Financial Performance - The company's revenue increased from RMB 159.0 million for the year ended December 31, 2022, to RMB 246.4 million for the year ended December 31, 2023, representing a growth of approximately 55%[2]. - The total comprehensive income for the year ended December 31, 2023, was RMB 27.5 million, compared to a total expenditure of RMB 580.0 million for the year ended December 31, 2022, indicating a significant narrowing of losses[2]. - Total revenue for the year ended December 31, 2023, reached RMB 246.4 million, representing a year-on-year growth of 55.0% from RMB 159.0 million in 2022[10]. - Sales of ophthalmic products increased significantly by 88.1%, from RMB 108.8 million in 2022 to RMB 204.7 million in 2023[12]. - The company incurred a loss before tax of RMB 379.5 million for the year, slightly improved from a loss of RMB 402.2 million in 2022[39]. - The loss for the year ended December 31, 2023, was RMB 379.8 million, a decrease of 5.7% compared to RMB 402.6 million for the year ended December 31, 2022, mainly due to an increase in gross profit of RMB 41.4 million and a reduction in R&D expenses of RMB 60.5 million[23]. - Gross profit increased by 40.3% to RMB 144.4 million in 2023, compared to RMB 103.0 million in 2022[14]. - The group reported total revenue of RMB 246,367,000 in 2023, a significant increase from RMB 158,957,000 in 2022, representing a growth of approximately 55%[48]. - Revenue from ophthalmic product sales was RMB 204,695,000 in 2023, compared to RMB 108,833,000 in 2022, indicating an increase of about 88%[48]. Research and Development - The company has a portfolio of 25 drug assets in ophthalmology, with five products currently in Phase III clinical trials[3]. - The company continues to advance multiple pipeline products across various stages of clinical development[5]. - OT-1001 (ZERVIATE®) NDA accepted by the National Medical Products Administration, expected to be approved soon[6]. - OT-101 (0.01% atropine sulfate eye drops) completed enrollment of 678 patients in global Phase III clinical trial, ongoing progress expected[5]. - OT-502 (DEXYCU®) completed enrollment of 300 patients in Phase III clinical trial, NDA submission anticipated by the end of the year[6]. - OT-703 (ILUVIEN®) received approval in Hong Kong for diabetic macular edema treatment, marking entry into the Chinese market[6]. - OT-202 (tyrosine kinase inhibitor) completed enrollment of 213 patients in Phase II clinical trial, showing positive safety and efficacy results[6]. - Company maintains a leading position in the number of Phase III clinical trials for ophthalmic drugs in China[5]. - 26 new clinical trial centers initiated during the reporting period, enrolling over 700 patients[5]. - The company plans to allocate RMB 197.57 million (12.00%) for the R&D costs of OT-401, with an expected completion date by the end of 2025[67]. - A total of RMB 562.42 million (34.16%) is allocated for ongoing R&D activities for other candidate drugs, with no funds utilized as of December 31, 2023[67]. - The company is investing RMB 100 million in R&D for new product development, focusing on innovative ophthalmic treatments[83]. Market Position and Strategy - The core product, Yushi Ying® (fluocinolone acetonide intravitreal implant), has been included in the new national medical insurance drug list effective January 1, 2024[2]. - The company aims to provide world-class drug solutions to meet the significant unmet needs in China's ophthalmic healthcare[3]. - The company aims to improve financial conditions and achieve profitability through enhanced sales revenue and cost control[9]. - The company plans to accelerate the commercial growth of core products, particularly Youshiying®, in 2024[8]. - The company has achieved coverage in 10,120 hospitals nationwide, including 1,558 tertiary hospitals, with a commercial team exceeding 230 members[7]. - The company plans to construct and develop new production facilities in Suzhou, with an allocation of HKD 195.43 million for this purpose[70]. - The company has established partnerships with two major hospitals in the Greater China region to enhance distribution channels[83]. - The company plans to launch a new product line in Q3 2024, projected to contribute an additional RMB 50 million in revenue[83]. - The company expects revenue guidance for 2024 to be between RMB 600 million and RMB 700 million, reflecting a growth rate of 20% to 40%[83]. - Market expansion plans include entering three new provinces in China by the end of 2024, targeting a potential market size of RMB 200 million[83]. Financial Position and Assets - As of December 31, 2023, the company's cash and bank balances were approximately RMB 1,053.8 million[2]. - Cash and cash equivalents as of December 31, 2023, were RMB 842.8 million, down from RMB 1,170.0 million as of December 31, 2022[27]. - The total assets as of December 31, 2023, were RMB 3,270.999 million, an increase from RMB 3,043.674 million as of December 31, 2022[26]. - The net asset value as of December 31, 2023, was RMB 2,919.968 million, an increase from RMB 2,748.639 million as of December 31, 2022[26]. - The investment in EyePoint as of December 31, 2023, had a carrying value of approximately RMB 329.1 million, representing about 10.1% of the total assets[33]. - The company sold a total of 1,000,001 shares of EyePoint for approximately USD 19.5 million (about HKD 152.5 million) between May 30, 2023, and December 6, 2023[32]. - The company has capital commitments related to the acquisition of property, plant, and equipment amounting to RMB 6.4 million as of December 31, 2023[29]. - The company has secured bank loans totaling RMB 120,000 thousand in 2023, with fixed interest rates of 3.0% and 3.1%[63]. Operational Efficiency - Research and development expenses decreased by 32.8% to RMB 123.8 million in 2023, down from RMB 184.3 million in 2022[19]. - Sales and marketing expenses rose by 23.6% to RMB 226.3 million in 2023, up from RMB 183.0 million in 2022, primarily due to team expansion and marketing activities[17]. - Administrative expenses for the year ended December 31, 2023, amounted to RMB 196.1 million, a slight increase from RMB 190.7 million for the year ended December 31, 2022, primarily due to increased rent and depreciation expenses[21]. - The company aims to reduce operational costs by 10% through efficiency improvements in the supply chain[83]. - The company has implemented foreign currency hedging measures to manage foreign exchange risks associated with its cash and receivables denominated in foreign currencies[35]. Shareholder Returns and Dividends - No dividends were declared or paid for the year ended December 31, 2023, consistent with 2022[64]. - The board does not recommend a final dividend for the year ended December 31, 2023, consistent with the previous year[74].

Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 103.696 million, representing an increase of 90.5% compared to RMB 54.535 million for the same period in 2022[8]. - Gross profit for the same period was RMB 62.710 million, up from RMB 34.304 million, indicating a gross margin improvement[8]. - The net loss for the period was RMB 208.402 million, compared to a net loss of RMB 192.669 million in the prior year, reflecting a worsening of 8.1%[10]. - The adjusted net loss under non-IFRS measures was RMB 125.893 million, compared to RMB 76.850 million in the previous year, showing an increase of 64%[10]. - The company achieved a revenue of RMB 103.7 million in the reporting period, representing a growth of 90.1% compared to the six months ended June 30, 2022, with a gross margin of approximately 60.5%[13]. - The adjusted net loss was RMB 125.9 million, an increase of 63.8% compared to the six months ended June 30, 2022[13]. - The company reported a net loss attributable to shareholders of RMB 208,402,000 for the six months ended June 30, 2023, compared to a loss of RMB 192,669,000 for the same period in 2022, representing an increase in loss of approximately 8.5%[112]. Research and Development - The company has a pipeline of 25 ophthalmic drug assets, with five products currently in Phase III clinical trials, addressing major anterior and posterior eye diseases[11]. - The financial report indicates a significant investment in R&D, which is crucial for the development of new products and technologies[9]. - Research and development expenses amounted to RMB 73.1 million, a decrease of 25.8% compared to the same period in 2022[13]. - The company plans to enhance its R&D capabilities to overcome new barriers in ophthalmic formulation technology[14]. - The company continues to focus on research and development, supported by unconditional government subsidies aimed at innovation and employment[106]. Market and Product Development - The company aims to provide world-class drug solutions to meet the significant unmet needs in China's ophthalmic healthcare market[11]. - The company is focused on identifying, developing, and commercializing innovative ophthalmic therapies, leveraging its first-mover advantage in the sector[11]. - The ophthalmic drug market has fully recovered from COVID-19, providing significant opportunities for market exploration and customer development[13]. - The company has commercialized products such as OT-401 and OT-305, contributing to its revenue growth[13]. - The company is preparing for data organization and NDA documentation for OT-502 in the second half of 2023[19]. - The company plans to accelerate the development of at least two new candidate drugs into the registration phase in the second half of 2023[23]. - The company has entered into a partnership with Huienland Pharmaceutical to develop and commercialize new ophthalmic products in China[165]. Strategic Initiatives - The interim report highlights the ongoing efforts in strategic partnerships and potential mergers and acquisitions to bolster growth[11]. - The strategic partnership with Shanghai Pharmaceuticals aims to enhance the commercialization of the new drug Youshiying® in China[21]. - The company is exploring potential acquisitions to enhance its product portfolio and market reach, with discussions ongoing with several candidates[169]. Employee and Shareholder Information - The company has expanded its commercial team to 210 employees, enhancing its business network coverage across 9,361 hospitals in China[21]. - Total employee compensation costs for the six months ended June 30, 2023, were RMB 170.6 million, compared to RMB 193.7 million for the same period in 2022[44]. - The company has adopted various employee incentive plans, including ESOP and RSU programs[44]. - As of June 30, 2023, Ye Liu holds 76,112,990 shares, representing an approximate equity percentage of 11.02%[47]. - The total number of issued shares as of June 30, 2023, is 690,711,280[53]. Cash Flow and Financial Position - Cash and cash equivalents as of June 30, 2023, were RMB 1,039,847 thousand, down from RMB 1,314,447 thousand at the end of 2022, a decrease of 21%[87]. - The company experienced a decrease in cash and cash equivalents, with a net decrease of RMB 640,648 thousand for the six months ended June 30, 2023, compared to an increase of RMB 433,088 thousand in the same period of 2022[92]. - The company’s total assets as of June 30, 2023, were RMB 2,745,763 thousand, a slight decrease from RMB 2,952,838 thousand as of June 30, 2022[89]. - The company reported a significant increase in inventory, with an increase of RMB (9,703) thousand for the first half of 2023, compared to an increase of RMB (18,829) thousand in the same period of 2022[90]. Governance and Compliance - The company has adopted a corporate governance code since its listing date and believes it has complied with all applicable provisions during the reporting period[73]. - The company did not declare or recommend any dividends for the six months ended June 30, 2023, consistent with the previous year[111]. - The company has maintained consistent accounting policies in line with international financial reporting standards, with no major changes affecting financial results[95].

Financial Performance - The company reported revenue of RMB 103.7 million for the six months ended June 30, 2023, an increase from RMB 54.5 million for the same period in 2022, representing a growth of approximately 90%[3] - Adjusted net loss for the period was RMB 125.9 million, an increase of RMB 49.0 million compared to RMB 76.9 million for the same period in 2022, primarily due to increased losses from clinical trial production[3] - The company achieved a revenue of RMB 103.7 million, representing a growth of 90.1% compared to the same period last year, with a gross margin of approximately 60.5%[6] - The adjusted net loss increased by 63.8% to RMB 125.9 million compared to the same period last year[6] - The company reported a net loss of RMB 208.4 million for the six months ended June 30, 2023, compared to a net loss of RMB 192.7 million for the same period in 2022[38] - Loss for the six months ended June 30, 2023, was RMB 208.4 million, an increase of RMB 15.7 million compared to a loss of RMB 192.7 million for the same period in 2022, driven by increased costs from product marketing activities[26] Research and Development - Research and development expenses decreased by 25.8% to RMB 73.1 million for the six months ended June 30, 2023, down from RMB 98.4 million in the same period in 2022, mainly due to reduced employee costs[3] - The company plans to enhance its R&D capabilities to overcome new technical barriers in ophthalmic formulations[7] - The global Phase III clinical trial for OT-101 (0.01% atropine sulfate eye drops) has completed patient enrollment of 678 individuals[8] - The clinical trial application for OT-101-S (0.01% and 0.05% atropine sulfate eye drops) has been accepted by CDE to initiate Phase III clinical trials in China[8] - Five candidate drugs are currently in Phase III clinical trials, indicating a strong pipeline for future products[7] - New product development includes advancements in the treatment for AMD, with clinical trials expected to commence in Q4 2023[74] Product Pipeline and Regulatory Approvals - The company has a total of 25 drug assets in its pipeline, with five candidates currently in Phase III clinical trials, making it one of the leading companies in China for innovative ophthalmic drugs[2] - The NDA for the innovative drug OT-1001 has been accepted by the CDE and included in the NMPA priority review process[2] - OT-1001 (ZERVIATE®) received priority review and approval from the National Medical Products Administration in April 2023, marking a significant step towards commercialization[9] - The company is one of the leading innovative pharmaceutical companies in China with the highest number of ophthalmic drugs in Phase III clinical trials[7] Sales and Marketing - The company has expanded its hospital coverage to 9,361 hospitals nationwide, including 1,426 tertiary hospitals[3] - The company continues to expand its business network across the country with a team of 210 commercial staff[3] - Sales of ophthalmic products surged by 198.4%, increasing from RMB 28.2 million to RMB 84.2 million for the same period[15] - Revenue from pharmaceutical promotion services increased from RMB 8.6 million to RMB 18.2 million during the reporting period[15] - The strategic partnership with Shanghai Pharmaceuticals aims to enhance the commercialization of the new drug Yushiying® across China[11] Financial Position and Assets - The company has approximately RMB 1,039.8 million in bank balances and cash as of June 30, 2023[3] - Total assets as of June 30, 2023, were RMB 3,000.96 million, a slight decrease from RMB 3,043.67 million as of December 31, 2022[29] - As of June 30, 2023, the company's cash and cash equivalents amounted to RMB 537.0 million, a decrease from RMB 1,170.0 million as of December 31, 2022, primarily due to operational expenditures and capital projects[31] - The company had no borrowings as of June 30, 2023, consistent with the previous period[32] Corporate Governance and Future Plans - The company is committed to strengthening its brand identity and corporate culture to support sustainable development[12] - The company maintains a commitment to high standards of corporate governance to protect shareholder interests and enhance transparency[63] - The company plans to continue investing in the construction of the Suzhou factory to enhance production capacity[36] - The company plans to expand its sales and marketing team with an allocation of HKD 164.64 million (10%) by the end of 2023[65] - The company is exploring acquisition opportunities to bolster its product pipeline, with a focus on innovative ophthalmic therapies[75]

Financial Performance - In 2022, Ocumension Therapeutics achieved sales revenue of RMB 159 million, an increase of 183.1% compared to 2021, marking the company's fourth year of operation and surpassing the RMB 100 million sales target[9]. - The company achieved revenue of RMB 159.0 million, representing a year-on-year growth of 183.4%, with a gross margin of approximately 64.7%[16]. - Revenue increased significantly from RMB 56.1 million in 2021 to RMB 159.0 million in 2022, driven by the commercialization of core product Yushiying® and increased sales of other ophthalmic products[29]. - The gross profit for 2022 was RMB 102,916 thousand, compared to RMB 36,935 thousand in 2021, indicating a gross margin improvement[11]. - The company reported a net loss of RMB 402,643 thousand in 2022, worsening from a net loss of RMB 259,992 thousand in 2021[12]. - The adjusted net loss was RMB 180.7 million, a decrease of 3.4% year-on-year, attributed to increased sales from ophthalmic products and improved operational efficiency[16]. - The company recorded a pre-tax loss of RMB 402.2 million in 2022, compared to RMB 260.0 million in 2021[28]. - The company reported a net foreign exchange gain of RMB 22.4 million in 2022, compared to a net loss of RMB 13.4 million in 2021, due to effective foreign currency risk management measures[34]. Research and Development - The core product, Yushi Ying® (OT-401), received NDA approval in June 2022 for the treatment of chronic NIU-PS and was officially launched in December 2022, representing a significant milestone in China's drug registration history[8]. - The Phase III clinical trial of ZERVIATE® (OT-1001) achieved its primary endpoint with positive results, supporting its NDA registration in 2023[8]. - The company has six drugs in Phase III clinical trials, significantly ahead of competitors in the ophthalmic drug sector[8]. - The global Phase III clinical trial for OT-101 (0.01% atropine sulfate eye drops) has completed patient enrollment in China, marking a key milestone for the drug's development[8]. - The company completed the Phase I clinical trial for OT-202, a new drug for dry eye disease, and has entered Phase II clinical trials[8]. - The NDA for ILUVIEN® (OT-703) for DME received approval for Phase III clinical trials in June 2022, further expanding the company's clinical pipeline[8]. - The company is focused on expanding its product pipeline, with multiple candidates in various stages of clinical trials, including OT-202 (tyrosine kinase inhibitor) which successfully completed Phase I trials[17]. - OT-1001 (0.24% cetirizine eye drops) achieved primary clinical endpoints in a Phase III trial with 296 patients, showing significant improvement in eye itch scores by day 14[19]. - OT-702's Phase III clinical trial patient recruitment was completed in March 2023, marking a significant milestone for the product[20]. Marketing and Sales Strategy - Ocumension established a complete marketing promotion system in 2022, enhancing sales efficiency and laying a solid foundation for future profitability[9]. - The company secured the hospital promotion rights for the entire ophthalmic product line from Huizhi, consolidating its leading position in glaucoma and anti-allergy fields in China[9]. - The commercial team has established a network covering 8,171 hospitals across China, including 1,384 tertiary hospitals[24]. - The company plans to strengthen academic promotion around its core product, aiming for continued sales growth[10]. - The marketing efforts for core products like You Shiying® will be intensified to ensure successful market entry and benefit a wider patient base[26]. - The company aims to solidify its leadership in uveitis, anti-allergy, and glaucoma markets, with a goal of continued exponential revenue growth[26]. Operational Efficiency - The Suzhou factory commenced trial production in May 2022, enhancing production efficiency and quality, which is expected to support future sales growth[10]. - The company plans to continue investing in the construction of the Suzhou factory to enhance production capacity[51]. - The Suzhou factory is anticipated to achieve commercial-scale production to ensure supply stability and product quality[26]. Corporate Governance - The company has adopted a corporate governance code and believes it has fully complied with the code provisions for the year ending December 31, 2022[67]. - The company has established three board committees: audit committee, remuneration committee, and nomination committee to oversee specific matters[69]. - The company has arranged appropriate liability insurance to indemnify its directors and senior management against responsibilities arising from company affairs[70]. - The board consists of two executive directors, four non-executive directors, and three independent non-executive directors as of December 31, 2022[71]. - The company has implemented various employee incentive plans, including ESOP, RSU plans, and stock option plans established in 2021[54]. - The company emphasizes a strong corporate culture as the foundation for long-term success and sustainable growth[68]. Shareholder Relations - The company has established a shareholder communication policy to enhance investor relations and ensure timely disclosure of information[103]. - The company held two shareholder meetings during the year ending December 31, 2022, providing opportunities for direct communication between shareholders and the board[102]. - The company is committed to enhancing its corporate governance practices and ensuring compliance with relevant regulations[67]. Risks and Challenges - The company may need to raise additional funds to meet operational cash needs, which may not be available on acceptable terms[113]. - The company faces risks related to the successful completion of clinical trials and obtaining regulatory approvals for new drug candidates[113]. - The company relies on third parties for the supply of drug candidates and raw materials, which could impact business if not provided in sufficient quantity or quality[113]. Employee Compensation and Structure - The total employee compensation cost, including share-based payments, was RMB 382.1 million for the year ended December 31, 2022, compared to RMB 298.4 million in 2021[53]. - The company has a total of 398 employees, with 48.0% in business, 15.1% in R&D, 29.6% in manufacturing, and 7.3% in management and administration[54]. - Employee compensation includes salaries, bonuses, employee provident fund contributions, stock-based payments, social security contributions, and other benefits, regularly reviewed based on performance and market levels[54]. Future Outlook - The company aims to accelerate the registration and market launch of new products in 2023, maintaining a competitive product pipeline[10]. - The company expects to launch at least two new products into the registration phase in 2023, maintaining a steady pace of new product introductions[26]. - The company aims to provide world-class ophthalmic drug solutions to meet the significant demand gap in China's ophthalmic healthcare[68].

Financial Performance - The company reported a significant increase in revenue, achieving RMB 159.0 million for the year ended December 31, 2022, up 183.1% from RMB 56.1 million for the year ended December 31, 2021[5]. - The company achieved a net adjusted loss of RMB 180.7 million for the year ended December 31, 2022, a decrease of RMB 6.3 million from RMB 187.0 million for the previous year[5]. - The company reported a loss of RMB 402.6 million for the year ended December 31, 2022, compared to a loss of RMB 260.0 million for the year ended December 31, 2021, primarily due to the absence of one-time gains from third-party transactions[30]. - The company reported a net loss of RMB 402,643 thousand for the year ended December 31, 2022, compared to a net loss of RMB 259,992 thousand in 2021[43]. - Gross profit increased by 178.6% from RMB 36.9 million for the year ended December 31, 2021, to RMB 102.9 million for the year ended December 31, 2022[22]. - Other income rose from RMB 27.6 million for the year ended December 31, 2021, to approximately RMB 35.7 million for the year ended December 31, 2022, primarily due to increased government subsidies and bank interest income[23]. - The company reported a total revenue of $X million for the fiscal year 2022, representing a Y% increase compared to the previous year[91]. Product Development and Pipeline - The core product, OT-401, received NMPA approval for market entry in China, marking a key milestone in the company's clinical development[4]. - The company expanded its product pipeline to 24 drug assets, with six candidates currently in Phase III clinical trials[6]. - OT-401 (YUTIQ®) received NMPA approval for chronic non-infectious uveitis, marking the first approved new drug in this area in China[8]. - OT-1001 (ZERVIATE®) completed its Phase III clinical trial with positive results, involving 296 patients across multiple clinical sites in China[10]. - OT-502 (DEXYCU®) has been approved for pilot sales in Boao Super Hospital to address urgent medical needs, with real-world studies ongoing[12]. - OT-101 (0.01% atropine sulfate eye drops) has completed patient enrollment for its global Phase III trial in China, involving 170 patients[9]. - The company has a strong pipeline with multiple products in various stages of clinical trials, emphasizing its commitment to innovation in ophthalmic treatments[8]. - OT-702 (Aflibercept biosimilar) has completed patient enrollment for its Phase III clinical trial in China[11]. - OT-202 (tyrosine kinase inhibitor) successfully completed Phase I clinical trials, targeting dry eye syndrome[8]. - The company plans to advance at least two new products into the registration stage in 2023[17]. Sales and Marketing - The commercial team has established a nationwide network covering 8,171 hospitals, including 1,384 tertiary hospitals[4]. - The company’s commercialized products generated significant revenue growth, driven by successful marketing and promotion efforts[5]. - Sales of ophthalmic products increased by 149.5% to RMB 108.8 million during the reporting period[20]. - The company launched the early bird coupon sales for its product You Shiying®, selling over 200 coupons during the reporting period[15]. - Sales and marketing expenses increased by RMB 55.4 million to RMB 183.0 million for the year ended December 31, 2022, from RMB 127.6 million for the year ended December 31, 2021, mainly due to the expansion of the commercialization team and increased marketing activities[25]. Research and Development - Research and development expenses increased by 9.0% to RMB 184.3 million, compared to RMB 169.1 million for the previous year, primarily due to rising employee costs[6]. - The company has successfully initiated the Phase II clinical trial for OT-202 in February 2023[13]. - The company is investing I million in R&D for new technologies aimed at enhancing product efficiency[91]. Financial Position and Assets - The company has a cash balance of approximately RMB 1,314.4 million as of December 31, 2022[6]. - Total assets decreased from RMB 3,331.1 million as of December 31, 2021, to RMB 3,043.7 million as of December 31, 2022[34]. - Total liabilities increased from RMB 222.9 million as of December 31, 2021, to RMB 295.0 million as of December 31, 2022[34]. - The net asset value decreased from RMB 3,108.2 million as of December 31, 2021, to RMB 2,748.6 million as of December 31, 2022[34]. - The company had no borrowings as of December 31, 2022, consistent with the previous year[36]. - The company has capital commitments related to property, plant, and equipment contracts totaling RMB 49.0 million as of December 31, 2022, up from RMB 27.9 million in the prior year[36]. Future Outlook and Strategy - The company aims to maintain its leading position in the Chinese ophthalmic market by continuously enhancing its competitive advantages[4]. - The company anticipates continued revenue growth and aims to solidify its leadership position in the fields of uveitis, allergy, and glaucoma treatments[17]. - The company plans to continue investing in the construction of the Suzhou factory to enhance production capacity as part of its long-term development strategy[39]. - The company expects to achieve commercial-scale production at its Suzhou factory in 2023 to ensure supply stability and product quality[17]. - The company is committed to developing innovative therapies for eye disease patients in China, focusing on both in-house development and licensing[1]. Regulatory and Compliance - The audit committee reviewed the group's annual performance for the year ended December 31, 2022, and recommended it for board approval, confirming compliance with applicable accounting standards[83]. - The annual report for the year ended December 31, 2022, will be distributed to shareholders and published on the stock exchange and the company's website[85]. - The company has not early adopted any new international financial reporting standards that have been issued but are not yet effective, indicating a cautious approach to regulatory changes[48].

Financial Performance - Revenue for the six months ended June 30, 2022, was RMB 54.535 million, a significant increase from RMB 20.803 million in the same period of 2021, representing a growth of 162%[8]. - Gross profit for the same period was RMB 34.304 million, compared to RMB 15.687 million in 2021, indicating a gross margin improvement[8]. - The net loss for the period was RMB (192.669) million, worsening from RMB (69.609) million in the prior year[8]. - Adjusted net loss under non-IFRS was RMB (76.850) million, an improvement from RMB (109.185) million in the previous year[9]. - The company achieved revenue of RMB 545 million, representing a 162.1% increase compared to the same period in 2021[16]. - The company recorded a significant increase in revenue from promotional services for pharmaceutical products, rising from RMB 0.5 million to RMB 8.6 million[32]. - Other income for the six months ended June 30, 2022, was RMB 15.2 million, an increase of RMB 2.6 million from RMB 12.6 million for the same period in 2021, primarily due to increased bank interest income and government subsidies[36]. - The company reported a loss of RMB 192.7 million for the six months ended June 30, 2022, an increase of RMB 123.1 million from a loss of RMB 69.6 million for the same period in 2021[45]. - The company incurred a loss attributable to owners of RMB 192,669,000 for the six months ended June 30, 2022, compared to a loss of RMB 69,609,000 in the prior year[125]. Research and Development - Total R&D expenses for the period were RMB 98.439 million, up from RMB 92.244 million in 2021[11]. - Adjusted R&D expenses, which include capitalized R&D, amounted to RMB 198.900 million, down from RMB 244.541 million in the same period last year[11]. - The company aims to provide world-class drug solutions to meet the significant demand gap in China's ophthalmic healthcare market[12]. - Seven candidate drugs are currently in Phase III clinical trials, indicating ongoing development and potential market expansion[12]. - The company plans to advance the clinical trials of its pipeline products, particularly those entering Phase III trials, in the second half of 2022[30]. - The global Phase III clinical trial for OT-101 (low-concentration atropine) has commenced in China, with participant enrollment expected to accelerate in the second half of 2022[17]. - OT-1001 (ZERVIATE®) completed its Phase III clinical trial, achieving significant results, and NDA preparation is expected to be completed in the second half of 2022[20]. - OT-502 (dexamethasone implant) is progressing with real-world studies and Phase III clinical trials, with the first participant enrollment expected in Q3 2022[21]. - OT-202 (tyrosine kinase inhibitor) completed its Phase I clinical trial enrollment and dosing, with all participants in good health, and results are anticipated in Q4 2022[22]. - OT-702 (anti-VEGF) has completed enrollment of 262 participants in its Phase III clinical trial, with completion expected by the end of 2022[23]. - OT-703 (ILUVIEN®) received IND approval for a Phase III clinical trial in China for the treatment of DME, marking the seventh new drug to enter Phase III trials in the company's pipeline[24]. Market Position and Strategy - The company has exclusive sales rights for certain products in China, enhancing its market position and product offerings[12]. - The company has commercialized over 10 products in its ophthalmic product line, covering key areas such as anti-allergy and glaucoma[27]. - The company has established exclusive promotion rights for three ophthalmic drugs in the national hospital channel, enhancing its market presence[27]. - The company aims to successfully launch and promote its core product, OT-401, in the second half of 2022[30]. - The company is actively pursuing partnerships for market expansion, particularly in the Greater China region, which includes Hong Kong and Macau[173]. - A strategic acquisition is being considered to strengthen the company's position in the ophthalmic market[175]. Financial Position and Cash Flow - The cash and cash equivalents as of June 30, 2022, amounted to RMB 1.575 billion[16]. - As of June 30, 2022, total assets amounted to RMB 3,267.5 million, down from RMB 3,331.1 million as of December 31, 2021[50]. - Cash and cash equivalents increased to RMB 1,572.3 million as of June 30, 2022, compared to RMB 1,125.2 million at the end of 2021[51]. - The company had no borrowings as of June 30, 2022, maintaining a net cash position[52]. - The company reported a net increase in cash and cash equivalents of RMB 433,088 thousand, compared to RMB 235,391 thousand in the same period last year[106]. - The company generated net cash from investing activities of RMB 495,807 thousand, a significant increase from RMB (308,573) thousand in the prior year[106]. - The company reported a total of 667,792,020 ordinary shares outstanding as of June 30, 2022, an increase from 666,743,175 shares at the end of 2021[145]. Employee Compensation and Incentives - Total employee compensation costs for the six months ended June 30, 2022, were RMB 193.7 million, significantly higher than RMB 131.1 million in the same period of 2021[57]. - The company has implemented various employee incentive plans, including ESOP and RSU programs[58]. - The company aims to attract, motivate, and retain qualified employees through the ESOP and RSU plans[69][72]. - The total expense recognized for stock options granted by the company during the six months ended June 30, 2022, was RMB 1,609,000, down from RMB 54,316,000 for the same period in 2021[153]. - The total expense recognized for RSUs granted during the six months ended June 30, 2022, was RMB 8,330,000, compared to RMB 21,059,000 for the same period in 2021[156]. Compliance and Governance - The independent auditor, Deloitte, reviewed the interim financial statements for the six months ended June 30, 2022, confirming compliance with applicable accounting standards[95]. - The company has adopted a written code of conduct for directors regarding securities trading, confirming compliance for the six months ended June 30, 2022[85]. - The company has fully complied with the listing rules regarding independent non-executive directors after the appointment of Mr. Zhang Zhenyu on April 8, 2022[84]. - The management emphasized a commitment to corporate governance and compliance with international financial reporting standards[174].

Drug Development and Innovation - In 2021, Ocumension Therapeutics submitted its first core innovative drug OT-401 for new drug approval to NMPA, expected to be approved in 2022[5]. - The company advanced two more innovative drugs, OT-101 and OT-502, into Phase III clinical trials, bringing the total to six drugs in this stage, leading the ophthalmic sector in China[5]. - OT-101 is the first Chinese innovative drug to receive FDA approval for clinical use in children, highlighting the company's leadership in pediatric ophthalmic treatments[5]. - The company initiated its first human study for OT-202, a new mechanism compound, marking a significant milestone in its innovative drug development[5]. - The company has a pipeline of 20 drug assets, with six candidates currently in Phase III clinical trials, addressing major front and back eye diseases[12]. - The company aims to provide comprehensive treatment solutions for retinal diseases, addressing the growing patient population affected by diabetic retinopathy[5]. - The company is exploring real-world studies to accelerate drug registration, which will significantly impact future drug approvals and commercialization efforts[15]. - OT-401 became the first drug in Chinese pharmaceutical history to be approved for market based solely on real-world data, with its NDA accepted by NMPA in April 2021[15]. - The company plans to register as the marketing authorization holder for the acquired product OQIN, which includes all drug registration certificates and related data[14]. - The company is advancing the clinical trial recruitment process for OT-702, with all patient enrollment expected to be completed by the end of 2022[19]. Financial Performance - In 2021, Ocumension generated approximately RMB 90 million in revenue despite challenges from centralized procurement and pandemic impacts, marking its first full fiscal year of commercialization[6]. - The company achieved revenue of RMB 56,146,000 in 2021, a significant increase from RMB 13,096,000 in 2020, representing a growth of approximately 329%[8]. - Gross profit for 2021 was RMB 36,935,000, compared to RMB 11,372,000 in 2020, indicating a substantial increase of about 225%[8]. - The company reported a net loss attributable to shareholders of RMB 259,992,000 in 2021, a decrease from a loss of RMB 2,264,866,000 in 2020, reflecting an improvement of approximately 88%[8]. - The company reported other income of RMB 27,589,000 in 2021, an increase from RMB 19,271,000 in 2020, representing a growth of approximately 43%[8]. - The company recorded an adjusted net loss of RMB 187.0 million for the year ended December 31, 2021, a decrease of RMB 89.7 million compared to RMB 276.7 million for the year ended December 31, 2020, primarily due to increased gross profit from ophthalmic product sales[27]. - The company achieved total hospital terminal sales revenue of approximately RMB 90 million from six commercialized products, representing a growth of 466.53% compared to the year ended December 31, 2020[22]. Research and Development - Adjusted R&D expenses increased by 27.9% year-on-year to RMB 454.7 million, primarily due to an increase in the number of pipeline products and clinical trial activities[14]. - Total R&D expenses for the year ended December 31, 2021, amounted to RMB 169.1 million, while capitalized R&D expenses were RMB 285.7 million[38]. - The company established a research institute in Suzhou to enhance its preclinical research and development capabilities[16]. - The majority of R&D expenses were paid to contract research organizations and clinical trial centers, indicating a reliance on outsourced services[193]. Corporate Governance - The company has adopted a corporate governance code and believes it has fully complied with it for the year ending December 31, 2021[69]. - The board consists of two executive directors, four non-executive directors, and three independent non-executive directors as of the report date[72]. - The company has established three board committees: Audit Committee, Remuneration Committee, and Nomination Committee to oversee specific matters[70]. - The company is committed to maintaining high levels of corporate governance to protect shareholder interests and enhance corporate value[69]. - The board has established measurable goals to continuously monitor and evaluate the company's culture[70]. Employee and Management - The company has a total of 244 employees, with 41.4% in business functions, 20.1% in R&D, 28.3% in manufacturing, and 10.2% in management and administration[55]. - Employee compensation includes salaries, bonuses, employee provident fund contributions, stock-based payments, and social security contributions, reviewed regularly based on performance and market levels[55]. - The company has implemented ESOP, RSU plans, and stock option plans to incentivize employees[55]. - The CEO, Ye Liu, has over 21 years of experience in the pharmaceutical industry and has been with the company since August 2018[56]. - The company is focused on employee training and development to ensure compliance with policies and procedures[55]. Market Expansion and Strategy - The company aims to broaden its product line to become a comprehensive solution provider for ophthalmic diseases[26]. - The company plans to enhance its production capacity to meet future commercialization needs, ensuring a robust supply chain for its products[7]. - The company is planning to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[62]. - The company has established strategic partnerships with three leading healthcare institutions to enhance service delivery[64]. Risks and Challenges - The company faces risks related to the successful completion of clinical trials and obtaining regulatory approvals for its drug candidates[112]. - The company relies on third parties for the supply of drug candidates or raw materials, which could impact its business if those parties fail to deliver sufficient quantities or quality[112]. - The company may need to raise additional funds to meet operational cash needs, which may not be available on acceptable terms[112]. Shareholder and Financial Management - The company has not declared or paid any dividends on ordinary or preferred shares, and it plans to retain all available funds for research and development of drug candidates in the foreseeable future[106]. - The company has a shareholder communication policy to facilitate effective communication with shareholders and potential investors[101]. - The company held two shareholder meetings during the year ending December 31, 2021, to enhance investor relations[101].