Genetron Holdings Limited (“Genetron Health” or the “Company”,
NASDAQ: GTH), a leading precision oncology platform company in
China that specializes in offering molecular profiling tests, early
cancer screening products and companion diagnostics development,
today reported its unaudited financial results for the first
quarter ended March 31, 2022.
First Quarter and Recent
Highlights
- Recorded total revenue of RMB 110.3
million (US $17.4 million) in the first quarter of 2022,
representing 19.8% increase over the same period in 2021.
- LDT revenue was RMB 81.5 million (US $12.9 million),
representing 13.5% increase over the same period in 2021.
- IVD revenue was RMB 18.0 million (US $2.8 million),
representing 18.1% growth year-over-year.
- Development services revenue was RMB 10.8 million (US $1.7
million), representing 117.2% increase over the same period in
2021.
- The Company continues to enhance
its in-hospital efforts. As of March 31, 2022, Genetron Health has
60 hospital partners of which 31 were IVD in-hospital
partners.
- Received CE Mark for Seq-MRD®, a
MRD detection kit for hematologic cancers, as well as FusionScan
Plus kit which uses integrated DNA and RNA as templates for genetic
alteration detection. Both of these NGS-based kits are developed
based on Genetron’s One-Step Seq Method.
- Published in Clinical and
Translational Medicine demonstrating Mutation Capsule™’s potential
in MRD assay developments.
- Formed a collaboration agreement
with HUTCHMED for the joint development of a CDx test for ORPATHYS®
(savolitinib) for NSCLC in China, using the Company’s approved
NGS-based 8-gene Lung Cancer Assay (Tissue).
- Presented 17 new research results
at American Association for Cancer Research (AACR) Annual Meeting
2022. The results emerged from joint studies that Genetron Health
conducted with more than 20 leading hospitals in China, which
leveraged the Company's "One-step Seq" patented technology, core
products such as Onco PanScan™ and the comprehensive sarcoma gene
testing, Onco PanScan plus™.
“While the “zero COVID” strategy in China and
the lockdowns in our key markets have led to restricting operations
and limiting patient traffic, we continue to provide important
services for patients. We are pleased with the resiliency of our
business and our ability to grow each of our segments in the first
quarter,” said Mr. Sizhen Wang, co-founder, Chairman and CEO of
Genetron Health. “Data publications in Clinical and Translational
Medicine and our presentations at the AACR Annual Meeting 2022
continue to demonstrate the capabilities of our innovative
technology and this will support product adoption and advance our
product pipeline. Against the backdrop of a challenging operating
environment, we are committed to forging ahead with our major
pipeline assets that would be key drivers for our future growth. At
the same time, management is mindful of improving the Company’s
operational excellence. Overall, we are confident about our
long-term competitive position and expect our solutions to become
more widely adopted as government policy prioritizes optimal
healthcare for citizens.”
First Quarter 2022 Unaudited Financial
Results
Total revenue for the first quarter of 2022 increased by 19.8%
to RMB 110.3 million (US $17.4 million) in the first quarter of
2022 from RMB 92.1 million in the same period of 2021.
Diagnosis and monitoring revenue increased by
14.3% to RMB 99.5 million (US $15.7 million) in the first quarter
of 2022 from RMB 87.1 million in the same period of 2021. The
increase was primarily driven by the growth in the revenue
generated from the provision of LDT services and sale of IVD
products.
- Revenue generated from the
provision of LDT services increased by 13.5% to RMB 81.5 million
(US $12.9 million) during the first quarter of 2022 from RMB 71.8
million in the same period of 2021. LDT diagnostic tests sold in
the first quarter 2022 totaled approximately 5,560 units,
representing an increase of 9.1% compared to the number of LDT
diagnostic tests sold in the same period of 2021.
- Revenue generated from sale of IVD
products increased by 18.1% to RMB 18.0 million (US $2.8 million)
in the first quarter of 2022 from RMB 15.3 million in the first
quarter of 2021. The increase was driven by sales of the Genetron
S5 instrument and 8-gene Lung Cancer Assay
(Tissue).Contracted in-hospital
partners(as of the end of the period
indicated)
|
1Q21 |
2Q21 |
3Q21 |
4Q21 |
1Q22 |
IVD In-hospital
partners |
23 |
28 |
29 |
30 |
31 |
|
1Q21 |
2Q21 |
3Q21 |
4Q21 |
1Q22 |
Total in-hospital
partners(1) |
42 |
50 |
54 |
58 |
60 |
Note:(1) The
number of total in-hospital partners include both sales of LDT
services and IVD products. |
Revenue generated from development services
increased by 117.2% to RMB 10.8 million (US $1.7 million) in the
first quarter of 2022, from RMB 5.0 million in the same period of
2021. The increase was primarily driven by both the increase of
sequencing and biopharma services revenues.
Gross profit increased by 12.7% to RMB 61.5
million (US $9.7 million) in the first quarter of 2022 from RMB
54.5 million in the same period of 2021. Gross margin decreased to
55.7% for the first quarter of 2022, compared to 59.3% in the same
period of 2021 primarily attributable to lower gross margins of the
provision of LDT services.
Operating expenses increased by 47.6% to RMB
241.4 million (US $38.1 million) for the three months ended March
31, 2022, from RMB 163.5 million in the same period of 2021.
Selling expenses increased by 52.2% to RMB 90.8
million (US $14.3 million) in the first quarter of 2022 from RMB
59.7 million in the same period of 2021. Selling expenses as a
percentage of revenues increased to 82.3% in the first quarter of
2022 from 64.8% in the same period of 2021. The increase was
primarily driven by increased headcount to expand Genetron’s core
business as well as early screening sales teams. The Company
expects total sales headcount to remain stable going forward.
Administrative expenses increased by 12.6% to
RMB 50.2 million (US $7.9 million) in the first quarter of 2022
from RMB 44.6 million in the same period of 2021. Administrative
expenses as a percentage of revenues decreased to 45.5% in the
first quarter of 2022 from 48.4% in the first quarter of 2021.
Research and development expenses increased by
59.2% to RMB 79.6 million (US $12.6 million) in the first quarter
of 2022 from RMB 50.0 million in the same period of 2021. Research
and development expenses as a percentage of revenues increased to
72.1% in the first quarter of 2022 from 54.3% in the same period of
2021. The increases were driven by higher R&D headcount and
related expenses, as well as continued innovation efforts,
including product development and clinical trial activities.
As a result of the above, operating loss was RMB
179.9 million (US $28.4 million) for the three months ended March
31, 2022, compared to RMB 109.0 million for the three months ended
March 31, 2021.
Finance income - net increased to RMB 5.0
million (US $0.8 million) in the first quarter of 2022 from finance
costs - net of RMB 6.0 million in the same period of 2021. The
increase was driven by the foreign currency exchange gain.
Loss for the period was RMB 174.9 million (US
$27.6 million) for the three months ended March 31, 2022, compared
to RMB 115.0 million for the three months ended March 31, 2021.
Non-IFRS loss for the period, defined as loss
for the period excluding share-based compensation expenses, was RMB
163.6 million (US $25.8 million) for the three months ended March
31, 2022, compared to RMB 105.8 million for the three months ended
March 31, 2021. Please refer to the section in this press release
titled "Non-IFRS Financial Measures" for details.
Basic loss per ordinary share attributable to
owners of the Company was RMB 0.38 (US $0.06) for the first quarter
of 2022, compared with a basic loss per ordinary share attributable
to owners of the Company of RMB 0.25 for the same period of 2021.
Excluding share-based compensation expenses, non-IFRS basic loss
per ordinary share attributable to owners of the Company was RMB
0.35 (US $0.06) for the first quarter of 2022, compared with
non-IFRS basic loss per ordinary share attributable to owners of
the Company of RMB 0.23 for the same period of 2021. Diluted loss
per ordinary share attributable to owners of the Company is
equivalent to basic loss per ordinary share attributable to owners
of the Company. Each ADS represents five ordinary shares, par value
US$0.00002 per share. Please refer to the section in this press
release titled "Non-IFRS Financial Measures" for details.
Cash and cash equivalents and current financial
assets at fair value through profit or loss were RMB 559.1 million
(US $88.2 million) as of March 31, 2022.
2022 Financial GuidanceGenetron
Health reiterates its full year 2022 revenue to be around RMB
585-638 million, representing 10-20% growth over its revenue in
2021.
Conference CallA conference
call and webcast to discuss the results will be held at 8:30 a.m.
U.S. Eastern Time on June 2, 2022 (or at 8:30 p.m. Beijing Time on
June 2, 2022). Interested parties may listen to the conference call
by dialing numbers below:
United
States: |
+1-833-239-5565 |
China Domestic: |
400-820-5286 |
Hong Kong: |
+852-3018-6771 |
International: |
+65-6713-5590 |
Conference ID: |
2889133 |
Participants are encouraged to dial into the
call at least 15 minutes in advance due to high call volumes.
A simultaneous webcast of the conference call
will be available on the “Events and Presentations” page of the
Company’s IR website. A replay of the webcast will be available for
30 days following the event. For more information, please visit
ir.genetronhealth.com.
Exchange Rate InformationAll
translations made in the financial statements or elsewhere in this
press release made from RMB into United States dollars (“US$”) are
solely for convenience and calculated at the rate of US $1.00 = RMB
6.3393, representing the exchange rate as of March 31, 2022, set
forth in the H.10 statistical release of the U.S. Federal Reserve
Board. No representation is made that the RMB amounts could have
been, or could be, converted, realized or settled into US$ at that
rate, or at any other rate, on March 31, 2022.
Non-IFRS Financial Measures The
Company uses non-IFRS loss and non-IFRS loss per share attributable
to owners of the Company for the year/period, which are non-IFRS
financial measures, in evaluating its operating results and for
financial and operational decision-making purposes. The Company
believes that non-IFRS loss and non-IFRS loss per share
attributable to owners of the Company help identify underlying
trends in the Company's business that could otherwise be distorted
by the effect of certain expenses that the Company includes in its
loss for the year/period. The Company believes that non-IFRS loss
and non-IFRS loss per share attributable to owners of the Company
for the year/period provide useful information about its results of
operations, enhances the overall understanding of its past
performance and future prospects and allows for greater visibility
with respect to key metrics used by its management in its financial
and operational decision-making.
Non-IFRS loss and non-IFRS loss per share
attributable to owners of the Company for the year/period should
not be considered in isolation or construed as an alternative to
operating profit, loss for the year/period or any other measure of
performance or as an indicator of its operating performance.
Investors are encouraged to review non-IFRS loss and non-IFRS loss
per share attributable to owners of the Company for the year/period
and the reconciliation to its most directly comparable IFRS
measures. Non-IFRS loss and non-IFRS loss per share attributable to
owners of the Company for the year/period presented here may not be
comparable to similarly titled measures presented by other
companies. Other companies may calculate similarly titled measures
differently, limiting their usefulness as comparative measures to
the Company's data. The Company encourages investors and others to
review its financial information in its entirety and not rely on a
single financial measure.
Non-IFRS loss and non-IFRS loss per share
attributable to owners of the Company for the year/period represent
loss for the year/period excluding share-based compensation
expenses, fair value change of financial instruments with preferred
rights and other loss of financial instruments with preferred
rights (if applicable).
Please see the “Unaudited Non-IFRS Financial
Measures” included in this press release for a full reconciliation
of non-IFRS loss for the year/period to loss for the year/period
and non-IFRS loss per share attributable to ordinary shareholders
of the Company for the year/period to loss per share attributable
to ordinary shareholders of the Company for the year/period.
About Genetron Holdings
LimitedGenetron Holdings Limited (“Genetron Health” or the
“Company”) (Nasdaq: GTH) is a leading precision oncology platform
company in China that specializes in cancer molecular profiling and
harnesses advanced technologies in molecular biology and data
science to transform cancer treatment. The Company has developed a
comprehensive oncology portfolio that covers the entire spectrum of
cancer management, addressing needs and challenges from early
screening, diagnosis and treatment recommendations, as well as
continuous disease monitoring and care. Genetron Health also
partners with global biopharmaceutical companies and offers
customized services and products. For more information, please
visit ir.genetronhealth.com.
Safe Harbor Statement This
press release contains forward-looking statements. These statements
are made under the “safe harbor” provisions of the U.S. Private
Securities Litigation Reform Act of 1995. Statements that are not
historical facts, including statements about the Company’s beliefs
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties, and a number
of factors could cause actual results to differ materially from
those contained in any forward-looking statement. In some cases,
forward-looking statements can be identified by words or phrases
such as “may”, “will,” “expect,” “anticipate,” “target,” “aim,”
“estimate,” “intend,” “plan,” “believe,” “potential,” “continue,”
“is/are likely to” or other similar expressions. Further
information regarding these and other risks, uncertainties or
factors is included in the Company’s filings with the SEC. All
information provided in this press release is as of the date of
this press release, and the Company does not undertake any duty to
update such information, except as required under applicable
law.
Investor Relations Contact US: Philip Trip
TaylorPrincipal | Gilmartin Groupir@genetronhealth.com
Media Relations ContactYanrong ZhaoGenetron
Healthyanrong.zhao@genetronhealth.com
Edmond LococoICREdmond.Lococo@icrinc.comMobile: +86
138-1079-1408genetron.pr@icrinc.com
GENETRON HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
LOSS
|
For the three months ended |
|
|
March 31, 2021 |
March 31, 2022 |
|
RMB’000 |
RMB’000 |
US$’000 |
Revenue |
92,061 |
|
|
110,321 |
|
|
17,403 |
|
Cost of revenue |
(37,512 |
) |
|
(48,851 |
) |
|
(7,707 |
) |
|
|
|
|
Gross
profit |
54,549 |
|
|
61,470 |
|
|
9,696 |
|
|
|
|
|
Selling expenses |
(59,671 |
) |
|
(90,844 |
) |
|
(14,330 |
) |
Administrative expenses |
(44,603 |
) |
|
(50,242 |
) |
|
(7,925 |
) |
Research and development
expenses |
(49,974 |
) |
|
(79,559 |
) |
|
(12,550 |
) |
Net loss allowance for
financial and contract assets |
(9,830 |
) |
|
(13,099 |
) |
|
(2,067 |
) |
Other income and
gains/(losses) - net |
530 |
|
|
(7,614 |
) |
|
(1,201 |
) |
|
|
|
|
Operating expenses |
(163,548 |
) |
|
(241,358 |
) |
|
(38,073 |
) |
|
|
|
|
Operating
loss |
(108,999 |
) |
|
(179,888 |
) |
|
(28,377 |
) |
|
|
|
|
Finance income |
105 |
|
|
5,900 |
|
|
931 |
|
Finance costs |
(6,144 |
) |
|
(906 |
) |
|
(142 |
) |
|
|
|
|
Finance (costs)/income -
net |
(6,039 |
) |
|
4,994 |
|
|
789 |
|
|
|
|
|
Loss before income
tax |
(115,038 |
) |
|
(174,894 |
) |
|
(27,588 |
) |
Income tax expense |
- |
|
|
- |
|
|
- |
|
|
|
|
|
Loss for the
period |
(115,038 |
) |
|
(174,894 |
) |
|
(27,588 |
) |
|
|
|
|
Loss attributable
to: |
|
|
|
Owners of the Company |
(112,754 |
) |
|
(174,372 |
) |
|
(27,506 |
) |
Non-controlling interests |
(2,284 |
) |
|
(522 |
) |
|
(82 |
) |
|
|
|
|
|
(115,038 |
) |
|
(174,894 |
) |
|
(27,588 |
) |
|
|
|
|
Loss per
share for loss attributable to owners of the
Company |
RMB |
|
|
RMB |
|
|
USD |
|
-Basic and diluted |
(0.25 |
) |
|
(0.38 |
) |
|
(0.06 |
) |
|
|
|
|
Loss per ADS for loss
attributable to owners of the Company |
|
|
|
-Basic and diluted |
(1.23 |
) |
|
(1.88 |
) |
|
(0.30 |
) |
|
|
|
|
Shares used in loss
per share computation: |
|
|
|
-Basic and diluted |
458,084,599 |
|
|
462,868,804 |
|
|
462,868,804 |
|
ADS used in loss per
ADS computation: |
|
|
|
-Basic and diluted |
91,616,920 |
|
|
92,573,760 |
|
|
92,573,760 |
|
GENETRON HOLDINGS LIMITED
UNAUDITED NON-IFRS FINANCIAL MEASURE
|
For the three months ended |
|
|
March 31,
2021 |
March 31, 2022 |
|
RMB’000 |
RMB’000 |
US$’000 |
|
|
|
|
|
|
|
|
Loss for the period |
(115,038 |
) |
|
(174,894 |
) |
|
(27,588 |
) |
Adjustments: |
|
|
|
Share-based compensation |
9,250 |
|
|
11,344 |
|
|
1,789 |
|
|
|
|
|
Non-IFRS
loss |
(105,788 |
) |
|
(163,550 |
) |
|
(25,799 |
) |
|
|
|
|
Attributable to: |
|
|
|
Owners of the Company |
(103,504 |
) |
|
(163,028 |
) |
|
(25,717 |
) |
Non-controlling interests |
(2,284 |
) |
|
(522 |
) |
|
(82 |
) |
|
|
|
|
|
(105,788 |
) |
|
(163,550 |
) |
|
(25,799 |
) |
|
|
|
|
Non-IFRS loss per share for
loss attributable to owners of the
Company |
RMB |
|
|
RMB |
|
|
USD |
|
-Basic and diluted |
(0.23 |
) |
|
(0.35 |
) |
|
(0.06 |
) |
|
|
|
|
Non-IFRS loss per ADS
(5 ordinary shares equal to 1 ADS) for
loss attributable to owners of the
Company |
|
|
|
-Basic and diluted |
(1.13 |
) |
|
(1.76 |
) |
|
(0.28 |
) |
|
|
|
|
Shares used in
non-IFRS loss per share computation: |
|
|
|
-Basic and diluted |
458,084,599 |
|
|
462,868,804 |
|
|
462,868,804 |
|
|
|
|
|
ADS used in non-IFRS
loss per ADS computation: |
|
|
|
-Basic and diluted |
91,616,920 |
|
|
92,573,760 |
|
|
92,573,760 |
|
GENETRON HOLDINGS LIMITEDUNAUDITED
REVENUE AND SEGMENT INFORMATION
|
|
|
|
|
|
|
|
|
Diagnosis and monitoring |
|
Diagnosis and monitoring |
|
Developmentservices |
|
Total |
- provision ofLDT
services |
- sale of
IVDproducts |
|
RMB’000 |
|
RMB’000 |
|
RMB’000 |
|
RMB’000 |
|
|
|
|
|
|
|
|
Three
months ended March 31, 2021 |
|
|
|
|
|
|
Revenue |
71,828 |
|
15,266 |
|
4,967 |
|
92,061 |
Segment
profit |
48,811 |
|
5,222 |
|
516 |
|
54,549 |
|
|
|
|
|
|
|
|
Three
months ended March 31, 2022 |
|
|
|
|
|
|
Revenue |
81,511 |
|
18,024 |
|
10,786 |
|
110,321 |
Segment
profit |
52,051 |
|
8,934 |
|
485 |
|
61,470 |
GENETRON HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED BALANCE
SHEETS
|
|
As
of December 31, 2021 |
|
As of March
31, 2022 |
|
|
RMB’000 |
|
RMB’000 |
|
US$’000 |
ASSETS |
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
|
Property, plant and equipment |
|
110,285 |
|
132,571 |
|
20,913 |
Right-of-use assets |
|
52,074 |
|
47,044 |
|
7,421 |
Intangible assets |
|
20,695 |
|
24,784 |
|
3,910 |
Financial assets at fair value through profit or loss |
|
49,780 |
|
48,715 |
|
7,685 |
Other receivables and prepayments |
|
37,610 |
|
31,103 |
|
4,906 |
|
|
|
|
|
|
|
Total non-current assets |
|
270,444 |
|
284,217 |
|
44,835 |
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
Inventories |
|
35,603 |
|
42,991 |
|
6,782 |
Contract assets |
|
7,775 |
|
5,911 |
|
932 |
Other current assets |
|
30,705 |
|
35,758 |
|
5,641 |
Trade receivables |
|
282,113 |
|
281,436 |
|
44,395 |
Other receivables and prepayments |
|
97,895 |
|
118,755 |
|
18,733 |
Amounts due from related parties |
|
597 |
|
457 |
|
72 |
Financial assets at fair value through profit or
loss |
151,443 |
|
239,816 |
|
37,830 |
Derivative financial instruments |
2,002 |
|
- |
|
- |
Cash and cash equivalents |
|
639,042 |
|
319,292 |
|
50,367 |
|
|
|
|
|
|
|
Total current assets |
|
1,247,175 |
|
1,044,416 |
|
164,752 |
|
|
|
|
|
|
|
Total assets |
|
1,517,619 |
|
1,328,633 |
|
209,587 |
|
|
|
|
|
|
|
GENETRON HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(CONTINUED)
|
|
As of December 31, 2021 |
As of March 31, 2022 |
|
|
RMB’000 |
RMB’000 |
US$’000 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
Non-current
liabilities |
|
|
|
|
Lease liabilities |
|
33,865 |
|
|
30,132 |
|
|
4,753 |
|
|
Other non-current
liabilities |
|
8,612 |
|
|
8,895 |
|
|
1,403 |
|
|
|
|
|
|
|
Total non-current
liabilities |
|
42,477 |
|
|
39,027 |
|
|
6,156 |
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities |
|
|
|
|
Trade payables |
|
55,767 |
|
|
57,416 |
|
|
9,057 |
|
|
Contract liabilities |
|
11,962 |
|
|
8,693 |
|
|
1,371 |
|
|
Other payables and
accruals |
|
157,232 |
|
|
130,355 |
|
|
20,563 |
|
|
Amounts due to related
parties |
|
3 |
|
|
- |
|
|
- |
|
|
Borrowings |
|
19,554 |
|
|
32,450 |
|
|
5,119 |
|
|
Lease liabilities |
|
20,572 |
|
|
20,603 |
|
|
3,250 |
|
|
|
|
|
|
|
Total current
liabilities |
|
265,090 |
|
|
249,517 |
|
|
39,360 |
|
|
|
|
|
|
|
Total
liabilities |
|
307,567 |
|
|
288,544 |
|
|
45,516 |
|
|
|
|
|
|
|
Net
assets |
|
1,210,052 |
|
|
1,040,089 |
|
|
164,071 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS’
EQUITY |
|
|
|
|
Equity
attributable to owners of the Company |
|
|
Share capital |
|
61 |
|
|
61 |
|
|
10 |
|
|
Share premium |
|
6,711,234 |
|
|
6,711,416 |
|
|
1,058,700 |
|
|
Other reserves |
|
(69,091 |
) |
|
(64,342 |
) |
|
(10,150 |
) |
|
Accumulated losses |
|
(5,436,613 |
) |
|
(5,610,985 |
) |
|
(885,110 |
) |
|
|
|
|
|
|
|
1,205,591 |
|
|
1,036,150 |
|
|
163,450 |
|
|
|
|
|
|
|
Non-controlling
interests |
|
4,461 |
|
|
3,939 |
|
|
621 |
|
|
|
|
|
|
|
Total shareholders’
equity |
|
1,210,052 |
|
|
1,040,089 |
|
|
164,071 |
|
|
|
|
|
|
|
Genetron (NASDAQ:GTH)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024
Genetron (NASDAQ:GTH)
Graphique Historique de l'Action
De Juin 2023 à Juin 2024