Guangzhou Jinyu Medical Examination Group Co., Ltd. (Jinyu Medical) reported a net loss attributable to shareholders of the listed company of 381 million yuan in 2024, compared to a net profit of 643 million yuan in the same period last year, representing a drastic decrease of 159.26%. Shareholders have cashed out 9 billion yuan at a high level.
On April 25th, Jinyu Medical released its “2024 Annual Report of Guangzhou Jinyu Medical Examination Group Co., Ltd.” The report revealed that in 2024, Jinyu Medical achieved operating income of 7.19 billion yuan, a 15.81% decrease from the 8.54 billion yuan in the same period of the previous year. The net profit attributable to shareholders of the listed company was -381 million yuan, as opposed to 643 million yuan in 2023, marking a 159.26% year-on-year decrease; the net profit excluding non-recurring gains and losses attributable to shareholders of the listed company was -238 million yuan, compared to 365 million yuan in 2023, a drop of 165.28%. Basic earnings per share were -0.82 yuan/share, down 159.42% from 1.38 yuan/share in 2023; while non-recurring earnings per share were -0.51 yuan/share, a decrease of 165.38% from 0.78 yuan/share in 2023.
The annual report cited factors such as the slowdown in market demand during the reporting period, lower-than-expected business income, an increase in fixed cost amortization ratio leading to a decrease in operational leverage efficiency, an extension of accounts receivable collection period resulting in significant credit impairment losses amounting to 619 million yuan in 2024; as well as disposal losses of 143 million yuan for fixed assets that lost their functionality and impairment losses and fair value changes totaling 99.03 million yuan in businesses invested in but did not meet expectations, confirmed by third-party professional assessment institutions.
Additionally, Jinyu Medical’s grassroots staff decreased from 11,586 in 2023 to 10,413 in 2024. According to a report by “Huaxia Times” on April 28th, the largest reductions were seen in technical personnel, sales staff, administrative, and research and development personnel.
Before reporting the worst performance in its history in 2024, Jinyu Medical’s shareholders reduced their holdings to cash out about 9 billion yuan.
In response, Yu Fenghui, a senior researcher at Pangu Think Tank, told the media, “Major shareholders usually reduce their holdings to cash out at high prices out of self-interest considerations. This reflects that the company or the industry may no longer be thriving, and the future prospects may be uncertain. From a market perspective, investors should maintain rationality.”
Headquartered in Guangzhou, Guangdong Province, Guangzhou Jinyu Medical Examination Group Co., Ltd. is a high-tech service enterprise focused on third-party medical testing and pathological diagnosis services. In 2017, Jinyu Medical was listed on the Shanghai Stock Exchange.
As of the closing of A shares at 15:00:00 on April 28th Beijing time, Jinyu Medical’s stock price was 27.74 yuan/share, with a total market value of 12.851 billion yuan.