JIUYUAN GENE (02566) has announced its interim results for the 2026 fiscal year, with revenue totaling approximately RMB 631 million, reflecting a year-on-year decline of 1.23%. Net profit attributable to parent company shareholders reached RMB 91.269 million, representing a modest increase of 1.21% compared to the same period last year. Basic earnings per share stood at RMB 0.38.

According to the company's official statement, the slight downturn in first-half revenue can be attributed to a combination of several key factors. Firstly, the new Policy No. 10 issued by the Ministry of Finance and the State Taxation Administration, effective from January 2026, has adjusted the taxation of ordinary biological products from a simplified 3% levy to a standard 13% calculation method, which has raised the company's overall effective tax burden. Secondly, the deepening reform of the DRG/DIP payment system has pushed hospitals to control costs under the "bundled payment" model, leading to a decline in average per-visit expenses at medical institutions. Thirdly, the company has proactively strengthened its cash flow and accounts receivable management by reducing bill sizes and optimizing receivable aging periods, which has seen some orders prioritized for repayment quality over revenue volume. This strategic shift has resulted in a deliberate deceleration of revenue growth in favor of cash-flow priority.

During the reporting period, leveraging its superior product supply capabilities and cost advantages, the company's two products that have been included in centralized procurement, Jiuouting® and Yinuojia®, successfully completed their contract renewals. Additionally, Jixinfen® and Jilixin®, which were launched in the previous year, both maintained rapid sales volume growth throughout the reporting period.