On December 8, medical imaging services and data AI provider RIMAG GROUP (02522) issued two announcements addressing investor concerns with decisive actions rather than lengthy explanations. The first announcement authorized a board-approved buyback of up to HK$200 million for the company’s H-shares, while the second revealed Chairman Chen Chaoyang’s personal purchase of 59,500 shares worth HK$600,000 at an average price of HK$10.08 per share.
This is not the first time RIMAG GROUP has responded to market volatility. Earlier on the same day, the company stated in a routine disclosure that its "business operations remain stable, with smooth progress in core medical data and AI strategies, and no undisclosed material events."
Recent pressures in the Hong Kong stock market—particularly in growth sectors—stem from global macro liquidity fluctuations, geopolitical uncertainties, and seasonal year-end capital tightening. Such conditions often trigger excessive pessimism, leading to technical sell-offs that disconnect stock prices from underlying business fundamentals. RIMAG GROUP’s case exemplifies this trend.
Actions speak louder than words. The company’s response delivers two clear value signals: 1. **Corporate Buyback**: The board approved repurchasing up to 24.94 million H-shares (HK$200 million), executing an initial buyback of 4.45 million shares on the same day. 2. **Insider Confidence**: Chairman Chen’s personal investment underscores alignment with long-term shareholder interests.
The buyback plan represents ~4.6% of RIMAG GROUP’s market cap (based on December 8 closing price), reflecting management’s strong conviction in undervaluation.
Fundamentally, RIMAG GROUP’s performance supports its market moves. Interim 2025 results showed a 12.89% YoY revenue increase and a 328.65% surge in net profit, driven by expanding imaging solution services. As a pioneer in China’s third-party medical imaging sector, the company operates a nationwide network covering hundreds of medical institutions, processing over 100 million medical images to build an irreplicable data asset moat.
Its AI diagnostic model, launched this year, has been validated in top-tier hospitals, accelerating commercialization. More critically, RIMAG GROUP is transitioning from a traditional medical service provider to a data and AI solutions leader. Its subsidiary Yinghe Yimai released the "Yinghe Miya™" foundational imaging model, achieving full-process AI integration from image capture to report generation with globally competitive metrics. Additionally, the company introduced the industry’s first chest CT pathway-level AI diagnostic tool (AIR), addressing clinical mismatches in medical imaging and advancing the sector into a multi-disease diagnostic era.
On data monetization, RIMAG GROUP’s "Trusted Data Space" has generated tens of millions in revenue. In October 2025, its subsidiary Beijing RIMAG partnered with the Beijing Data Pilot Zone and Beijing International Computing Power Corp. to establish a high-quality medical imaging dataset under a compliant sandbox framework. Their first commercial conversion—a large-scale model training service—yielded a single transaction worth millions of RMB, exemplifying a "state-backed, data-driven, ecosystem-collaborative" model for healthcare AI.
Through buybacks and insider purchases, RIMAG GROUP invites the market to reassess its intrinsic value. Investing ultimately hinges on discounted future cash flows, not short-term price swings. When market sentiment skews irrational, returning to fundamental analysis remains the surest path to uncovering true worth.
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