"According to the data of CIC Consulting, the global market size of gene sequencers and consumables in 2023 will be about US$5 billion, and the company's 2023 sequencer business revenue will account for about 6.7% of the market share of the upstream revenue of the global gene sequencing industry. In 2023, the company will account for about 18.7% of the global market share of new installed capacities, and 47.3% of the market share of new installed calibers in the upstream of the domestic gene sequencing industry, and the company expects further growth in the market in the future. On the afternoon of December 9, Mu Feng, director and general manager of MGI (688114), said at the third quarter of 2024 results briefing.

Founded in 2016, MGI has formed two major segments: gene sequencer business and laboratory automation business, and has laid out new business segments represented by BIT products, ultrasound imaging platforms, and ultra-low temperature automated biobanks around all-round life digitalization. Among them, the R&D and production of the company's gene sequencer business segment has been in the leading position in the industry, and has now become one of the few companies in the world that can independently develop and mass-produce clinical-grade gene sequencers with different throughput from Gb to Tb, and has realized the all-round strategic layout of "excitation", "self-luminescence" and "non-luminescence" gene sequencing products.

According to the recently disclosed third quarter report of 2024, MGI's operating income in the first three quarters was 1.869 billion yuan, a year-on-year decrease of 15%, mainly due to the impact of the macro environment, geopolitics, market competition and other aspects. The consolidated gross profit margin was 61%, an increase of about 1 percentage point year-on-year. The net profit attributable to the parent company was 463 million yuan. The company's gene sequencer business achieved revenue of 1.54 billion yuan, accounting for 84% of the main business income; The laboratory automation business achieved revenue of 140 million yuan, accounting for 8%; The new business income was 160 million yuan, accounting for 9%.

In terms of the performance of the gene sequencing business in various regions around the world, Wei Wei, secretary of the board of directors and senior vice president of MGI, said at the results meeting that from January to September 2024, the company's gene sequencer business in China achieved revenue of 1.05 billion yuan, accounting for 68%; Revenue in the Asia-Pacific region decreased by 48% year-on-year to RMB150 million, or 16% year-on-year excluding the impact of projects in the United Arab Emirates. Europe and Africa achieved revenue of 220 million yuan, accounting for 14%; The Americas achieved revenue of 120 million yuan, accounting for 8%.

In response to the sales of the company's gene sequencers, Wei Wei said that by the end of September 2024, the company's cumulative sales of gene sequencers will be close to 4,000 units. Among them, in the first three quarters of 2024, the sales and installed capacity of DNBSEQ-G99 reached 210 units, a year-on-year increase of 33%, especially after obtaining the medical device registration certificate in September 2023, the IVD version has increased rapidly. The number of low-throughput DNBSEQ-E25 installations in the first three quarters was 93, a year-on-year increase of 564%.

According to the official website of the National Medical Products Administration (NMPA), the three domestic gene sequencers applied by Beikang Medical, Golden Key Zhizao and Jiyinga respectively were approved for Class III medical device registration certificates on the same day on September 30, and the three domestic gene sequencers are all based on MGI's DNBSEQ technology. At present, 36 gene sequencers in China have been approved by the NMPA for clinical testing, of which 22 are based on MGI's DNBSEQ sequencing technology.

An investor asked about the past situation of the spatiotemporal omics business, and Mu Feng responded that the spatiotemporal omics Stereo-seq technology can analyze all mRNA in a single tissue section from the spatial dimension, so as to detect the gene expression and interaction of cells in situ in tissues, obtain the spatial gene expression patterns of animal and plant organs or tissues, and then reveal the mysteries of life and provide core tool support for the accurate diagnosis of clinical pathology. Due to the advantages of "nano-level resolution" and "centimeter-level panoramic field of view", spatiotemporal omics technology was evaluated by researchers as the best performance method in the article "Systematic Comparison of 11 Spatial Omics Technologies" published in Nature Method in July this year, with excellent capture efficiency and cell subset recognition advantages, bringing new solutions and analytical perspectives to the research of developmental biology, complex diseases, neuroscience and botany.

After the company introduced the spatiotemporal sequencing solution this year, it supported the implementation of many DCS lab frontier laboratories such as Fujian Medical University, Haihe Laboratory of Cell Ecology, Shanghai Brain Science and Brain-like Research Center, and Institute of Modern Agriculture of Peking University.