and hardware [3]. - The company is positioning itself as a leading player in low-altitude medical rescue, with plans to enhance urban emergency medical systems through its innovative solutions [3][4]. Group 3: Financial Insights - On August 8, the company’s stock closed at 15.05 yuan, down 1.51%, with a trading volume of 131,300 shares and a turnover of 198 million yuan [1]. - The net outflow of main funds on August 8 was 33.96 million yuan, accounting for 17.18% of the total turnover, while retail investors showed a net inflow of 31.15 million yuan, representing 15.76% of the total turnover [5][7].

Macro News - The State Council, led by Premier Li Qiang, emphasized the need to implement the "Artificial Intelligence +" initiative to promote large-scale commercial applications of AI [3] - The National Development and Reform Commission highlighted the importance of advancing the national unified market and reducing "involution" competition [3] Industry News - Nvidia's H20 computing chip has been reported to have serious security issues, leading to a meeting with the National Internet Information Office to discuss the risks associated with its sale to China [6] - The National Health Commission and the National Administration of Traditional Chinese Medicine released the 2025 version of the treatment plan for Chikungunya fever, which is transmitted by mosquitoes [6] - The Industrial and Commercial Bank of China has made combating "involution" competition a key focus for the second half of the year [6] - In the textile industry, from January to June, the industrial added value of large-scale textile enterprises grew by 3.1%, while total revenue decreased by 3.0% [6] - The domestic gaming market achieved actual sales revenue of 168 billion yuan in the first half of 2025, marking a year-on-year growth of 14.08% [6] - Major steel companies in China have initiated a "counter-speculation" action, suspending molybdenum iron purchases to address irrational price increases [6] - The National Medical Insurance Administration has developed a pricing mechanism for newly launched drugs, including costs related to brain-computer interface technologies [8] Company News - Daodaoquan announced a 563% year-on-year increase in net profit for the first half of the year, proposing a dividend of 1.76 yuan per share [10] - Xizang Tourism stated that it would apply for a trading suspension if significant abnormal trading continues [11] - Ding Tong Technology announced that its controlling shareholder plans to transfer 3% of the company's shares [12] - Ankai Micro announced the launch of the AK1037 series low-power lock control SoC chip [13] - Heng Rui Pharmaceutical received approval for clinical trials of its HRS-5041 tablet [14] - China Petroleum & Chemical Corporation (Sinopec) expects a net profit of 20.1 billion to 21.6 billion yuan for the first half of the year [17] Global Market - The three major US stock indices closed lower, with the Dow Jones down 0.74% and the Nasdaq down 0.03% [22] - WTI crude oil futures fell by 1.06% to $69.26 per barrel, while Brent crude oil futures dropped by 0.97% to $72.53 per barrel [22] - Apple's third-quarter revenue reached $94.04 billion, a year-on-year increase of 9.6% [22] Investment Opportunities - The smart elderly care robot industry is experiencing a surge in technological integration and application, with the market expected to reach 50 billion yuan by 2025 [24] - The 2025 Asia-Pacific Biopharmaceutical Cooperation Summit will focus on global collaborative innovation, with a sustainable outlook for the innovative drug sector [25] - AI glasses are anticipated to become a significant medium for AI applications, with global sales expected to reach 3.5 million units by 2025, a 230% year-on-year increase [26] - The demand for thermal management solutions is increasing due to the performance requirements brought by AI advancements [27][28]