BASECARE-B (02170) expects mid-term revenue of approximately 126 million to 131 million yuan, an increase of about 24.0% to 29.0% year-on-year.

BASECARE-B (02170) announced that (i) Revenue Growth: For the six months ending June 30, 2026, the expected revenue is approximately RMB 126 million to RMB 131 million, a year-on-year increase of approximately 24.0% to 29.0% compared to RMB 101 million for the six months ending June 30, 2025. (ii) Narrowing Losses: For the six months ending June 30, 2026, the expected loss attributable to equity shareholders is approximately RMB 69 million to RMB 73.5 million, a year-on-year reduction of approximately 39.5% to 43.2%; the expected earnings before interest, taxes, depreciation, and amortization (EBITDA) is approximately RMB 44.4 million to RMB 49 million, a year-on-year reduction of approximately 46.9% to 51.9%. During the reporting period, the Group's revenue growth was mainly attributed to the following factors: (i) The Group has further expanded into the pre-implantation genetic testing (PGT) market, forming a core product with strong profitability. The compliance bonus combined with an increase in penetration rate has led to strong revenue growth. During the reporting period, the PGT-M kit was approved by the National Medical Products Administration (NMPA) in April 2026 as a Class III medical device, making it the first PGT-M product in the country targeting the genetic blockage of thalassemia familial lines, filling the domestic gap in genetic testing for single-gene diseases in pre-implantation embryos. This provides compliant domestic technical tools for implementing the national policies on the prevention and treatment of single-gene hereditary diseases. The first PGT-A kit based on a fully domestic sequencing platform was approved by the NMPA in March 2026 as a Class III medical device. The Group has achieved a complete domestic closed loop from sequencer to reagent, further consolidating the first-mover advantage of domestic leading licensed enterprises. On the demand side, due to delayed fertility ages, clinical demand for genetic screening of embryos continues to rise. Combined with the government's ongoing efforts to enhance prevention of birth defects, pre-implantation genetic testing, as a key technological means to block the transmission of single-gene hereditary diseases and achieve primary prevention of birth defects at the source, is highly aligned with clinical value and policy direction, ushering in a significant policy window for the industry. (ii) The Gems culture medium has been approved for listing by the NMPA, becoming another important product line contributing stable revenue. After two years of registration application, the Group's Gems series of culture media was intensively launched during the reporting period. Following the approval of the one-step embryo culture medium by the NMPA in February 2026, the fertilization culture medium, blastocyst culture medium, and cleavage-stage embryo culture medium were subsequently approved. The Group has become the first local brand in China's assisted reproduction market to have full series culture media backed by large-scale clinical trial data. The Gems culture medium technology originates from the Sydney IVF Centre and was developed under the leadership of Professor David Mortimer, the "father of culture media." It has received recognition from the three major international authorities: the U.S. Food and Drug Administration (FDA), European Conformity (CE), and the Australian Therapeutic Goods Administration (TGA). It is widely used in over 600 reproductive centers across more than 20 countries. The Group has successfully launched high-quality international products domestically and further implemented domestic conversion. Additionally, the Gems culture medium, backed by solid clinical evidence, enables the Group to establish a seamless embryo culture system product matrix with the Geri incubator, Gems culture medium, and AI embryo assessment system, further strengthening customer engagement and diversifying revenue sources. (iii) The Group's overseas market revenue maintained steady growth during the reporting period, with the Asia-Pacific region showing nearly 50% growth, particularly notable in markets such as South Korea, Japan, Thailand, and Vietnam, which have become major growth engines in the region. With the continued increase in equipment installations and the growth of associated consumable sales, the Group has achieved simultaneous growth in equipment and consumables. At the same time, the Group's overseas product pipeline continues to expand. The PGT kits and genetic sequencers have entered nearly 10 reproductive centers in Europe and the Asia-Pacific region, bringing the Group continuous repeat revenues and expected growth. The independently developed ultra-low temperature storage device, Gelida 800, completed its first overseas delivery during the reporting period. By expanding the overseas product pipeline, the Group is opening new growth spaces for its overseas business. The narrowing of the loss attributable to equity shareholders during the reporting period is mainly due to: (i) The registration application work for the Group's core products has been largely completed, leading to a corresponding decrease in R&D investment, as the Group has fully shifted its focus to commercialization. The Group has become one of the few platform companies in the assisted reproduction industry globally, covering genetic testing, embryo culture, male testing, cryopreservation, and soft AI ecology, establishing a comprehensive product layout and compliance barriers. The hardware-to-consumable pairing in equipment and service revenue shows strong sustainability and growth potential. (ii) With the ongoing advancement of overseas business and pipeline expansion, the Groups overseas segment continues to achieve improvements in revenue and profitability, becoming an important growth engine for the Group. (iii) As the Group's revenue scale continues to expand and gross margins improve, combined with the ongoing implementation of refined management, there has been continuous improvement in the input-output efficiency of sales, management, and R&D expenses, leading to a sustained improvement in operational performance.