Once a leader in in vitro diagnostics with a net profit exceeding 4 billion yuan in a single year, Mingde Biological (002932) is currently experiencing its most challenging moment since its listing. On April 21, Mingde Biological disclosed its 2025 annual report, and due to financial indicators reaching the delisting risk warning threshold, its stock will be subject to delisting risk warning starting April 22. From a peak revenue of over 10 billion yuan in 2022 to a revenue of less than 300 million yuan and a net loss in 2025, Mingde Biological has experienced a cliff-like drop in performance in just three years. Meanwhile, the company's stock price has long been below its net asset value per share, with the latest net asset value per share at 23.78 yuan, while the stock price is only 17.4 yuan/share. Facing the dual dilemma of being "stamped" and breaking net asset value, Mingde Biological is attempting to seek self-rescue through mergers and acquisitions and improving operational quality.

Subject to delisting risk warning

On April 21, Mingde Biological's stock was suspended for one day and resumed trading on April 22. Behind the suspension, Mingde Biological will be subject to delisting risk warning starting April 22, with its stock abbreviation changing from "Mingde Biological" to "*ST Mingde."

The delisting risk warning is mainly due to the company reporting less than 300 million yuan in operating revenue for 2025, with total profit, net profit attributable, and net profit excluding non-recurring gains and losses all showing losses. The company's 2025 annual report indicates that its operating revenue for 2025 was 265 million yuan, with the adjusted operating revenue at 241 million yuan. The total profit for 2025 was -63.794 million yuan, with a net profit attributable of -16.4607 million yuan, and a net profit excluding non-recurring gains and losses of -117 million yuan.

According to the "Shenzhen Stock Exchange Stock Listing Rules," Mingde Biological's 2025 financial indicators triggered the provisions of Article 9.3.1, Clause 1, Item (1), which states that "the lower of the audited total profit, net profit, and net profit excluding non-recurring gains and losses for the most recent accounting year is negative, and the adjusted operating revenue is less than 300 million yuan." As a result, the Shenzhen Stock Exchange has implemented a delisting risk warning for the company's stock trading.

Data shows that Mingde Biological was listed in 2018 and primarily engages in the research, production, sales, and services of in vitro diagnostic reagents and diagnostic instruments, focusing on critical and emergency care, and extending to a series of comprehensive solutions including in vitro diagnostic testing, third-party medical testing, certification consulting services, and digital medical platform construction.

In 2022, driven by a surge in demand for testing reagents, Mingde Biological reached its peak performance, achieving over 10 billion yuan in operating revenue and a net profit attributable of 4.208 billion yuan. However, as the demand for testing declined, the company's performance began to decline starting in 2023.

Financial data shows that from 2023 to 2024, Mingde Biological achieved operating revenues of approximately 750 million yuan and 350 million yuan, with net profits attributable of approximately 74.93 million yuan and 74.52 million yuan, respectively It is worth mentioning that Mingde Biology experienced a "face change" in its performance forecast before disclosing its 2025 annual report. In January of this year, Mingde Biology released a performance forecast indicating that it expected a net profit attributable to shareholders of 12 million to 18 million yuan for 2025. However, on March 23, the company issued a performance forecast revision announcement, adjusting the net profit attributable to a loss of 15 million to 25 million yuan. At the same time, due to a reduction in operating revenue, the company's net operating revenue after deductions is expected to be less than 300 million yuan, thus bringing the *ST risk to the forefront.

Pressure from Below Net Asset Value Remains

While performance is under pressure, Mingde Biology's performance in the capital market is also not optimistic.

As of the close on April 20, Mingde Biology's stock price was 17.4 yuan per share, with a total market value of 4.046 billion yuan. According to the company's latest annual report data, the net asset value per share is 23.78 yuan, indicating that the stock price is significantly lower than the net asset value per share.

Mingde Biology's highlights in the secondary market also occurred in 2022. After the stock price broke a historical high in May 2022, it began to fluctuate and decline. According to Dongfang Caifu, from May 10, 2022, to April 20, 2026, the cumulative decline in Mingde Biology's stock price, after adjusting for dividends, reached 59.39%, while the broader market rose by 39.02% during the same period.

Data shows that throughout 2025, Mingde Biology's stock consistently traded below net asset value. Specifically, from January 1 to April 25, 2025, the closing price of the stock on each trading day was below the audited net asset value per share of 25.92 yuan for the year 2023; from April 26 to December 31, 2025, the closing price on each trading day was below the audited net asset value per share of 25.06 yuan for the year 2024.

Economist and new finance expert Yu Fenghui stated in an interview with Beijing Business Daily that prolonged trading below net asset value often reflects poor asset quality, insufficient profitability, or a pessimistic market outlook on the company's future development. For Mingde Biology, the continuous 12-month period of trading below net asset value indicates that the market does not highly recognize its net asset value per share, which may be due to poor performance, unclear industry prospects, or internal management issues. This situation not only affects the interests of existing shareholders but also sends negative signals to potential investors, thereby suppressing stock price recovery and the growth of the company's market value.

On April 21, Mingde Biology released its 2026 valuation enhancement plan, indicating that in 2026, the company intends to enhance its investment value and shareholder return capability through measures such as improving operational quality, engaging in investment mergers and acquisitions, continuing share buybacks, timely implementing medium- and long-term incentive plans, and optimizing information disclosure and investor relations management. This aims to ensure that the company's investment value reasonably reflects its quality, enhance investor confidence, protect the interests of all shareholders, and promote high-quality development of the company.

Yu Fenghui further stated that according to the 2026 valuation enhancement plan, if new growth points or transformation strategies can be successfully achieved, it will also help reshape the company's image, attract more investor attention, and ultimately drive the stock price back to a reasonable level It is worth mentioning that before the valuation enhancement plan was announced, Mingde Biotechnology had already announced in March that it would spend 100 million to 200 million yuan to repurchase company shares. Mingde Biotechnology stated that the purpose of the share repurchase is based on confidence in the company's future development prospects and a high recognition of the company's value, to protect the interests of a wide range of investors and enhance investor confidence. The repurchased shares are intended to maintain the company's value and shareholder rights.

In response to relevant questions about the company, a reporter from Beijing Business Today sent an interview request to Mingde Biotechnology, but as of the time of publication, no response had been received from the company.

Planning Restructuring

Under the dual pressure of performance and stock price, Mingde Biotechnology has initiated a round of intensive mergers and acquisitions since the end of 2025.

On December 31, 2025, Mingde Biotechnology announced that it was planning a major asset restructuring. The announcement indicated that Mingde Biotechnology intends to acquire 100% equity of Wuhan Bikaier Rescue Supplies Co., Ltd. (hereinafter referred to as "Bikaier") in cash. Bikaier mainly engages in emergency rescue business centered on first aid kits, with a comprehensive layout of emergency equipment, emergency products, and emergency services.

At that time, Mingde Biotechnology stated that this integration would strongly promote the company's integrated business of critical care diagnosis and treatment from medical institutions to industrial and household scenarios, building a "diagnosis - protection - treatment" collaborative ecosystem, further enhancing the company's asset quality and profitability, and consolidating and strengthening the company's market position and comprehensive competitiveness in the critical care field.

According to the company's announcement on March 30, the company is continuously communicating and negotiating with relevant parties regarding this transaction and is actively promoting related work such as auditing, evaluation, and due diligence. The relevant work for this transaction is actively progressing, and the specific transaction plan is still under discussion; the parties involved have not yet signed a formal agreement.

In addition, on January 20 of this year, Mingde Biotechnology announced that the company intends to first acquire 51% equity of Hunan Lanyi Medical Equipment Co., Ltd. (hereinafter referred to as "Hunan Lanyi") through capital increase and equity acquisition in the first phase. If Hunan Lanyi meets the relevant preconditions stipulated in the "Acquisition Agreement" during the operational period from 2026 to 2028, the company will further acquire the remaining equity of Hunan Lanyi according to the agreement. After the completion of the aforementioned two-phase acquisition, the company will hold a total of 100% equity of Hunan Lanyi.

According to Fu Yifu, a special researcher at SuShang Bank, mergers and acquisitions can quickly enter new fields or expand business scale to improve profitability. Acquiring Bikaier and Hunan Lanyi may help integrate industrial chain resources and enhance technological or market advantages.

In the latest announcement disclosed by Mingde Biotechnology, it stated that in response to the company's current operating conditions, the board of directors will strive to take effective measures to actively improve the company's operating and financial conditions, strengthen internal control construction, and enhance the company's sustainable operating ability and profitability.

It mentioned that it will promote investment and mergers and acquisitions, injecting quality development momentum. By acquiring quality assets through mergers and acquisitions, integrating industry resources, enriching the company's product matrix, and promoting the company's scale and profitability, it aims to fundamentally improve the company's operational fundamentals; at the same time, leveraging the opportunity to establish an industrial fund in cooperation with excellent fund managers and investment institutions in the industry to layout quality projects to support the company's external development In addition, eDiagnosis will further optimize its main business structure to enhance overall profitability; comprehensively sort out the company's existing assets, and timely dispose of idle, inefficient, and non-performing assets to revitalize existing assets; further strengthen accounts receivable collection and fund management to reduce bad debt risks, thereby enhancing the company's overall competitiveness.

Beijing Business Daily reporter Ding Ning