Gelonghui March 28 | Xinwei Medical-B (06609.HK) announced its annual results. For the year ended December 31, 2023, the company's revenue increased to RMB 232.3 million, an increase of 26.9% year on year, and loss before tax narrowed to RMB 102.9 million, a year-on-year decrease of 48.9%. With the expansion of business scale and the effects of cost control and efficiency measures, the company's gross margin increased 2.6 percentage points to 70.5%, and the share of sales and distribution expenses and administrative expenses decreased to 66.2% (2022:91.8%).
In 2023, in order to adapt to the rapidly changing market environment and the advancement of industry procurement, the company continued to promote the upgrading of the neurointerventional business to focus on therapeutic devices. Neurointerventional therapy devices such as embolization stents and suction catheters, expansion balloons and embolization protection systems, and spring rings contributed 42.3% of sales revenue, with revenue increasing 62.9% year over year to RMB 98.2 million; interventional neuroaccess devices and other products increased 9.3% year over year to RMB 134.1 million.
In 2023, the company's R&D cost was RMB 123.8 million to support diversified research projects for neurointerventional devices. In the next 24 months, the company expects to launch at least 5 major neurointerventional devices, including drug balloons for stenosis treatment (NMPA innovative device qualification), self-inflating drug stents and carotid artery stents, aneurysm embolization support stents (NMPA innovative device qualification) for hemorrhagic stroke treatment, and blood flow guidance devices. At the same time, in response to emergency surgery needs for different subtypes of cerebral infarctions, the company enhances the competitiveness of key embolization products (suction catheters and embolization stents) and one-stop medical device solutions to meet the growing demand for stroke treatment in the Chinese market in the context of aging.
In overseas markets, the company has obtained CE or FDA certification for embolization stents, balloon blocking catheters, remote access catheters, and microcatheters, and has completed registration and commercialization in countries or regions such as Thailand. Up to now, the company has also carried out product registration work in 10 other countries or regions, expanded sales channels, and established a foundation for achieving long-term goals for overseas sales.