(Yicai Global) Feb. 28 -- CanSino Biologics and BGI Genomics, two Chinese firms that went from strength to strength during the height of the pandemic, have posted disappointing results for last year as demand for the former’s Covid-19 vaccines and the latter’s novel coronavirus test kits plunge amid the lifting of the country's Zero-Covid policy.

CanSino logged a net loss of CNY902 million (USD129.9 million) in 2022, a big turnaround from the net profit of CNY1.9 billion (USD273.6 million) a year earlier, the Tianjin-based company said. Revenue sank 75.9 percent to CNY1 billion, as sales of its jabs tumbled amid the changing Chinese and international markets. An impairment provision was made for unsold Covid-19 vaccines, it added.

BGI expects net profit to plummet 44.4 percent in 2022 from a year earlier to CNY812 million (USD117 million) as the price of Covid-19 testing services and reagents keeps falling amid intense competition, the Shenzhen-based company said yesterday. Revenue is likely to climb 5.3 percent to CNY7.1 billion, around half of which is from its polymerase chain reaction tests.

Now that China has relaxed its pandemic prevention measures, the demand for Covid-19 tests has plunged, and the company has accrued CNY400 million in impairment costs, it added.

CanSino’s stock price [SHA:688185] closed down 1.6 percent in Shanghai today at CNY128.48 (USD18.50), while its Hong Kong traded-shares [HKG:6185] dipped 2.1 percent to end the day at HKD59.60 (USD7.60). BGI’s share price [SHE:300676] edged up 0.9 percent to close at CNY55.67 (USD8).

Editor: Kim Taylor