Hello, everyone. Thank you for joining the Hua Medicine first half 2026 results investor call. This will be the English session. This is Matthew Yan, the China Health care Analyst at CITIC Securities. We are very honored to have invited the management team of Hua Medicine to join. This includes the CEO and Founder, Dr. Chen Li, and also the Chief Strategy Officer, George Lin. Without further ado, we will start the call. If investor, you have got any questions, please feel free to press the Raise Hand button. We will unmute you after the management's briefing. Okay, thank you very much. Now I will hand the call to Dr. Chen. Thank you. Please go ahead.
Thank you, Matthew, and thank you everyone for coming to Hua Medicine 2026 interim half year report. Hua Medicine has a great half year with accelerated sales growth in our commercialization, representing 73% in sales volume, in packs, and also showing the expansion of our commercialization team, increasing the collaboration between medical, marketing, and commercial with the medical sales representative, enhance the productivity and reduce the cost in the overall process. In this first half year, we can see that it is a 36% compare with the last half year, and 27% growth compare second half with 2025 first half. Just remind you that we actually doubled the 2025 sales over 2024. After Hua Medicine established our own capabilities in the commercialization, Hua Medicine business is getting very quick expansion.
Now with the success in the mainland China for the commercialization, two important factors also get our future development secured. One of factor is an ideal price. We maintained our previous price level. This price level will cover 2026 and 2027. That gave us a security for continue bring the benefit and the profit into the company. Also, the patent life get extended for five years to 2034. Those are the years I think Hua Medicine will enjoy the great benefits and cash cow effects while we have been developing in mainland for the market expansion in the next five years. With the success, also successfully introduced in Hong Kong, benefit from the reform by the Hong Kong government and implementation of 1+ guidelines where engage the mainland innovation for the Hong Kong patients.
Most importantly, this provide a important window for Hua Medicine to present ourself and the product to the English-speaking community and English training-based communities. I think it serves a great step for us to move into Southeast Asia and developing world countries. Also, we are very happy to launch our drug in Macao. This area give us the bridge head opportunity to go to the Portuguese and the Latin language countries as we continue expand the dorzagliatin applications. Now, dorzagliatin has been launched in China for three years. We also conducting the real-life, real-world study in the communities where the diabetes is more complex in the key hospitals in the nation. For the tier 3 major hospitals, we experience that many patients have a long disease history with multiple complications and usually use multiple medicine.
In some cases, we are using two to three oral anti-diabetic therapy and then insulin or adding on GLP-1. Still, their blood glucose cannot be very well controlled. At the bottom of this page, you can see that the initial average A1c is 9.3%, reflecting the severity and the complication of those disease population. After treatment, there is a clear 1.2% reduction of this drug level, the A1c level. Most importantly, on the right-hand panel, you can see that many patients with long history of diabetes have a very bad control of glucose homeostasis. Their TIR, means time in range, is usually less than 50%. In those patient population, there will be a high risk for cardiovascular, stroke, memory impairment, and also renal diseases.
To prevent those major complications to happen, having dorzagliatin significantly reduce the blood glucose and also improve the TIR. The glucose homeostasis will provide a larger and a major revenue in the process to the patients and to the medical community to reduce the overall cost for treatment of diabetes and diabetes complications. Those real-world study further demonstrate that the efficacy of dorzagliatin is not only widely reported that they are doing very well in the drug-naive early-stage patients. In those real-world studies, I'm showing you data showing that in the moderate or severe diabetes patients, they are also performed very well and providing a definitely strong support for the diabetes management. At the same time, dorzagliatin showed excellent safety and tolerability. The overall hypoglycemia rate is still below 1%, as same as we reported in the RCT studies.
Also, the time that patient use the medicine is getting longer, and then stick with the care and then with much comfortable benefit. If we look at the next half of our efforts in the R&D, we basically looking for the expansion of glucose homeostasis management from, at the beginning, with dorzagliatin on the glucose sensitivity, and then focusing on repair the insulin secretion, GLP-1 secretion, which is very critical for the diabetes treatment. Now, through the combination, we are start to addressing the insulin resistance, GLP-1 resistance, now have provide a full platform with the combination to address the overall metabolic diseases.
Now, through the dorzagliatin, adding a powerful orforglipron, a new small molecule oral GLP-1 receptor agonist, has received outstanding results, with enhanced beta cell secreting function, preserve the body weight loss without reduce the lean mass, and also managing well with the lipid profile. In addition, the combination with the GLP-1 receptor agonist, we also conducted the combination study with GHRH antagonist with metformin. In this case, we have find that this is a very effective way to reduce the liver fat, liver fibrosis, and also the overall lipid profile get controlled, and then reduction of uric acids. This provide additional clinical benefits to the new indication and the needs for those patients. Dorzagliatin adding for the pan-PPAR agonist, has a really enhanced insulin sensitivity and glucose sensitivity, beta cell function, and also improve the good lipid HDL.
This offer a very brave architecture, showing that from the glucokinase homeostasis control point of view, the company has established a strong scientific platform. This platform going to start to realize in the disease areas where we can target on the early Alzheimer diseases, frailty, or monogenic diseases like MODY2 or MODY3, and most importantly, helping our patients in the diabetes kidney diseases. The study has shown that in the diabetes kidney disease population, especially when their kidney function getting to the moderate stage of the damage, there is no good medicine to control their blood glucose except using insulin. However, the insulin utilization can cause the blood glucose fluctuation because of the impaired beta cell function. In this case, dorzagliatin have shown in several investigator-initiated trials the benefit of reduced and controlled blood glucose, at the same time keep or improve the kidney functions.
That, with the major demand in China, Asian Pacific, and also even in European nations, will open a new window for dorzagliatin and glucokinase homeostasis platform to expand our territory. Many people showing the interest on our second generation glucokinase activator. Just remind you that the reason we want to bring a new molecule into this pipeline development is that we felt that the generation development in the last few years has been changing very quickly, and the demand of personalized diabetes care or personalized metabolic disease care requires a new medicine with patient focus. Now, second generation will focus on the obese diabetes patient population, with its capability of address GLP-1 secretion, have a once a day use that is convenient in the Western community. Also, we have a new patent life and give us the market opportunity till 2042.
We have finished up five of six cohort in the multiple ascending dose study and the total study, the clinical operation will span for 25 days. The last cohort, we are already started dosing this month, and hopefully we'll finish the in life session in early September. Then we're going to the data cleanup, as well as the unblinding, and looking to the report on the top line. We're expecting a good result from this study. If we look at R&D pipelines, we have dorzagliatin treat drug-naive patients and metformin-tolerant patients. It's doing very well, with very good sales growth in those population. Also, we have the clinical evidence showing adding to metformin, adding to SGLT2, DPP4 or GLP-1 and insulin, provide a very good benefit to the patient population, expanding our market coverage.
In addition to this, obviously, we start to embark on the monogenic diabetes and rare disease, like MODY2 and CFRD. To the areas on the diabetes prevention, FRID, diabetes kidney diseases, and early Alzheimer diseases. You will start to experience the large development studies in the next year, probably up to six clinical trials, while moving dorzagliatin and GKA and gluco-homeostasis platform move forward. As we are developing our dorzagliatin as a global first-in-class medicine, we have been utilizing the GK Brain, which is a vertically integrated language model. This model has demonstrated its efficiency in the R&Ds where gave us the recommendations and the drug design for the combination studies, and also helping us to define our medical marketing efforts and clinical trial design.
Recently, a handheld agent became available for our medical product sales representatives that have greatly improved the communication and dissemination of this medical information. Our publications spread in the top medical journal in Nature Medicine, The Lancet Diabetes & Endocrinology, Diabetes, and Diabetes Care. Our frontier will further expand from our internal knowledge and capability building to the knowledge dissemination and expand accessibility to the physicians and patients. With this, the artificial intelligence for human advance is a program within the GK Brain where we use the genetic, imagingetic, proteomic information, and the drug disease information to come up with the ultimate solution to address the frailty, to address the memory loss, to improve, at the end of the day, the life of human beings.
I think that is the quick view about Hua Medicine's general performance and achievements in the first half of 2026. Now I want to turn to the financial section, to George Lin, who will give you the update. George?
All right. Thanks, Dr. Chen. This is a fantastic first half that we are exceptionally proud of. As I go through these numbers Dr. Chen has kind of glossed over, I want you to think, how are they able to do this in type 2 diabetes when it is so crowded and there are so many generic drugs and prices are low, and do it all themselves? I will explain that to you. If you look at our revenue, we have grown 74%. After last year, we grew close to 100%. The low-hanging fruit is building our own invigorated sales team. That is easy. Then going deeper into the different districts. There are still many provinces we have not gone into. People, frankly, when they see a global first-in-class in China first, they might be hesitant at first. It has been a long time.
Almost 500,000 patients are on this drug, and the benefits are very lengthy. That word of mouth is actually increasing. Very importantly is that our price has been maintained. We renegotiated our price for 2026 and 2027 to be the same as the original price. One of the main reasons is all this robust real-world evidence and additional benefits that we are collecting data on. That is super important. That is great for a healthier population and differentiates our drug. The reality is, it is an only in class. If you look at the GLP-1, which is exceptionally hot, there are many in class. If you look at tirzepatide, you look at Ozempic, their daily price is not very far from our daily price. More likely than not, it may go down because there are other companies with GLP-1s that are coming out in orals as well.
I would go and challenge you to find another type 2 diabetes drug that isn't focused on weight loss, that has the profile that we have. With additional data, I think this kind of growth will continue as we build our sales force and as we go deeper, and especially as patients see these uses, the doctors see the exceptionally good uses of our drug, the beneficial profile, and also in combination, as Dr. Chen has shown. These combination indicate that in combination, they work much better than either of those drugs alone, and that so far, we have not encountered any drug that we cannot be used in combination with. It's a fantastic result. A lot of confidence in that revenue growth, and we're looking forward to this kind of continued wonderful back win. On the gross profit with scale, we're building the same drug.
When you just increase the scale through SDA and Desano, it's going to be cheaper by unit. It's just as simple as that. We're going to be targeting somewhere close to 70% when we hit peak sales, maybe even above that, but we'll see. On selling expenses, we've increased our own sales team, and as I mentioned, there's still provinces that we haven't touched yet, so we're continuing to grow. But from a board perspective, we're fairly comfortable at this level. We told you in March that 29 seemed like an under-investment, but we kind of wanted to see where we were with our team. We've had some changes in our team at the soldier level, but at the senior leadership continues to be very strong. We're upgrading and we're making investments, and I think we'll maintain in this 33%-35% going forward.
For your models, I would think that this is going to be pretty stable. Next slide. R&D, we kept pretty tight. If you look at what Dr. Chen has talked about, and you go back to that pipeline chart when you get a chance, you'll see the only one that actually is larger, longer, could potentially be larger, is actually this FDC fixed dose combination. But that's actually just really demonstrating bioequivalence. It's not like a large scale phase III trial that we've had to go through. So you're not going to see this really increase. All those other ones you saw are kind of proof of concept phase I, phase Ib. They're not going to be larger than 30, 50 patients. So in terms of our R&D expenses, we're exceptionally efficient, but we're actually going to broaden.
As Dr. Chen mentioned, we're going to go into these first in disease areas, which it's first in disease, like prevention, pre-diabetes, MCI, mild cognitive impairment, which is basically early stage Alzheimer's. Nobody's working on that from a metabolic perspective. This year two of the largest readouts, probably globally in the pharmaceutical space, is in the Alzheimer's space, and it's in prevention. People have been talking about tau and removal of amyloids, et cetera. Well, that didn't really work out that well. But actually, prevention, actually going early works really well. For us, it's the same strategy. You treat it before. We know that people with diabetes are predisposed to actually these neurological disease. Why not treat that in advance? So we're very confident about that. That our drug, we know is safe. Will it provide this extra benefit?
That is a huge benefit and huge market that we could potentially see. On administrative expenses, we are going to maintain this tight. We do not need to increase this that much, but of course, when we have gone from 150 employees, when we started with only one salesperson, to now we are over 200, close to 250. That is going to increase a little bit, but we are going to be pretty tight on this because Dr. Chen and my KPI is actually on profitability for the whole company, right? We are very focused on making sure that when we are hiring into these, that is not front facing, that we are being efficient. We are very excited that we are probably ahead of schedule from a company perspective in terms of break even. Let us see. So far, as you can see on the next slide, I think. Let us go to the next slide.
You can see on the next slide from our business and our commercialization efforts, we are already quite profitable. It does not include those two, from the previous slide, the R&D and the administrative costs. As we get higher and higher with an increase in sales and efficiencies with scale, our commercialization efforts is going to actually allow us to harvest even more profits. You can see this on our net profit perspective, quite tough as we are investing, with only one product in a very competitive space. Thank goodness our price remains the same, that our net profit for the whole organization has improved from a loss of almost 60 to 30. So that is a 100% improvement or 50% cost, however way you want to look at it from a math perspective.
This is a great thing that we are going to see and hopefully, we are going to get close to zero by the end of the year. That is what we are kind of targeting. That is not actually what we had guided, but it looks like trends are looking pretty good towards that way. Next slide. Our cash. Our cash, we look at this at a gross cash. This is not a net cash. We have some loans, around RMB 300 million or so for the same period. But in terms of gross cash, this is what we have been reporting. You can see that our cash position remains really strong. Effectively the same as we went public late in 2018. We have been very frugal and efficient. We are looking to invest, specifically on the second generation GKA. We will be doing additional things. There is some potentially promising targets.
We will just say they are promising, they are identified. We are hoping to negotiate on in-licensing some other compounds. Specifically one that could be quite exciting, hopefully making an announcement in the second half of 2026. More news to come on that. But cash position wise, no problem, especially as you see, we are becoming more cash flow positive. Next slide. This is the end. Just to sum it up quick so that we can go to any questions. A lot of people ask about our forecast. We are not giving forecasts, but if you do the math and you look at what our options, in order for them to actually vest, we need to hit about RMB 900 million. So we are going to be striving very hard to do that. That is just the facts. We are going to launch in Macau.
I think, from Dr. Chen and my perspective, this is not actually a numerical number. Many provinces in China alone is more than the combined diabetics, and they are at a reimbursed price. It is important to be able to wave you know, this franchise glucose homeostasis, both in English and Hong Kong and also in Portuguese in Macao. This is really a window dressing, but it is important also for our BD perspective. The FDC, the fixed dose combination we talked about, we are going to probably file this NDA sometime in 2027. That is not going to be that much expenditures. It is not what you would expect.
We already have a lot of data that is very promising already, starting from our phase III and even our phase I in the U.S., where at least those combinations just yield really great results when these two great oral drugs are combined in a fixed dose combo. One of our most anticipated readouts will be the phase Ib MAD of second generation GKA. The last cohort that Dr. Chen was talking about is effectively double the dose of current HuaTangNing dorzagliatin. We are looking for even sharper reduction in HbA1c than what we see now in the real world evidence studies that are actually even better than our reported phase III. It keeps on getting stronger and stronger as we go.
First in disease indications, IND filings for both MODY2 and frailty, and then the real world study is just going to keep on going. As I mentioned, from a BD perspective, really focused on our licensing, finding a good partner for our second gen after our phase Ib U.S. MAD study, and then also potentially bringing in this identified in-license opportunity that should be quite exciting. A lot of exciting near-term and long-term milestones for investors to look at and track us. I think with that, Dr. Chen, if you have got any other closing remarks, we can probably go to Q&A.
Yeah, I think this is a very good year and very exciting opportunities to continue the first global class and also disease-modifying therapy. Wonderful market opportunities there. As long as we continue to bring the best people into this process and adding AI agents to support our growth, we are not going to limit it to the commercialization success, and we are going to expand our R&D success with the new products and new indications coming into next year. Yeah. We are looking forward to continue working with the investment communities and driving the healthcare value to the next level. Thanks. Well, Matthew?
Yeah. Okay. Thank you, Dr. Chen and George Lin, for the detailed presentation. Let's move on to the Q&A sessions. For investor, if you have any questions, please feel free to press the raise hand button, and then we will unmute you. Either way, you can type your questions in the Q&A box, and we will ask on your behalf. Thank you very much. While we are waiting for any questions online, I have got some questions from my side, from the investor. First is regarding, yeah, just on this pages. We are very glad to see this year's top line revenues should be close to RMB 1 billion. You are set at RMB 900 million, and also that is very reasonable if you factor in the first half trend. Also there is mention that you will be hiring more people, right, because of this sales momentum.
For 2027, I think previously you have a guidance of RMB 1 billion sales. Are we going to update that guidance already or not?
We probably will not update those. Matthew, I do not have it with me, I should, it is kind of embarrassing. But it is filed, right, with Hong Kong Exchange what each year our stock options, in order for them to vest, needs to hit. I think those numbers are probably the most realistic because that was quite a fight and quite engineered and Dr. Chen and the team obviously came up with a reasonable number, but I would say the board asked for a stretch number. I would go back and look at that, but I think it will probably exceed RMB 1 billion with the trend that we are going. Again, this is very different from all the other companies, frankly, that you cover. With life-threatening diseases like cancer, tons of other drugs in the pipeline chasing that first in class.
That allows the reimbursement regime to really press down and add pricing pressure. With us, there is nobody behind us. How do we hire 280 people, 250 people, sales from scratch from 18 months ago? It is actually because a bunch of these big franchises, the MNCs with type 2 diabetes, they have actually suffered from VBP, from generic pricing, and then we have had a lot of people come from these MNCs immediately seeing the writing on the wall saying, "Hey, I want to jump to your drug because your drug is protected at least through the end of 2027, and you have got exclusivity until 2034.
Whereas the drug I am on, as great as it is globally, in China, it is subject to VBP. I think this is accumulating, and diabetes patients, we believe it is a life-threatening disease, but certainly it is not like cancer, so it is kind of a snowball effect. As more people use it, and as long as it works, they stay on it. Why would I change it? The doctors do not want to change it. It is too cheap to go and rediagnose and everything. This kind of dynamic is very different from all these other cancer, which is super exciting, but very short phase III. This is where all the suffering, the long march, Dr. Chen and the team had to do alone. Nobody else so far is behind us in China. I think this franchise is quite nice in that perspective. It is very nice in the chronic disease space to have reached this point.
Understood. Okay. Thank you very much. Another question is on the R&D side. I just mentioned there is a potential combination with a lot of type of MOA on different, like with MASLD or THR-β and then on MASLD and other kind of indications. I believe you already have some clinical evidence already. Checking on about this indication, would you move them into the late stage development to have official labels, or will it be more like a real-world study evidence circulate around physicians or when they are prescribing the drugs you will do Looking into different combination and then prescribe by themselves or something like that.
Actually, it is a different strategy for the new indications. Traditional drug existing therapies cannot address the underlying mechanism and disease pathologies, pathological reasons. Through the current combination, we may be able to make the diabetes or diabetes complication milder or develop slower, so that we prolong the healthy lifespan. So that in the China 15th Five-Year Plan, in the national health plan, we try to let people live healthier, live longer, right? I think dorzagliatin and through the combination with the other therapies, we can do that. If you look at the neurodegeneration diseases, right? Liver degeneration diseases, muscle degeneration diseases. In those factor, you actually need to address the energy supply issue. By energy, I mean glucose, right? Glucose is the only energy source for human intelligence. Now, energy resource storage and also metabolism needs to be restored.
At the same time, we need to manage the inflammation. Okay? In addition to inflammation and the energy management, also, we need to manage the impact from the outside, right? The virus and bacteria and so on. Now, the reason we are conducting those preclinical studies with the novel new class of small molecules, right, is we are going to create a new molecule from those combinations or mechanistic combinations and then targeting more severe and then more clinical needed disease, right? I think, at this time, at a global level, the ability to address neurodegeneration, whether it is Alzheimer, whether it is dementia, whether it is in the Parkinson's related, I don't think we have a clue how to systematically address those issues. But that's what Hua Medicine is doing.
Through understanding the whole glucose homeostasis system, we have been connecting the glucose as the primary energy source and the primary sensory source for the endocrine, for the neural signs, because glucose is the source of making neurotransmitters. Also, it is important source of T-cell sensory, right? It is generating the lipid raft that creating this fundamental T-cell sensory mechanism. So in addition to its energy source, this is a three other key function regulating our human intelligent management system. Then this is where I think the new combination is supporting us to getting to the next level of the care, right? The traditional combination with the generic medicine now already on the market. People already know how to use it, physician know how to use it. Adding dorzagliatin give them additional benefit and then keep the market growing. That's the two separate process going to help reshape Hua Medicine.
Dr. Chen, I would like to add one more thing. Sherlyn, if you could move back to our different combination synergies. The one thing that's very exciting about the results that we presented at the ADA, yeah, this page. We kind of gloss over it very quick, but GLP-1 obviously is one of the most exciting things, right? But we all know that there is GI and some sort of nausea and these things. So maybe 70%, 75% of the people respond to it. That's great, but what about the 25%, right? The 25% feel terrible, right? Here comes a silver bullet that's going to work to reduce their weight, but it doesn't work for them because they feel terrible.
And both with orforglipron in mice, but also with semaglutide, we were able to show that in combination with our drug at much lower doses, we went from, Dr. Chen, please correct me if I am off, but around 70%, 75% initial response rate at the regular dose of GLP-1. In combination with ours at a lower dose, you get to 100%. And actually, on the semaglutide, you lost even more weight around the visceral area. So dose sparing is not just about saving money, it is actually much less tolerability. Now, why would this work? What we saw in all our previous studies, that actually what triggers GLP-1 endogenous release? Glucokinase. But we do not trigger as much with dorzagliatin, and that is one of the exciting things we are doing with the second generation. We want to emphasize on that. Just like the original GLP-1, right? It was not enough.
So, it took to the sixth or the eighth generation before it had actually lost weight. But with dorzagliatin, not enough, but actually with endogenous and a much lower dose, which makes it much more tolerable, it actually works just as well. And this is actually a very exciting aspect as people use and look for different ways. Not necessarily a label, but when you have 500,000 patients, everybody is going to be trying different things, right? And the drug is very safe. And for this population, where GLP-1 is so high profile, it does not work for them, I think it is actually very exciting. I think that group and I think DKD and all the MODY patients, they have had no other choice. And to that extent, it is kind of a first in disease for those patients, right?
So I think that aspect, as it gets used more broadly, I pray to God we do not get any hotline calls, and we certainly have not. As long as it maintains its very good safety and tolerability and it keeps on getting widespread, doctors are going to pick up on it, patients are going to pick up on it, and it is reimbursed, and it is safe, and it works even more interesting in this way. So I think that is one aspect that we can kind of piggyback on other drugs and actually make them even better.
Okay. Thank you. Let us see if there are any questions online. Okay. So one more question is on the There is a slide that you have mentioned on the AI to empower your business, and there is a mention of a GK Brain. Just on this, could you share more, provide more color on this GK Brain? So how is it different from before that in terms of helping you to improve efficiency of R&D? And also, George Lin, with this tool, do you have any actual number coming now from this AI tool that would help you save your, any of the expense line on this? Yeah.
It's not expense. Dr. Chen can talk about that. It's not expense.
Okay.
It's actually, there's just too much information.
Oh.
If you're a doctor that can't get in touch, right, we only have 170 salespeople. So how do they get the information? The first thing they'll do is they'll go to an AI engine. But actually, our salespeople now actually have all this information that just gets smarter and smarter so that they can actually go ahead and present case studies. Dr. Chen, there was an internal figure, right? There's so many cases that are because our salespeople are new, right? So they got to get new to it. But how can you accelerate that knowledge and leverage everything you learn, let's say in Shanghai, Tianjin, and Beijing. Those are our top provinces. Tons of information. But if they go to Hubei or Henan, right, further out in Yunnan, it's probably less knowledgeable. How does that salesperson use that information?
Once you say it, right, just like us, even though us, you took us public as well, right? The information and the substantiation now is much more than when it was just a theory that this is a glucokinase stat, and trust us, it'll work. Well, now there's 500,000 patients and it's all working wonderful. Dr. Chen can give more on the R&D, but also explain more on how our salespeople are using.
This is basically a very general concept from the large language model, which is generically used across board. What we have been doing is doing the vertically integrated, knowledge base, large language model. It happens to be, we have been doing the digital management platform for a few years already, and using glucokinase knowledge system and then the glucose homeostasis system that accumulated by Hua Medicine and also Franz Matschinsky, and then global leaders in the publication, private communication, and then discussion notes and so on. We have been able to create this GK Brain. That is where we have internal information and resources and a knowledge base across our last 10 years of knowledge, and then extended beyond the last 10 years with Roche's knowledge in the drug discovery.
That income, together with our clinical practice, drug discovery practice, and then start to enforcing this AI, to learn differently from the external resources, where they primarily based on the accessibility of the public knowledge. This is public knowledge plus internal proprietary knowledge that built into this knowledge base, what we call the GK Brain. In this case, we have discovered the opportunity for MCI, the early Alzheimer diseases, the priority, and then several other indications that we are now developing and then doing the patent protection. The knowledge connection in the space is showing on the right-hand of the picture, which is what we call the artificial intelligence for human events, that are connecting the interesting and critical function units in their own relationship with the other functions, so that give us the information for us to create the knowledge.
That knowledge can be used for the medical marketing, for the communication, for the assets evaluation, and then also, we help the whole company-based publication and then internal documents extractions for the help in the basic research and the medical research. This is become a common practice. Every employee open up the computer, the front page pop up, the agent is there, and you can ask any needs through that platform. It is just a natural operation progress at Hua Medicine. To this year, we felt that it is so important to let our frontline people, employee to access those internal information and convert it into the productivity. That is where we are developing the cell phone-based, the handheld-based tools in the agent formats, so that they can use it as a day in, day out.
The first month after launch, get 6,000 applications and visits, over 10,000 questions related to the very practical but very important interaction between our staff with the medical community. That is what we are doing. I think with the further advancement of the AI platform technologies, I think it is going to be used more broadly. The other part is using AI to design new drugs. We are looking for design new molecule with multiple functions to treat degeneration diseases, which is very challenging from design those functional gain diseases like cancer. For the functional loss diseases is usually caused by the degeneration of the protein or gene functions, as we aging or as we have unhealthy conditions. The repairment require much more precise diagnosis and then the treatment.
I think with the collaboration now Dr. Juliana Chan in Hong Kong, looking to the tools in the human genetics, then we can perform the prediction for the better treatment. Then precisional medicine approach is going to be broadly utilized in the chronic diseases, not only used in the cancer treatment, which has been a good practice for the last 20 years. Starting when I was at Roche, we started personalized medicine for cancer. But Hua Medicine is the first organization really developing the personalized diabetes care. Then our first paper published in 2017. Then there will be more to come as the computation power increases, then our potential collaborations with the leaders in the human genetics. Hope this will help.
Yeah, sure. This is very helpful. Thank you very much. Our call is almost an hour, so let's check if there are further questions online. Please feel free to press the raise hand button, then we will unmute you. Okay, if there are no further questions, Dr. Chen, do you have any closing remarks? Then we can conclude today's call. Thank you.
Yeah. Thanks for all the investors who support Hua Medicine. I think we are getting the company into stage 2 development from a single drug, dorzagliatin, also is a very wonderful drug. Now into the phase II, we are using glucose homeostasis platform, then come up with multiple products, then integrate our capabilities in the drug discovery, development, production, and commercialization, then drive the healthcare forward. Thank you.
Okay. Thank you very much. Thank you Dr. Chen and George for dialing in, and thank you for investors who joined. If you got further questions, please feel free to reach out to the Hua Medicine IR team, or either way, you can reach out to us. Okay, thank you very much and have a nice day. Bye.