BASECARE-B (02170) has announced its financial projections for the six months ending June 30, 2026. The company anticipates revenue of approximately 126 million yuan to 131 million yuan, representing a year-on-year increase of roughly 24% to 29% compared to the 101 million yuan recorded in the same period of 2025.

Loss attributable to equity holders is expected to narrow significantly, ranging from 69 million yuan to 73.5 million yuan, a reduction of 39.5% to 43.2% from the prior corresponding period. The company also forecasts negative EBITDA of 44.4 million yuan to 49 million yuan, narrowing by 46.9% to 51.9% year-on-year.

Where the growth is coming from

The group attributes the revenue growth primarily to several key factors. It has further expanded its presence in the preimplantation genetic testing (PGT) market, developing core products with strong profitability. This was driven by the benefits of regulatory compliance and increased penetration rates, leading to robust revenue growth. Notably, the PGT-M kit received a Class III medical device registration certificate from the National Medical Products Administration (NMPA) in April 2026, marking the first product in China specifically for genetic blocking of thalassemia pedigrees. This fills a domestic gap in single-gene disease preimplantation genetic testing, providing a compliant, domestic technological tool for national policies on single-gene genetic disease prevention. Additionally, the first PGT-A kit based on a purely domestic independent sequencing platform obtained NMPA Class III certification in March 2026. The group has achieved a closed-loop domestic production chain from sequencers to reagents, solidifying its leading position as a certified domestic leader. Demand for clinical embryo genetic screening continues to rise as childbearing age is delayed. Combined with the state's increasing efforts to prevent birth defects, preimplantation genetic testing, as a key technical method to block single-gene genetic diseases from the source and achieve primary prevention of birth defects, has significant clinical value aligned with policy direction, ushering in a crucial policy window for the industry.

The Gems culture medium has also been approved for market launch by the NMPA, establishing itself as another important product line with stable revenue contributions. After two years of registration, the group's Gems series of culture media achieved intensive market entry across all product variants during the reporting period. Following the approval of the one-step embryo culture medium by the NMPA in February 2026, the fertilization medium, blastocyst culture medium, and cleavage embryo culture medium were subsequently approved. This makes BASECARE the first local full-spectrum culture medium brand in China's assisted reproduction market to be supported by large-scale clinical trial data. The Gems culture medium technology originates from the Sydney IVF Centre, developed by Professor David Mortimer, widely regarded as the "father of culture media." It has already received three major international certifications: FDA approval in the United States, CE certification in Europe, and TGA certification in Australia. It is used in over 600 reproductive centers across more than 20 countries. The group has successfully launched this high-quality international product in the domestic market and is further advancing its localization. Furthermore, the Gems culture medium, with its solid clinical evidence, enables the group to build a non-interference embryo culture system product matrix combining the Geri time-lapse incubator, Gems culture medium, and an AI embryo assessment system, further strengthening customer stickiness and diversifying revenue sources.

Overseas market revenue maintained steady growth during the period, with the Asia-Pacific region showing particularly strong performance, growing nearly 50%. South Korea, Japan, Thailand, and Vietnam were the main growth engines in the region. As equipment installations continue to rise, coupled with increased sales of consumables, the group achieved simultaneous growth in both equipment and consumables. Concurrently, the group's overseas product pipeline is expanding. PGT kits and gene sequencers have been deployed in nearly 10 reproductive centers across Europe and Asia-Pacific, generating recurring revenue and expected growth. The self-developed ultra-low temperature storage unit, Gelida 800, completed its first overseas delivery during the reporting period. By expanding its overseas product pipeline, the group is opening new growth avenues for its international business.

Why the loss is narrowing

The narrowing of the loss attributable to equity holders compared to the previous year is mainly due to several factors. The registration and application work for the group's core products is largely complete, leading to a corresponding decline in research and development investment, allowing the group to fully shift its focus to commercialization. The group has become one of the few global platform companies in the assisted reproduction industry covering genetic testing, embryo culture, andrology testing, cryopreservation, and software AI ecosystem, establishing a comprehensive product layout and compliance barriers. Equipment hardware paired with consumables and service revenue demonstrate strong continuity and potential for scaling up.

With the continued progress and pipeline expansion of its overseas business, the group's international segment consistently achieved revenue and profit improvement, becoming a significant growth engine. As the company's revenue scale continues to expand and gross margins improve, combined with the ongoing implementation of refined management, the input-output efficiency in sales, management, and R&D expenses is continuously improving, leading to a progressively better operational performance.