Summary of Hansoh Pharma Earnings Review Company Overview - **Company**: Hansoh Pharma (3692.HK) - **Industry**: Pharmaceuticals, specifically focusing on innovative drugs and collaborations Key Financial Highlights - **1H Sales**: Rmb7.4 billion, representing a **14.3% year-over-year increase** compared to the expected Rmb6.5 billion [1] - **Product Sales Growth**: Grew by **13.2% year-over-year**, driven by innovative drugs, particularly Ameile, which saw a **21% year-over-year increase** [1] - **Collaboration Income**: Exceeded expectations with Rmb853 million from Merck GLP-1 deal and Rmb804 million milestone payment from GSK [1] - **Earnings**: Rmb3.1 billion, up **15% year-over-year**, surpassing the expected Rmb2.1 billion [1] - **Core Earnings Growth**: Increased by **13% year-over-year**, slower than product sales due to a **20% year-over-year rise in R&D expenses** [1] Future Guidance - **Sales Guidance for 2025**: Management has raised the product sales growth forecast to **high-double-digit growth**, up from previous double-digit growth expectations [1] - **Ameile Sales Target**: Expected to achieve over Rmb8 billion by 2030, with a target of Rmb10 billion+ in 2025, driven by new indications and extended product life cycle strategies [2] Pipeline Developments - **Key Pipeline Assets**: - **HS-20093 (B7H3 ADC)**: Two phase 3 trials initiated in China for SCLC and osteosarcoma, with plans for pivotal stage advancement in 2025 [3] - **HS-20089 (B7H4 ADC)**: Pivotal study for ovarian cancer initiated in China, with global phase 3 trials expected by 2026 [3] - **HS-10535 (oral GLP-1)**: Global phase 1 studies to start by Merck in 2025 [3] - **HS-20094 (GLP-1/GIP)**: Moving to phase 3 stage by Regeneron in 2026 [3] Strategic Focus - **Collaboration Strategy**: Continues to be a key global expansion strategy, with efforts to self-run global phase 1 studies for selected oncology and immunology assets [8] - **Earnings Estimates Revision**: Earnings estimates for 2025, 2026, and 2027 have been revised up by **10.4%**, **8.9%**, and **6.3%** respectively, reflecting higher collaboration income and innovative drug sales [8] Valuation and Risks - **Price Target**: Increased to HK$39.93 from HK$34.83, based on a sum-of-the-parts (SOTP) valuation [9] - **Risks Identified**: - Generics sales may fall below expectations post VBP - Slower ramp-up of novel drugs - R&D risks in the innovative drug pipeline - Below-expected collaboration income from global expansion [10] Conclusion Hansoh Pharma shows strong financial performance in the first half of the year, with positive sales guidance and a robust pipeline of innovative drugs. The company's strategic focus on collaborations and self-running studies positions it well for future growth, despite identified risks in the generics market and R&D.

Core Viewpoint - The mid-term performance announcement of Hansoh Pharmaceutical highlights the company's clear innovation transformation and internationalization strategy, showcasing significant growth in revenue and profit driven by innovative drugs and collaborative products [1][2]. Financial Performance - In the first half of 2025, Hansoh Pharmaceutical reported revenue of approximately RMB 7.434 billion, a year-on-year increase of about 14.3%, and a profit of approximately RMB 3.135 billion, up 15.0% year-on-year [1]. - Basic earnings per share reached approximately RMB 0.53, reflecting a year-on-year growth of 14.8% [1]. Revenue Composition - Sales revenue from innovative drugs and collaborative products amounted to approximately RMB 6.145 billion, representing a year-on-year increase of 22.1% and accounting for about 82.7% of total revenue [1][2]. - The revenue breakdown for the first half of 2025 includes approximately RMB 4.531 billion from oncology, RMB 735 million from anti-infection, RMB 768 million from central nervous system, and RMB 1.400 billion from metabolic and other diseases, with respective contributions of 60.9%, 9.9%, 10.4%, and 18.8% to total revenue [2]. R&D Investment - R&D expenditure for the first half of 2025 was RMB 1.441 billion, a year-on-year increase of 20.4%, constituting 19.4% of total revenue [3]. Strategic Collaborations - Hansoh has adopted a dual-track approach of "introduction and output" in its innovation strategy, signing various collaboration agreements to enhance its product pipeline and reduce risks associated with single R&D projects [3][4]. - Notable collaborations include a partnership with Merck for a BD licensing fee of USD 112 million and exclusive licensing agreements with Regeneron and other companies for innovative drug development [1][3][5]. Industry Trends - The proportion of innovative drug revenue at 82.7% is significantly higher than the industry average of 50%-70%, indicating a successful strategic shift from "generic-innovative combination" to "innovation-driven" [2][6]. - The Chinese innovative drug sector has seen over 50 BD outbound transactions with a total disclosed cooperation amount of USD 48.448 billion, marking a historic high and reflecting the industry's maturation [6][7]. Future Outlook - The trend towards deeper collaboration within the industry is evident, with companies moving from single transactions to ecosystem co-construction, enhancing R&D efficiency and market value [7]. - The shift from financial investment to strategic binding in partnerships is expected to create long-term value and reduce risks associated with new product introductions [7].

Market Overview - The Hang Seng Index (HSI) closed at 25,176 points, down 93 points or 0.4% after reaching a high of 25,466 points earlier in the day[1] - The total market turnover was HKD 312.78 billion, the highest level since July 31[1] - Northbound trading totaled HKD 181.83 billion, while southbound funds saw a net inflow of HKD 1.39 billion, a significant drop of 96% from last Friday's net inflow of HKD 35.88 billion[1] A-Shares Performance - The Shanghai Composite Index rose 31 points or 0.9% to close at 3,728 points, with a peak of 3,745 points, marking a nearly ten-year high[2] - The Shenzhen Component Index increased by 200 points or 1.7%, closing at 11,835 points, with a turnover of CNY 1.63 trillion[2] - The ChiNext Index gained 71 points or 2.8%, closing at 2,606 points, with a turnover of CNY 829.6 billion[2] Corporate Earnings Highlights - Wu Jinzi, the founder of WuXi AppTec (02268.HK), reported a revenue of CNY 2.701 billion for the six months ending June, a year-on-year increase of 62.2%[3] - The net profit for WuXi AppTec was CNY 746 million, up 52.7%, with earnings per share of CNY 0.62[3] - Genscript Biotech (01672.HK) announced a placement of 52.4 million shares at HKD 16.45, a discount of approximately 9.9% from the closing price[4] - Hansoh Pharmaceutical (03692.HK) reported a revenue of CNY 7.434 billion, a year-on-year increase of 14.3%, with a net profit of CNY 3.134 billion, up 15%[4] - Li Auto (09863.HK) achieved a revenue of CNY 24.25 billion, a year-on-year increase of 174.1%, turning a profit of CNY 33.03 million compared to a loss of CNY 2.212 billion in the previous year[5]

Group 1 - The stock price of Hansoh Pharmaceutical increased by 5.94%, reaching HKD 39.26, with a trading volume of HKD 143 million and a turnover rate of 0.06% [1] - The total market capitalization of Hansoh Pharmaceutical is HKD 233.485 billion [1] - Year-to-date, the stock has seen a cumulative increase of 128.33% [1]

翰森制药(03692)绩后涨近6%，截至发稿，涨5.67%，报39.16港元，成交额1.76亿港元。 消息面上，翰森制药发布中期业绩，该集团取得收入74.34亿元人民币，同比增加14.27%；母公司拥有 人应占溢利31.35亿元，同比增加15.02%;每股盈利0.53元，拟派发中期股息每股23.16港仙。公司在中国 产生销售收入的创新药共七款。2025年上半年，创新药与合作产品销售收入约61.45亿元，占收入比例 约82.7%。 值得注意的是，今年6月，翰森制药官宣授予再生元GLP-1/GIP双受体激动剂HS-20094海外独占许可， 潜在最高总金额超20亿美元。翰森制药在财报中提到，相关临床研究已累计给药超1000名受试者，目前 HS20094正在积极推进用于肥胖或超重的三期临床研究，公司已于7月获得8000万美元首付款。 ...

Core Viewpoint - Hansoh Pharmaceutical (03692) reported a strong interim performance, leading to a nearly 6% increase in stock price, reflecting positive market sentiment towards the company's growth prospects [1] Financial Performance - The company achieved revenue of 7.434 billion RMB, representing a year-on-year increase of 14.27% [1] - Net profit attributable to shareholders was 3.135 billion RMB, up 15.02% year-on-year [1] - Earnings per share stood at 0.53 RMB, with an interim dividend proposed at 0.2316 HKD per share [1] Product Sales - Seven innovative drugs generated sales revenue in China, contributing approximately 61.45 billion RMB in sales from innovative and cooperative products, accounting for about 82.7% of total revenue [1] Strategic Developments - In June, the company announced the grant of exclusive overseas rights for the GLP-1/GIP dual receptor agonist HS-20094 to Regeneron, with a potential total amount exceeding 2 billion USD [1] - Clinical studies for HS-20094 have involved over 1,000 participants, and the drug is currently in Phase III clinical trials for obesity or overweight [1] - The company received an upfront payment of 80 million USD in July related to this agreement [1]

Core Viewpoint - Hansoh Pharmaceutical reported double-digit growth in revenue and net profit for the first half of 2025, driven by the sales of innovative drugs and collaborative products [2][4]. Financial Performance - The company's revenue for the first half of 2025 was approximately 7.43 billion RMB, representing a year-on-year increase of about 14.3% [3]. - Sales revenue from innovative drugs and collaborative products was around 6.15 billion RMB, up approximately 22.1%, accounting for about 82.7% of total revenue [2][3]. - Net profit for the period was approximately 3.13 billion RMB, reflecting a year-on-year growth of about 15% [3]. Product Performance - The oncology segment contributed the most to revenue, generating approximately 4.53 billion RMB, which is about 60.9% of total revenue [4]. - The company has seven innovative drugs generating sales revenue in China, with key products including the first original third-generation EGFR-TKI inhibitor and a new second-generation TKI for chronic myeloid leukemia [4]. Business Development - Hansoh Pharmaceutical has been actively pursuing business development (BD) opportunities, including licensing agreements with multinational pharmaceutical companies [5][7]. - In June 2025, the company granted exclusive overseas rights for the GLP-1/GIP dual receptor agonist HS-20094 to Regeneron, with a potential total amount exceeding 2 billion USD [5]. - The company has secured high-value BD orders, including a global exclusive licensing agreement with Merck for HS-10535, with a potential total exceeding 2 billion USD [7]. Research and Development - The company is advancing over 70 innovative drug clinical trials across more than 40 projects, with 8 new candidate drugs approved for clinical trials in the first half of 2025 [8]. - R&D expenditure for the first half of 2025 was approximately 1.44 billion RMB, a year-on-year increase of 20.4%, representing 19.4% of total revenue [8]. Market Position - As of August 18, 2025, Hansoh Pharmaceutical's stock closed at 37.06 HKD per share, with a market capitalization of 220.4 billion HKD [9].

Core Insights - The company reported a total revenue of 12.261 billion yuan for 2024, representing a year-on-year growth of 21.3% [2] - The net profit attributable to shareholders reached 4.372 billion yuan, with a year-on-year increase of 33.4% [2] - The basic earnings per share were 0.74 yuan, also reflecting a growth of 33.3% year-on-year [2] Revenue Breakdown - Sales revenue from innovative drugs and cooperative products amounted to 9.477 billion yuan, accounting for 77.3% of total revenue [2] - The company achieved robust growth in core therapeutic areas including oncology, central nervous system, metabolism, and other diseases [2] Product Performance - The core product, Amelot, has been particularly successful, with three indications approved in China and two renewed for inclusion in the national medical insurance directory [3] - The product Housen Xinfu, a novel second-generation TKI for chronic myeloid leukemia, has also been renewed for inclusion in the national medical insurance directory [3] - The product Xinyue, the first humanized CD19 monoclonal antibody approved for treating AQP4 antibody-positive NMOSD, has been included in the national medical insurance directory [3] R&D Investment - The R&D team consists of over 1,800 researchers across four centers in China and the U.S. [4] - The company submitted 57 formal patent applications in China and 222 overseas, with respective authorizations of 48 and 42 [4] - Over 60 innovative drug clinical trials are ongoing, with eight new candidates entering clinical research during the reporting period [4] Compliance Issues - The company faced significant compliance challenges, including a fine of 2.1 million yuan and the confiscation of illegal gains totaling approximately 25.54 million yuan due to unfair competition [6] - Violations included improper payments to doctors and various fraudulent activities during academic events [6] - The core product Amelot was notably involved in these compliance issues, with projected sales reaching 5 billion yuan in 2024, up from 3.5 billion yuan in 2023 [6] Workforce Challenges - The company has experienced a reduction in workforce, with employee numbers decreasing from 10,523 at the end of 2022 to 8,989 at the end of 2024, a total reduction of 1,534 employees [7] - There are 75 ongoing legal cases involving the company, with 25 related to labor disputes [7]

翰森製藥集團有限公司 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚 賴該等內容而引致的任何損失承擔任何責任。 Hansoh Pharmaceutical Group Company Limited 香港，二零二五年八月十八日 於本公告日期，董事會成員包括主席兼執行董事鍾慧娟女士、執行董事孫遠女士 及呂愛鋒博士；及獨立非執行董事林國強先生、陳尚偉先生及楊東濤女士。 茲提述翰森製藥集團有限公司（「本公司」）有關發行600百萬美元於二零二六年到 期的零息可轉換債券的日期為二零二一年一月八日、二零二一年一月二十二日、 二零二一年一月二十四日、二零二一年一月二十五日、二零二四年一月二十二 日、二零二四年六月十三日及二零二四年八月二十七日的公告以及公司日期為二 零二三年一月五日的月報表（統稱「可換股債券公告」）。本公告與可換股債券公告 所用詞彙與所界定者具有相同涵義。 根據可換股債券的條款及條件，換股價將於截至二零二五年六月三十日止六個月 的中期股息的支付記錄日期緊隨翌日進行調整。換股價將由每股57. ...

Core Viewpoint - Hansoh Pharmaceutical (03692.HK) demonstrated strong performance in its 2025 interim results, showcasing growth driven by innovation and global strategies, with revenue reaching approximately 7.434 billion RMB, a year-on-year increase of about 14.3% [1] Financial Performance - The company reported a profit of approximately 3.135 billion RMB, reflecting a year-on-year growth of about 15.0% [1] - Basic earnings per share were approximately 0.53 RMB, up by about 14.8% year-on-year, with an interim dividend of 0.2316 HKD per share [1] - Operating cash flow for the first half of 2025 was 3.605 billion RMB, with cash and bank deposits totaling 27.104 billion RMB as of June 30, 2025, indicating a solid financial position [1] Revenue Breakdown - Sales revenue from innovative drugs and collaborative products reached approximately 6.145 billion RMB, a year-on-year increase of about 22.1%, accounting for 82.7% of total revenue [1] - Revenue from specific therapeutic areas included approximately 4.531 billion RMB from oncology, 735 million RMB from anti-infection, 768 million RMB from central nervous system, and 1.4 billion RMB from metabolic and other diseases, representing 60.9%, 9.9%, 10.4%, and 18.8% of total revenue respectively [1] R&D Investment - R&D expenditure for the first half of 2025 was approximately 1.441 billion RMB, a year-on-year increase of 20.4%, constituting 19.4% of total revenue [2] - The company is advancing over 70 clinical trials across more than 40 innovative drug projects, with 8 new candidates entering clinical research in the first half of 2025 [2] Key Product Developments - In the first half of 2025, the company initiated 3 new Phase III pivotal registration clinical trials for innovative drugs targeting B7-H3 ADC for bone and soft tissue sarcoma, B7-H4 ADC for ovarian cancer, and an IL23p19 monoclonal antibody for moderate to severe plaque psoriasis [3] - The GLP-1/GIP dual receptor agonist HS-20094 is in Phase III clinical research for obesity or overweight, with over 1,000 subjects dosed [3] Strategic Partnerships - In June 2025, the company granted Regeneron global exclusive rights to the GLP-1/GIP dual receptor agonist HS-20094 (excluding mainland China, Hong Kong, and Macau), receiving an upfront payment of 80 million USD and potential milestone payments up to 1.93 billion USD, along with double-digit royalties on future product sales [4] - The company is actively pursuing global licensing opportunities to accelerate the commercialization of its innovative pipeline, enhancing the commercial value of its products [4]