Core Insights - The report highlights the changes in the Hong Kong Stock Connect holdings, indicating significant increases and decreases in ownership percentages for various companies [1][2][3] Group 1: Increased Holdings - Spring Medical (01858) saw the largest increase in holdings, up by 1.40%, bringing its total to 45.06% [2] - Yidu Tech (02158) experienced a 1.19% increase, with a new holding percentage of 20.69% [2] - Haotian International Investment (01341) increased by 1.14%, reaching a holding of 12.52% [2] - Other notable increases include Rongchang Bio (09995) at +0.65% (39.90%) and Chongqing Steel (01053) at +0.57% (27.51%) [2] Group 2: Decreased Holdings - Beijing Machinery (00187) had the largest decrease, down by 1.22% to 51.11% [2] - Hang Seng China Enterprises (02828) decreased by 0.67%, now at 0.59% [2] - First Tractor (00038) saw a reduction of 0.54%, with a holding of 51.88% [2] - Other significant decreases include Shandong Gold (01787) at -0.47% (50.26%) and Longyuan Power (00916) at -0.38% (49.85%) [2] Group 3: Five-Day Changes - Over the last five trading days, Beijing Machinery (00187) had the highest increase of 6.97%, now at 51.11% [3] - Chifeng Jilong Gold Mining (06693) increased by 6.85%, reaching 36.89% [3] - Boan Biotechnology (06955) rose by 4.29%, with a holding of 5.81% [3] - Significant decreases included Kelong Biotechnology (06990) at -3.02% (18.57%) and Hang Seng China Enterprises (02828) at -2.79% (0.59%) [3] Group 4: Twenty-Day Changes - In the last twenty days, October Rice (09676) saw the largest increase of 7.60%, now at 26.41% [4] - Dekang Agriculture (02419) increased by 4.67%, with a holding of 8.85% [4] - Yunding New Drug-B (01952) rose by 4.50%, reaching 48.80% [4] - The largest decrease was seen in Poly Property (06049) at -27.38% (21.97%) [4]

Group 1 - The Hong Kong innovative drug sector has rebounded rapidly due to a favorable external environment, with the China Securities Hong Kong Innovative Drug Index (931787) experiencing a significant recovery since its low on April 9, 2023 [1][3] - As of April 25, 2023, the index reached a peak of 979.92 points, showing a maximum cumulative increase of 37.43% from its previous low [1] - The overall increase in the Hong Kong innovative drug sector has outperformed the Hang Seng Technology Index, which has only seen a year-to-date increase of 12.48% compared to the innovative drug index's 31.03% [3] Group 2 - Recent data indicates a collective performance improvement among Hong Kong innovative drug companies, significantly exceeding market expectations [4] - In 2024, 10 out of 12 Hong Kong innovative drug companies with a market capitalization over 10 billion HKD reported positive revenue growth, with 8 companies also showing positive profit growth [4] - The company with the highest revenue growth is CloudTop New Drug-B (01952), with a revenue growth rate of 341.8%, while Innovent Biologics (01801) reported a net profit growth of 91.8% [4] Group 3 - The trend of "going global" has become a key topic, with Chinese pharmaceutical companies achieving significant growth in overseas licensing transactions [6][8] - The total transaction amount for licensing-out by Chinese pharmaceutical companies reached a historical high of 51.9 billion USD in 2024, indicating a strong global competitiveness in innovative drug development [6] - The NewCo model has emerged as a favorable strategy for domestic biotech companies, allowing for cash flow support and risk sharing in international collaborations [8] Group 4 - New industry trends in pharmaceuticals, such as weight-loss drugs, dual-antibody drugs, ADC drugs, and innovative medical devices, are expected to create new investment opportunities [9] - The Chinese government is increasing support for innovative drug exports, as evidenced by recent policies aimed at facilitating the import of research materials for biopharmaceutical companies [9] - Despite market fluctuations due to trade tensions, the pharmaceutical sector remains relatively insulated, presenting a favorable opportunity for large-scale investments [9] Group 5 - The Hong Kong innovative drug sector is poised for a valuation recovery, with significant inflows of capital from southbound investors since the beginning of the year [11] - As of April 24, 2023, net capital inflows from A-share investors into Hong Kong stocks reached 611.1 billion HKD, with healthcare becoming the second most net inflow sector [11] - The current price-to-earnings ratio (TTM) for the pharmaceutical and biotechnology sector is 27.1, indicating that the sector is undervalued compared to other growth sectors [12][13]

Investment Rating - The report assigns a "Buy" rating for Kelun Biotech, marking its first coverage with a target price of 300 HKD [1]. Core Insights - Kelun Biotech is transitioning towards an integrated model of research and sales, with its core product, SKB264 (Lukangshatuo monoclonal antibody), having received approval for two indications in China [6][18]. - The company has a robust pipeline with over 30 products in development, including 11 ADC (Antibody-Drug Conjugate) candidates that are in clinical stages [11][18]. - The partnership with MSD has led to 12 global Phase III studies for SKB264, enhancing its clinical and commercial potential [7][32]. Summary by Sections Major Data - The company operates in the pharmaceutical industry, with a total market capitalization of 63.32 billion CNY and a debt-to-asset ratio of 22.48% [1]. Financial Performance - In 2024, the company reported a revenue of 1.933 billion CNY, a year-on-year increase of 25.5%, while net losses narrowed to 267 million CNY, a 53.5% improvement from the previous year [6][16]. - The gross margin is projected to improve from 49.3% in 2023 to 80.2% by 2027, indicating a positive trend in profitability [5]. Product Pipeline - The core product SKB264 has been approved for treating 3L TNBC and 3L EGFR mutation NSCLC, with additional applications pending for 2L EGFR mutation NSCLC expected to be approved in 2025 [30][29]. - The company has established a strong ADC platform and is actively pursuing global collaborations to maximize the potential of its pipeline [11][18]. Strategic Positioning - Kelun Biotech aims to become a comprehensive pharmaceutical company through innovation, global partnerships, and self-sales capabilities, with a focus on expanding its commercial team and enhancing market access [18][6]. - The management team comprises experienced professionals from both domestic and international pharmaceutical sectors, which is expected to drive the company's long-term growth [14].

Group 1 - The core viewpoint of the article highlights the significant growth of E Fund's Hong Kong Stock Connect Quality Growth Mixed Fund C (017974), with a net asset increase of 230.89% to 287 million yuan as of March 31, 2025 [1] - The fund manager, Li Jianfeng, has an extensive background in investment banking and asset management, having worked with prestigious firms such as Goldman Sachs and UBS before joining E Fund in 2022 [1] - The fund's recent performance shows a 15.06% return over the past three months and a 29.17% return over the past year, with a cumulative return of 9.46% since inception [2] Group 2 - Recent changes in fund share scale indicate no subscriptions and minimal redemptions, with total shares remaining at 0.02 billion as of March 31, 2025, reflecting a net asset change rate of -2.54% [2] - The top ten stock holdings of the fund include Tencent Holdings, Pop Mart, Alibaba-W, China Mobile, and others, accounting for a total of 55.59% of the portfolio [2] - E Fund Management Co., Ltd. was established in April 2001, located in Zhuhai, with a registered capital of 132.442 million yuan [2]

汇添富健康生活一年持有A业绩表现较为突出。 2025年以来的震荡市场中，沪深300指数下跌3.76%，汇添富健康生活一年持有A仍保持36.03%的正收益，跑赢 业绩比较基准超过30个百分点，同类排名34/4575。 重仓股科伦博泰生物、百利天恒年内股价涨幅超四成 汇添富健康生活一年持有基金经理为张韡。公开资料显示，张韡曾任东方证券医药助理研究员，汇添富基金医 药研究员、高级医药研究员及医药行业研究组组长。 截至2025年4月23日数据（下同），该基金近一年收益率达29.23%，成立以来回报率达到16.67%，大幅跑赢业 绩比较基准及同类平均。 基金经理张韡在行业分化中抓住结构性机会，成为近年来健康主题基金的领跑者。2025年以来，基金净值累计 上涨36.03%，同类排名34/4575。 业绩领跑：年内回报达36.03% 汇添富健康生活一年持有A成立于2021年3月，基金采用自下而上的投资方法，以深入的基本面分析为立足点， 精选健康生活主题中的优质上市公司，在科学严格管理风险的前提下，谋求基金资产的中长期稳健增值。 基金业绩比较基准为中证医药卫生指数收益率*50%+中证消费服务领先指数收益率*20%+中债综合指 ...

Group 1 - The core point of the news is the performance of the Zhongyin Innovation Medical Mixed A fund, which has shown significant growth in its net value and returns over various time frames [1] - As of April 21, 2025, the latest net value of Zhongyin Innovation Medical Mixed A is 1.6127 yuan, reflecting a growth of 2.27% [1] - The fund's one-month return is 14.21%, ranking 9th out of 4672 similar funds; the three-month return is 36.72%, ranking 18th out of 4599; and the year-to-date return is 34.02%, ranking 36th out of 4590 [1] Group 2 - The top ten stock holdings of Zhongyin Innovation Medical Mixed A account for a total of 70.60%, with significant positions in companies such as Heng Rui Pharmaceutical (9.81%), Innovent Biologics (8.55%), and others [1] - The fund was established on November 13, 2019, and as of December 31, 2024, it has a total scale of 2.02 billion yuan [1] - The fund manager, Zheng Ning, has a background in asset management and has held various positions in the industry since 2022 [2]

Product Development and Approvals - The company has achieved significant breakthroughs with three products approved by NMPA for five indications, including the first domestically approved ADC with global intellectual property rights, and the first PD-L1 monoclonal antibody for nasopharyngeal carcinoma treatment[11]. - As of now, two products have submitted NDA for three indications, and seven ADC and novel conjugate drug projects have received clinical approval, with nearly 20 innovative projects in clinical stages[11]. - The company has established three proprietary technology platforms for ADC, mAb, and bsAb to support drug development, while accelerating the development of ADC drugs and expanding new conjugate drug assets[12]. - The NDA for the company's core product, A166 (HER2 ADC), has been accepted by the National Medical Products Administration for treating HER2+ unresectable or metastatic breast cancer patients who have received at least one prior anti-HER2 therapy[30]. - Sac-TMT is the first TROP2 ADC drug globally approved for the treatment of specific adult patients with advanced or metastatic TNBC[19]. - The company is conducting two Phase 3 registration studies for sac-TMT, comparing it with pembrolizumab in PD-L1 positive and negative locally advanced or metastatic NSCLC patients[27]. - The combination of Tagoli monoclonal antibody with chemotherapy showed a median PFS of 7.9 months in a Phase 3 study for recurrent or metastatic nasopharyngeal carcinoma, with a hazard ratio of 0.47[32]. - The overall response rate (ORR) for the Tagoli combination therapy was 81.7%, compared to 74.5% for the control group[32]. - The median duration of response (DoR) for the Tagoli combination therapy was 11.7 months, nearly double that of the control group at 5.8 months[32]. - The NDA for Sac-TMT to treat EGFR mutation-positive NSCLC after progression on EGFR-TKI therapy was accepted by the NMPA in October 2024, with priority review status[59]. Financial Performance - Revenue for 2024 reached RMB 1,933,045,000, a 25.5% increase from RMB 1,540,493,000 in 2023[17]. - Gross profit for 2024 was RMB 1,273,657,000, representing a 67.8% increase from RMB 759,185,000 in 2023[17]. - Research and development expenses increased by 17.0% to RMB (1,206,134,000) in 2024 from RMB (1,030,966,000) in 2023[17]. - The annual loss for 2024 decreased by 53.5% to RMB (266,766,000) compared to RMB (574,134,000) in 2023[17]. - Adjusted annual loss improved by 73.7% to RMB (118,481,000) in 2024 from RMB (450,788,000) in 2023[17]. - Cash and financial assets increased by 21.6% to RMB 3,075,651,000 as of December 31, 2024, up from RMB 2,528,342,000 in 2023[17]. - Total equity rose by 42.0% to RMB 3,308,661,000 in 2024 from RMB 2,329,497,000 in 2023[17]. - Other net income for the year ended December 31, 2024, was RMB 139.8 million, an increase of RMB 50.0 million from RMB 89.8 million for the year ended December 31, 2023, primarily due to increased government subsidies[127]. - Administrative expenses for the year ended December 31, 2024, were RMB 163.3 million, a decrease of 10% from RMB 181.9 million for the year ended December 31, 2023, mainly due to no listing expenses incurred in 2024[130]. Clinical Trials and Research - The company is exploring sac-TMT as a monotherapy and in combination with other therapies for various solid tumors, including gastric and colorectal cancers[27]. - The company has initiated multiple global Phase 2 basket studies for sac-TMT in various solid tumors, which are currently ongoing[27]. - Early clinical data for SKB315 (CLDN18.2 ADC) shows promising efficacy and acceptable safety in gastric cancer with high CLDN18.2 expression[30]. - SKB410, a new Nectin-4 ADC, has shown encouraging Phase 1 clinical data and is currently undergoing global Phase 1/2 clinical trials initiated by Merck[30]. - The overall response rate (ORR) for Tagolisumab in a Phase 2 clinical study was 26.5%, with a median duration of response (DoR) of 12.4 months and overall survival (OS) of 16.2 months[35]. - The company is actively exploring Sac-TMT for various solid tumors, including GC, EC, CC, OC, UC, CRPC, and HNSCC[60]. - The company has established 33 clinical trial centers for A400/EP0031 in the US, Europe, and the UAE, which received FDA fast track designation and is currently in Phase 2 clinical development[44]. - The company is advancing its differentiated HER2 ADC, A166, which is in the NDA registration stage for treating advanced HER2+ solid tumors[65]. - The company is developing over 30 candidate drugs, including its core product sac-TMT, which has been approved for market in China[46]. Strategic Partnerships and Collaborations - In 2024, the company deepened its strategic partnership with Merck, initiating 12 ongoing global Phase III clinical studies for sac-TMT in various cancer types[14]. - The collaboration with Merck includes the development of multiple ADC assets, with 12 ongoing global Phase 3 clinical studies for sac-TMT[40]. - The exclusive option for SKB571/MK-2750 was exercised by Merck, resulting in a payment of $37.5 million to the company, with further milestone payments contingent on specific development and sales milestones[42]. - The company has established a partnership with Ellipses Pharma for the development and commercialization of A400, covering all regions except Greater China, North Korea, South Korea, Singapore, Malaysia, and Thailand[107]. - The collaboration with Windward Bio could yield up to $970 million in upfront and milestone payments, along with tiered royalties based on net sales of SKB378/WIN378[44]. Commercialization and Market Strategy - The company has completed the establishment of a commercial system and formed a mature commercialization team to enhance market influence and brand reputation, focusing on therapeutic areas with medical needs in China such as breast cancer and lung cancer[13]. - The company is preparing to launch multiple products in the Chinese market, including the anticipated launch of Botuzumab in 2025[37]. - The company has established a solid commercialization foundation and market channels, leveraging its major shareholder's extensive experience and industry relationships[47]. - The company is actively exploring new collaboration opportunities globally to maximize the commercial value of its pipeline[169]. - A mature commercialization team has been established to implement strategic marketing and commercialization efforts, focusing on areas with medical needs such as BC, NSCLC, and GI cancers[115]. Research and Development Capabilities - The company has established three core platforms focused on ADC, macromolecule, and small molecule technologies to address medical needs in specific disease areas such as oncology and autoimmune diseases[98]. - The ADC platform, OptiDC™, has accumulated over ten years of development experience and includes a core component library that enables the design of customized ADCs for various therapeutic needs[98]. - The mature macromolecule platform accelerates the development of innovative antibodies through advanced technologies, including monoclonal B cell screening and high-throughput analysis[101]. - The small molecule platform utilizes integrated drug chemistry and computer-aided drug design (CADD) to optimize compounds efficiently during early research stages[101]. - The company has reduced reliance on CROs by establishing internal R&D capabilities, ensuring quality and efficiency in drug development projects[102]. - AI has been integrated into multiple R&D processes, enhancing efficiency in antibody sequence prediction and toxicology mechanism forecasting[103]. - The company is exploring advanced technologies such as PROTAC to tackle challenging protein targets in drug discovery[101]. Governance and Management - The company has a diverse board with members holding significant experience in finance and management, including past roles in major financial institutions[189]. - The management team is composed of professionals with extensive academic and industry experience, enhancing the company's governance and operational efficiency[196]. - The company has a strong focus on independent oversight with multiple independent directors and supervisors in place[193][194][197]. Sustainability and ESG Initiatives - The company has built a comprehensive ESG governance framework, enhancing its ESG accountability and sustainability efforts[45]. - The management team emphasized the importance of sustainability initiatives, targeting a 25% reduction in carbon footprint by 2025[200]. - A comprehensive ESG governance structure has been established, enhancing the company's ESG responsibility capabilities[118].

Core Viewpoint - The recent performance of the Zhongyin Innovation Medical Mixed A fund shows a decline in net value but strong returns over various time frames, indicating potential resilience in the healthcare investment sector [1]. Fund Performance Summary - The latest net value of Zhongyin Innovation Medical Mixed A is 1.5786 yuan, down by 2.81% - The fund's one-month return is 13.30%, ranking 7 out of 4623 in its category - The three-month return stands at 38.74%, ranking 14 out of 4566 - Year-to-date return is 31.19%, ranking 24 out of 4559 [1]. Holdings Summary - The top ten stock holdings of Zhongyin Innovation Medical Mixed A account for a total of 70.60%, with the following key positions: - Heng Rui Pharmaceutical: 9.81% - Xinda Bio: 8.55% - Huaneng Pharmaceutical: 8.41% - Kangfang Biotech: 8.35% - Kangnuo Ya-B: 8.32% - Kelun Botai: 7.87% - BeiGene-U: 6.24% - Rongchang Bio: 5.96% - Hansoh Pharmaceutical: 3.98% - Xin Nuo Wei: 3.11% [1]. Fund Manager Background - Zheng Ning, the fund manager, has a master's degree and extensive experience in the investment sector, having previously worked at Taikang Asset Management and Zhonggeng Fund Management - Zheng joined Zhongyin Fund Management in 2022 and has managed multiple funds since then, including the Zhongyin Innovation Medical Mixed Fund [2].

Investment Rating - The report maintains an "Outperform" rating for the pharmaceutical sector [1]. Core Insights - The commercialization of nuclear medicine is accelerating, with significant growth in diagnostic nuclear drugs and the potential for domestic nuclear drugs to reach a commercialization inflection point [3][17]. - The report highlights the successful commercialization of Pluvicto and Lutathera, which are expected to generate substantial revenues, with Pluvicto projected to exceed $5 billion in peak sales [3][12]. - The report emphasizes the similarities between Radioligand Therapy (RDC) and Antibody-Drug Conjugates (ADC), suggesting that RDC could replicate the success of ADC in the market [3][22]. Summary by Sections Part 1: Overseas Nuclear Drug Rapid Growth, Domestic Commercialization Period - Overseas nuclear drugs are experiencing rapid commercialization, with Pluvicto achieving $1.392 billion in revenue in 2024, a 42% increase, and Lutathera generating $724 million, a 20% increase [3][12]. - The combined revenue from these two drugs for Novartis reached $2.116 billion, indicating the ongoing value realization of nuclear drugs [3][12]. - The report notes that the domestic nuclear drug market is set to expand significantly, with five new nuclear drugs approved since 2020, including Yttrium-90 microspheres from Yuan Da Pharmaceutical, which is expected to generate nearly HKD 500 million in revenue in 2024, a growth rate exceeding 140% [3][20]. Part 2: RDC Expected to Replicate ADC Success Path - RDC shares structural and mechanistic similarities with ADC, consisting of a targeting ligand, a linker, and a radioactive nuclide [3][22]. - The report outlines that both RDC and ADC have followed similar validation timelines, with ADC gaining market traction after the success of Enhertu, while RDC is now gaining attention following the success of Pluvicto [3][22]. - The market for new nuclear drugs is projected to reach approximately $4-5 billion in 2024, comparable to the ADC market size around 2021 [3][22]. Part 3: Domestic Nuclear Drug Pipeline Overview - The report details the current pipeline of domestic nuclear drugs, with three products in the NDA stage, including Novartis's PSMA diagnostic and therapeutic drugs [3][49]. - The leading targets in domestic research remain PSMA, FAP, and SSTR, with companies like Yuan Da Pharmaceutical and Xiantong Pharmaceutical leading in clinical project numbers [3][53]. - The anticipated approval of Novartis's two PSMA-targeted products in Q2 2025 is expected to further stimulate the domestic nuclear medicine market [3][20].

Group 1 - The Hang Seng Healthcare Index (HSHCI) has seen a strong increase of 2.95%, with notable gains from companies such as Zai Lab (09688) up 12.39% and Dongyangguang Changjiang Pharmaceutical (01558) up 9.04% [3] - The Hang Seng Healthcare ETF (513060) has risen by 3.15%, marking its fourth consecutive increase, with a recent price of 0.46 yuan [3] - Over the past three months, the Hang Seng Healthcare ETF has accumulated a total increase of 21.98% [3] Group 2 - The Hang Seng Healthcare ETF has experienced a net value increase of 26.66% over the past year, with the highest single-month return reaching 28.34% since its inception [4] - The ETF's Sharpe ratio stands at 1.27, indicating strong risk-adjusted returns [4] - The ETF's management fee is 0.50%, and the custody fee is 0.15% [4] Group 3 - The top ten weighted stocks in the Hang Seng Healthcare Index account for 56.37% of the index, with companies like BeiGene (06160) and WuXi Biologics (02269) leading the list [5] - The performance of these stocks varies, with BeiGene showing a gain of 5.34% and WuXi Biologics up by 2.81% [7] Group 4 - The current market environment emphasizes the importance of domestic consumption growth due to pressures from U.S.-China tariffs, highlighting healthcare consumption as a key investment area [8] - The market sentiment is recovering, with a focus on undervalued blue-chip stocks and companies with solid fundamentals, particularly in the healthcare sector [8]