Core Viewpoint - Anxu Bio has demonstrated resilience in the IVD industry by achieving a 24% increase in net profit excluding non-recurring items and a staggering 1420.52% increase in operating cash flow, despite the overall industry downturn in the first half of 2025 [1][2][3] Financial Performance - Initial impressions from Anxu Bio's half-year report show a revenue decline of 7.42% and a net profit drop of 48.57%, which can be misleading [2] - The decline in net profit is attributed to macroeconomic factors such as currency fluctuations and reduced government subsidies, rather than poor business performance [2] - The company's net profit excluding non-recurring items reached 23.5862 million yuan, reflecting a year-on-year increase of 24.85%, indicating strong core business performance [2] Cash Flow and Operational Efficiency - Anxu Bio reported a net operating cash flow of 3.52 million yuan, which is 15 times that of the same period last year, highlighting its ability to convert profits into cash effectively [3] - The increase in cash flow is due to improved accounts receivable turnover and better inventory management, showcasing the company's operational efficiency [3] R&D Investment and Certifications - Anxu Bio invested 20.64% of its revenue in R&D, significantly higher than the industry average of around 15%, focusing on long-term barriers rather than short-term products [4] - The company has obtained a total of 1,728 product certifications, with 148 new certifications in the first half of 2025, including 133 international certifications, establishing a strong competitive edge [4] Global Market Position - Anxu Bio's revenue is 90% derived from overseas markets, allowing it to avoid the price pressures associated with domestic centralized procurement [6] - The stability of orders from clients in Europe, Southeast Asia, and the established certification barriers contribute to the company's secure revenue base [6] Domestic Market Expansion - The company is accelerating its domestic market strategy, launching significant products such as the "Respiratory Virus Antigen Detection Pen" and "Chest Pain Triad Pen," targeting urgent clinical needs [7] - Anxu Bio is transitioning from an OEM to a self-branded model, with a current gross margin of 39%, which is expected to increase as its brand penetrates the market [7] New Business Opportunities - Anxu Bio is exploring new growth avenues in pet diagnostics and chronic disease management, with the global veterinary IVD market growing at 10.5% annually [8] - The introduction of the GluMate app for chronic disease management aims to create a closed-loop service model, integrating testing, data, and healthcare services [8][9] Strategic Outlook - Anxu Bio's strategy combines defensive measures, such as high overseas revenue and extensive certifications, with offensive initiatives in domestic markets and new business segments [10] - The company's shift from a product-centric to an ecosystem-oriented business model is expected to enhance its valuation and open new growth opportunities [10]

Core Viewpoint - Hangzhou Anxu Biotechnology Co., Ltd. has demonstrated operational resilience amid challenges in the in vitro diagnostics (IVD) industry, including intensified centralized procurement and changes in the international trade environment, by actively adjusting its market strategies [1][3]. Financial Performance - In the first half of 2025, the company reported revenue of 230 million yuan and a net profit of 23.5862 million yuan after deducting non-recurring items [1]. Market Strategy - The company has adopted a "dual-wheel drive" strategy focusing on both international and domestic markets to address uncertainties in overseas markets, leading to a strong adaptability in overall operations despite performance fluctuations [1][3]. - In the domestic market, Anxu Biotechnology successfully obtained multiple medical device registration certificates, including for respiratory virus antigen detection and influenza virus antigen testing kits, targeting essential healthcare needs [1][2]. Business Expansion - The company has developed a dual-track model of "deepening B-end and breaking into C-end" by leveraging the "Anxu Ke" brand to expand into e-commerce, resulting in steady sales growth in home health management products [2]. - Anxu Biotechnology has established a "global network + localized service" system to strengthen its presence in traditional markets such as Europe, Oceania, Asia, and Africa, while also extending into emerging markets to mitigate single-market risks [2]. Diversification - The company is actively expanding into new fields while consolidating its traditional advantages in point-of-care testing (POCT). Its subsidiary, Taimengle, focuses on pet medical testing, developing over a hundred testing solutions for various infectious diseases and health monitoring [2]. - The company has launched the GluMate chronic disease management app, integrating existing POCT products into a comprehensive solution that includes hardware, software, and data services [2]. Industry Outlook - The global IVD market is projected to grow from $109.2 billion in 2024 to $135.1 billion by 2029, with strong growth expected in microfluidic technology and pet medical testing segments [3]. - Despite the overall pressure on the industry in the first half of 2025, the company has shown innovative vitality and resilience through its integrated supply chain, global layout, and diversified business strategies, laying a solid foundation for long-term healthy development [3].

Core Viewpoint - Anxu Bio maintains operational resilience amid challenges in the in vitro diagnostic (IVD) industry, reporting a slight revenue decline but significant profit growth in the first half of 2025 [1][2][3] Group 1: Financial Performance - The company's revenue for the first half of 2025 was 230 million yuan, a year-on-year decrease of 7.42% [1] - The net profit excluding non-recurring items reached 24 million yuan, reflecting a year-on-year increase of 24.89% [1] Group 2: Market Strategy - Anxu Bio has adopted a "dual-wheel drive" strategy focusing on both domestic and international markets to counteract external uncertainties, such as delayed customer orders due to tariffs [1][2] - The company has successfully registered multiple medical device certifications, enhancing its product offerings in critical areas like infectious disease prevention and cardiovascular emergencies [1] Group 3: Business Expansion - The launch of the "Anxu Ke" brand has allowed the company to penetrate the C-end market through e-commerce, establishing a dual-track model of deepening B-end and breaking into C-end markets [2] - Anxu Bio is expanding its presence in the pet medical testing sector through its subsidiary, targeting a market projected to reach 84.1 billion yuan in 2024, growing at 5.6% [2] Group 4: Future Outlook - The global IVD market is expected to grow from 109.2 billion USD in 2024 to 135.1 billion USD by 2029, with strong growth in microfluidic technology and pet medical testing [3] - Anxu Bio's strategy aligns with industry trends by focusing on a diversified product matrix and expanding both domestic and international markets, positioning itself for long-term growth [3]

Report Summary 1. Report Industry Investment Rating There is no information provided regarding the industry investment rating in the given content. 2. Report's Core View - The report focuses on the in - depth research of Anxu Bio, a biotech company in the medical device industry. It highlights the company's comprehensive strength, including its strong R & D capabilities, diverse product lines, and strategic layout for future development. Anxu Bio aims to become a leading enterprise in the international in - vitro diagnostic industry through continuous innovation and market expansion [23][24]. 3. Summary by Related Catalogs 3.1. Research Basic Situation - The research object is Anxu Bio, belonging to the medical device industry. The reception time was on May 20, 2025. The listed company's reception staff included the company's chairman and general manager Ling Shisheng, board secretary Han Jun, financial controller Kang Min, and independent director Zhang Guobiao [16]. 3.2. Detailed Research Institutions - The relevant personnel participated in the "2024 Annual Report and 2025 First - Quarter Performance Briefing" [19]. 3.3. Research Institution Proportion There is no specific information provided about the research institution proportion in the given text. 3.4. Main Content Data 3.4.1. Company Basic Situation Introduction - Anxu Bio was founded in 2008 and went public on the Science and Technology Innovation Board in November 2021. It is a high - tech biotech enterprise integrating R & D, production, and sales of in - vitro diagnostic reagents, POCT instruments, and biological raw materials. It has achieved an integrated industrial chain layout from upstream core biological raw materials to diagnostic reagents and instruments [23]. - The company has eight major fields of POCT reagents and related supporting instruments, covering drug testing, infectious disease testing, etc., and its products are sold in more than 150 countries and regions. It also actively strategically layouts in the pharmaceutical field, such as third - party medical testing laboratories, pet health management, and family health management [23][24]. - In the future, the company will continue to increase investment in R & D and production of biological raw materials, improve the performance of POCT reagents and instruments, and focus on both international and domestic markets to become a leading enterprise in the international in - vitro diagnostic industry [24]. 3.4.2. Q&A Session Main Content - **Financial Performance**: In 2024, the company's operating income was 540.6985 million yuan, net profit attributable to the parent company was 192.2953 million yuan, and net profit attributable to the parent company after deducting non - recurring gains and losses was 37.8979 million yuan. In the first quarter of 2025, the operating income was 115.2965 million yuan, net profit attributable to the parent company was 34.0296 million yuan, and net profit attributable to the parent company after deducting non - recurring gains and losses was 22.7603 million yuan [25]. - **R & D Breakthroughs and Advantages**: The company has built nine technology platforms, forming a trinity industrial chain layout of raw materials, reagents, and instruments. In 2024, it added 44 authorized patents (including 13 invention patents), with a total of 305 authorized patents, and added 606 international and domestic certifications, with a total of 1580 certifications, including EU CE and US FDA [25]. - **Business Expansion**: The company promotes the iteration of core products, builds a diversified product matrix, and explores performance growth potential in fields such as pet health management, family health management, and medical testing laboratories, advancing the Anxu Bio medical and health ecosystem strategy [26]. - **Future Profit Growth Drivers**: The company will focus on technological innovation, increase R & D investment, explore frontier technology fields, continue to expand overseas markets while increasing efforts in the domestic market, and consider expanding medical and health - related business through cooperation, investment, or mergers and acquisitions [26]. - **GluMate App**: With the rising global prevalence of chronic diseases, GluMate is launched to improve the health management of chronic disease patients. It aims to transform from single - detection to full - cycle service and build a chronic disease monitoring product system centered on GluMate, providing intelligent and personalized chronic disease management solutions [27]. - **2024 Dividend Policy**: In 2024, the company plans to distribute a cash dividend of 8 yuan per 10 shares (tax - included) to all shareholders, with a total cash dividend of 152.499366 million yuan (including the interim dividend), accounting for 79.30% of the net profit attributable to listed company shareholders in the 2024 consolidated statements [28]. - **Market Expansion Measures and Achievements**: The company adheres to the "international + domestic" dual - wheel drive strategy. Overseas, its products are sold in more than 150 countries and regions, and it participates in well - known exhibitions to enhance brand influence. Domestically, it has obtained new product registration certificates and promoted brand sales through online and offline channels. It has also established subsidiaries in Singapore, the United States, and Europe to optimize the global marketing network [28][29].