JXR (01951) overseas business continuously hit a historical record high for 3 consecutive months, driven by policy dividends and a reserve of doctors, leading to record growth.

In 2026, the performance of JXR (01951) in overseas markets has been outstanding, demonstrating the successful strategic deployment in the US market over the years. On the evening of May 6th, JXR released operational data showing that as of April 30, 2026, the number of new infertility patients visiting the group reached 16,525, marking a 7.5% increase from the same period in 2025; overall business maintained a steady growth momentum. Particularly, the overseas business (mainly in the US) performance was excellent, with the number of egg retrieval cycles increasing by 37.3% year-on-year. Of note, benefiting from the company's early layout of the California SB 729 Act and the formal implementation of the act this year, together with years of deep cultivation of the doctor team by HRC, JXR's egg retrieval cycles in the US market have hit a new historical high for three consecutive months from February to April 2026. These data not only reflect the direct optimization of the policy environment but also represent the strategic returns of JXR's continuous investment in the US market. SB 729 Act opens up new space in the US market The strong growth momentum in the US market is primarily driven by the policy advantages of the California SB 729 Act. As early as September 2024, California Governor Gavin Newsom officially signed Senate Bill 729, drafted by Senator Carole Migden, which took effect on January 1, 2026. The act requires large group health insurance plans regulated by the state government in California to cover diagnosis and treatment of infertility, including in-vitro fertilization (IVF). Specifically, SB 729 mandates that fully insured large group health plans with 101 or more employees provide coverage for infertility diagnosis and treatment, including up to three complete oocyte retrieval cycles and unlimited embryo transfers. In addition, the act also historically broadened the definition of "infertility," removed previous restrictions on marital status, and opened the door to family planning for up to nine million people in California. With the significant reduction in insurance barriers, local demand for assisted reproductive services has increased significantly. Prior to this, California insurance laws did not mandate coverage for infertility or IVF costs, and insurance companies usually only offered optional coverage, often excluding IVF. The enactment of SB 729 fills this coverage gap. As the largest provider of assisted reproductive services on the west coast of the US, HRC included major insurance companies in its network a year in advance, taking the lead in capturing market opportunities, and the release of policy dividends directly drove the volume of business in HRC Fertility clinics under JXR the number of egg retrieval cycles hit a new historical high for three consecutive months from February to April 2026 with sustained growth momentum. It is understood that local California companies, such as Google, Nike, and Microsoft, have already included assisted reproduction in their insurance plans. Building core competitiveness through doctor reserves The business boom in the US market is not incidental. JXR (HK.1951) has been deeply cultivating its human resources foundation in the US market for many years. HRC Fertility was established in 1988, ranking top on the west coast of the US in terms of cycle numbers and with success rates exceeding the industry average. It already owned 14 clinics, 4 main centers, 5 independent embryo laboratories, and a medical team consisting of about 40 well-known reproductive medicine experts in the US, enjoying a good reputation worldwide. In January 2026 alone, HRC Fertility announced the addition of seven high-level reproductive specialists to further expand its award-winning physician team. This recruitment coincided with the increase in demand brought about by the implementation of SB 729, and HRC Fertility was prepared in advance to meet the influx of patients. The CEO of HRC Fertility, Sherif Hanna, appropriately evaluated the situation: "SB 729 is a historic step in expanding the accessibility of IVF medical care. With more and more patients receiving insurance coverage, the demand for high-quality care will rise, and HRC Fertility is prepared for this." Public data shows that over the past three years, HRC Fertility has been continuously recruiting and building a reserve of doctors in the US market, and with the support of a sound incentive mechanism, has established an experienced and stable medical team that operates efficiently. It is worth mentioning that while ensuring medical quality, JXR also continuously optimizes operational efficiency and cost control to improve profitability. Meanwhile, the increasing brand influence of HRC enables it to attract patients worldwide effectively, especially from China, forming a dual-enhanced growth pattern domestically and internationally. Mergers and acquisitions in the region entering the harvest period, with promising growth prospects As the coverage of the SB 729 Act continues to expand - with businesses with over 101 employees fully integrated into the coverage scope and small and medium-sized enterprises being able to voluntarily participate - the demand boundary of the US assisted reproduction market continues to widen. CICC recently released a research report stating that with JXR actively promoting the restructuring of its US operations and expanding its medical team, economies of scale will be realized and concentrated in 2026; Huatai also stated that HRC's revenue will benefit from the rising number of egg retrieval cycles, with commercial insurance cycles increasing, and it is optimistic about the improvement in profitability later this year. Industry insiders believe that with the policy advantages brought by SB 729 and the carefully constructed doctor team over the past three years, JXR has strong growth prospects in the US market. JXR will continue to promote operational optimization, enhance clinical effectiveness, focus on improving patient care and service quality, and accelerate the research and upgrading of core reproductive technologies. The Sullivan Report indicates that with changes in population structure, delayed childbearing, and continuously improving policy environments, the demand for assisted reproductive services has a solid foundation for long-term expansion. With the US business continuously breaking monthly highs and initial consultations in the Greater Bay Area growing by 17.7%, and cycle numbers growing by 15.5% in Wuhan and Kunming, JXR's mergers and acquisitions in various regions are entering the harvest period, and its performance in 2026 is worth looking forward to.