HeartCare Medical-B (06609.HK) Reports Interim Results with Net Profit of RMB50.94 Million, Turning Around from Loss Year-on-Year

HeartCare-B (06609) announced its interim results for the six months ended June 30, 2025. The group achieved revenue of RMB 186 million (same unit hereafter), representing a year-on-year increase of 44.4%; gross profit of RMB 127 million, up 53.9% year-on-year; net profit attributable to shareholders was RMB 50.938 million, compared with a loss of RMB 5.119 million in the same period last year; basic earnings per share were RMB 1.34.

In the first half of 2025, our company achieved revenue of 186 million yuan, representing a year-on-year increase of 44.4%, while the gross profit margin rose to 68.2%. The group recorded a net profit attributable to shareholders of 50.9 million yuan, significantly improving from a net loss attributable to shareholders of approximately 5.1 million yuan for the six months ended June 30, 2024. These improvements were mainly attributed to increased revenue from newly launched hemorrhagic stroke treatment devices, rising sales of ischemic stroke treatment devices and other hemorrhagic stroke treatment devices, as well as a reduction in the overall expense ratio. As the business scale expanded and cost control measures became more effective, the proportion of sales and distribution expenses, as well as administrative expenses, decreased from 44.8% in the same period in 2024 to 37.0%.

To adapt to the rapidly changing market environment, our company continuously drives the upgrade of our neurointervention business, focusing on differentiated therapeutic devices. The sales of ischemic stroke treatment devices and other access devices increased by 38.3% and 29.2%, respectively. The revenue driven by hemorrhagic stroke treatment devices rose by approximately 37.7 million yuan compared to the same period in 2024, primarily due to the launch of new devices.

During the reporting period, our company incurred R&D expenses of 20.6 million yuan to support diversified research projects on neurointerventional therapy devices. Our flow diverter has received NMPA approval. As of the date of this announcement, our full suite of therapeutic devices for comprehensive solutions in treating hemorrhagic stroke (including intracranial aneurysm embolization assist stent [with NMPA innovative device designation], embolic coils, and flow diverter) have been launched and are now being sold. In addition, our company is committed to enhancing the competitiveness of key thrombectomy devices (aspiration catheters and thrombectomy stents) and a one-stop medical device solution for different subtypes of acute ischemic stroke. Meanwhile, the development of self-expanding drug-eluting stents for intracranial stenosis and carotid artery stents is proceeding as scheduled.

In the overseas market, our thrombectomy stent, occlusion balloon catheter, distal access catheter, and microcatheter have obtained CE or FDA certification, and we have received 31 registration certificates in 8 other countries or regions. To date, our company is conducting approximately 100 product registrations across 21 countries or regions, expanding sales channels, and laying the foundation for achieving long-term goals in overseas sales.