Huada attaches great importance to "smart manufacturing" and berry bet on tumor business. What are the ngs enterprises doing in the stormy times?

In 2016, the first NIPT kit was approved for marketing, marking the formal March of NGS technology into clinical testing This period is also the storm and cloud era of NGS industrialization, NIPT also breeds many top enterprises in the field of ngs Now NIPT market has settled, and a new market competition is coming In the development and change of the industry, what kind of development have these enterprises experienced? For this reason, we have followed the footprints of these enterprises in recent years, and hope to speculate the development direction of the industry by summarizing the development layout of these enterprises in recent years Huada gene: to develop the "intelligent manufacturing" business, its target market or more than high-throughput sequencing Huada gene has always been the most topical company in the industry It is the first listed NGS company in China People are used to call Huada series startup company "Huachuang" Huada and Huachuang Department companies are all over the country, and they have become the landscape of domestic biotechnology entrepreneurship NIPT has gone from a storm to a calm development Huada gene has been listed for 2 years What is Huada gene doing? According to the latest annual report, BGI achieved an operating revenue of 2.536 billion yuan in 2018, a year-on-year increase of 21.04%; and a net profit of 387 million yuan attributable to shareholders of listed companies, a year-on-year decrease of 2.88% Among the four business sectors, reproductive health's total revenue in 2018 was 1.376 billion yuan, an increase of 20.86% year-on-year, including the non-invasive prenatal gene testing business that had previously raised questions The annual report disclosed that in 2018, more than 4.3 million cases had been completed, covering all stages of premarital, pre pregnancy, pregnancy, newborn and children In terms of research and development, Huada gene invested 265 million yuan in 2018 The company has increased its research and development efforts in the development of key products such as genetic diseases, infectious diseases and tumors, as well as the corresponding qualification certificates Compared with 2017, BGI's investment in R & D in 2018 increased by 51.93% year on year Of the 36 key research and development projects disclosed in the annual report, 6 are genetic disease research projects, 8 tumor research projects, and 8 infectious disease research projects However, compared with these, BGI may invest more in upstream instrument manufacturing Although not mentioned too much in the annual report, we notice that BGI has actually divested its instrument business to its subsidiary, BGI Compared with the research of application direction, the investment of instrument research and development is larger It is possible that BGI divested this business in view of the impact of this R & D investment on the financial data of listed companies According to the data disclosed by the enterprise investigation, Hua Dazhi founded in 2016 and has now raised more than $200 million After combing a series of actions after Huada's listing, the answer will be more obvious In October 2017, at the 12th International genomics conference hosted by BGI, BGI made its debut with two new high-throughput sequencers, which opened the curtain of domestic intelligent sequencers The two high-throughput sequencing systems are mgiseq-2000 and mgiseq-200 A year later, Huada intelligent manufacturing released mgiseq-t7 products again at the 13th International genomics conference Compared with mgiseq-2000 and mgiseq-200, mgiseq-t7 has greatly improved its throughput and production capacity, with a daily output of up to 6tb In addition to the previously launched bgiseq-500 and bgiseq-50, at present, Huada Zhizao has 5 sequencer products (according to the official website information, bgiseq-1000 does not belong to Huada Zhizao temporarily) Bgiseq-50 and bgiseq-500 were certified by CFDA in 2016 and 2017, and mgiseq-2000 and mgiseq-200 were also reviewed by CFDA in June 2018 and obtained medical device registration certificate In May 2019, the world's first professional intelligent identification instrument for gene sequencing of Chinese herbal medicines jointly developed by huadazhizao and Institute of traditional Chinese medicine of Chinese Academy of Sciences passed the acceptance It is reported that the instrument can realize one-stop sequence processing, simplify the tedious biological information process, and accurately, quickly and stably identify the samples of Chinese herbal medicines After the introduction of sequencer, BGI is also looking for market-oriented products In addition to actively promoting the approval process, BGI is also promoting the sequencer internationally through scientific research cooperation at home and abroad, and has signed agreements in 22 countries, including Thailand and South Africa For the domestic market, in addition to actively participating in various device forums and exhibitions, Huada intelligent manufacturing also held a sequencing technology and application Summit Forum in June 2019, hoping to find more potential customers for its own sequencer We also noted that since 2017, BGI has frequently invested in many Huachuang Department companies: data source: on the one hand, the investment in knowledge base of arterial network is to make product layout, and on the other hand, it may be hoped to recommend the industrialization of domestic sequencer In addition, relevant sequencing components of Huada Zhizao sequencing platform are also being released On January 8, 2018, bgiseq-500rs and 10xgenomics Co., Ltd announced that bgiseq-500rs are compatible with linkedreams technology and single cell transcriptome database building technology of 10xgenomics equipment On March 2, 2019, Huada intelligent manufacturing released the latest base recognition technology coolngs on the 2019 advanced genomic and technology This is a new base recognition technology In the sequencing process, unlabeled RNA and four-color fluorescence are used to identify the base, so as to obtain non-destructive base This technology will greatly improve the reading length and accuracy of sequencing, which plays an important role in promoting the application of sequencing technology in various fields On May 27, Huada Intelligent Manufacturing Co., Ltd released megabolt, a domestic FPGA Shengxin analysis accelerator independently developed by Huada Intelligent Manufacturing Co., Ltd The accelerator greatly reduces the time of gene sequencing analysis, effectively improves the efficiency of gene data analysis, and also pays attention to the integration of using experience and upstream sequencing On June 15, BGI released the "HD" assembly genome solution and standard at the European Conference on human genetics (eshg2019), which are based on the independent sequencing technology dnbseqtm and stlfr of BGI The published high-precision genome sequencing data standards are: contingn50 > 106, scaffoldn50 > 107, assembly whole genome data > 6G, referred to as "676" for short Accurate In addition to high-throughput sequencing, BGI is also trying to enter other fields of in vitro diagnosis On January 24, 2018, Huada Zhizao and Luohu hospital reached cooperation on scientific research and application of "remote ultrasonic diagnosis" This cooperation has further improved the remote medical facilities of Luohu hospital, and is also the first step for huadazhi's remote ultrasound products to go out of the market On April 11, Huasheng medical and Huada intelligent manufacturing officially signed a strategic cooperation agreement at the 79th China International Medical equipment (spring) Expo The two sides will jointly develop a remote ultrasound diagnosis system gius-r3 Huada intelligent manufacturing will be responsible for the overall planning and product realization of the system, while Huasheng medical will be responsible for the ultrasound module in the system From April 18 to 21, 2019, seven R & D Progress of bgms was made public for the first time at the annual meeting of metabolism branch of the first Chinese society of biophysics The seven latest R & D achievements include the detection of human antibiotic residues, catecholamine and its metabolites, and the quantitative detection of 132 urine metabolites In view of these moves, Huada gene's "intelligent manufacturing" may not be limited to high-throughput sequencer and its construction, but it hopes to build Huada intelligent manufacturing into an upstream manufacturer in IVD field around in vitro diagnosis and life science According to the public information, Huada Zhizao completed the round a financing involving CITIC Jinshi, Songhe capital and Dongzheng capital in May 2019, with a fundraising amount of 200 million yuan Before that, media reported that BGI planned to split up BGI to go public in Hong Kong, and the pre IPO was valued at 33 billion yuan In the semi annual report, BGI described its future strategy in this way First, the global layout has been mentioned many times At present, it has branches in mainland China, Asia Pacific, Europe and the Americas BGI wants to make use of the advantages of existing scientific research, technology, market and resources to cover the multi-technical and big data platforms running through the group science, and further expand and deepen the global market layout Second, building a life science database is the next key task Build a world leading life science database, a new disease control service platform, improve the company's core competitiveness, and become the industry leader in the field of gene technology application Third, business extension is carried out in the industrial chain, covering big data development, biological intelligence, whole genome diagnosis, early screening of tumors, gene therapy, cell therapy, immunotherapy, new drug research and development, synthetic biology and other fields Beirui gene: expand upstream and downstream businesses Tumor is the next strategic focus In 2018, Beirui gene achieved a total operating revenue of 1.44 billion yuan, up 22.93% year on year; and realized a net profit of 268 million yuan, up 15.18% year on year attributable to shareholders of listed companies Gene detection is divided into medical products and services and basic scientific research services The company's medical products and services are divided into medical testing services, reagent sales and equipment sales; medical testing services are mainly divided into two application directions of genetics and oncology Among the five business sectors, the revenue of testing service accounts for 53.35%, the actual sales accounts for 27.89%, the basic scientific research service accounts for 9.13%, the equipment sales accounts for 5.23%, and the revenue of other businesses accounts for 4.39% In terms of R & D, in 2018, berry gene invested 91.27 million yuan in R & D, which invested in five projects, mainly focusing on the "non-invasive" overall solution of genetic diseases In addition, Beirui gene also actively arranged the whole industrial chain of gene detection by strengthening capital operation Its main directions include life cycle coverage of genetic disease detection and oncology detection business extending from late detection and diagnosis to early and very early screening fields, and building a Chinese population pathogenic gene information database with big data as the core Combined with a series of actions of the company, we speculate that the tumor business is the next strategic focus of berry gene In August 2017, berry gene oncology business department announced its independent operation and the establishment of Herui gene In November of the same year, hirui gene raised 800 million yuan Under the joint investment of bereui gene and professional investment institutions, hirui gene combined the advantages of "technology + channel + capital" and other aspects, completely continued the original tumor business of bereui gene, and inherited the will of early screening and early treatment of bereui gene tumor On April 22, 2018, the national multi center, prospective 10000 person cohort liver cancer early warning marker screening project jointly launched by Herui gene, China National Cancer Science Center / Oriental Hepatobiliary Surgery Hospital of Naval Medical University and Southern Hospital of Southern Medical University was officially launched This plan marks that China's liver cancer prevention and control has entered the stage of very early prevention and control and clinical verification, which is expected to greatly improve the diagnosis level of liver cancer, especially early liver cancer, so as to improve the quality of life of the vast number of liver patients in China In September of the same year, Professor Chen Lei of the national hepatoma Science Center, on behalf of the research group, announced the results of the precar (prospective research for very early hepatocarcinoma) pilot test Data show that the sensitivity of liver cancer detection is more than 90% in the case of 95% specificity, and 87% even if the specificity standard is set at 99% This indicates that the experimental data of precar liver cancer early screening project of Herui gene has achieved a phased advantage In March 2019, Dr Zhou Daixing, CEO and director of berry gene, announced the major breakthrough of precar early screening project of liver cancer again at the fourth Sino US hospital management seminar and the first C3 Sino US health conference The data showed that in the control group of patients with cirrhosis and liver cancer, the specificity was 100%