NEW YORK – BGI Genomics reported last week that its 2024 revenues declined 11 percent year over year.
For the year ended Dec. 31, the Chinese company booked RMB 3.87 billion ($531.0 million) in revenues, down from RMB 4.35 billion in 2023, according to its annual report, filed with the Shenzhen Stock Exchange last week.
The firm’s net loss attributable to shareholders was RMB 902.7 million, compared to a net profit of RMB 91.2 million the previous year. Loss per share for 2024 was RMB 2.19, compared to earnings per share of RMB .23 in 2023.
BGI attributed the revenue decline to a myriad of reasons including intensified market competition and increased R&D spending, as well as higher depreciation and amortization costs for its offices, labs, and production facilities.
Looking at BGI's business areas, revenues from precision medicine testing products, which accounted for 34 percent of total revenues, were RMB 1.33 billion, down 6 percent year over year from RMB 1.41 billion.
Reproductive research and clinical services revenues, which accounted for 30 percent of total revenues, were RMB 1.15 billion in 2024, representing a 2 percent decrease year over year from RMB 1.18 billion.
Multiomics and synthetic biology services revenues, which accounted for 17 percent of the total, were RMB 667.3 million, down 6 percent from RMB 707.2 million in 2023. The decline was in part due to the shrinking service market in the Americas for "geopolitical reasons," BGI noted.
Oncology and chronic disease testing services made up 16 percent of total revenues in 2024, coming in at RMB 624.7 million, a 19 percent increase from RMB 524.9 million in the prior year. The increase was driven by growing demand for colon and hereditary cancer testing as well as sequencing for targeted therapies for various cancer types, BGI said.
Infectious disease research and clinical services revenues were RMB 72.6 million, making up 2 percent of the company’s total revenues. This represents an 86 percent drop from RMB 515.6 million in 2023, primarily caused by a decline in COVID-19-related testing.
By geography, 86 percent of BGI's revenues in 2024, or RMB 3.31 billion, came from mainland China, a 4 percent decrease compared to RMB 3.46 billion in 2023. Asia-Pacific revenue outside of mainland China, which includes Hong Kong, Macao, and Taiwan, dropped 56 percent to RMB 245.9 million from RMB 557.6 million in the prior year. Revenues from Europe and Africa were RMB 224.6 million, up 4 percent from RMB 216.8 million in 2023. Revenues from the Americas declined 22 percent year over year to RMB 90.3 million from RMB 116.2 million in 2023.
BGI’s SG&A costs in 2024 were RMB 1.42 billion, a slight decline from RMB 1.44 billion in 2023. The firm's 2024 R&D expenses were RMB 606.2 million, increasing 15 percent year over year from RMB 528.9 million.
The company ended the year with RMB 2.70 billion in cash and cash equivalents.
BGI's revenues in Q1 2025 were RMB 671.9 million, down 18 percent from RMB 821.3 million in the same period in 2024.
The company's net loss attributable to shareholders was RMB 52.7 million, compared to a net profit of RMB 12.4 million in the year-ago period. Loss per share for the quarter was RMB .13, compared to earnings per share of RMB .03 in Q1 2024.
First quarter SG&A costs were RMB 236.8 million, down 12 percent from RMB 269.6 million in Q1 2024. R&D expenses were RMB 117.3 million, a 10 percent increase year over year from RMB 106.4 million.
BGI said the recently imposed tariffs by the US government as well as the reciprocating tariffs by China "could have negative impacts" on the company's plan for overseas expansion. Meanwhile, the effect of US-related tariffs on the company's supply chain is "generally manageable," BGI said, given that it has been "reducing the reliance on raw materials produced in the US or other countries" and has "basically achieved domestic production" of many materials such as enzymes and probes, as well as other reagents.
At market close on Monday on the Shenzhen Stock Exchange, BGI Genomics’ shares were down 2 percent at RMB 46.82.