Jenscare Scientific (9877) H2 2022 earnings summary

Executive summary

• FY2022 net loss narrowed to RMB440.9m from RMB500.7m; basic and diluted loss per share improved to RMB1.20 from RMB1.48.

• Listed on the Hong Kong Stock Exchange on 10 October 2022; pipeline progress included LuX-Valve registration submission and clinical advances across valve and heart-failure candidates.

Financial highlights

• Loss before tax and net loss were RMB440.9m in 2022, down 11.9% YoY from RMB500.7m; loss attributable to owners narrowed 12.2% to RMB439.3m.

• Other income and gains rose to RMB54.4m from RMB8.9m, including RMB34.6m net foreign-exchange gains, RMB10.7m government grants and RMB8.4m bank interest income.

• R&D expenses increased to RMB291.6m from RMB265.3m; administrative expenses decreased to RMB219.7m from RMB238.5m, mainly reflecting lower share-based compensation.

• Total comprehensive loss was RMB432.6m, including RMB8.3m foreign-currency translation income, versus a RMB500.7m comprehensive loss in 2021.

Outlook and guidance

• LuX-Valve NMPA approval was expected in Q3 2023; Ken-Valve registration submission was expected in Q2 2023, with commercialization approval targeted for H1 2024.

• LuX-Valve Plus confirmatory-trial enrollment was targeted for Q2 2023 and NMPA registration submission for Q3 2023; JensClip enrollment was expected to finish in Q4 2023.

• KenFlex feasibility-trial enrollment was targeted for Q2 2023; MicroFlux confirmatory-trial initiation was expected in H2 2023.

• Manufacturing capacity was expected to reach ~10,000 sets by end-2024, up from 3,500 sets before expansion to 4,000–5,000 sets in 2021.