Core Viewpoint - The recent financial report of He Yuan Biological (688238) shows a modest increase in revenue and a reduction in net loss, indicating an improvement in profitability metrics despite ongoing challenges in cash flow and operational efficiency [1][10][11]. Financial Performance - Total revenue for the first half of 2025 reached 120 million yuan, a year-on-year increase of 6.01% [1] - The net profit attributable to shareholders was -10.5 million yuan, improving by 7.74% year-on-year [1] - Gross margin improved by 41.25% to -14.28%, while net margin increased by 13.24% to -87.17% [1] - Total operating expenses were 59.3 million yuan, accounting for 49.47% of revenue, a decrease of 13.11% year-on-year [1] Cash Flow and Financial Position - Cash and cash equivalents decreased by 40.95% due to stock buybacks and operational cash outflows [3] - Short-term borrowings increased by 192.23% to meet funding needs [3] - The net cash flow from operating activities improved by 22.8% due to reduced cash outflows for employee compensation and material procurement [8] Business Operations - The CRO business, focusing on cell and gene therapy, reported a revenue increase of 8.02% to 85.82 million yuan in 2024, with a growing customer base of over 12,800 research labs [12][13] - The company is expanding its CDMO services, with over 450 projects undertaken, including 4 Phase III clinical projects [15] Market and Competitive Landscape - The CDMO sector for cell and gene therapy is experiencing a high outsourcing penetration rate of 65%, indicating a reliance on specialized services due to the complexity of production processes [14] - The company is actively enhancing its market presence both domestically and internationally, focusing on innovative technology services to meet diverse customer needs [13] Shareholder Actions - A shareholder reduction plan was announced, with intentions to sell up to 6.49 million shares, representing 1% of the total share capital [21]

Core Viewpoint - He Yuan Bio reported a steady growth in revenue and advancements in AI technology to enhance research and development efficiency, positioning itself for rapid industry development [1][2][3] Financial Performance - In the first half of 2025, He Yuan Bio achieved operating revenue of 119.85 million yuan, a year-on-year increase of 6.01% [1] - The net profit attributable to the parent company, excluding non-recurring gains and losses, was -10.45 million yuan, a reduction in losses by 14.89 million yuan compared to the same period last year [1] Business Segments - The company’s CRO business in cell and gene therapy generated sales revenue of 40.70 million yuan, up 3.79% year-on-year [1] - The CDMO business maintained its leading position with sales revenue of 65.62 million yuan, remaining stable compared to the previous year [1] - He Yuan Bio assisted clients in obtaining 52 domestic and international IND approvals and undertook over 540 CDMO projects, including 5 Phase III clinical projects, with new CDMO business orders exceeding 90 million yuan in the year [1] R&D and Innovation - R&D investment for the first half of 2025 was 23.21 million yuan, accounting for 19.37% of operating revenue, with 2 new invention patent applications and 8 utility model patent applications [2] - The company overcame key technical challenges, such as the formation of packaging cell syncytia [2] AI Integration - He Yuan Bio is actively integrating AI technology to build an intelligent research and development system, enhancing efficiency in research and production [2] - The company developed a virus yield prediction model based on BERT, optimizing virus packaging scale and improving overall production efficiency [3] - An AI model for AAV virus vector optimization was created using generative AI, balancing high survival rates with functional mutations [3] Future Outlook - He Yuan Bio anticipates a stable and positive development trend, supported by sufficient order reserves, steady capacity release at the Lingang base, and deep integration of AI technology [3]

Core Viewpoint - He Yuan Bio disclosed a research meeting with investors, highlighting its focus on domestic clients and the growth in the cell and gene therapy sector despite challenges in the broader healthcare financing landscape [1][2]. Company Overview - He Yuan Bio hosted an event titled "I am a Shareholder - Walk into the Listed Company" on July 18, 2025, attended by over 10 investors [2]. - The company is led by key personnel including Chairman and General Manager Pan Oudong, and other executives participated in the discussions [1]. Financial Performance - In 2024, the company achieved revenue of 248.15 million yuan, a year-on-year increase of 21.16%, with specific growth in CRO and CDMO segments [4]. - For Q1 2025, revenue was 52.85 million yuan, a decline of 11.29% compared to the previous year, primarily due to a drop in CDMO revenue [4]. Client Distribution - The company primarily serves domestic clients, with plans to expand its CRO services to pharmaceutical enterprises and enhance its international presence in the CDMO sector [3]. Data Security Measures - He Yuan Bio emphasizes data security, having achieved ISO27001 certification and implementing robust data management and protection systems [5]. CDMO Dependency - The company noted that the complexity of new drug development increases reliance on CDMO services, with over 65% of gene therapy companies outsourcing production [6]. Competitive Advantages - He Yuan Bio possesses a comprehensive CRO/CDMO technology platform, advanced GMP production facilities, and a strong project management capability, which collectively enhance its competitive edge in the cell and gene therapy market [6][7][8]. Cash Flow Situation - In 2024, the company reported a net cash flow of -218.09 million yuan, with ongoing challenges in cash flow due to extended payment cycles from clients [9]. - As of Q1 2025, the company continued to experience negative cash flow but anticipates improvement with the recovery of the investment environment [9]. Accounts Receivable and Bad Debt - As of December 31, 2024, the company had accounts receivable of 85 million yuan, with a bad debt provision of 6.96 million yuan, indicating a low risk of bad debts due to a strong client base [9]. Market Trends - In H1 2025, global healthcare financing decreased by 10%, while financing in China's cell and gene therapy sector increased to approximately 409 million USD, reflecting a recovery in this niche market [9].

Group 1 - The core viewpoint is that He Yuan Bio is experiencing sustained policy support in the cell and gene therapy (CGT) sector, with indications expanding from tumors to multiple areas, despite a cautious investment environment [1] - The company's CDMO business is affected by a slowdown in investment, leading to short-term fluctuations in gross margin, but the long-term market potential remains significant, with gross margins expected to gradually recover [1] - The CRO business is showing steady growth, with an 8.02% increase in sales revenue and an expanding customer base, while actively exploring overseas markets [1] Group 2 - In the fourth quarter, sales and management expenses increased while R&D expenses decreased, with plans for multiple quality improvement measures in 2025 [1] - He Yuan Bio has established a wholly-owned subsidiary, He Yuan He Mei, in the field of regenerative medicine to achieve large-scale cell production and expand its CRO/CDMO full industry chain services [1] - The company has signed new orders exceeding 270 million, and the GMP capacity utilization rate at the Lingang industrial base continues to improve [1] Group 3 - The company aims to optimize its business model centered around underlying technology, expand into international markets, and strengthen strategic partnerships, aspiring to become a comprehensive service platform in the fields of cell gene therapy and regenerative medicine, with a focus on both domestic and global markets [1]

证券之星消息，2025年4月22日和元生物(688238)发布公告称公司于2025年4月18日召开业绩说明会，国 泰海通证券、鹏华基金、招商基金、华安基金、银河基金、上银基金、博远基金、招银国际基金、肇万 资产、长见投资、勤远资产、中金公司（601995）、混沌道然资产、保银投资、中信证券、申万宏源证 券（000562）、兴业证券、东方证券、浙商证券（601878）、华西证券（002926）、天风证券 （601162）参与。 具体内容如下： 问：目前国内CGT行业需求和供给的变化情况如何，处于什么阶段，未来景气度恢复情况怎样？ 答：从政策方面，国家和各地产业发展继续加大对细胞和基因治疗领域的支持力度，出台一系列政策和 产业支持措施。同时，监管部门出台的一系列指南对于药物开发进一步规范，保障了行业长期健康发 展，促进了创新药对于高水平、高规格的CRO/CDMO需求。从技术和管线进度看，细胞和基因治疗领 域的相关产品正大规模走向临床，适应症从肿瘤领域向包括心血管、神经系统、血液学及自身免疫性疾 病等领域拓展。干细胞再生医学转化应用得到支持和推进，基因治疗商业化进程有里程碑式推进，如 2025年4月份，国内首款腺相 ...

Financial Data and Key Metrics Changes - Total annual revenues for 2024 reached $228.4 million, aligning with expectations, representing a significant increase from the previous year [10] - Gross margin improved to 45.8% in Q4 2024 from 40.6% in the same period last year, indicating effective cost management strategies [14][88] - The company aims to achieve positive adjusted EBITDA during 2025, with a focus on expanding gross margins and driving profitable revenue growth [14][65] Business Line Data and Key Metrics Changes - Life Sciences Services business accounted for 67% of total revenue in 2024, up from approximately 62% in the previous year, with double-digit growth in BioStorage and BioServices [10] - Revenue from commercial cell and gene therapies increased by 37% in Q4 and 20% for the full year, reflecting strong market demand [11] - The Life Sciences Products segment is showing signs of stabilization, with positive cash flow despite market downturns [12][136] Market Data and Key Metrics Changes - Cryoport supported a record total of 701 clinical trials by year-end, with a net increase of 26 trials over the previous year, indicating strong market presence [11] - The company anticipates 23 VLA or MMA filings in 2025, a significant increase from 11 in the previous year, suggesting robust growth in the cell and gene therapy sector [18][19] Company Strategy and Development Direction - The company is focused on expanding its market share in the cell and gene therapy industry and has opened new facilities for its IntegriCell cryopreservation solution [15][19] - Strategic collaborations are being sought to complement growth plans and enhance revenue streams [20] - The introduction of the Cryoport Express Cryogenic CXHV3 shipping system aims to improve patient accessibility to vital cell therapies [17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges faced in 2024 due to macroeconomic conditions but expressed confidence in the company's ability to adapt and grow [9][136] - The outlook for 2025 is optimistic, with expectations for continued growth in clinical trials and commercial revenue [19][42] Other Important Information - The company has implemented cost management initiatives to align operations with current industry dynamics, resulting in improved gross margins [13][14] - The IntegriCell initiative is expected to generate significant revenue in the future, although initial contributions will be modest due to regulatory processes [16][98] Q&A Session Summary Question: Drivers of the 37% increase in commercial revenue - The increase was broad-based, driven by advancements in earlier line approvals and contributions from multiple commercial clients [24] Question: Stability in the MVE side of the business - Order patterns are showing signs of stability, and management is optimistic about continued progress in 2025 [27] Question: Expectations for service versus product growth in 2025 - Services are expected to grow faster than life sciences products, with a focus on bio-storage and bio-services [33] Question: Impact of tariffs on costs - Tariffs on aluminum and stainless steel are considered, but management does not expect a significant impact on margins [36][38] Question: Clinical trial growth expectations for 2025 - Management anticipates continued strong performance in new trial acquisitions, expecting 2025 to be stronger than 2024 [42] Question: Revenue contributions from new therapies approved in 2024 - While specific contributions cannot be detailed, multiple new therapies are expected to contribute meaningfully to revenue [55] Question: Gross margin expansion drivers - The improvement in gross margins is primarily attributed to cost measures implemented in the second half of the year [87] Question: Revenue contributions from IntegriCell - Initial revenue contributions from IntegriCell are expected to be modest in 2025, with more significant contributions anticipated in 2026 [98] Question: Seasonality in commercial cell and gene therapy revenue - There are no specific seasonality concerns, although facility shutdowns may impact operations [110] Question: Overall market evolution for non-cell and gene therapy services - Modest growth is expected in the non-cell and gene therapy market, with continued growth in transportation and reproductive medicine sectors [120][123]