Venus Medtech (Hangzhou) Inc. released its audited results for the year ended 31 December 2025, showing mixed performance as the structural-heart device maker navigated an increasingly competitive market.
Revenue and profitability Revenue fell 34.8% year on year to RMB 306.79 million, pressured by lower selling prices and volumes for transcatheter aortic valve replacement (TAVR) products in China. Gross profit dropped 42.4% to RMB 211.83 million, and gross margin narrowed to 69.0% from 78.1% a year earlier. Loss before tax shrank 45.3% to RMB 404.89 million, while net loss attributable to shareholders decreased 42.9% to RMB 407.69 million. Basic and diluted loss per share improved to RMB 0.93 from RMB 1.63.
Segment trends • TAVR products contributed 68.6% of total revenue, contracting to RMB 210.32 million from RMB 383.43 million in 2024. • Transcatheter pulmonary valve replacement (TPVR) products, led by VenusP-Valve, generated RMB 96.39 million, up 10.6% year on year and accounting for 31.4% of revenue. Overseas sales rose 19.2% to RMB 98.32 million, lifting their share of total revenue to 32.0%.
Cost and expenses Cost of sales eased 7.9% to RMB 94.95 million, but higher pricing pressure compressed margins. Selling and distribution expenses fell 20.2% to RMB 195.49 million, reflecting lower sales activity and a shift toward a distributor-led model. Research and development spending declined 21.6% to RMB 267.40 million as the company streamlined its project pipeline, yet it still represented 87.2% of annual revenue. Administrative expenses decreased 33.7% to RMB 96.76 million, aided by lower professional-service fees. Other expenses dropped sharply to RMB 86.25 million, mainly due to the absence of large asset-impairment charges booked in 2024.
Balance sheet and liquidity Cash and cash equivalents stood at RMB 158.34 million at end-2025, down from RMB 298.04 million a year earlier. Total borrowings, including a newly arranged convertible-bond bridge loan, were RMB 159.22 million. The gearing ratio (borrowings plus lease liabilities to total equity) was 12.3%, versus 16.7% at end-2024. Net current assets were RMB 426.39 million.
Key corporate actions • Disposal of the Qiming Healthcare Life Science Industrial Park for RMB 374.56 million; completion in January 2026 generated a RMB 10.19 million net loss. • Sale of 157,800 Series B preferred shares of Valgen Holding Corporation for USD 15 million. • Proposed issue of up to RMB 200 million in convertible bonds to Hangzhou Yingzhiqin No. 2 Venture Capital Partnership; conditions precedent remain outstanding. • Continued legal actions to recover RMB 80 million of unauthorized loans and pledged deposits relating to former management.
Operational highlights During 2025, Venus Medtech completed approximately 3,600 domestic implantations and expanded hospital coverage to about 700 sites nationwide. Overseas distribution extended to nearly 70 countries; VenusP-Valve remained a key growth driver. The Cardiovalve tricuspid replacement system completed enrollment of 150 patients in its European pivotal trial, with CE MDR submission filed. Enrollment for the U.S. IDE pivotal trial of VenusP-Valve and the China pivotal trial for next-generation TAVR system Venus-PowerX progressed as planned.
Outlook Management intends to prioritise core valve projects, accelerate clinical milestones for Venus-PowerX, Venus-Vitae, VenusP-Valve and Cardiovalve, and pursue diversified financing to support operations. The board recommended no final dividend for FY2025.
Comments