On October 21, Burning Rock Biotech (BNR.US) released a compilation of recent academic conference posters, showcasing research findings presented at international events such as ECP 2025, MAP 2025, and ESMO 2025. The focus was on DNA/RNA co-detection and low-abundance circulating tumor DNA (ctDNA) detection technologies. The secondary market responded positively. On October 21, the stock surged 16.67%, following an 8.21% gain the previous day. After minor gains on October 22 and 23, it soared another 24.33% on October 24, marking five consecutive days of gains and a cumulative 62.31% increase.
Looking back to July and August, Burning Rock’s stock had already seen significant jumps—41.41% on July 23 and 35.96% on August 18—despite the absence of major catalysts. At the time, market speculation centered on the company’s potential turnaround. Recent developments suggest this expectation is gaining traction.
**Closer to Profitability** On September 8, Burning Rock reported its Q2 2025 results, posting revenue of RMB 149 million, up 10% YoY and 12% QoQ. Gross margin improved to 72.8%, a 2.4-percentage-point increase from 70.4% a year earlier. Net losses narrowed sharply to RMB 9.7 million from RMB 108 million YoY. Cost-control measures have steadily improved profitability, with six consecutive quarters of positive Non-GAAP GP-SG&A. If this trend continues, breakeven could be imminent—a critical milestone for the company.
**Catalysts from R&D and Partnerships** Burning Rock, in collaboration with AstraZeneca, developed OncoCompass® Plus Prime, a ctDNA detection product combining ultra-deep sequencing and machine learning to enhance accuracy in low tumor burden scenarios. The method achieved a median detection limit of 0.25% at 20ng cfDNA input, with a false-positive rate of 1.1*10^7 and high concordance with validated NGS methods.
On September 24, Burning Rock and Riken Genesis announced that OncoGuide OncoScreen Plus CDx received manufacturing and sales approval from Japan’s MHLW as a companion diagnostic for AstraZeneca’s Truqap (capivasertib). The test guides treatment decisions for HR+/HER2- advanced breast cancer patients with PIK3CA, AKT1, or PTEN mutations. Burning Rock has initiated Japan’s reimbursement process, with potential inclusion in the NHI system by mid-2026. Japan’s streamlined CDx approval and reimbursement could accelerate revenue recognition.
**Behind the 60% Rally** The October surge echoes Burning Rock’s June-July rally, which included a record 41.42% single-day gain on July 23. Despite low subsequent trading volumes, the stock stabilized in a tight range for two months, indicating strong institutional control. The recent "low-volume rally"—with daily turnover below 100,000 shares—suggests limited selling pressure and efficient price movement, preserving upside potential.
With improving financials, key partnerships, and regulatory wins, Burning Rock’s path to profitability appears increasingly viable, driving investor optimism.