Company Announcements

Airdoc Technology Unveils 2023 Financial Highlights, Revenue by 79%, Serving 6.83 Million cases

 

On March 27, medical artificial intelligence company Airdoc Technology (2251. HK, Airdoc) announced its 2023 annual results. During the reporting period, the company's revenue increased to 203.9 million RMB, an increase of 79.5% compared to the previous year company continued to improve its profitability, achieving a gross profit of 125 million RMB, a year-on-year increase of 124%, with the gross profit margin increasing by 12.2 percentage points to 61.3%, achieving both revenue and gross profit margin growth.

 

In 2023, Airdoc Technology adheres to the mission of "making health everywhere", and through retinal image-assisted diagnosis artificial intelligence software (SaMD) and health risk assessment solutions, it has served a total of 683 million cases and identified 31,459 major positive cases, contributing to the early detection of severe disease risk for users. The number of active healthcare service locations increased by 139.2% from the prior year to 5,671, and the number of customers increased by 69.5% year-on-year to 673.

 

In 2023, through our SaMDs and health risk assessment solutions, we serviced a total of 6.83 million cases and identified 31,459 significant positive cases. The number of active service sites grew to 5,671, representing a year-over-year increase of 139.2%. The number of our customers increased to 673, representing a year-over-year increase of 69.5%.

 

In 2023, we witnessed a significant growth in both the number of hospital and primary healthcare institution service sites (to which our Airdoc-AIFUNDUS (1.0) was sold) covered and the number of detections conducted, among which, the number of active hospital service sites we covered reached 276, representing a year-over-year increase of 527.3%, with the number of detections conducted thereon reaching 242.0 thousand, up by 197.5% year-over-year, and the number of active primary healthcare institution service sites we covered reached 1,221, representing a year-over-year increase of 1,271.9%, with the number of detections conducted thereon reaching 635.0 thousand, up by 640.2% year-over-year.

 

In order to advance our strategic planning of transitioning from detection to integrated diagnosis and treatment, we expanded our product portfolio to include AI-based myopia prevention and control products and AI-based visual training products during the Reporting Period. Our AI-based myopia prevention and control products recorded 890.3 thousand uses, providing services to 14.0 thousand registered users; our AI-based visual training products recorded 918.4 thousand trainings, providing trainings to 13.0 thousand home-based registered users and 81.0 thousand in-hospital registered users. Moreover, our AI-based visual training products have covered over 800 hospitals nationwide, assisting in the rehabilitation of over 300,000 people.

 

In April 2023, our AI-FUNDUSCAMERA-P and myopia treatment product won the “Special Commendation Gold Awards” at the Salon International des Inventions de Genève (International Exhibition of Inventions in Geneva), signifying widespread recognition and affirmation of our products among global inventors and professionals.

 

Reflecting on the "2022 China Health and Wellness Development Statistical Bulletin," the landscape reveals over 1.03 million medical and health entities nationwide, with primary healthcare facilities nearing 980,000.   Airdoc's strategic expansion in 2023 has significantly broadened its footprint across primary healthcare, with service points soaring to 1,221, marking a year-on-year escalation of 1271.9%, and screenings hitting 536,000, a leap of 640.6%.

 

In 2023, Airdoc Medical broadened its reach to include hospitals, grassroots medical institutions such as community clinics, and health examination centers. The company dedicated itself to empowering these facilities with artificial intelligence, addressing the critical issues of disproportionate doctor-to-patient ratios and scarce medical resources. Airdoc Medical’s solutions primarily catered to the clinical needs of certain indications through detection and auxiliary diagnostics, offering numerous quantitative measurement indices to enhance the efficiency and quality of medical diagnosis and treatment.

 

In the health examination channel, more than 320 physical examination centers nationwide implemented Airdoc Technologies’ AI solutions, generating revenue of 84.6 million RMB for Airdoc Medical, an increase of 200.0% compared to the same period.

 

Integrating Care Strategy, Early Wins for Second Curve

 

In 2023, Airdoc took its first step towards integrating diagnosis and treatment strategies, responding proactively to the policy mandates outlined in the "Comprehensive Myopia Control and Prevention Implementation Plan for Children and Adolescents" and the "2021—2025 Bright Action Plan for Myopia Control in Children and Adolescents." It developed and launched AI products for myopia prevention and control as well as vision training. The myopia prevention AI product was utilized by 890,300 individuals, serving a clientele of 14,000, whereas the vision training AI product recorded 918,400 uses, benefiting 13,000 users in home training services and reaching 81,000 users in clinic-based training services, thereby extending its reach to over 800 hospitals nationwide.

 

Targeting the leopard-spot pattern observed in retinal lesions, which led in the positive detection rates among its ocular fundus AI offerings, the company unveiled myopia prevention AI products. Addressing the principal causatives of adolescent myopia through generative AI technology, it successively launched innovative products and integrated solutions for managing use distance and lighting, spanning AI examination and fitting, AI evaluations with predictive analytics, to the prevention, correction, and control of myopia, effectively enhancing the management efficacy of eye health for myopia prevention and treatment.

 

Confronting the traditionally low adherence associated with treatments for strabismus and amblyopia, Airdoc Technology developed a vision training AI therapy product tailored for children and adolescents afflicted by these conditions, based on AI technology, thus enhancing patient compliance and earning accolades from both professional practitioners and patients.

 

Over the course of the reporting period, the company introduced its AI-enabled Airdoc Health business, capable of detecting more than 30 eye health risk factors, including vascular and neurological anomalies, as well as bleeding and plaque formations.

 

Incorporating AI technology, the offerings not only predicted retinal alterations and refractive progressions but also facilitated precise and personalized eye health management by monitoring progression metrics, producing visual reports tailored for eye health management scenarios, and empowering every individual to become an expert.

 

This initiative boosted both the professional capabilities and business outcomes of eye health institutions, making full use of the technological superiority of artificial intelligence. From AI-based identification and analysis through to digital management and tangible support, the company delivered comprehensive, efficient, and intelligent solutions for the eye health sector.

 

Globalize Strategy

 

In a bold foray into international markets, Airdoc Technology's overseas ventures have charted a remarkable trajectory of growth, marking its presence with burgeoning success across the diverse landscapes of Thailand, Philippines, Indonesia, South Africa, and Malaysia. This strategic expansion catalyzed an exponential surge in international revenue, skyrocketing by 496% last year to reach 9.2 million RMB—accounting for 4.5% of the company's total income during the reporting period.

 

Further elevating its global stature, Airdoc's portable fundus camera and myopia management solutions were awarded with the "Special Gold Medal" at the Geneva International Invention Exhibition in April 2023. This accolade not only heralds the company’s innovative prowess but also signifies the global medical and professional communities’ endorsement and recognition.

 

Significantly, Airdoc-AIFUNDUS (1.0), the company’s flagship offering, has secured the European Union's Medical Device Regulation (CE MDR) certification, a pivotal achievement that paves the way for entry into the markets of 27 EU member states, including Belgium, Germany, Italy, and France. This milestone is a testament to the product's adherence to the highest standards of medical device quality and safety.  

 

In the past two years, Airdoc-AIFUNDUS (1.0) and its portable fundus camera have successfully crossed regulatory thresholds in several key international markets, including Southeast Asia, the Middle East, and Africa.Specifically, these products have been granted regulatory approval or registration in Indonesia, Vietnam, South Africa, Saudi Arabia, the UAE, and Malaysia, with the portable fundus camera additionally authorized in Thailand.  

 

Medical AI chip large model algorithm empowers innovative technology

 

In collaboration with Peking University and several renowned institutions,to explore methods for in the early screening and treatment of Alzheimer’s Disease (“AD”).Our AI-empowered fundus camera can screen in a faster, non-invasive, convenient and economical way, boasting broad commercial prospects and the potential to benefit more community residents.

 

The early detection of dementia not only helps to reduce medical costs but also alleviates societal burdens. In partnership with China Life Property & Casualty Insurance, the company launched the country's first specialized insurance product that covers individuals with Alzheimer's disease, including retinal AI screening services as a value-added service.

 

This service provides insured groups with assessment, intervention, and health management for Alzheimer's disease risk, offering a comprehensive health protection scheme.

 

In June 2023, Airdoc, in collaboration with Tsinghua University's Chang Gung Hospital, developed and validated a new deep learning-based neovascular segmentation model. This model accurately identifies choroidal neovascularization (CNV) in the macular region on Optical Coherence Tomography Angiography (OCTA) images, outperforming previous models. This contributes to quantitative CNV analysis and AMD progression, with the findings published in the prestigious data science journal, the Journal of Big Data.

 

In August, we worked alongside the Capital Medical University Affiliated Tongren Hospital, Beijing Friendship Hospital, and iKang Healthcare Group to develop and validate a deep learning model for screening hyperthyroidism through retinal fundus photographs. This groundbreaking research, published in the Journal of Big Data, represents the first global study to diagnose hyperthyroidism using a non-invasive method instead of blood biochemical tests and systemic biomarkers. It also stands as the first study to assess the relationship between retinal features and hyperthyroidism through AI, revealing the potential for automatic thyroid disease screening based on fundus photographs.

 

In October, Airdoc made a significant impact at the Medical Image Computing and Computer-Assisted Intervention Conference (MICCAI) 2023 in Vancouver, Canada, with eight papers accepted, including one Oral presentation showcased at the conference. This achievement underscores our pivotal role in advancing the field of medical image analysis.

 

As we look ahead, Airdoc is committed to continuous innovation and expanding our global footprint, aiming to fulfill our vision of “Making Health Ubiquitous.”