Yidu Tech (2158) H2 2024 earnings summary

Executive summary

• FY2024 revenue was broadly stable while gross margin reached a record 42.1%; operating and net losses narrowed sharply, with adjusted net loss down 64.8% YoY.

• Core BDPS and LSS revenue rebounded after COVID-related disruption; HMPS revenue fell following portfolio streamlining.

Financial highlights

• Revenue rose 0.3% to RMB807.1m; gross profit increased 23.6% to RMB339.4m.

• Operating loss narrowed 65.1% to RMB219.9m; net loss fell 65.0% to RMB221.2m.

• Adjusted net loss, excluding share-based compensation and net FX losses, declined 64.8% to RMB158.1m; adjusted net loss margin was 19.6%.

• Reported operating cash outflow was RMB326.4m; excluding third-party premium collection and insurance claims, outflow was RMB229.5m, down 50.4% YoY.

Outlook and guidance

• Priorities: invest in medical LLMs and YiduCore, deepen disease research, improve customer experience and operating efficiency, and expand through partnerships, investments and acquisitions.

• BDPS plans to expand hospital and regional networks and deepen disease-specific research; LSS targets RWE and lifecycle services; HMPS aims to grow active users and chronic-care solutions.