Suzhou-based assisted-reproduction specialist Basecare (BASECARE-B) reported a sharp reduction in first-half 2026 losses as new product approvals and expanding market penetration lifted sales in China and Asia-Pacific.
Revenue and Profitability • Revenue rose 27.0% year-on-year to RMB128.75 million (USD17.5 million), driven by stronger demand for pre-implantation genetic testing (PGT) kits and the domestic launch of Gems culture media. • Gross profit increased 30.3% to RMB69.33 million; gross margin improved to 53.8% from 52.5%. • Operating loss narrowed 40.6% to RMB68.81 million; net loss contracted 40.7% to RMB72.05 million. EBITDA loss narrowed 46.9% to RMB49.40 million. • Foreign-exchange swings and lower deposit income turned other net income of RMB14.94 million in H1 2025 into a RMB2.98 million loss.
Cost Dynamics • Cost of sales grew 23.4% to RMB59.42 million, below the pace of revenue growth. • Selling and distribution expenses fell 7.2% to RMB49.04 million; administrative expenses dropped 21.8% to RMB48.56 million. • R&D spending declined 42.4% to RMB32.73 million as major product registrations were completed and resources shifted to commercialisation.
Segment & Geographic Trends • PGT and related products: revenue up 28.3%, maintaining >50% share of China’s compliant PGT market across ~300 partner hospitals and 60 joint labs. • Embryo-lab products (incubators, culture media, consumables): revenue up ~40%, benefiting from the NMPA-cleared Gems media range and Geri-incubator localisation. • China revenue advanced 35.1%; Asia-Pacific (ex-China) surged 88.1%, underpinned by South Korea, Japan, Thailand and Vietnam. European uptake of PGT kits and sequencers also commenced.
Balance-Sheet Snapshot (30 June 2026) • Cash and cash equivalents: RMB373.82 million; time deposits: nil (RMB28.12 million at end-2025). • Interest-bearing bank loans: RMB341.03 million (RMB340.68 million at end-2025); cash holdings exceeded debt, leaving the group in a net cash position. • Net assets: RMB864.78 million versus RMB934.67 million at end-2025.
Regulatory & Product Milestones • First-in-China Class III approval for a PGT-M thalassemia kit (April 2026). • First domestic-platform PGT-A kit secured NMPA registration (March 2026); aligns with Basecare’s DA500/DA5000 sequencers to provide a fully localised “reagent + instrument + software” solution. • Full suite of Gems culture media received successive NMPA Class III clearances between February and May 2026, creating a high-margin consumables stream. • Gelida 800 automated cryogenic storage system recorded its first overseas installation; aligns with upcoming EU SoHO compliance requirements.
Outlook Management targets accelerated commercial rollout of newly approved products, deeper penetration of core Chinese IVF centers, expansion in high-growth APAC and EMEA markets, and continued cost discipline. With R&D shifting to iterative optimisation and an expanding base of high-margin consumables, the company anticipates further improvements in operating leverage while continuing to pursue its strategy of building an integrated, domestically compliant assisted-reproduction technology platform.