As a veteran leader in China's gene sequencing industry, BGI Genomics Co., Ltd. continues to grapple with the pains of transformation. After reaching historic highs of 8.4 billion yuan in revenue and 2.08 billion yuan in net profit attributable to shareholders during the COVID-19 pandemic, thanks to its nucleic acid testing business and "Fire Eye" laboratory network, the company's growth momentum has gradually weakened. It now faces severe challenges of declining revenue and persistent losses. In 2024, the company reported its first annual net loss since listing, amounting to 900 million yuan. By the end of October this year, BGI Genomics released its performance report for the first three quarters of 2025, showing a 5.39% year-on-year decline in revenue to 2.674 billion yuan, with a net loss still standing at 21.39 million yuan.
The company's core businesses—reproductive health, tumor prevention and control, and chronic disease management—remained under pressure in the first half of the year. Only segments like precision medical testing and comprehensive solutions showed growth. Notably, in June 2024, BGI Genomics underwent a major reshuffle of its board and senior management, electing Wang Jian as chairman and Zhao Lijian as general manager to form a new core leadership team. Several veteran executives, including former vice chairman Yin Ye and former deputy general manager and COO Du Yutao, stepped down as their terms expired.
Meanwhile, controlling shareholder Wang Jian cashed out over 1.1 billion yuan within a year through share reductions and equity transfers, raising concerns about management confidence and the company's future prospects. This has cast further uncertainty over the recovery path of this industry pioneer.
**1. Post-Pandemic Struggles: Continued Losses** Wang Jian has been a pivotal figure in BGI Genomics' growth. The company traces its origins to 1997, when Wang, along with Yu Jun and Yang Huanming, proposed participating in the Human Genome Project. On September 9, 1999, they co-founded the Beijing Genomics Institute in an old factory building in Beijing’s airport development zone, marking the beginning of BGI Group. In 2007, Wang led the team to Shenzhen, establishing the Shenzhen Huada Gene Research Institute (later renamed Shenzhen Huada Life Science Research Institute) to expand its presence in southern China.
BGI Genomics went public on the ChiNext board in 2017. Its business focuses on precision medical testing and health management solutions, covering four major areas: reproductive health (pre-marital and pre-pregnancy testing), tumor prevention, chronic disease management, and infection control.
However, it was the pandemic that truly propelled BGI Genomics into the spotlight. The company quickly developed COVID-19 nucleic acid test kits, serving over 180 countries and regions. Its "Fire Eye" labs were deployed across China and in more than 30 countries, including Serbia and Italy, becoming a "Chinese name card" in the global fight against the pandemic.
Post-pandemic, revenue dropped from 8.4 billion yuan in 2020 to 4.359 billion yuan in 2024, while net profit shrank continuously, culminating in a 903 million yuan loss in 2024—its first annual loss since listing. For the first three quarters of 2025, revenue fell 5.4% year-on-year to 2.67 billion yuan, with a net loss of 21.39 million yuan, though narrowing by 82.78% compared to the previous year.
**2. Core Business Decline, New Growth Drivers Falter** The reproductive health segment, once a cash cow, saw revenue plummet 28.4% year-on-year to 643 million yuan in the first three quarters of 2025. Non-invasive prenatal testing (NIPT), its core product, dropped about 36%, driven by declining birth rates and price cuts due to centralized procurement policies. In Guangdong, for instance, NIPT prices fell from over 2,000 yuan to 560 yuan after being included in medical insurance.
Meanwhile, the tumor and chronic disease prevention segment declined 8.8% to 358 million yuan due to reduced demand for medical check-ups. While infection control and precision medical testing solutions showed growth (41.7% and 11.2%, respectively), their contributions were insufficient to offset declines in core businesses.
Overseas expansion provided some relief. In March 2025, BGI’s Saudi joint venture Genalive secured a 950 million yuan contract for testing services, the largest of its kind in the country. However, geopolitical risks and regional competition remain challenges.
**3. Controlling Shareholder Cashes Out, Workforce Shrinks Over 16%** Under cost-cutting measures, BGI reduced sales, administrative, and R&D expenses by 17.73%, 17.76%, and 16.38%, respectively, in the first three quarters of 2025. Employee compensation saw significant cuts, with management, sales, and R&D payrolls dropping 23%, 11.8%, and 12%, respectively. The workforce shrank by 746 employees (over 16%) from 2022 to 2024.
The company’s stock price has also languished, down over 80% from its peak of 260 yuan per share. As of November 24, it closed at 46.51 yuan, with a market cap of just 19.456 billion yuan—far from its 100 billion yuan peak.
In 2024, controlling shareholder Wang Jian increased his stake to 35.75% through internal restructuring but later cashed out 1.1 billion yuan via share reductions. Another major shareholder, Shenzhen Shenghua Investment, also announced plans to sell up to 6.2747 million shares. These moves have fueled doubts about management’s confidence in the company’s future.
**Conclusion** With core businesses in structural decline and market confidence shaken by major shareholder sell-offs, BGI Genomics faces a long and uncertain transformation. Whether it can cultivate new growth drivers to replace pandemic-era windfalls will determine its ability to regain investor trust and overcome current challenges.
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