Puncture + ablation full stack closed loop: Decomposing the product matrix and long-term growth barriers of True Health (02697) healthcare.

Recently, the hot topic of Siasun Robot & Automation sector in the Hong Kong stock market has resurfaced, and Truly Health Medical-B (02697) opened at 159.3% higher on its first day of listing, reaching a high of 384.0 Hong Kong dollars. By the morning close, it was at 375.2 Hong Kong dollars, up by 197.3%. During the public offering stage, the company received 1790.4 times oversubscription in Hong Kong, setting a new record in the niche market. While the market focuses on the gains from new listings, few people delve deeper: in the niche market of percutaneous puncture, the product routes of different companies are fundamentally different businesses. Some bet on lightweight single products, focusing on cost-effectiveness and rapid volume expansion; some tie up with imaging giants to break through channels; while Truly Health Medical takes a heavier but more formidable path a fully integrated layout from puncture diagnosis to ablation treatment. It is currently the only company in China that commercializes products in puncture surgery Siasun Robot & Automation and ablation surgery Siasun Robot & Automation at the same time. In this article, we will set aside short-term stock price speculation and financial figures, starting from the clinical fundamental pain points and dissecting the TH-S high-end series, TH-P sinking series, and TH-X ablation platform, combined with horizontal comparisons in the industry. We will explain three key points: Why is "puncture + ablation integration" the ultimate route in this race? Where does Truly Health's product matrix excel compared to competitors? How will this product barrier ultimately commercial certainty? Firstly, let's talk about the clinical essence: the two major pain points of percutaneous surgery, which most products only solve half of. To evaluate the value of a surgical Siasun Robot & Automation, it is essential to look beyond the flashy parameters and focus on whether it addresses the real "pain points" in clinical practice. In the percutaneous puncture and ablation race, there are two industry-level challenges that traditional solutions have not completely resolved. Pain point 1: Manual puncture highly depends on the doctor's experience; high-risk lesions are "too afraid to puncture, or punctured inaccurately." Organs such as the lungs and liver continuously move with respiration, and a single lesion drift distance can be as much as 1-2 centimeters. Faced with small nodules below 5 millimeters, deep lesions above 10 centimeters, and high-risk positions adjacent to major blood vessels, even experienced interventional doctors need repeated CT scans and multiple needle adjustments, resulting in long operation times, high patient radiation doses, and risks of complications such as pneumothorax and bleeding increase linearly with the number of punctures. The registered clinical data disclosed in the prospectus best illustrates the problem: the one-time success rate of traditional manual puncture is only 15.0%, with an average of 1.42 needle adjustments during surgery, and a complication rate of 13.33%; with the assistance of Siasun Robot & Automation, the success rate of one-time puncture increases to 98.3%, the average number of needle adjustments drops to 0.02 times, and the risk of complications is almost halved. Among the 19 domestically approved puncture Siasun Robot & Automation models, most of them can only achieve basic image-guided positioning, solving the problem of "clear visualization" but failing to form a complete closed loop from planning to execution. Pain point 2: Puncture diagnosis and ablation treatment devices are separate, leading to natural gaps in the clinical process. This is a more subtle but more significant pain point affecting treatment efficacy. The current industry model is to use a navigation device for puncture positioning and then switch to a third-party microwave ablation device for treatment. Instrument changes during surgery require re-registration and re-tracking of respiratory movements, not only prolonging the operation time but also potentially causing incomplete coverage of the ablation target area due to respiratory drift, directly affecting the efficacy of tumor treatment. Globally, only Truly Health's TH-X MW product combines needle navigation, robotic arm positioning, respiratory tracking, and microwave energy output on a single platform, which was the core basis for the National Medical Products Administration to recognize it as "internationally pioneering". In short, most players in the industry are still running the "diagnostic halfway" race, while Truly Health has already completed the "diagnosis + treatment" journey. This is not just a difference in features but a generational gap. Two, a three-tier product matrix with full coverage: from top-tier hospitals to county hospitals, no competitor can achieve such a comprehensive lineup. Truly Health's product layout strategy is clear: use high-end flagship models to set clinical benchmarks, sink into the grassroots market with compact models, and build exclusive barriers with integrated ablation products, creating a three-tier ladder that other players cannot replicate in the short term. The following is an overview of the company's core commercial products, all data is derived from the prospectus and NMPA publicly approved information: 1. TH-S series: Benchmark of the high-end track, leading in registration speed. The four models in the TH-S series belong to the same registration unit at the regulatory level but are separately approved and commercialized, this "multi-registration strategy" accurately targets the hierarchical needs of the domestic medical market. The most iconic is TH-S1, approved in May 2022, which is the first domestic percutaneous puncture Siasun Robot & Automation to combine intelligent image reconstruction, infrared binocular navigation, six-degree-of-freedom robotic arm, and real-time respiratory tracking. The recent sensational 16 cm deep puncture and surgery on elderly high-risk patients in Macau were done using this flagship model. Its value lies not only in selling equipment but also in setting clinical benchmark cases, establishing a doctor's mindset, and serving as the brand's "technical calling card." The subsequent iterations of TH-S, TH-S Pro, TH-SA, correspond to simplified operations, upgraded precision, and optimized spatial scenarios, enabling different levels and spatial conditions of top-tier hospitals to find suitable models. 2. TH-P series: Exclusive lever for grassroots market penetration. Many people overlook the strategic value of the TH-P series. Currently, all competitors in the race are almost exclusively competing for top-tier hospitals, while ignoring the larger volume and more urgent demand in county-level medical markets - the reason is simple: they cannot produce compact products that balance performance and cost. The core breakthrough of Truly Health's TH-P series lies in the in-house development of a miniature robotic arm that achieves domestic substitution of core components, significantly reducing the overall size and manufacturing costs while retaining core technologies such as sub-millimeter navigation and respiratory tracking. The significance of this product is that it expands the application scenarios of puncture surgery Siasun Robot & Automation from provincial top-tier hospitals to municipal hospitals, county hospitals, and even specialty biopsy centers, opening up a multiple-fold increase in market space. 3. TH-X series: A true exclusive moat, the only one in the entire race. If the various players in the puncture surgery Siasun Robot & Automation market can compete on parameters and prices, then the integrated ablation surgery Siasun Robot & Automation of Truly Health is its "exclusive territory." The disruptive aspect of TH-X MW lies in its redefinition of the ablation procedure of percutaneous puncture: pre-operative automatic lesion segmentation, planning needle entry paths and ablation ranges; during surgery, the robotic arm guides the ablation needle precisely into place while real-time tracking respiratory movements, dynamically adjusting the ablation energy output; and post-operatively, evaluating target area coverage in real time. Without switching equipment throughout the process, it truly achieves "one puncture, diagnosis + treatment complete." Compared to the common industry solution of "navigation platform + third-party ablation device" patchwork, this native integrated product has generational advantages in puncture accuracy, ablation efficacy, and procedural efficiency. This is why it can obtain certification as "internationally pioneering" - not only leading domestically but also unique globally. Three, horizontal benchmarking against competitors: Full-stack advantages are clear, most players are still in the "half-marathon" stage. We have compared the main domestic and imported players in the same table, and the differences are very apparent. From this table, we can draw three key conclusions: Firstly, the gap in approved quantities is leading. Truly Health monopolizes five of the 21 approved puncture Siasun Robot & Automation models in the industry, which is 2.5 times that of the second player. Most companies only have one Class III certificate to date, still in the stage of "having products," while Truly Health has entered the "matrix" stage. Second, a monopoly in the ablation race has been formed. Currently, there is no second domestic company that has obtained approval for an integrated microwave ablation Siasun Robot & Automation. Competitors wanting to enter the ablation field can only rely on navigation devices combined with third-party microwave instruments, fundamentally operating as "puncture service providers" rather than "treatment solution providers." Third, the most complete price range coverage. While other companies can only compete for budgets in top-tier hospitals, Truly Health can secure orders from top-tier hospitals with the TH-S series and capture incremental market share in grassroots markets with the TH-P series, demonstrating resilience and long-term growth potential far superior to single product players. Four, speed in obtaining certification is the core competitive advantage: Regulatory first-mover advantage builds a moat of over 3 years. There is an iron law in the medical device industry: the ability to obtain regulatory approvals is a company's core productivity. A Class III medical device registration typically takes 3-5 years from R&D, type testing, clinical trials to final approval, with significant investment costs running into millions, and cannot be expedited by simply throwing money at it. Truly Health's certification rhythm can be described as one of a kind in the entire race: In May 2022, it secured the first domestic Class III certificate for percutaneous puncture Siasun Robot & Automation (TH-S1); In June 2023, TH-S was approved, securing "domestic pioneering" recognition; In September 2024, TH-X MW was approved, securing "international pioneering" recognition; In December 2024, it simultaneously obtained Class III certificates for TH-S Pro and TH-P series; In 2025, TH-SA, TH-X HMW, MW150 three products successively obtained approvals; In April 2026, the expansion of pulmonary indications for TH-X MW was approved, achieving another milestone. With at least 2 new products/adaptations approved each year on average, this approval efficiency is backed by a deep understanding of regulatory rules, solid accumulation of clinical data, and a complete research-registration system capability. Furthermore, having both "domestic pioneering" and "international pioneering" certifications carries significant weight. This official endorsement, whether for hospital procurement decisions or subsequent product registration approvals, provides strong validation. For followers trying to catch up, even if they start R&D immediately, it will still take over 3 years to obtain certification. This 3-year time gap is Truly Health's golden window to capture hospital channels, accumulate clinical data, and establish doctor mindshare. Five, the product matrix ultimately points to commercialization: why a full-stack layout offers stronger long-term certainty Many people may ask: what's the point of having multiple products if revenue is still in the millions? The answer is: the value of a product matrix may not immediately reflect in the current financial reports but will determine the commercial ceiling and growth resilience for the next 3-5 years. We can look at this from three dimensions: 1. Higher ceiling value per hospital, with more stable consumables loop. The model of single-product players is to sell one device to one hospital, with limited subsequent consumables. However, Truly Health's model allows a hospital to purchase both puncture Siasun Robot & Automation and ablation Siasun Robot & Automation simultaneously, with departments such as respiratory, thoracic surgery, hepatobiliary surgery, interventional departments sharing multiple specialties, naturally increasing production output per hospital. More importantly, consumables. The long-term profit model of the surgical Siasun Robot & Automation revolves around "razor blades + razor": the device is a one-time revenue, while specialized puncture needles, ablation needles, and other consumables provide steady recurring cash flow. As the installed base increases, the revenue share from consumables will continue to rise, improving profit quality. Consumable revenue began contributing to the company's revenue in 2024, signaling the early success of the business model. 2. Full price range coverage, accurately tapping into policy dividends. After the unified fee framework from the National Healthcare Security Administration was implemented in January 2026, detailed fee regulations have been gradually implemented nationwide, allowing hospitals to finally calculate the ROI of equipment. However, the payment capabilities vary significantly among different levels of hospitals, with top-tier hospitals being able to afford high-end flagship models while county hospitals are limited to high-performance-cost models. Truly Health's three-tier product matrix corresponds to different budget ranges at different hospital levels. When the policy inflection point arrives, the company can benefit from upgrades in top-tier hospitals and widespread adoption in grassroots hospitals, capturing two waves of policy dividends, while single-product players can only capture one. 3. Forward-looking layout + overseas growth, opening up a long-term growth ceiling. Apart from its current commercialized products, the company has two forward-looking pipelines: TH-X Cryo frozen ablation Siasun Robot & Automation and ex-vivo organ preservation and evaluation system. Particularly in the field of organ preservation, which is virtually untapped in the domestic market, once implemented, it will be an entirely separate second growth curve. Regarding the overseas market, the CE certification application for TH-S1 has been submitted, with an expected approval in the fourth quarter of 2026. Unlike many companies' "overseas expansion PPTs," Truly Health's Australian background and location in Hengqin provide a natural international advantage, combined with products featuring globally leading technological competitiveness; the overseas market is not a distant story but an immediate increment promising. Six, objectively assess risks: There is no perfect leader in the game. Of course, we cannot ignore risks. Investing in hard technology companies requires a clear understanding of where uncertainties lie: First, there is uncertainty in the progress of commercialization conversion. Large hospital equipment procurement cycles are long, taking 1-2 years from trial to formal bidding, and the pace of scaling up may be slower than market expectations; secondly, industry competition is intensifying. Players like Linkong and Tuodao are entering the market, posing risks of future price wars and channel battles; third, there are regional differences in the implementation pace of medical insurance fee transitions. Though a nationwide unified framework has been introduced, the specific execution progress varies in different regions, potentially affecting purchasing intentions in certain areas. These risks are common to all medical device companies in the early stages of commercialization and are not unique to Truly Health. We must not assess whether there are risks but rather whether the company has sufficient barriers to address these risks. Returning to the essence of investment. When looking at Truly Health, the real value to be priced is not its current million-dollar revenue but its multiple Class III certificates, double pioneering technological endorsements, full-stack closed-loop puncture + ablation, and a complete product ladder covering from top-tier hospitals to county-level facilities. These achievements are not the result of money-driven marketing but of years of clinical refinement, regulatory approval, and the barriers that competitors cannot catch up with in the short term. When healthcare policy inflection on insurance fees materializes, when trial installations gradually convert into formal orders, when the consumable repurchase curve starts to rise, what the market sees as "small revenue" today will transform into a snowball-like growth in the future. The story of puncture surgery Siasun Robot & Automation has just begun its first chapter. And players with the most cards in hand tend to walk the steadiest and longest path.