Shanghai, China — MicroPort CardioFlow Medtech Corporation (the “Company”), a subsidiary of MicroPort Scientific Corporation (“MicroPort®”), recently announced the annual results of the Company and its subsidiaries (the “Group” or “MicroPort® CardioFlow”) for the 12 months ended December 31, 2020 (the “Report Period”).
In 2020, which marks the second year after the commercialization of its first product VitaFlow®, the Group has maintained rapid growth with all realized revenue contributed by VitaFlow®. During the reporting period, the Group recorded a revenue of RMB103.9 million, representing a year-on-year growth of 383.4%. In addition to the significant growth in revenue, the Group’s gross profit margin also improved drastically from 29% in 2019 to 44% in 2020.
Guo-Ming Chen, Executive Director and President of MicroPort® CardioFlow, said, “We achieved rapid revenue growth in 2020 thanks to the excellent clinical performance and reasonable pricing of VitaFlow®, as well as a strong internal sales force and external distributor network. In the future, we will further advance the development of next-generation products and continue to promote our global strategic landscape.”
In 2020, VitaFlow® was used in 144 hospitals for TAVI procedures with a total of 1,293 units sold, representing a rapid increase both in terms of hospitals served and sales. Meanwhile, MicroPort® CardioFlow has accelerated efforts in strengthening the market penetration of VitaFlow®, effectively increasing the breadth and depth of its coverage in hospitals. The Group has established partnerships with 19 distributors and plans to further expand its distribution network to cover all hospitals in China with TAVI capabilities. Additionally, in the overseas market, VitaFlow® has been successfully registered in Argentina and Thailand in July and November 2020, respectively, providing more overseas patients and doctors with a high-quality and affordable solution in the field of aortic valve disease.
In terms of new product development, MicroPort® CardioFlow has submitted a registration application in October 2020 for VitaFlow® II, the second generation of the TAVI line to the NMPA, which is expected to complete the registration process by the end of 2021. The Group is also conducting a pivotal trial of VitaFlow® II in Europe and plans to submit an application for CE mark in 2021. VitaFlow® II enables retrievability and repositioning, which can greatly improve the accuracy of valve release to provide more benefit to patients.
Dr. Qiyi Luo, Chief Technology Officer of MicroPort® and Non-Executive Director and Chairman of the Board of Directors of MicroPort® CardioFlow, commented, “In 2020, MicroPort® CardioFlow maintained strong growth in the face of the challenges posed by COVID-19. Our successful listing on the Hong Kong Stock Exchange in early 2021 has opened up even more opportunities for growth. Going forward, MicroPort® CardioFlow will further strengthen its corporate governance, improve its operation efficiency, continue to expand its diversified product portfolio and introduce more upscale and innovative integrated medical solutions to meet clinical needs for the benefit of patients with heart valve diseases worldwide."
About CardioFlow Medtech Corporation:
Founded in 2015, Cardioflow Medtech (stock code: 02160), a subsidiary of MicroPort Scientific Corporation (stock code: 00853), focuses on the research, development and commercialization of innovative transcatheter and surgical solutions for valvular heart diseases. In light of today’s enormous, rapidly growing yet severely under-penetrated heart valve medical device market, Cardioflow Medtech has seized this opportunity to strategically focus its product portfolio on the treatment of the most common aortic and mitral valve diseases, including aortic stenosis and mitral regurgitation.