The trend of profit recovery is clear, and JINHAI MED TECH (02225) is expected to release long-term value.

Recently, JINHAI MED TECH (02225) disclosed its mid-term performance for 2026, presenting a notably impressive progress report. From an operational perspective, the company has accelerated its revenue expansion and simultaneously improved its profit quality. In the first half of 2026, the group achieved revenue of SGD 34.02 million, a substantial year-on-year increase of 134.16%, showcasing strong sales growth momentum. During the same period, the loss attributable to shareholders narrowed to SGD 4.362 million, a decrease of 57.46% compared to the same period last year. The significant reduction in losses is primarily attributed to the explosive growth of its medical device-related businesses. In the first half of 2026, the companys revenue structure underwent significant optimization, successfully shifting its strategic focus from traditional labor services to the high value-added medical device sector. The revenue from minimally invasive surgical solutions, medical products, and related service fees accounted for 74.73% of total revenue, becoming the new pillar of income. Following substantial growth in medical device sales revenue in 2025, the revenue from this business surged by 301.5% year-on-year in the first half of 2026, reaching SGD 25.427 million, providing sufficient sustainable growth momentum. At the same time, the company has made substantial progress in cost control and debt optimization. Administrative expenses were reduced from SGD 12.5 million in the same period last year to SGD 10 million, primarily due to a decrease in equity compensation. As of June 30, 2026, the groups cash and cash equivalents totaled SGD 18.2 million, with liabilities amounting to SGD 14.2 million, showing a stable decline compared to the end of 2025; the debt-to-asset ratio decreased from 28.7% at the end of 2025 to 25.5%, continuously optimizing the capital structure and providing a substantial safety margin for future research and development and market expansion. Behind the performance growth is the companys long-standing dedication to technological research and development and its continuous breakthroughs. JINHAI MED TECHs product matrix now includes a range of innovative products such as 4K ultra-high-definition endoscopic systems, 3D and naked-eye 3D image processing systems, 4K fluorescence and multispectral ultra-high-definition endoscopic systems, and 8K endoscopic systems, along with supporting auxiliary equipment, forming a complete industrial chain closed loop from research and development to production, sales, and service. From an industry perspective, the ongoing upgrade of Chinas medical system, the increasing health consumption levels of residents, and the widespread awareness of early cancer screening have continually driven the rigid demand for minimally invasive diagnosis and treatment, with traditional open surgeries accelerating the transition to minimally invasive procedures. The structural changes stemming from this shift create significant opportunities for replacement and incremental release, providing a broad platform for the company's medium- to long-term growth. To further align with the business expansion related to minimally invasive treatments, the company appointed Mr. Ma Chengdong as Chief Marketing Officer in August this year. He previously held key positions such as Sales Director and Senior Director of Market and Operations for Greater China at multinational corporations like GE Healthcare and Medtronic, combining a clinical medical background with nearly thirty years of practical marketing experience. His addition is expected to bring systematic market promotion capabilities and mature channel management experience to the company, accelerating subsequent commercialization expansion. Overall, the explosive growth of the minimally invasive surgical solutions business has validated the company's robust foundation in product research and manufacturing; meanwhile, the introduction of experienced marketing talent indicates that the company is accelerating its efforts to strengthen its commercialization capabilities. Looking ahead to the second half of 2026 and beyond, JINHAI MED TECH is poised to seize the industrial opportunities presented by the increasing penetration of minimally invasive surgery in China and the Asia-Pacific region, while effectively addressing industry competition and policy fluctuations, and is expected to occupy a more advantageous competitive position in the process of replacing imported high-end domestic equipment.