In 2022, 2023, 2024 and the nine months ended September 30, 2024 and 2025, we had loss for the year/period of approximately RMB611.6 million, RMB743.1 million, RMB904.2 million, RMB691.0 million and RMB855.7 million, respectively.
Summary · p. 2
We incurred a significant amount of R&D expenses during the Track Record Period, amounting to RMB445.6 million, RMB515.2 million, RMB589.0 million, RMB450.0 million and RMB413.9 million, respectively, in 2022, 2023, 2024 and the nine months ended September 30, 2024 and 2025.
Summary · p. 13
Although we had net losses during the Track Record Period, such losses were within our expectation as we transitioned from the R&D phase to the mass production.
During the Track Record Period, we recorded adjusted net losses (a non-IFRS measure) of RMB123.0 million and RMB43.6 million in 2022 and 2023, respectively, and had an adjusted net profit (a non-IFRS measure) of RMB10.7 million, RMB24.4 million and RMB10.4 million in 2024 and the eight months ended August 31, 2024 and 2025.
Summary · p. 11
In 2022 and 2023, we recorded net losses of RMB221.5 million and RMB353.2 million, respectively, which were attributable to the reasons mentioned above for our adjusted net losses (a non-IFRS measure), as well as the significant impact of non-cash items such as the fair value loss of convertible redeemable preference shares and share-based compensation expenses.
Summary · p. 12
This expansion also required investments in labor and other resources at our headquarters to ensure efficient management across different cities.
We recorded US$73.7 million, US$269.2 million, US$465.2 million, US$304.3 million and US$512.0 million in loss for the year/period in 2022, 2023, 2024, and for the nine months ended September 30, 2024 and 2025, respectively, due to significant initial investment in foundation model R&D and AI infrastructure.
Business · p. 309
As we scaled up operations, we significantly improved our gross profit margin, from negative 24.7% in 2023 to 12.2% in 2024, and further to 23.3% in the nine months ended September 30, 2025.
Business · p. 309
We expect continued net losses in the foreseeable future as we remain largely as an R&D focused company operating in AI research space.
The net provision for impairment losses for FY2023 was mainly attributable to the provision for impairment losses on our contract assets of approximately RM10.0 million and RM8.8 million, respectively, arisen from our Group’s claims of prolongation costs mainly as a result of the COVID-19 pandemic for Project JB15 and Project JB16 that were completed in 2021, the customer’s certification of which was affected by the events beyond our control, including the unexpected extension of projects that caused significant cost overruns, resulting long overdue contract assets.
Financial Information · p. 279
Based on the impairment assessments conducted by our Directors and the independent valuer appointed by our Group, it is considered that the likelihood of recovering such claims has become increasingly uncertain.
Financial Information · p. 280
Taking into consideration that the prolongation claims primarily comprised the additional costs incurred (i.e. subcontracting costs, costs of construction materials and supplies, labour costs, etc.) due to the unexpected extension of projects, which were of the same nature as other costs incurred for the projects prior to the unexpected delay and fell under the contract terms and conditions of letters of award, our Directors are of the view that the prolongation claims are legitimately made, and thus our Group was legally entitled to receive such claims.
As we strive to advance our pipeline and enhance our drug development capabilities, we expect that we will continue to recognize net losses in 2025, primarily because we expect to incur significant costs and expenses in relation to our R&D activities.
Summary · p. 23
We recorded net cash used in operating activities of RMB287.5 million, RMB60.7 million and RMB96.5 million for the years ended December 31, 2023 and 2024 and the six months ended June 30, 2025, respectively.
Financial Information · p. 451
Going forward, we will continue to concentrate our resources on the development of the Core Product while exercising disciplined control over other expenses to manage operating cash outflows.
While we achieved sustained business growth, we had loss for the year of RMB143.7 million, RMB788.0 million, RMB2,958.0 million, RMB1,235.6 million and RMB2,357.9 million in 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, respectively.
Business · p. 196
Our losses during the Track Record Period were primarily due to our significant investments in research and development.
Business · p. 196
While the absolute amount of our net losses increased during the Track Record Period, we expect to turn around our net loss position through increase in revenue and enhancement in operating efficiency.
However, taken into account that we incurred net loss of RMB89.1 million for the six months ended June 30, 2025, we expect to remain a significant loss position for the year ending December 31, 2025, primarily because (i) we anticipate to continue to incur significant costs and expenses in relation to our R&D activities and sales and marketing initiatives as we continue to carry out clinical trials or evaluations and enhance our commercialization capabilities, and (ii) we have incurred, and expect to continue to incur, costs and expenses relating to the Global Offering.
Summary · p. 35
The loss throughout the Track Record Period was mainly due to the short period of commercialization of its Core Products, and large amount of R&D expenses we incurred for the implementation of clinical plans at the early stage of business development.
However, we recorded net loss of RMB553.6 million, RMB817.4 million, RMB892.4 million, RMB404.0 million and RMB609.3 million in 2022, 2023, 2024 and six months ended June 30, 2024 and 2025, respectively, and adjusted net loss (non-HKFRS measure) of RMB432.8 million, RMB609.7 million, RMB644.7 million, RMB296.9 million and RMB299.8 million in the same years/periods, respectively.
Business · p. 237
We incurred net losses during the Track Record Period, primarily attributable to (i) significant upfront investment in research and development initiatives, (ii) limited economies of scale, (iii) early commercialization stage, and (iv) substantial cost of sales and operating expenses.
Summary · p. 13
We believe we will be able to achieve profitability through a combination of revenue growth, improvement in gross profit margin and enhanced operating leverage.
In 2022, 2023 and 2024, and the six months ended June 30, 2024 and 2025, we incurred losses for the year of RMB1,474.3 million, RMB1,744.0 million, RMB1,538.1 million, RMB888.3 million and RMB1,600.5 million, respectively, and adjusted net loss (non-IFRS measure) of RMB1,038.3 million, RMB1,051.4 million, RMB767.3 million, RMB438.2 million and RMB551.6 million, respectively.
Summary · p. 19
In 2022, 2023 and 2024 and for the six months ended June 30,2025, our R&D expenses amounted to RMB1,017.9 million, RMB885.6 million, RMB827.0 million RMB397.1 million and RMB571.6 million, respectively.
Business · p. 240
In the future, we aim to maintain sustainability and achieve profitability primarily through: (i) optimizing our solutions to create value for customers; (ii) expanding customer base; and (iii) enhancing operational efficiency and economies of scale.
We recorded a net loss in 2022, primarily due to the impact of COVID-19 outbreak on our offline business and high initial investment and limited efficiency in our online business.
Summary · p. 17
Additionally, substantial upfront costs were incurred for channel development, content marketing, and logistics arrangements, resulting in overall losses for the online channels in 2022.
Summary · p. 17
This turnaround was driven by the recovery of offline consumption and channel expansion, maturity and accelerated growth of online channels and a series of cost reduction and efficiency improvement measures.
In 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, we recorded 57, 46, 41, 32 and 31 loss-making stores among our directly-operated stores and the aggregate losses attributable to the loss-making stores were RMB5.8 million, RMB4.0 million, RMB3.5 million, RMB2.2 million and RMB1.4 million during the same period.
Business · p. 205
To ensure the profitability of our store network, we conduct rigorous monthly reviews of each store's financial performance, with particular focus on identifying and addressing loss-making counters.
Our net loss was US$221.8 million, US$211.6 million, US$17.1 million and US$19.2 million for 2022, 2023, 2024 and the six months ended June 30, 2025, respectively.
Summary · p. 22
Our R&D expenses accounted for 259.3%, 190.2%, 107.1% and 129.6% of total revenue during the Track Record Period, reflecting our business model of bearing the majority of pre-clinical costs before licensing pipeline assets.
Business · p. 242
According to Frost & Sullivan, it is an industry norm for AI-driven pharmaceutical companies like ours to incur significant R&D costs upfront, well before commercialization and/or out-licensing opportunities are realized.
In 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, we recorded net losses of RMB96.5 million, RMB63.4 million, RMB97.8 million, RMB97.8 million and RMB108.0 million, respectively.
Summary · p. 2
Our net losses during the Track Record Period were mainly attributed to the substantial R&D expenses for our technologies and solutions, amounted to RMB258.8 million, RMB379.1 million, RMB450.4 million, RMB248.2 million and RMB168.1 million in 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, respectively.
Summary · p. 7
We expect to record an increase in net losses for the year ended December 31, 2025, which is primarily due to our continued investments in the research and development of our technologies and solutions, as well as the impact of expected credit loss provisions on trade receivables.
For the years ended December 31, 2022, 2023, 2024, we recorded net loss of RMB87.0 million, RMB16.4 million, RMB3.1 million, respectively.
Summary · p. 13
Marking a pivotal milestone in our path to sustainability, we recorded a net profit of RMB27.9 million for the six months ended June 30, 2025, achieving profitability for the period.
Business · p. 299
We believe our path to sustainable profitability is clearly defined and will be primarily driven by the following factors: (i) steady revenue growth; (ii) continuous gross profit improvement; (iii) operational leverage through economies of scale that will reduce our selling and distribution, administrative and research and development expenses as a percentage of our revenue; (iv) improvements of our operating cash flow position; and (v) our cost optimization and profitability enhancement measures.
We had a net loss of RMB189.8 million, RMB87.1 million, RMB79.0 million, RMB65.1 million and RMB94.0 million in 2022, 2023 and 2024 and for the six months ended June 30, 2024 and 2025, respectively.
Business · p. 255
As a result, we were loss-making since our establishment in 2015 with accumulated losses of RMB966.4 million as of June 30, 2025.
Business · p. 256
(ii) expanding customer base, and (iii) enhancing our operational efficiency.
Our loss for the period increased from RMB48.2 million for the eight months ended August 31, 2024 to RMB88.3 million for the eight months ended August 31, 2025, primarily because we incurred increasing research and development expenses as we continue to conduct and expand our clinical development programs and advance the research and development of pipeline product candidates that are at preclinical stages and the increasing administrative expense due to the increasing listing related expenses.
Summary · p. 27
We expect a significant increase in net loss for the year 2025 due to our continuous expenditures on research and development coupled with clinical development progresses while under the condition of limited source of income.
(Loss)/Profit for the year/period from continuing operations | (9,098) | 97,169 | 8,990 | 14,588 | 86,045
Summary · p. 10
The fluctuation of our loss/profit for the year/period from continuing operations is primarily due to the fair value changes of preferred shares and the development of our digital marketing (market education services) and digital medical research assistance services business since 2023.
We expect a significant increase in net loss in the year ending December 31, 2025, primarily because we expect to incur significant research and development expenses as we continue to advance the R&D of our drug candidates, while we do not expect to generate substantial revenue from the commercialization of our drug candidates in 2025.
Summary · p. 26
We expect to incur significant expenses and net loss for at least the next several years as we further our pre-clinical and clinical research and development efforts, seek regulatory approval for our candidates, launch commercialization of our pipeline candidates, and add personnel necessary to operate our business.
Financial Information · p. 443
While we had net operating cash outflows and net losses during the Track Record Period, we believe our liquidity requirements will be satisfied by using funds from a combination of our cash and cash equivalents, net proceeds from the Global Offering and other funds raised from the capital markets from time to time.
The decrease in our trading value in 2024 was mainly due to the policy changes by the exchanges during the first quarter.
Business · p. 234
In 2023 and 2024 and for the six months ended June 30, 2024 and 2025, operating loss from our market making business amounted to RMB16.8 million, RMB8.4 million, RMB6.3 million, and RMB9.4 million, respectively, representing -1.3%, -0.6%, -0.9% and -1.6% of our operating income during those periods, respectively.
Business · p. 235
In response, we have engaged a new team as well as designed and upgraded our trading strategies.
We had a net loss of RMB263.0 million, RMB255.1 million, RMB580.8 million, RMB122.6 million and RMB455.1 million in 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, respectively.
Business · p. 325
Despite our continued increase in customer base, we may continue to incur net losses and net operating cash outflow in the foreseeable future.
Summary · p. 27
We expect our operating expenses as a percentage of revenue to decrease as we continue to ramp up our sales, achieve revenue growth and economies of scale with higher efficiency in our research and development, sales and marketing and administrative activities, thereby lowering our spending as a percentage of revenue on such activities.