HUTCHMED (China) Limited 和黃醫藥（中國）有限公司 (Incorporated in the Cayman Islands with limited liability) (Stock Code: 13) NOTIFICATION LETTER Dear Non-registered Shareholders (1) , HUTCHMED (China) Limited (the "Company") – Notice of Publication of the 2025 Interim Report ("Current Corporate Communications") The English and Chinese versions of the Current Corporate Communications are available on the website of the Company at https://www.hutch- med.com (click "Shareholder Information", then "Financial Reports & Fi ...

HUTCHMED (China) Limited 和黃醫藥（中國）有限公司 (Incorporated in the Cayman Islands with limited liability) (Stock Code: 13) NOTIFICATION LETTER Dear Shareholders, HUTCHMED (China) Limited (the "Company") – Notice of Publication of the 2025 Interim Report ("Current Corporate Communications") The English and Chinese versions of the Current Corporate Communications are available on the website of the Company at https://www.hutch-med.com (click "Shareholder Information", then "Financial Reports & Filings") (the "Company ...

Sales Performance - In the first half of 2025, sales of FRUZAQLA® increased by 25% to $162.8 million, driven by approvals in over 30 countries, including more than 10 new markets added in 2025[19] - Total market sales decreased by 4%, with consolidated revenue declining by 22% primarily due to lower sales in the Chinese market, although FRUZAQLA® revenue remained stable[19] - Other oncology/immunology business revenue grew by 9% to $44.4 million, contributing to a total consolidated revenue of $277.7 million, which represents a 9% decline[20] - Aiyoute® sales decreased by 29% to $43.0 million in H1 2025 from $61.0 million in H1 2024[21] - Sutaida® sales dropped by 50% to $12.7 million in H1 2025, down from $25.4 million in H1 2024[21] - Overall revenue decreased by 9% to $277.7 million in H1 2025 from $305.7 million in H1 2024[21] - The revenue from FRUZAQLA® was $43.1 million in the first half of 2025, showing a slight increase from $42.8 million in the same period of 2024, while market sales reached $162.8 million, a 25% increase[39] Research and Development - The company plans to accelerate the development of candidate drugs from the innovative ATTC platform, with clinical development being conducted simultaneously in China and overseas[12] - The company aims to submit a new drug application based on ESLIM-01 study results in H1 2026[30] - The company plans to initiate global clinical trials for its first ATTC candidate drug by the end of 2025 and submit multiple global new drug applications for additional ATTC candidates in 2026[33] - The company has 13 oncology candidate drugs in various clinical trial stages, with four drugs approved in mainland China[52] - The ongoing ESLIM-02 Phase III study for warm antibody autoimmune hemolytic anemia is expected to complete patient enrollment by June 2025, with data readout anticipated in 2026[78] - The company is focusing on enhancing brand awareness and product differentiation for SUTENT® to maintain its market position in the TKI market[40] Financial Performance - The company achieved a net profit of $440.3 million from other businesses, up from $34.1 million in the first half of 2024, primarily due to the sale of a stake in Shanghai Hutchison Pharmaceuticals[38] - The company reported a median progression-free survival (PFS) of 8.2 months in the SACHI Phase III study for Savaotinib[29] - The company reported a net cash inflow of $519.1 million for the first half of 2025, primarily due to proceeds from the sale of a portion of Shanghai and Huang Pharmaceuticals[46] - The company reported a comprehensive income of $277.7 million for the first half of 2025, down 9% from $305.7 million in the same period of 2024[103] - The company reported a gain of $477.5 million from the sale of a joint venture, contributing significantly to the net income for the period[186] - The company’s total comprehensive income for the six months ended June 30, 2025, was $456.9 million, compared to $24.6 million in the same period of 2024, reflecting a substantial increase[188] Market Strategy - The company aims to enhance its sales team structure and improve productivity to ensure sustainable long-term development amid increasing market competition[19] - The company is focusing on science-driven commercial activities to further highlight the differentiated competitiveness of its products[19] - The company anticipates a recovery in sales growth in the second half of 2025, driven by the expansion of indications in China and increased penetration in overseas markets[17] - The company aims for over 20% sales growth in overseas markets for fiscal year 2025, as targeted by its partner Takeda[70] Corporate Governance and Sustainability - The company emphasizes sustainable development by integrating sustainability goals with business strategy to create long-term value for stakeholders[129] - The independent sustainability report for 2024 will be published alongside the annual report in April 2025, detailing the company's sustainability measures and performance[130] - The company has complied with all applicable provisions of the Hong Kong Corporate Governance Code during the reporting period[178] - The board has adopted a code of conduct for securities trading that meets the standards set by the Hong Kong Listing Rules[179] Employee and Shareholder Information - As of June 30, 2025, the company employed approximately 1,780 full-time employees, a decrease from 1,970 in the previous year, with total employee expenses amounting to $84 million for the first half of 2025[131] - The total shares held by Hutchison Healthcare Holdings Limited amount to 332,478,770, representing a significant portion of the company's equity[140] - The company has established a long-term incentive plan where various executives hold interests in shares and ADS, contingent on vesting conditions[138] Drug Approvals and Clinical Trials - The approval of the application for the drug沃瑞沙® was obtained six months after submission, allowing participation in this year's national medical insurance drug catalog negotiations[15] - The launch of the first blood cancer drug 达唯珂® (TAZVERIK®) occurred in July 2025, following its approval in March 2025[15] - The combination therapy of Savolitinib and Tarceva is expected to receive approval from the National Medical Products Administration (NMPA) in June 2025 for treating non-small cell lung cancer with MET amplification[64] - The FRUSICA-2 study for the combination of Fruquintinib and Sintilimab in renal cell carcinoma has achieved its primary endpoint of PFS, with the new drug application accepted by NMPA in June 2025[67] Cash Flow and Liquidity - Cash and cash equivalents, along with short-term investments, increased to $1.364 billion as of June 30, 2025, up from $836.1 million at the end of 2024[44] - The net cash generated from financing activities for the six months ended June 30, 2025, was $9.3 million, while $32.6 million was used in the same period in 2024[110] - The company has unused bank loan facilities amounting to $53.969 million, ensuring sufficient funding for operational commitments[195] Foreign Exchange and Economic Factors - The average depreciation of the RMB against the USD by approximately 0.8% in the first half of 2025 impacted the company's consolidated financial performance[45] - The company faces foreign exchange risk as a significant portion of its revenue and expenses are denominated in RMB, which may impact future cash flows and financial performance[114] - In 2023 and 2024, China's Consumer Price Index is projected to decrease by 0.3% and increase by 0.1% respectively, indicating minimal inflation impact on the company's operations[125]

Investment Rating - The report maintains a "Buy" rating for the company [3][6]. Core Insights - The company is experiencing steady growth in overseas markets while facing short-term pressure on domestic sales. The revenue for the first half of 2025 reached 278 million USD, with tumor business revenue at 144 million USD, reflecting a 29% decline year-on-year due to increased competition [9]. - New product approvals and the expansion of new indications are expected to drive a second growth curve. The sales of Furmonertinib reached 206 million USD in the first half of 2025, with overseas sales growing by 25% year-on-year [9]. - The new generation technology platform ATTC is set to initiate a wave of innovative drug development, with the first candidate expected to enter clinical development in the second half of the year [9]. Financial Forecasts and Investment Recommendations - The company has adjusted its revenue forecasts for 2025-2027 to 600.43 million USD, 705.84 million USD, and 796.91 million USD respectively, down from previous estimates [3]. - The target price is set at 38.32 HKD for 2026, based on a comparable company PS of 6.06 times [3]. - Key financial metrics include a projected net profit of 456.58 million USD in 2025, reflecting a significant year-on-year increase of 1110.15% [5].

Core Viewpoint - HCM's stock price increased by 2.33% to $16.25 per share, with a total market capitalization of $2.834 billion as of August 21 [1] Financial Performance - As of June 30, 2025, HCM reported total revenue of $278 million, a year-on-year decrease of 9.16% [1] - The net profit attributable to the parent company reached $455 million, showing a significant year-on-year increase of 1663.32% [1] Company Overview - HCM is recognized as one of the first innovative pharmaceutical research and development companies in China focused on the global market [1] - Over the past 20 years, the company has established a comprehensive and integrated R&D innovation platform with world-class discovery and development capabilities [1] - HCM is dedicated to bringing self-discovered anti-tumor candidate drugs to global patients, with its first three drugs already launched in China and the first drug also available in the United States [1] - The company has built a profitable commercial platform in China for the production, marketing, and distribution of its innovative oncology drugs, prescription drugs, and consumer healthcare products [1] - HCM is listed on the NASDAQ Global Select Market, the Hong Kong Stock Exchange, and the AIM market of the London Stock Exchange [1]

Core Insights - Colorectal cancer (CRC) is the second most common malignant tumor in China, with 517,100 new cases in 2022, accounting for 10.7% of all cancer cases, and 240,000 deaths, representing 9.3% of all cancer deaths [1][12] - The global colorectal cancer drug market is projected to grow from $16.9 billion in 2019 to $25.4 billion by 2024, indicating significant market potential [1][13] - The Chinese colorectal cancer drug market is expected to reach 24.21 billion yuan by 2024, with an 18.5% year-on-year growth [1][16] - The market is characterized by a competitive landscape with multiple companies across different tiers, including leading firms like Junshi Biosciences and others [1][18] Industry Overview - Colorectal cancer drugs include traditional chemotherapy, targeted therapies, and immunotherapies, which are crucial for extending patient survival [2] - The burden of colorectal cancer in China is significant, with over 80% of patients diagnosed at advanced stages, leading to high treatment demands [1][16] - The market is expected to continue growing, with projections of 37.3 billion yuan by 2027 and nearly 60 billion yuan by 2031 [1][20] Competitive Landscape - The colorectal cancer drug industry features a tiered structure: - First tier: Junshi Biosciences - Second tier: Maibao Pharmaceutical, Hutchison China MediTech - Third tier: JAKS Pharmaceuticals, Jinfang Pharmaceutical [1][18] - Over 10 innovative therapies have been approved globally for colorectal cancer treatment, with more in clinical trials [1][18] Future Trends - The market is expected to see a shift towards precision medicine, with targeted and immunotherapies becoming mainstream [1][22] - Domestic innovative pharmaceutical companies are rapidly emerging, enhancing their product lines through independent research and global collaborations [1][23] - Upgraded patient needs will drive innovations in service models, focusing on unmet clinical demands and improving treatment experiences [1][25]

Core Viewpoint - Hutchison China MediTech Limited (和黄医药) announced the completion of patient enrollment for the SANOVO Phase III study, which evaluates the combination therapy of ORPATHYS® (savolitinib) and TAGRISSO® (osimertinib) for first-line treatment of specific non-small cell lung cancer patients with EGFR mutations and MET overexpression [1] Group 1 - The last patient was enrolled on August 18, 2025, marking the completion of the SANOVO study's patient recruitment [1] - Topline results from the SANOVO study are expected to be announced in the second half of 2026, with plans to submit the findings to relevant academic conferences [1] - If the results are favorable, the company plans to submit a new indication application to the National Medical Products Administration of China [1] Group 2 - ORPATHYS® is a potent and highly selective oral MET tyrosine kinase inhibitor developed in collaboration with AstraZeneca and commercialized by AstraZeneca [1] - TAGRISSO® is an irreversible third-generation EGFR TKI [1]

Core Insights - The announcement from Hutchison China MediTech (和黄医药) indicates the completion of patient enrollment for the SANOVO Phase III study, which evaluates the combination therapy of Savolitinib (沃瑞沙) and Osimertinib (泰瑞沙) for specific non-small cell lung cancer patients with EGFR mutations and MET overexpression [1] Group 1 - The SANOVO study is a randomized, controlled clinical trial assessing the efficacy and safety of the combination therapy compared to the standard monotherapy of Osimertinib [1] - The primary endpoint of the study is progression-free survival (PFS) as assessed by investigators, with secondary endpoints including independent review committee-assessed PFS, overall survival (OS), objective response rate (ORR), duration of response (DoR), disease control rate (DCR), time to response (TTR), and safety [1] - Topline results from the SANOVO study are expected to be announced in the second half of 2026, followed by submission of results to relevant academic conferences [1] Group 2 - Savolitinib is a potent and highly selective oral MET tyrosine kinase inhibitor (TKI) co-developed by AstraZeneca and Hutchison China MediTech, while Osimertinib is an irreversible third-generation EGFR TKI [2]

Group 1 - The core viewpoint of the news is that Hutchison China MediTech has completed patient enrollment for the SANOVO Phase III study, which evaluates the combination therapy of savolitinib and osimertinib for specific non-small cell lung cancer patients with EGFR mutations and MET overexpression [1][2] - The SANOVO study is a randomized controlled trial assessing the efficacy and safety of the combination therapy compared to osimertinib monotherapy, which is the current standard treatment for these patients [1] - The primary endpoint of the study is progression-free survival (PFS), with secondary endpoints including overall survival (OS), objective response rate (ORR), duration of response (DoR), disease control rate (DCR), time to response (TTR), and safety [1] Group 2 - Topline results from the SANOVO study are expected to be announced in the second half of 2026, followed by submission of the results to appropriate academic conferences [2] - If the results are favorable, Hutchison China MediTech plans to submit a new indication application to the National Medical Products Administration of China [2] - Savolitinib is described as a potent and highly selective oral MET tyrosine kinase inhibitor developed jointly by AstraZeneca and Hutchison China MediTech, while osimertinib is characterized as an irreversible third-generation EGFR TKI [2]

Group 1 - The SANOVO Phase III study has completed patient enrollment for the combination therapy of savolitinib (ORPATHYS) and osimertinib (TAGRISSO) in treating specific non-small cell lung cancer patients with EGFR mutations and MET overexpression [1] - The study is a randomized, controlled trial assessing the efficacy and safety of the combination therapy compared to osimertinib monotherapy, which is the current standard treatment for these patients [1] - The primary endpoint of the study is progression-free survival (PFS), with secondary endpoints including overall survival (OS), objective response rate (ORR), duration of response (DoR), disease control rate (DCR), time to response (TTR), and safety [1] Group 2 - Topline results from the SANOVO study are expected to be announced in the second half of 2026, followed by submission of results to appropriate academic conferences [2] - If the results are favorable, the company plans to submit a new indication application to the National Medical Products Administration of China [2] - Savolitinib is a potent, highly selective oral MET tyrosine kinase inhibitor developed jointly by AstraZeneca and the company, while osimertinib is an irreversible third-generation EGFR TKI [2]