In 2025, our gross profit declined, mainly due to a decrease in the average selling price of pigs, from RMB2,281.6 per head in 2024 to RMB1,897.8 per head in 2025, whereas Qingyuan Chicken and other native chickens remained a positive contributor to our gross profit.
Summary · p. 9
Furthermore, we enter into forward contracts with major customers to lock in selling prices up to one year in advance, which provides greater price certainty and mitigates the impact of short-term market price volatility.
Business · p. 165
During the Track Record Period and up to the Latest Practicable Date, our products were not subject to any price control regulations by the PRC governmental authorities.
Consistent with the industry-wide trend, our average selling price decreased during the Track Record Period.
Financial Information · p. 221
Such decrease was primarily due to reductions in battery-related costs, our continued optimization and self-development of core three-electric components, and intensified market competition.
Financial Information · p. 221
Despite the decline in average selling price, our cost structure improved in parallel as a result of lower battery costs and the enhanced self-development of core components, which helped mitigate the impact of price adjustments on our profitability.
In 2023, 2024 and 2025, our revenue generated from products sold under VBP schemes (EPOSINO (依普定^®^), SINOGEN (賽若金^®^) and WHITE-C (白 特喜^®^)) as at the end of each year contributed 10.7%, 23.3% and 36.4% of our total revenue relating to pharmaceutical products generated by domestic sales.
Business · p. 169
In key provinces such as Guangdong, following the implementation of VBP, the average selling prices of our major products decreased by double-digit percentages, while their aggregate sales volumes increased significantly, demonstrating a clear “price-for-volume” effect.
Business · p. 170
To mitigate the impact of VBP on our sales volume, revenue and profitability, we (i) actively pursue “price-for-volume” by expanding hospital coverage and increasing penetration in winning provinces, (ii) continuously optimize production efficiency and procurement to lower unit costs, and (iii) develop new formulations and long-acting products, including GB05 and GB-K02, which are more differentiated, generally not immediately subject to existing VBP tenders and allow more pricing and reimbursement flexibility.
The retail price for senaparib after NRDL inclusion is consistent nationally, and at RMB4,650 per box.
Business · p. 219
Such reimbursement rates are on average around 70% of the retail price for innovative drugs like senaparib included in the NRDL, and is consistent with the industry norm, according to Frost & Sullivan.
Business · p. 219
Following NRDL inclusion in December 2025, senaparib has been reimbursable for 1L maintenance therapy for OC “all-comers” since January 1, 2026, which we believe will significantly broaden patient access and accelerate uptake across all regions, especially key clinical regions.
In pricing our products, we adopt a cost-plus basis and take into account a range of factors, including the costs of raw materials, production costs, operating costs (including cost of procured components, manufacturing complexity, procurement strategies, and supply chain dynamics), technical specifications and performance requirements requested by customers, expected order volumes, order sizes, delivery requirements, length of our relationship with the customer, customer demand, and expected gross profit margins for each product, which may affect our unit costs.
Business · p. 156
From 2023 to 2025, average market unit prices for L1 thermal safety systems for new energy commercial vehicles in China decreased from approximately RMB9,900 per unit in 2023 to approximately RMB9,800 per unit in 2024 and RMB8,300 per unit in 2025, while average market unit prices for BESS L2-L4 thermal safety solutions decreased from approximately RMB45,800 per unit in 2023 to approximately RMB32,800 per unit in 2024 and RMB31,100 per unit in 2025.
Summary · p. 2
Our Directors believe that our ability to maintain AUPs for our EV and BESS products and solutions above overall market levels while achieving higher-than-market CAGRs and first-ranked revenue market shares in both the EV and BESS segments, despite overall industry price pressure, reflects customers' recognition of the value and performance of our Li-ion battery thermal safety solutions and the competitiveness of our products and solutions among similar providers in China.
Our freight platform services monetization rate in Mainland China decreased from 10.3% in 2023 to 9.1% in 2025.
Business · p. 173
Rather than a one-size-fits-all approach, in order to cater to diverse user needs and local market conditions across different regions, we have strategically adopted such hybrid monetization model with different discount program and commission fee options available to carriers, based on our evaluation of the local market conditions.
Business · p. 173
During the Track Record Period, there were certain circumstances where incentives provided to carriers exceeded the revenue earned from the carriers within a given period in certain markets, and the resulting negative revenue was reclassified as selling and marketing expenses for that period.
For influencer marketing, service fees are generally determined based on a cost-plus model, taking into account the costs of media resources procured and a service fee calculated as a percentage of such costs.
Summary · p. 3
For our content amplification business, we primarily charge customers service fees based on the two models: (i) a performance-based model, where fees are calculated based on the actual volume of ad delivery multiplied by a pre-agreed unit price, and (ii) a cost-plus model, which consists of the total costs of the content promotion campaign plus a service fee calculated as a percentage of such costs.
Business · p. 144
For our content management services, we primarily charge customers on a subscription basis, with fixed and tiered annual fees calculated according to the number of uses, accounts managed, and/or data processing volume.
Consequently, our average selling prices for these 29 products in the years ended December 31, 2025 decreased by 25.8% compared to our average selling prices in 2024.
Business · p. 152
Except for three product types, the inclusion of these products in the centralized procurement scheme resulted in bidding prices that were approximately 8% to 64% lower than our average selling prices in 2024.
Business · p. 152
Revenue generated from these products only accounts for 2.8% and 3.9% of our total revenue in 2023 and 2024, prior to the launch of the nationwide centralized procurement scheme, and accounts for 2.3% of our total revenue in 2025, after the launch of the nationwide centralized procurement scheme.
While ensuring a reasonable profit margin, we proactively reduce prices to enhance our price competitiveness and capture market share by increasing entry barriers for small and medium-sized competitors.
The decreases in the ASPs of our products in 2024 were primarily attributable to the change in our product mix and our promotional activities.
Business · p. 134
We price our products based on various factors, primarily including the price of raw materials, production costs, purchase volume, market demand and competition.
The majority of our service fees are performance-based, calculated as a specified percentage of total net sales, representing GMV minus refunds, generated on corresponding e-commerce platforms.
Financial Information · p. 206
In general, we typically agree for lower percentages with brands with larger scale.
Financial Information · p. 206
However, refunds, which can be affected by a number of factors beyond our control, including platform policies, product categories, brand owner strategies and consumer preferences, can result in a divergence between GMV growth and our revenue growth.
This led to a substantial decline in ASP across multiple categories of IC products, even as end-market demand remained fundamentally robust.
Financial Information · p. 176
For instance, our smart video product line experienced a revenue decline in 2023, primarily due to weakening economic conditions and saturation in China security camera market, which led to a significant reduction in orders from our largest customer, coupled with a decline in the ASP of our products.
Financial Information · p. 177
For standard and widely used products, we employ a market-driven pricing strategy designed to ensure competitiveness while sustaining reasonable profitability.
During 2023, 2024 and 2025, our AI inference chips and related products (primarily our DeepEdge series) recorded relatively high gross profit margins of 53.3%, 70.3% and 43.4%, respectively.
Business · p. 186
We generally determine the prices of each AI inference chip and related product by reference to then-prevailing market conditions and customer demand, while targeting a benchmark gross profit margin after taking into account the relevant production and procurement costs.
Based on consideration of costs, tender price and contractual arrangement, we primarily adopt two pricing strategies: (i) a dynamic pricing model based on reference pricing from recognized e-commerce platforms, where discounts are applied in accordance with predefined rules; and (ii) a fixed pricing model based on pre-agreed product lists.
Business · p. 112
It also depends on our ability to maintain pricing discipline under different customer arrangements, including tender and bidding processes and framework agreements, and to respond appropriately to customer-specific pricing requirements as we expand our business across product categories and customer groups.
We generally determine our pricing for new energy materials based on raw material costs and manufacturing costs, with final prices adjusted dynamically along with downstream market conditions.
Business · p. 140
For our critical metal resources business, we primarily price our products by referencing to metal price of global indices of specific metals over an agreed period as benchmark.
According to CIC, the average selling price of NEVs in China, declined from RMB184 thousand in 2023 to RMB180 thousand in 2024, and further decreased to RMB161 thousand in 2025.
Business · p. 150
Specifically, intense competition in the PRC automobile market, particularly in the NEV segment, which has exerted significant pressure on vehicle pricing;
Business · p. 150
We have already achieved significant progress in implementing these measures, as evidenced by the improving gross profit margin of our automobile business from (5.3)% in 2023 to 1.2% in 2024 and further to 2.8% in 2025.
Gross profit margin for medical implants decreased from 79.0% in 2023 to 72.4% in 2024, primarily due to the lower selling prices of our medical implants, which were included in the volume-based procurement programs since 2024.
Summary · p. 9
As a result, the average selling price of our medical implants decreased from RMB711.9 per unit in 2023 to RMB446.3 per unit in 2024 and further decreased to RMB436.9 per unit in 2025.
Business · p. 146
Our Directors are of the view that the impact of the volume-based procurement programs on our product pricing will be mitigated going forward, as we have already made adjustments in 2024 and improved our cost management, as evidenced by our relatively stable pricing in 2024 and 2025.
Our pricing policy is designed to be market-responsive and may vary across countries and regions.
Business · p. 147
Our charges vary depending on the relevant engagement, which may include (a) container pooling services (typically priced on a per-trip or per-day basis and may include overdue fees where applicable), (b) container rental services (typically under long-term contracts with fixed billing cycles, such as annual or quarterly arrangements), (c) value-added and operational services (including digital services and SaaS services, technical services, as well as delivery/collection and operational support), and (d) product sales (including the direct sale of solution packaging comprising containers and consumables/accessories).
Business · p. 147
We generally apply tiered pricing by product, with different price tiers based on customers' annual purchase volumes, and we set a basic (floor) price below which sales prices should not fall in principle.
During the Track Record Period, our platform monetization rate experienced modest compression despite rapid growth in TPV and revenue, primarily due to volume-based pricing adjustments for certain pay-out and withdrawal services implemented to remain competitive amid an evolving industry landscape and as part of our efforts to attract and retain premium customers.
Financial Information · p. 185
Our future results of operations will continue to be affected by our ability to balance pricing competitiveness, customer acquisition and retention, service monetization and TPV growth.
Taking these factors into account, we set the list price of Junmaikang at RMB998.0 per unit, Mailishu RMB613.80 per unit and Maiweijian RMB1,043.46 per unit.
Business · p. 218
Being part of the NRDL has substantial implications as it determines the medical insurance reimbursement standards for our products.