In 2023, 2024 and 2025, revenue generated from our online directly-operated stores was RMB1,956.7 million, RMB2,436.4 million and RMB3,002.6 million, respectively, accounting for 44.1%, 53.0% and 56.5% of our total revenue in each respective period.
Business · p. 131
In view of our long-standing and stable cooperation with e-commerce platforms and the relatively stable market environment of these platforms over the past years, our Directors are of the view that our business relationships with these major e-commerce platforms would not terminate or experience any material adverse change going forward.
Project Aura is our next-generation flagship product, developed with Google as a lead hardware partner for optical-see-through AR devices on the Android XR platform.
Business · p. 130
(i) XREAL provides design, development and manufacturing services for developer kit products in accordance with Google's ecosystem requirements and technical specifications, while Google provides access to the Android XR platform and related technical ecosystem and pays service fees on a milestone basis;
Business · p. 131
(iii) XREAL retains the ability to independently determine the pricing of its subsequent products, entitlement to hardware sales revenue generated from such products, and the maintenance of its own brand identity.
(1) we and CRISPR will collaborate on the research, development, manufacture and commercialization and use of certain collaboration products utilizing our siRNA technology for targeting FXI (collectively, "Collaboration Products"), including our Core Product, SRSD107; and (2) we granted to CRISPR options to exclusively license our siRNA technology to target up to two licensed targets for the research, development, manufacture and commercialization of licensed products (collectively "Licensed Products"), in exchange for the potential to receive certain option fees, milestone payments and royalties.
Business · p. 181
Given the two Phase 1 clinical trials completed for SRSD107 demonstrated robust results, and considering the substantial resources required to advance SRSD107's Phase 2 and later stage trials and registration across its broad potential indications, we proactively sought a strategic partnership to optimize risk-sharing and resource deployment while retaining meaningful participation in the program's long-term value.
Business · p. 181
Our collaboration with CRISPR includes over US$800 million aggregated upfront and milestone payments.
For the years ended December 31, 2023, 2024 and 2025, RMB820.6 million, RMB762.8 million and RMB900.7 million, or approximately 51.5%, 55.3% and 56.0% of our total revenue for the respective years were related to the top five brand partners in terms of revenue contribution we served in each year, and RMB286.6 million, RMB240.0 million and RMB273.1 million, or approximately 18.0%, 17.4% and 17.0% of our total revenue for the respective years were related to the largest brand partners in terms of revenue contribution.
Business · p. 124
We believe we have established long-term, mutually beneficial relationships with the brands we serve by consistently delivering value, and have maintained cooperative relationships with many of these brands for several years.
Business · p. 124
Our performance is closely linked to the strategic decisions of our brand partners. Changes in global or regional strategies—such as market exits, ownership changes, or shifts in channel priorities—may affect the scope and scale of our cooperation.
During the Track Record Period, our Group generated revenue through several third-party ecommerce platforms, including Alibaba, Douyin, Kuaishou, Pinduoduo, and Jingdong.
Business · p. 133
Our OEM Business primarily serves overseas customers, with sales conducted through the global B2B e-commerce platform Alibaba.
Business · p. 133
Our Directors consider that the revenue mix among these platforms fluctuated over time, with no consistent concentration of sales through any single e-commerce platform.
During the Track Record Period, we generated most of our revenue from e-commerce platforms, while the contribution from distributor channels increased as we expanded our offline footprint.
Financial Information · p. 155
We operate our self-operated stores on e-commerce platforms, including Douyin, Kuaishou, Tmall, JD.com, Pinduoduo, and Xiaohongshu, selling our products directly to consumers.
Business · p. 120
The platform primarily charges variable commission-based fees calculated as a percentage of transaction value (on top of fixed service fees in some cases).
We enter into framework cooperation agreements with the OTA platforms, with a term ranging from one to two years, pursuant to which our hotels would offer hotel rooms to the OTA platforms for sale on their systems.
Business · p. 136
The OTA platforms would typically charge us a service fee ranging from 8% to 15% of the revenue generated from the sale of the hotel rooms via the platform.
Business · p. 136
Our access to these channels allows us to market to a wider potential customer group and further enhance the occupancy rates of our hotels on a day-to-day basis.
Our business model relies on our access to, and effective collaboration with, major media.
Financial Information · p. 162
Major media frequently update their policies, advertising formats and attribution practices.
Financial Information · p. 163
Our Directors are of the view that our relationship with our major suppliers is unlikely to materially adversely change or terminate, because (i) we have maintained a long-term and stable collaboration relationship with our major suppliers since 2018 and (ii) during the Track Record Period, we did not have any disputes with our major suppliers.
We entered into a commercialization agreement with Pfizer, according to which, we grant Pfizer an exclusive right to commercialize injectable ecnoglutide (XW003) in Chinese Mainland.
Summary · p. 14
Pursuant to the Commercialization Agreement, we grant Pfizer an exclusive, sublicensable right to engage in commercialization activities of injectable ecnoglutide (XW003) for indications of obesity and T2DM (the “Products”), as well as other additional indications to be separately agreed upon by Pfizer and us (each an “Additional Indication”).
Business · p. 196
For overseas markets, we will largely rely on collaborations with regional partners which will be carried out mainly by themselves.
For the years ended December 31, 2022, 2023, 2024 and the nine months ended September 30, 2024 and 2025, revenue generated through online direct sales amounted to RMB355.4 million, RMB354.0 million, RMB402.9 million, RMB278.8 million and RMB317.3 million, respectively, representing approximately 70.6%, 69.9%, 70.5%, 69.3% and 70.9% of our total revenue for the same years/periods.
Business · p. 135
For the years ended December 31, 2022, 2023 and 2024 and the nine months ended September 30, 2025, our fixed commission fees represented approximately 3.1% to 5.9% of the relevant transaction value.
Business · p. 135
A large portion of our revenue generated from online direct sales through major third-party e-commerce platforms in the PRC, comprising Tmall, JD.com and Douyin, represented 70.6%, 69.9%, 70.5%, 69.3% and 70.9% of total revenue for the years ended December 31, 2022, 2023, 2024 and the nine months ended September 30, 2024 and 2025 respectively.
For ABP-671, we have entered into an exclusive commercialization agreement with CMS, covering Chinese Mainland, Hong Kong, and Macau.
Business · p. 146
CMS is granted the exclusive right to commercialize ABP-671 for the treatment of gout within the Territory during the term of ABP-671 Commercialization Agreement.
Business · p. 204
The ABP-671 Commercialization Agreement has an initial term from the effective date of the ABP-671 Commercialization Agreement until the tenth anniversary of the date the product obtains marketing approval in the Territory.
Currently, a significant portion, including our Core Products are in-licensed from third parties.
Business · p. 195
Pursuant to the Ziresovir Agreement, we are granted the exclusive right to develop and commercialize any product containing ziresovir, including all formulations, dosages and dosage forms for all pharmaceutical and prophylactic uses and applications globally.
Business · p. 181
In the worst-case scenario, for example in the event of early termination of the license in relation to ziresovir granted us, we may no longer continue the development of ziresovir as a Core Product.
On December 12, 2025, we entered into a commercialization collaboration with Qilu Pharma Co., Ltd. (齊魯製藥有限公司) (“Qilu Pharma”), a nationwide pharmaceutical company in China, for the commercialization of AK0901 in Chinese Mainland (“Qilu Agreement”).
Business · p. 202
While decisions require consensus, Qilu Pharma generally holds the final decision-making power for development and commercialization of AK0901 within Chinese Mainland, except that neither party shall have final decision-making authority with respect to annual sales targets in Mainland China.
Business · p. 202
Failure to meet 80% of the sales targets set forth in the commercialization plan for two consecutive years may result in compensation payable to us.
We collaborate with Intel for our Jintide products, which accounted for approximately 7.7% and 5.4% of our total revenue in 2024 and the nine months ended September 30, 2025, respectively.
Business · p. 208
We purchase Intel’s standard CPU cores on an arm’s length basis and consolidate them with our proprietary PrC (Pre-Check) or DSC (dynamic security check) features.
During the Track Record Period, our revenue was primarily derived from our license and collaboration agreements with our business partners.
Business · p. 358
Our license and collaboration agreement with Qilu Pharmaceutical would not have adverse impact on our Core Product or other drug candidates, considering that: (i) the exclusive license granted to Qilu Pharmaceutical covers only the patents and know-how specifically related to RBD7022 and RBD7022 Products. While the agreement provides for “treatment, prevention and diagnosis of all human diseases,” RBD7022’s therapeutic scope is inherently limited as it specifically targets PCSK9 to regulate cholesterol metabolism through RNA interference technology; and (ii) the license allowing Qilu Pharmaceutical to utilize the patents and know-how of our RiboGalSTAR^TM^ and RSC platform technologies is non-exclusive and does not prevent us from utilizing these technologies for the development of our Core Product and other drug candidates.
Summary · p. 8
Our license and collaboration agreement with Boehringer Ingelheim would not have adverse impact on our Core Product or other drug candidates, as the license granted to Boehringer Ingelheim is limited to exploiting only the specific compounds and products identified under the agreement. We retain full ownership of the Licensed Technology, and are entitled to use the Licensed Technology for all purposes, without restrictions, outside the scope of the granted license, including to develop and exploit any compounds and products other than those specifically identified by Boehringer Ingelheim under this collaboration.
In December 2024, a prior version of our Talkie app was temporarily removed from Apple’s App Store in certain jurisdictions for a period of approximately two months, specifically from mid-December 2024 to mid-February 2025.
Business · p. 291
Since mid-February 2025, the updated Talkie app has been made available for download on Apple’s App Store in the affected jurisdictions.
Business · p. 292
We have implemented a series of long-term remedial measures designed to prevent future occurrences and support the Talkie app’s continued compliance.
For the years ended December 31, 2022, 2023, and 2024, and the six months ended June 30, 2024 and 2025, revenue generated from the sales through Amazon SC amounted to approximately RMB79.8 million, RMB120.0 million, RMB173.0 million, RMB62.7 million and RMB90.4 million, respectively, representing approximately 29.1%, 26.3%, 28.4%, 22.8% and 22.8%, respectively, of our total revenue for such periods.
Summary · p. 10
We utilize AWS as our primary cloud computing service provider for our overall IT infrastructure.
Business · p. 285
Additionally, although Amazon was our largest sales channel during the Track Record Period, we are not bound to sell our products exclusively through Amazon.
Our GMV attributable to sales by KOLs and KOCs amounted for 9.0%, 22.6%, 28.2%, 20.8% and 27.0% of our total GMV in 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, respectively.
Business · p. 235
In 2022, 2023, 2024 and the six months ended June 30, 2024 and 2025, our total fees paid to KOLs and KOCs accounted for approximately 5.3%, 10.0%, 13.0%, 10.4% and 14.3% of our total revenue, respectively.
Business · p. 235
We believe the concentration risk in terms of the GMV contributed by KOLs/KOCs during the Track Record Period is limited, considering (i) the GMV contributed by top KOLs/KOCs during the Track Record Period primarily reflected their respective market positions and shares in their industry, as advised by CIC, rather than any reliance on specific individuals or agencies;
In 2022, 2023, 2024 and the six months ended June 30, 2025, the amount of revenue recognized by the Group in relation to the Fosun Agreement was US$17.1 million, US$3.4 million, US$1.9 million and US$1.9 million, respectively.
Summary · p. 9
In 2022, 2023, 2024 and the six months ended June 30, 2025, the amount of revenue recognized by the Group in relation to the Sanofi Agreement was US$8.3 million, US$4.2 million, US$0.3 million and US$0.5 million, respectively.
Summary · p. 10
Therefore, the collaboration with Sanofi will not directly compete with our existing R&D efforts.
Moreover, we rely on our insurer partners to underwrite the insurance products distributed on our platform and jointly develop innovative or tailor-made insurance products.
Financial Information · p. 241
We expect to diversify and introduce more business partners to reduce our concentration risk.
Financial Information · p. 241
Our ability to maintain a lasting and mutually rewarding relationship with these business partners is key to our success.