Core Viewpoint - The company is facing challenges in its cell and gene therapy CDMO business due to macroeconomic changes, industry conditions, and downstream demand, resulting in low order prices and negative gross margins, although there has been some improvement compared to the previous year [1][2]. Group 1: Company Overview - The company is focused on cell and gene therapy, which is a key development direction in the biopharmaceutical industry, supported by national and local policies [2]. - The company aims to enhance its competitiveness and market penetration by improving R&D efficiency, expanding into new business areas, and optimizing operations [2]. Group 2: Financial Data - The company reported a net loss of RMB 10,515.07 million for the first half of 2025, primarily due to low order prices and the early production stage of its projects [21]. - The company has fully utilized the raised funds for planned investments, with no reported issues in fund management or usage [10][20]. Group 3: Shareholder Information - The company has not disclosed any special arrangements regarding corporate governance or significant changes in major shareholders [3][4]. Group 4: Upcoming Events - The company will hold a performance briefing on August 27, 2025, to discuss its half-year results and address investor questions [5][8].

Core Viewpoint - The report highlights the ongoing challenges faced by the company in its cell and gene therapy CDMO business, including low order prices and high operational costs, while also emphasizing the potential for growth in the industry supported by favorable policies and technological advancements [1][6][11]. Financial Performance - The company reported a revenue of approximately 119.85 million yuan for the first half of 2025, representing a 6.01% increase compared to the same period last year [4]. - The total profit for the period was a loss of approximately 102.77 million yuan, an improvement from a loss of 113.36 million yuan in the previous year [4]. - The net profit attributable to shareholders was approximately -104.57 million yuan, showing a reduction in losses compared to -113.35 million yuan in the same period last year [4][5]. Industry Overview - The cell and gene therapy sector is identified as a key growth area in biomedicine, with significant advancements in technology and increasing clinical applications [7][11]. - The global pipeline for gene therapies has expanded, with over 4,469 gene therapy projects reported as of mid-2025, indicating a robust growth trajectory in the industry [10][11]. - The industry is characterized by a diverse landscape, with both large enterprises and numerous small to medium-sized companies, leading to a competitive environment [7][11]. Technological Advancements - Continuous innovation in gene editing and delivery technologies is crucial for the advancement of cell and gene therapies, with AI playing a significant role in enhancing research efficiency [8][9]. - Recent breakthroughs in stem cell therapy and regenerative medicine are paving the way for new clinical applications, demonstrating the potential for significant market growth [12][13]. Market Dynamics - The investment landscape for cell and gene therapy is showing signs of recovery in China, with a total financing amount of approximately 4.09 billion yuan in the first half of 2025, up from 2.57 billion yuan in the same period of 2024 [11][12]. - Despite the positive trends, the CDMO sector faces challenges due to the complexity and high costs associated with drug development and production, which may hinder rapid revenue growth [11][12]. Regulatory Environment - The government continues to support the cell and gene therapy industry through various policies aimed at promoting innovation and ensuring quality standards in drug development [14].

Core Viewpoint - The report highlights the ongoing challenges faced by He Yuan Biotechnology in its cell and gene therapy CDMO business, including low order prices and high operational costs, despite some improvements compared to the previous year [1][2]. Company Overview - He Yuan Biotechnology is listed on the Shanghai Stock Exchange with the stock code 688238, focusing on cell and gene therapy [2]. - As of the end of the reporting period, the total assets of the company were approximately 2.12 billion RMB, a decrease of 7.23% from the previous year [2]. Financial Performance - The company's revenue for the reporting period was approximately 119.85 million RMB, reflecting a year-on-year increase of 6.01% [3]. - The total profit for the period was a loss of approximately 102.77 million RMB, an improvement from a loss of 113.36 million RMB in the previous year [3]. - The net loss attributable to shareholders was approximately 104.57 million RMB, compared to a loss of 113.35 million RMB in the same period last year [3]. - The cash flow from operating activities showed a loss of approximately 88.50 million RMB, which is an improvement from a loss of 114.63 million RMB in the previous year [3]. - The weighted average return on net assets decreased by 0.69 percentage points to -6.35% [3]. Industry Context - The cell and gene therapy sector is identified as a key development area in the biopharmaceutical industry, supported by various national and local policies [2]. - The company aims to enhance its competitiveness and market penetration by improving R&D efficiency and expanding into new business areas [2].

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]

Group 1 - The company reported a revenue of 119,854,988.98 yuan for the first half of 2025, representing a year-on-year growth of 6.01% [2] - The net profit attributable to shareholders of the listed company was -104,570,120.70 yuan [2]

Group 1 - The company, He Yuan Biology, announced that it will hold a semi-annual performance briefing on August 27, 2025, from 15:00 to 16:00 [2]

Core Viewpoint - The company, He Yuan Bio, is navigating through a challenging period in the biopharmaceutical industry by focusing on technological barriers and production efficiency as key factors for sustainable growth [1] Group 1: Financial Performance - In the first half of 2025, He Yuan Bio reported a revenue of 119.85 million yuan, representing a year-on-year growth of 6.01% [1] - The net profit attributable to the parent company was -104.57 million yuan, a decrease in loss of 8.78 million yuan compared to the same period last year [1] - The net profit attributable to the parent company after deducting non-recurring gains and losses was -104.51 million yuan, a decrease in loss of 14.90 million yuan year-on-year [1] Group 2: Business Development - The CRO business segment achieved sales revenue of 40.70 million yuan, a year-on-year increase of 3.79%, serving over 14,000 research laboratory clients [2] - The CDMO business maintained its leading position with sales revenue of 65.62 million yuan, remaining stable compared to the previous year [2] - The company assisted clients in obtaining 52 domestic and international IND approvals and undertook over 540 CDMO projects, with new orders exceeding 90 million yuan in the year [2] Group 3: Regenerative Medicine Progress - He Yuan Bio has made significant advancements in regenerative medicine, including the development of processes for stem cells and immune cells [3] - The company’s subsidiary, He Yuan He Mei, successfully registered human dermal fibroblast exosomes in the global cosmetics ingredient directory, expanding its market opportunities [3] - The company is enhancing its production capacity at its Lingang industrial base, which is now fully operational, positioning itself among the top in the international industry [3] Group 4: R&D and Technological Innovation - In the first half of 2025, He Yuan Bio invested 23.21 million yuan in R&D, accounting for 19.37% of its revenue, and filed for 10 new patents [4] - The company is leveraging AI technology to enhance research and production efficiency, developing an intelligent R&D system that integrates AI with production data [5] - The AI models developed by the company are being applied across various R&D projects, significantly improving efficiency [5] Group 5: Market Outlook - Despite the current adjustment period in the CGT CDMO industry, the long-term growth potential remains intact, with projections indicating that the global and Chinese CGT CDMO market will reach $27.45 billion and $4.48 billion by 2030, respectively [6] - The company is expected to strengthen its competitive edge through optimized capacity and order growth, combined with deep integration of technology and AI [6] - As the biopharmaceutical industry improves, He Yuan Bio is poised to accelerate its growth potential in the cell and gene therapy sector [6]

Core Viewpoint - The company reported a revenue of 120 million yuan for the first half of 2025, reflecting a year-on-year growth of 6.01%, but continued to incur a net loss of 105 million yuan, although this was an improvement compared to a loss of 113 million yuan in the same period last year [1]. Financial Performance - Revenue for the first half of 2025 reached 120 million yuan, marking a 6.01% increase year-on-year [1]. - The net profit attributable to shareholders was -105 million yuan, an improvement from -113 million yuan in the previous year [1]. - Basic earnings per share were -0.163 yuan [1]. Business Operations - The company's cell and gene therapy CDMO business faced challenges due to macroeconomic changes, industry conditions, and downstream demand [1]. - The execution order prices for the CDMO business remained at a low level [1]. - The operational costs, including depreciation, energy consumption, and administrative expenses, were relatively high, contributing to the overall loss [1]. - The gross profit margin for the cell and gene therapy CDMO business remained negative [1].

Financial Performance - The overall performance has improved compared to the same period last year, although the company remains in a loss position[4] - The company reported a significant increase in revenue, reaching $X million, representing a Y% growth compared to the previous quarter[15] - The company achieved operating revenue of CNY 119.85 million in the first half of the year, representing a year-on-year increase of 6.01%[25] - The total profit for the period was a loss of CNY 102.77 million, an improvement compared to a loss of CNY 113.36 million in the same period last year[25] - The net profit attributable to shareholders was a loss of CNY 104.57 million, which is a reduction in loss by CNY 8.78 million compared to the previous year[25] - The company achieved a revenue of CNY 119.85 million, representing a year-on-year growth of 6.01%[134] - The revenue from the cell and gene therapy CRO business was CNY 40.70 million, up 3.79% year-on-year[134] - The revenue from the cell and gene therapy CDMO business was CNY 65.62 million, remaining stable compared to the previous year[134] - The net loss attributable to the parent company was CNY 104.57 million, a decrease in loss of CNY 8.78 million compared to the previous year[134] Operational Challenges - The company's cell and gene therapy CDMO business continues to be affected by macroeconomic changes and downstream demand, resulting in a negative gross margin[4] - The company is experiencing high operational costs, including depreciation, energy costs, and administrative expenses[4] - The company is in the process of ramping up production capacity at its Lingang industrial base, which requires time[4] - The company’s CDMO business has seen a decline in gross profit margins, attributed to market pricing pressures and increased operational costs[128] - The company faces risks related to inventory impairment, with a total inventory value of CNY 77.52 million, accounting for 3.66% of total assets[130] - The company is exposed to industry risks due to the dependence on the cell and gene therapy sector, which is subject to rapid technological changes and regulatory uncertainties[131] Research and Development - The company is focusing on enhancing R&D efficiency and expanding into new business areas to improve competitiveness and market penetration[5] - The company is investing G million in R&D for new technologies, aiming to enhance product offerings and improve operational efficiency[15] - Research and development expenses accounted for 19.37% of operating revenue, down 6.35 percentage points from the previous year[24] - The total R&D investment for the period was approximately ¥23.21 million, a decrease of 20.18% compared to ¥29.08 million in the same period last year, with R&D investment accounting for 19.37% of operating revenue[114] - The company has filed 2 invention patents and 8 utility model patents during the reporting period, bringing the total to 27 invention patents and 16 utility model patents[112] Market Position and Strategy - The cell and gene therapy sector is identified as a key development direction in the biopharmaceutical industry, supported by national and local policies[5] - The company aims to provide a "one-stop" service from laboratory research to commercial production for a more diverse customer base[5] - The company is expanding its market presence in region D, aiming for a market share increase of E% by the end of the fiscal year[15] - Recent acquisitions have strengthened the company's portfolio, adding F new products and enhancing its competitive edge in the market[15] - The company is focused on addressing technical bottlenecks in the production of cell and gene therapy products to improve safety, efficacy, and accessibility[38] - The company is actively participating in the commercialization of innovative therapies, with a focus on expanding into new therapeutic areas such as cardiovascular and autoimmune diseases[39] Future Outlook - The company provided an optimistic outlook for the next quarter, projecting revenue growth of B% and an increase in user engagement metrics[15] - Future guidance indicates a commitment to sustainable practices, with plans to reduce operational carbon footprint by J% over the next five years[15] - The company has initiated a strategic partnership with entity I, expected to drive synergies and enhance market reach[15] Regulatory and Compliance - The report includes forward-looking statements that are subject to various uncertainties and risks[7] - The company has no plans for profit distribution or capital reserve conversion for the half-year period[163] - The company is included in the list of publicly disclosed environmental information companies, with one subsidiary reporting environmental information[167] - The series of guidelines issued by the government aims to standardize drug development, ensuring long-term healthy industry growth and promoting high-level demand for CRO/CDMO services[52] Financial Management - The company has completed a stock repurchase plan, acquiring 18,726,690 shares for a total amount of 99.94 million yuan, representing 2.8853% of the total share capital[85] - The company’s cash flow from operating activities improved, with a net outflow of CNY 88.50 million, an increase compared to the previous year[138] - Cash and cash equivalents at the end of the period amounted to ¥287,005,381.69, representing 13.54% of total assets, a decrease of 34.69% compared to the previous year[142] - Short-term borrowings increased by 192.23% to ¥204,713,214.99, accounting for 9.66% of total assets, due to new bank loans and repurchase financing[142] Technological Advancements - The company is leveraging advancements in gene editing and delivery technologies, including AI integration, to enhance the development of cell and gene therapies[36] - The company has developed a high-yield cell adaptation process based on HEK293 cells, achieving over 100% increase in lentivirus production compared to conventional cell lines[104] - The company has optimized its production processes for various viral vectors, achieving a 50% increase in yield for AAV production cell lines compared to commercial cell lines[105] - The company has established a comprehensive AAV serotype screening service platform, covering the entire process from library construction to high-throughput sequencing[101] Human Resources - The number of R&D personnel decreased to 105 from 145 year-on-year, with the proportion of R&D staff in total employees dropping to 15.49%[122] - The total compensation for R&D personnel was 17.24 million RMB, down from 21.92 million RMB in the previous year[122]

Core Viewpoint - The company reported a slight increase in revenue for the first half of 2025, but continued to face significant net losses [2] Financial Performance - The company's revenue for the first half of 2025 was approximately 120 million, representing a year-on-year increase of 6.01% [2] - The net loss attributable to shareholders for the same period was approximately 105 million [2] - Basic earnings per share for the first half of 2025 were a loss of 0.163 [2] - In comparison, the revenue for the same period in 2024 was approximately 113 million, with a net loss of about 113 million and a basic earnings per share loss of 0.175 [2]