Company Announcements

HONG KONG, April 21, 2025 /PRNewswire/ -- Venus MedTech (Hangzhou) Inc. (Stock Code: 2500.HK, hereinafter referred to as "Venus Medtech" or the "Company"), a global leader in structural heart therapies, has announced financial results for the year ended December 31, 2024 ("the Year"), demonstrating significant improvements in profitability and operational discipline despite market challenges.

Key Financial Highlights

1. Revenue: RMB471 million, with overseas revenue growing 13.53% YoY to RMB82.5 million.
2. Adjusted non-IFRS EBITDA loss: Narrowed by 45.56% YoY to RMB254 million, reflecting stringent cost controls.
3. Commercial profit: Surged 112.60% YoY to RMB97.7 million, with the commercial profit margin rising from 9.35% (2023) to 20.74%.
4. Gross margin: Remained robust at 78.11%, underscoring pricing stability.

Facing a challenging landscape, Venus Medtech reinforced its leadership in China's valvular therapy sector while achieving significant progress in operational efficiency and commercial profitability, mainly reflected in：

Cost Optimization

• Sales expenses decreased by 18.44% YoY to RMB245 million, with the sales expense ratio decreasing from 61.15% (2023) to 52.05% through streamlined distributor management and accounts receivable reforms.
• R&D expenses declined 35% YoY to RMB341 million, as the Company prioritized high-value pipeline projects, reducing R&D expense ratio from 106.83% to 72.46%.

Profitability Focus

• The "Profitability-First" strategy drove a 112.60% increase in commercial profit (RMB97.7 million), while adjusted EBITDA losses halved (-45.56%), signaling sustainable financial traction.

Global Expansion and Maintain Domestic Leadership

In domestic markets, Venus MedTech focused on distributor channel development and penetrated tier-2 and tier-3 hospitals, securing its 1^st position as China's leading transcatheter aortic valve replacement (TAVR) provider.

• Products are now used in over 650 hospitals nationwide.
• The company participated in more than 90 third-party conferences and hosted over 100 proprietary events, engaging over 5,500 medical experts, and reaching more than 2 million online viewers.

Internationally, sales contributed 17.52% of total revenue (up from 14.79% in 2023). Growth was driven by Europe (+10.1%), Asia-Pacific (+16.6%), and Latin America (+38.6%). Venus Medtech expanded into 13 new countries, bringing its total global footprint to nearly 70 markets.

Key milestones included:

• VenusP-Valve, the Company's differentiated pulmonary valve product, entered 63 global markets, with new approvals in 12 countries/regions, including Canada, Australia, Singapore, Mexico.
• VenusA Series products expanded to 15 countries/regions, with new approvals in countries including Russia, Thailand, Mexico, and Kazakhstan.

Innovation-Driven Pipeline Optimization for Sustainable Growth

Venus Medtech remains committed to innovation, advancing its "Four-Valve Strategy" for structural heart disease solutions. Key 2024 developments included:

Aortic Valve

• Venus-PowerX completed its first patient enrollment in its global confirmatory trial (December 2024), with full China enrollment expected in 2025.
• VenusA-Deluxe received China market approval in November 2024.

Pulmonary Valve

• VenusP-Valve advanced its U.S. IDE (PROTEUS) pivotal study, with the first patient successfully implanted in June 2024.

Mitral/Tricuspid Valve

Cardiovalve's trial in the treatment of tricuspid regurgitation enrolled nearly 120 patients across 30+ renowned cardiovascular centers in Germany, Italy, Spain, the UK, and Canada.

The Company also strengthened its intellectual property portfolio, holding 886 patents and applications (473 granted), including 402 filings in China (275 granted) and 460 overseas (435 granted).

Robust Clinical Evidence Demonstrates Long-Term Efficacy

Adhering to the principles of evidence-based medicine, Venus Medtech has consistently conducted long-term follow-up studies for its registered clinical trials, generating outstanding data that validates the full spectrum of clinical benefits across its product lines. Key findings reported in the year include:

Cardiovalve TARGET CE Pivotal Study (Europe)

• Immediate outcomes in the first 105 patients demonstrated 93.7% achieved ≤mild tricuspid regurgitation.
• Early humanitarian use data in 20 patients with 100% severe or worse tricuspid regurgitation showed 90% reduced to ≤mild regurgitation at 30-day follow-up.

VenusP-Valve (5-year CE follow-up data)

• No mortality or reinterventions, with right ventricular reverse remodeling confirmed via MRI at 6 months and durable functional improvement.
• 94%+ of patients in NYHA Class I/II at 5 years, demonstrating sustained quality-of-life benefits.

"2024 was a transformative year for Venus Medtech," said Lim Hou-Sen, CEO of Venus Medtech. "By prioritizing profitability, operational excellence, and global expansion, we have positioned the Company for sustainable growth. Moving forward, we will continue to innovate, optimize our commercial strategy, and deliver long-term value to patients and shareholders."

About the company

Venus Medtech (2500.HK) was founded in 2009 and is headquartered in Hangzhou, China. It is an innovation-driven medical device company specializing in structural heart disease. The company's product portfolio covers aortic, pulmonary, mitral, and tricuspid valve diseases, as well as surgical support products, forming a comprehensive pipeline. With global R&D centers in China, the United States, and Israel, Venus Medtech has established a worldwide network for research, production, marketing, and service. The company is committed to providing effective treatment solutions for life-threatening diseases.

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SOURCE Venus Medtech (Hangzhou) Inc.