On September 9, BGI Group released the latest sequencing technology - CycloneSEQ sequencing technology, and the new gene sequencer nanopore sequencer CycloneSEQ-WT02 (Chinese name "Wutong") and CycloneSEQ-WY01 (Chinese name "Wuyue") with independent property rights were also released for the first time.

MGI (688114. SH) has obtained the global market distribution rights for the two nanopore sequencing products. With the release of two new gene sequencer products, MGI is the only gene sequencing company in the world with sequencers with three different technology paths.

Wang Jian, co-founder and chairman of Huada Group, said at the press conference that we are the only one in the world, from the excitation light sequencer to the self-luminescent sequencer, and then to the non-luminescent sequencer announced today.

According to the information of the press conference, the WT02 is a medium-throughput nanopore gene sequencer, which is small and portable, adopts a dual-chip architecture, supports independent operation, and has flexible throughput options. The product has low single sequencing cost, no need to make samples, stop as the test is taken, and can output sequencing results in real time.

WY01 is a high-throughput nanopore sequencer equipped with a high-throughput high-density chip, which not only has the performance of ultra-long read and persistent continuous testing, but also can fully cover complex genome sequences. This product fills the gap of high-throughput chips in the field of nanopore sequencing in China, and can be applied to application scenarios with higher data throughput requirements, such as large genomes, human genome resequencing, full-length transcriptome sequencing, and epigenetic testing.

In terms of performance parameters, the sequencing read lengths of the two nanopore sequencers cover the read length range from 100 bp to Mbp (1 Mbp equals 10 to the 6th power), which can meet a wide range of needs from basic research to complex disease research. In terms of sequencing duration and speed, users can complete sequencing within 10 minutes to 72 hours according to experimental requirements, with a sequencing speed of 350-420 nt/s, 10Mb of data per minute, and real-time sequencing results. In terms of sequencing accuracy, the accuracy of a single sequencing is 97%. 99.99% consistent accuracy can be achieved at deeper sequencing depths.

The Times reporter noted that with the launch of the first "long-read" nanopore sequencer, MGI has realized the closed-loop of "full-read" sequencing products. At the same time, the first batch of CycloneSEQ users reached a contract cooperation intention.

In fact, MGI's layout of three technology path sequencer products has long been mentioned in the financial report.

According to the 2024 semi-annual report, MGI has formed two major segments: gene sequencer business and laboratory automation business, and has laid out new business segments represented by BIT products, ultrasound imaging platforms, and ultra-low temperature automated biobanks around all-round life digitalization.

"During the reporting period, through the signing of the distribution agreement, the company obtained the global market distribution rights of nanopore sequencer equipment and reagent consumables and other related products, and realized the all-round strategic layout of 'excitation', 'self-luminescence' and 'non-luminescence' gene sequencing products." MGI said in the financial report.

However, MGI's performance has yet to be reversed.

During the reporting period, the company's main business income was 1.190 billion yuan, a year-on-year decrease of 17.04%, which was caused by the impact of the macro environment, geopolitics, market competition and other aspects. Among them, the gene sequencer business achieved revenue of 1.005 billion yuan, a year-on-year decrease of 8.40%, and a quarter-on-quarter increase of 23.61% in the second quarter, and the gene sequencer business was divided by product type, with a year-on-year decrease of 12.26% in instrument and equipment revenue, a quarter-on-quarter increase of 12.23% in the second quarter, and a year-on-year decrease of 3.82% in reagent consumables revenue, and a quarter-on-quarter increase of 32.36% in the second quarter; The laboratory automation business achieved revenue of 96.9572 million yuan, a year-on-year decrease of 16.70%, and a quarter-on-quarter increase of 46.47% in the second quarter; The revenue of new business was 88.2482 million yuan, a year-on-year decrease of 60.09%, and a quarter-on-quarter increase of 21.22% in the second quarter. "MGI dismantled the detailed revenue of each business in the semi-annual report.

However, the newly released gene sequencing products are expected to open up new performance growth space for MGI.

"When we signed the agreement with CycloneSEQ, we had an estimated revenue, and there was a certain amount of development in the corresponding business cycle, and in the process, BGI had a steady stream of new equipment for us." Jiang Hui, Chief Operating Officer of MGI, said in an interview with Times Weekly and other media, "In terms of future sales strategy, on the one hand, we will accelerate the promotion and sales of CycloneSEQ to the front end based on the established sales channels of DNBSEQ for global needs; On the other hand, MGI has other life science tools, and we will also do a good job in the combination of smart laboratories, so that more laboratories can have their own sequencing capabilities on the platform. ”

It is worth noting that Yin Ye, CEO and executive director of BGI Group, said at the press conference, "The $100 personal whole genome has been first realized by the BGI team, and the $10 genome, we are already on the way." This means that MGI still has the potential for cost to continue to decline in the field of gene sequencers, which also shows that the company has room for profit recovery.

According to the information at the press conference, the new WT02 will be available for order from today, and WY01 is scheduled to be available in the first half of 2025.