Shenzhen YHLO Biotech (688575) investor relations material

Executive summary

• Revenue for 2025 was RMB 1.81 billion, down 9.99% year-over-year due to domestic market demand decline and intensified competition from healthcare cost control policies.

• Net profit attributable to shareholders was RMB 23.34 million, a 92.26% decrease year-over-year, mainly due to lower gross profit, financial asset fair value losses, and asset impairment provisions.

• Gross margin for main business was 64.40%, down 0.75 percentage points year-over-year; self-produced business margin was 70.93%.

• R&D investment reached RMB 306.91 million, accounting for 16.95% of revenue, with 17 new chemiluminescence reagent projects and 9 new biochemical reagent projects registered.

• The company maintained a strong presence in top-tier hospitals, with products covering over 70% of Class III-A hospitals in China.

Financial highlights

• Operating income: RMB 1,810,626,198.85, down 9.99% year-over-year.

• Net profit attributable to shareholders: RMB 23,340,618.38, down 92.26% year-over-year.

• Operating cash flow: RMB 421,848,960.06, down 20.39% year-over-year.

• Basic and diluted EPS: RMB 0.04, down 92.45% year-over-year.

• Net assets attributable to shareholders: RMB 2,697,289,860.22 at year-end.

• Total assets: RMB 4,288,729,500.84 at year-end.

Outlook and guidance

• The company aims to strengthen its position in autoimmune disease diagnostics, expand reproductive health diagnostics, and continue innovation in chemiluminescence technology.

• Plans include increasing R&D in upstream raw materials and high-end instruments, improving talent management, and enhancing corporate governance.