Healthcare

• Bangkok Dusit Medical Services (BDMS TB) posted 7% rise in revenue from hospital operations in 2024 as both International and Thai patients revenue reported growth of 11% and 5%, respectively.
• EBITDA grew 7% YoY to THB26.6B on higher revenues and better cost management while net profit also rose to THB16B on lower interest cost.
• COEs, focusing trauma, heart, orthopedics, cancer, and neuro contributed 57% of hospital revenue, while their contribution to EBITDA was at 60% in 2024.

• WuXi AppTec (2359 HK) has reported 2024 result, with revenue reaching RMB39.2M, in-line with guidance of RMB38.3–40.5B. Excluding Covid-19 commercial project, 2024 revenue represents 5% YoY growth.
• The company has announced a cash dividend of RMB9.8 and a special dividend of RMB3.5 for every 10 shares. Wuxi AppTech has also proposed RMB 1B buyback plan (for A-shares).
• Based on the current backlog, Wuxi AppTech expects continuing operations revenue to resume double-digit growth of 10–15% YoY in 2025, targeting to deliver a total revenue of RMB41.5–43.0B.

• UnitedHealth Group’s fourth quarter and full year 2024 results were characterized by resilience and strong operational execution despite significant challenges.
• Revenues exceeded $400 billion, with an adjusted earnings per share of $27.66, aligning with the company’s projections.
• Notably, the medical care ratio was 150 basis points above the initial outlook, mainly due to a mix change of the people served, a more rapid acceleration in certain high-cost medication prescriptions, and coding intensity shifts in hospitals.

• They have designed their platform to address a broad spectrum of Musculoskeletal system (MSK) care—from acute injury, to chronic pain, to post-surgical rehabilitation.
• As of December 31, 2024, they had over 532,000 members and more than 2,250 clients, compared to approximately 371,000 members and approximately 1,650 clients as of December 31, 2023.
• Their revenue was $390.4 million and $292.7 million for the years ended December 31, 2024 and 2023, respectively, representing a year-over-year growth rate of 33%.

• We recently teamed up with MS Microcaps to publish Company Spotlight reports on the companies presenting at its conference earlier this month.
• The reports aim to serve as an introduction to each company and provide a basic investment thesis.
• For access to full versions of all interviews please visit either mscliffnotes.substack.com or geoinvesting.com/free-trial/.

• Natera Inc. presented its fourth quarter 2024 financial results, signaling a robust period for the company as they continue to expand and enhance their operations.
• The company’s revenues for the quarter reached $476 million, marking a substantial 53% increase year-on-year and exceeding their January pre-announcement by $4 million.
• This robust revenue growth is attributed to an increase in test volumes across their product lines, with a particular highlight on the 60% clinical volume growth of Signatera compared to the fourth quarter of 2023.

• NurExone (OTC-NRXBF) is a preclinical stage biotech company that is developing a breakthrough treatment for spinal cord injuries that has the potential to dramatically improve lives.
• The technology involved also has the potential to more efficiently get other treatments to the needed area.
• The company announced that a preclinical study demonstrated that ExoPTEN treatment led to motor function recovery and improvements in blood flow-both positive signs for an IND submission.

• Option Care Health recently reported its financial performance for the fourth quarter and full year of 2024.
• During the call, the executives outlined several aspects of their performance, strategic initiatives, and future outlook.
• Key takeaways include a robust revenue growth rate of approximately 19.7% year-over-year in the fourth quarter and an overall satisfactory management of operational challenges such as supply chain issues.

• In Dec.
• 2024, Quoin received FDA clearance to initiate a new investigator led whole-body clinical study for QRX003, which will evaluate the safety and efficacy of twice-daily application of QRX003 to more than 80% of the body surface area in NS patients, an application dosage QNRX anticipates in real-world usage if QRX003 obtains regulatory approval.
• This represents the most extensive clinical application of QRX003 thus far.

• Revelation Biosciences is a life sciences company whose development of immunologic-based therapies is based on the well-established biology of phosphorylated hexaacyl disaccharide (PHAD) and its effect on the innate immune system.
• The company announced that a study on its flagship Gemini treatment showed the drug reduces inflammation in human blood cells.
• These results hold great promise for the treatment of conditions such as CKD (chronic kidney disease).

• The NHSA has issued clear instructions for VBP in 2025, including two batches of national VBP of drugs and one batch of medical consumables VBP. TCM will also be included.
• The sales growth of GLP-1s has entered a turning point, it will be far from the previously high expectations. The actual market size of GLP-1s could be only US$100 billion.
• Rapid sales growth of Efgartigimod is the key factor for Zai Lab to narrow the losses.But whether it can be breakeven relies on the decline of cost/expenses, not revenue growth.

• Agilent Technologies’ earnings for the first quarter of fiscal year 2025 highlighted a solid start to the year, with the company exceeding expectations for core revenue growth and earnings per share (EPS).
• The company’s revenue for the quarter was $1.681 billion, a 1% increase year-over-year, driven by strong performance in various sectors and regions, particularly in PFAS (per- and polyfluoroalkyl substances) and the China stimulus awards.
• The company experienced growth in all regions except academia and government.

• Elanco Animal Health’s fourth quarter 2024 presentation indicates the company is progressing towards its strategic imperatives while grappling with several ongoing challenges.
• The company’s revenue grew by 4% on an organic constant currency basis, marking the sixth consecutive quarter of revenue growth.
• This was driven by the company’s dual businesses: Pet Health and Farm Animal.

• Jazz Pharmaceuticals reported record financial results for the fourth quarter and full year 2024, achieving over $4 billion in total annual revenue.
• The company’s growth was driven by strong execution in its sleep, epilepsy, and oncology portfolios.
• Fourth quarter revenues nearly reached $1.1 billion, marking the highest figure in the company’s history.

• Legend Biotech Corp (LEGN US) reported better-than-expected 4Q24 result, with revenue and adjusted EPS beating consensus. With 2024 annual revenue of $963M (up 93% YoY), Carvykti nearly achieved blockbuster status.
• With manufacturing capacity, indication, and geography expansion, Carvykti should be on accelerated growth path. Annual manufacturing capacity of Carvykti is expected to expand to 10,000 doses to meet demand.
• Thus far, more than 5,000 patients have been treated with Carvykti. The drug has an estimated market opportunity of treating 150,000 MM patients eligible for CAR-T therapy.

• Molina Healthcare’s fourth-quarter and full-year 2024 results present a mixed picture, reflecting both challenges and prospects for future growth.
• The company reported an adjusted EPS of $5.05 for the fourth quarter and $22.65 for the full year, which represents an 8.5% year-over-year growth.
• However, the fourth-quarter results did not meet the company’s internal expectations due to higher-than-anticipated medical cost pressure in the Medicaid and Medicare segments, leading to a consolidated medical care ratio (MCR) of 90.2% for the quarter, which was above forecasts.

• Centene Corporation’s recent performance exhibited both strengths and areas for careful attention.
• The company’s financial results for the fourth quarter of 2024 demonstrated solid earnings power, with adjusted diluted earnings per share (EPS) of $0.80 and a full-year EPS of $7.17.
• This growth is attributed to robust performance across its business lines, including Medicare and Medicaid, and significant operational improvements.

• Elevance Health, formerly known as Anthem, reported a fourth-quarter GAAP diluted earnings per share of $1.81 and adjusted EPS of $3.84, matching previous expectations.
• The adjusted EPS for the full year reached $33.04.
• Total operating revenue for 2024 was $175.2 billion, a 3% increase from the prior year, reflecting strategic premium rate adjustments and growth within its Carelon businesses.

• Duality Biotherapeutics, a China-based clinical-stage biotechnology company, plans to raise up to US$300m via a Hong Kong listing.
• The company has passed the hearing for the listing and filed a new version of the prospectus.
• We look at the difference between previous filing and current filing.

• Masimo Corporation reported its fourth quarter and full-year 2024 financial results, highlighting both accomplishments and areas that require attention.
• On the positive side, the company exhibited solid performance with consolidated revenues for the fourth quarter reaching $601 million, representing a 9% increase on a constant currency basis.
• Healthcare revenues grew by 9% to $368 million, which was bolstered by the shipment of 65,000 technology boards and monitors, reaching the high end of expectations.

• Operating revenue grew 69.5% YoY to JPY5.1bn, driven by strong sales of TDM-621 across multiple regions.
• The company revised its FY04/25 forecast, expecting JPY7.0bn in revenue and a reduced operating loss of JPY769mn.
• Foreign exchange fluctuations impacted recurring loss, with JPY649mn in losses due to yen appreciation against USD and EUR.

• Henry Schein, Inc. recently reported its earnings for the fourth quarter of 2024, revealing several dynamics within its business operations and financial performance.
• The company, known for its dental and medical products distribution as well as specialty and technology services, presented mixed results indicative of market conditions and internal strategic shifts.
• Positively, Henry Schein reported global sales of $3.2 billion, marking a 5.8% growth compared to the prior year.

• MIRA Pharmaceuticals(MIRA) Company Sponsored Research Report

• MIRA Pharmaceuticals(MIRA) Company Sponsored Research Report

• MIRA Pharmaceuticals(MIRA) Company Sponsored Research Report

• Sun Pharmaceutical Industries (SUNP IN) is set to acquire Checkpoint Therapeutics for $355 million, enhancing its onco-dermatology portfolio with UNLOXCYT™, an FDA-approved treatment.
• This strategic move provides Sun Pharma with immediate access to the U.S. market and the potential for global expansion, especially in the PD-1 inhibitor space.
• The acquisition promises revenue growth and synergistic opportunities, although regulatory approvals and successful integration are crucial for realizing its full potential.

Immix Biopharma has been granted a Regenerative Medicine Advanced Therapy (RMAT) designation by the US Food and Drug Administration (FDA) for the company’s novel sterically optimized CAR-T treatment, NXC-201, which is being developed as a potential treatment for relapsed/refractory amyloid light chain amyloidosis (r/r ALA). The RMAT designation offers several operational and regulatory benefits, which could streamline the clinical development and subsequent approval process for NXC-201, for example by enabling frequent interactions with the FDA. We note that NXC-201 has already been awarded orphan drug designation by the FDA and the European Medicines Agency (EMA), reflecting a robust position in what could be key markets for the therapy. NXC-201 is currently being evaluated in the US-based NEXICART-2 trial, and the next update (expected in H125) may represent a near-term catalyst for Immix, in our view.

Volition continues to build data demonstrating that the Nu.Q® NETs H3.1 diagnostic platform is a potential breakthrough tool in sepsis management. These efforts underpin Volition’s aim to advance Nu.Q NETs as a rapid, accessible and accurate diagnostic test to manage this potentially devastating condition. Sepsis (immune system triggered organ dysfunction) affects c 50 million people a year worldwide, and results in c 11 million deaths. Further, every hour of delayed treatment raises the mortality risk by c 8%. In this note we review Volition’s recent updates from the ESICM Annual Congress, where it provided evidence across data comprising more than 3,000 patients that its technology can quickly and reliably detect the patients most at risk of mortality, septic shock and organ failure. Improving the identification and tracking of at-risk patients should help improve treatment paradigms.

Basilea Pharmaceutica has continued its strong momentum into 2025, announcing the receipt of a CHF1.2m milestone payment for Cresemba for the strategically important Japanese market. This marks the first commercial milestone payment from Japanese licensing partner, Asahi Kasei Pharma, and comes within two years of market launch (in March 2023), which we view as an indication of the favourable market uptake for the company’s lead anti-infective drug. We note that Japan and China are key markets for Cresemba (making up c 25% of the drug’s global potential) and have experienced strong demand for this category-leading treatment. We expect these markets to support Basilea in life cycle management for Cresemba as it approaches maturity in the primary US and European markets (loss of market exclusivity in Q427). Our estimates are under review ahead of the forthcoming FY24 results, due to be published on 18 February 2025.

• Key 4Q24 takeaways include: 1) we look for sustainable revenue/earnings growth reflecting powerful industry tailwinds and CCLD’s comprehensive suite of fully integrated services combined with targeted marketing initiatives 2) rising free cash flow continues to drive a real-time step up in capital deployment including the early resumption of preferred stock dividend payments and reinvesting in the business to accelerate growth and 3) we look for management to increasingly capitalize on M&A opportunities (see the recently announced acquisition of MesaBilling), particularly now that CCLD shareholders approved upsizing the company’s share authorization by 50 million shares, with the Board recently announcing the conversion of Series A Preferred Stock to common stock, thereby freeing up considerable capacity for deals, while generating meaningful savings related to lower preferred stock dividends.

• Key 4Q24 takeaways include: 1) we look for sustainable revenue/earnings growth reflecting powerful industry tailwinds and CCLD’s comprehensive suite of fully integrated services combined with targeted marketing initiatives 2) rising free cash flow continues to drive a real-time step up in capital deployment including the early resumption of preferred stock dividend payments and reinvesting in the business to accelerate growth and 3) we look for management to increasingly capitalize on M&A opportunities (see the recently announced acquisition of MesaBilling), particularly now that CCLD shareholders approved upsizing the company’s share authorization by 50 million shares, with the Board recently announcing the conversion of Series A Preferred Stock to common stock, thereby freeing up considerable capacity for deals, while generating meaningful savings related to lower preferred stock dividends.

• Key 4Q24 takeaways include: 1) we look for sustainable revenue/earnings growth reflecting powerful industry tailwinds and CCLD’s comprehensive suite of fully integrated services combined with targeted marketing initiatives 2) rising free cash flow continues to drive a real-time step up in capital deployment including the early resumption of preferred stock dividend payments and reinvesting in the business to accelerate growth and 3) we look for management to increasingly capitalize on M&A opportunities (see the recently announced acquisition of MesaBilling), particularly now that CCLD shareholders approved upsizing the company’s share authorization by 50 million shares, with the Board recently announcing the conversion of Series A Preferred Stock to common stock, thereby freeing up considerable capacity for deals, while generating meaningful savings related to lower preferred stock dividends.

• The Cigna Group’s fourth-quarter and full-year 2024 financial results reflect a mixed performance, with certain aspects showing growth while others reveal challenges.
• The company reported a full-year revenue increase of 27% to approximately $247 billion, highlighting strong revenue growth.
• Adjusted earnings per share (EPS) rose by 9% to $27.33, although this was below expectations, indicating some pressure on profitability.

• Key 4Q24 takeaways include: 1) we look for sustainable revenue/earnings growth reflecting powerful industry tailwinds and CCLD’s comprehensive suite of fully integrated services combined with targeted marketing initiatives 2) rising free cash flow continues to drive a real-time step up in capital deployment including the early resumption of preferred stock dividend payments and reinvesting in the business to accelerate growth and 3) we look for management to increasingly capitalize on M&A opportunities (see the recently announced acquisition of MesaBilling), particularly now that CCLD shareholders approved upsizing the company’s share authorization by 50 million shares, with the Board recently announcing the conversion of Series A Preferred Stock to common stock, thereby freeing up considerable capacity for deals, while generating meaningful savings related to lower preferred stock dividends.

Biomea Fusion is a clinical-stage biopharmaceutical company developing novel small molecules to cure metabolic diseases. Its proprietary FUSION System platform has created a pipeline of covalent candidates, which are drug molecules that form permanent bonds with their target proteins in the body, offering potential advantages over traditional non-covalent drugs. Lead asset icovamenib is in clinical trials for type 2 and type 1 diabetes (T2D; T1D), aiming to address critical unmet needs in the space. The company is also advancing next-generation asset BMF-650 towards the clinic, for diabetes and obesity. The treatment markets for these disease areas are projected to reach c $134bn and c $105bn, respectively, by 2030. Multiple pipeline catalysts are anticipated for Biomea throughout 2025.

• KJ017 is the first and only recombinant human hyaluronidase to reach NDA stage in China. Bao needs to combine SC Formulations with antibodies. KJ103 may not be a blockbuster variety.
• Considering multiple mature FSH products have been on the market for many years and also been recognized by patients, Bao needs to invest in educating the market/patients to accept SJ02. 
• After Series C+ Financing, Post-money valuation reached RMB4.87 billion. However, we think there could be some uncertainties in terms of future commercialization performance of Bao’s three core products. 

• Kissei Pharmaceutical (4547 JP) reported 14% YoY jump in revenue during 9MFY25 driven by Beova and Tavneos amidst price revision pressures and generic competition.
• The company has reiterated FY25 guidance of revenue rising 14% YoY, with major drugs witnessing growth.
• Main trigger point happens to be the in-licensing deal and the sub-licensing agreements the company has signed with various players giving an opportunity to expand its market in near future.

• Achieve Life Sciences is developing cytisinicline for use as a smoking cessation treatment in the United States and rest of world.
• Topline results from ORCA-2 were reported in April 2022 and for ORCA-3 in May 2023.
• Results exceeded expectations on safety & efficacy parameters.

• Broadens AI Nose partnership with leading semiconductor company.
• Ainos entered a strategic collaboration with Advanced Semiconductor Engineering (ASE) to integrate AI Nose into ASE’s semiconductor packaging and testing smart factories.
• AI Nose should further enhance ASE’s fully automated, smart manufacturing facilities with improved air monitoring, AI- predictive maintenance and efficiency, process optimization, and better environmental sustainability. 

• Revenue decreased by 27.6% YoY to JPY849mn, with operating and recurring losses of JPY62mn and JPY61mn, respectively.
• Contract processing services revenue fell 16.4% YoY, with orders declining 12.4% YoY to 4,981 in Q1 FY10/25.
• Medical device sales revenue dropped 26.7% YoY, while cosmetics sales revenue decreased 65.2% YoY in Q1 FY10/25.

• Narayana Hrudayalaya Ltd (NARH IN) is a prominent player in the Indian healthcare sector, distinguished by its commitment to providing affordable, high-quality medical services.
• The company established its first international hospital in the Cayman Islands in 2014, targeting patients from the Americas and Caribbean regions by offering competitively priced medical services
• Management has outlined a capex guidance of around INR 4,000 crores over the next 3 to 4 years, funded by healthy cash flows and stable operating margins.

• Shilpa Medicare (SLPA IN) will begin commercializing new molecules across segments, driving growth to new heights as older products are phased out, ensuring sustained progress and innovation in its business.
• In recent years, the company has experienced growth stagnation and declining profitability due to US FDA issues affecting both the company and its key client in the API segment.
• The company’s pipeline of new molecules offers significant growth potential, with a single successful molecule poised to elevate the company to unprecedented levels over the next five years.

• Ensysce Biosciences is committed to finding a solution to the opioid crisis plaguing the US and other developed countries around the world.
• Through its proprietary TAAP technology Ensysce is in the process of receiving approval for an abuse-resistant yet still pain-relieving opioid.
• The company announced 4Q2024 results that reflected good cash on hand as well as highlighting the progress for its signature non-opioid pain reliever and its plan for submitting an NDA.

• During 9MFY25, Nippon Shinyaku (4516 JP) reported revenue growth of 8% YoY to ¥121B, while operating profit stood at ¥33B, up 8% YoY.
• Viltepso witnessed growth both in Japan and the U.S. and licensing income also increased on higher overseas sales of Uptravi.
• Guidance for FY25 have been raised with sales now expected to be ¥160B, up 8% YoY.

• Sun Pharmaceutical Industries (SUNP IN) (SPIL) announced the plan to acquire Checkpoint Therapeutics (CKPT US), a commercial stage immunotherapy and targeted oncology company, for ~$200M.
• In December, Checkpoint has received FDA approval for its maiden drug, Unloxcyt (cosibelimab), for the treatment of certain type of skin cancer. Unloxcyt has peak sales estimate of $1.6B.
• SPIL’s offer for Checkpoint seems compelling and provides superior risk-adjusted value. However, the acquisition will not be near-term value generator for SPIL, which doesn’t have good track record for acquisition.

• Since HUGE ranks in the first tier among domestic brands, the import substitution would be the main logic to continue driving the performance growth based on its strong cost effectiveness.
• If HUGE wants to achieve success in non-advantageous areas in the future, reducing price to compete for more market share could be an essential means. VBP is also a challenge.
• Comparable companies include Sinocera Functional Material, Yantai Zhenghai Bio-Tech, Angelalign, Modern Dental Group, Topchoice Medical. We think valuation of HUGE could be higher than peers due to higher profitability.

• Integrating AI Nose into robots. Ainos entered a strategic partnership with ugo, a leading Japanese robotics company, to integrate AI Nose into service robots, enhancing robotic solutions to improve industrial safety, public security, environmental monitoring, and healthcare support.
• Under the collaboration, the AI Nose technology will be licensed to ugo, with the companies working together to design and validate AI Nose-enabled ugo robots for multiple industries.
• Partners with leading Japanese robotics company. ugo (pronounced “you-go”) develops and commercializes next- generation avatar robots, with conventional and autonomous capabilities.

• China has banned Illumina, the U.S. genomics giant, from exporting gene sequencing machines to the country, escalating sanctions imposed last month when the company was added to Beijing’s Unreliable Entity List.
• The move is expected to accelerate domestic alternatives in the gene sequencing industry.
• Illumina, a dominant player in the global gene sequencing industry, has been a major supplier in China since entering the market in 2005. It once held a near-monopoly in the country’s gene sequencing sector before Chinese rival MGI Tech Co. Ltd. emerged in 2015 as a competitor. Since then, the two companies have battled for market share in China while engaging in global patent disputes.

• Lantern Pharma uses AI & data to identify drug responders, uncover mechanism of action & rescue failed drugs.
• It is developing LP-300 for non- & never smoker NSCLC in the Harmonic trial.
• Secondary candidates include LP-100 for mCRPC and LP-184 and LP-284 which are in clinical development for multiple biomarker-defined tumors and hematological cancers, respectively.

• We are initiating coverage of Prestige Consumer Healthcare, Inc. (PBH), a leading provider of over-the-counter (OTC) health and personal care products.
• Our initial FY25 EPS estimate is $4.50, up 6.7% from $4.21 in FY24.
• This is in line with consensus of $4.50 and management guidance of $4.50. Our FY26 EPS estimate is $4.80 (up 6.9%) and slightly above consensus of $4.79.

• Cingulate is developing its Precision Timed Release (PTR) technology to deliver ADHD drugs to improve onset & efficacy of previously approved products.
• It licensed rights to manufacturing a 3-layer tablet that releases dexmethylphenidate (CTx-1301) over the active day.
• CTx-1301 provides immediate onset, eliminates the need for a booster dose, reduces diversion & simplifies dosing among other benefits.

• There are 2 changes for the S&P/ASX50 Index, 2 changes for the S&P/ASX100 Index, 7 changes for the S&P/ASX200 Index and 11 adds/ 7 deletes for the S&P/ASX300 Index.
• There is a huge increase in the number of index shares for Sigma Healthcare (SIG AU), triggering passive buying of nearly A$1.4bn at the close on 21 March.
• The adds have outperformed the deletes across all indices. Positioning varies across stocks and there could be some big movers over the next few days.

• The ADDs/DELs for the ASX index family for the March 2025 index rebal event were announced after market close on Friday 7th March 2025.
• There are 22 ADDs and 18 DELs collectively for ASX 50, ASX 100, ASX 200, and ASX 300.
• In this insight, we take a final look at the flow expectations for each of these index changes.

• Hanmi Pharm (128940 KS) targets revenue CAGR of at least 15% during 2025–2027 (2021–24: 7.5%) to achieve revenue of KRW2.3T in 2027 and KRW5T by 2033.
• Hanmi expects to achieve operating profit of KRW380B in 2027, with operating margin of 16.5% (2024:14.4%). Operating profit is expected to reach KRW1T in 2033, with operating margin of 20.0%.  
• R&D pipeline should play a major role in achieving the targets. The company plans to gradually increase the R&D spending to 15%+ of revenue.

• In 9MFY25, Eisai Co Ltd (4523 JP) reported 9% YoY growth in revenue, driven by 3Ls. Operating profit rose 48% YoY and net profit climbed 56% YoY to ¥45.5B.
• Eisai kept its FY25 total revenue guidance unchanged, implying a weaker Q4FY25 with a probable loss on the cards.
• Lenvima growth stabilizes on indication expansion, Leqembi awaiting approvals and untangling safety concerns in a bid to reach its full market potential.

• Glaukos Corporation’s financial results for the fourth quarter and full year 2024 reflect strong performance across multiple segments and considerable strategic initiatives, setting up the company for continued development in the upcoming year.
• The company reported record fourth quarter consolidated net sales of $105.5 million, marking a 28% increase compared to the same period in the previous year.
• For the full year, Glaukos achieved net sales of $383.5 million, representing a 22% increase over 2023.