Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of HKD 205.69 [1][5][11] Core Views - The company reported significant revenue growth in 1H25, with total revenue reaching CNY 1.41 billion, a year-on-year increase of 37.8%, driven primarily by product sales which grew by 49.2% year-on-year [1][4] - The company is benefiting from the clinical and statistical significance of overall survival (OS) in the HARMONi-A study for its product, Ivoris monoclonal antibody, which solidifies its position as a best-in-class (BIC) treatment [2][3] - The company is expanding its clinical trials both domestically and globally, with 10 domestic and 3 global clinical trials for Ivoris monoclonal antibody underway, indicating a strong pipeline and potential for market expansion [2][3] Revenue and Sales Growth - In 1H25, the company's product revenue was CNY 1.40 billion, reflecting a 49.2% year-on-year increase, supported by the inclusion of Ivoris monoclonal antibody in the medical insurance system, which has rapidly increased its market penetration [4] - The company expects continued strong momentum in its core products, particularly with Ivoris monoclonal antibody and Cardunil monoclonal antibody, which have received medical insurance coverage [4] Financial Forecasts and Valuation - The company forecasts net profits of CNY 0.76 billion, CNY 6.62 billion, and CNY 14.16 billion for the years 2025, 2026, and 2027 respectively, based on a DCF valuation method with a target price of HKD 205.69 [5][11] - The projected revenue for 2025 is CNY 3.35 billion, with a year-on-year growth of 57.62% [10][19]

Core Viewpoint - 康方生物 is undergoing a critical transition from a biotech company to a pharmaceutical enterprise, with significant financial activities and operational challenges ahead [3][4]. Group 1: Financial Activities - On August 28, 康方生物 announced that its two founders will reduce their holdings by selling 1.5 million shares at a price of 149.54 HKD per share, potentially raising nearly 450 million HKD [2]. - The company plans to raise 3.5 billion HKD through a new share issuance, marking the highest frequency of refinancing among peers in the past two years [2]. - As of June 30, 2025, 康方生物 reported a cash balance of 1.45 billion RMB, short-term loans of 510 million RMB, and current liabilities of approximately 2 billion RMB [2]. Group 2: Revenue and Growth - In the first half of 2025, 康方生物 achieved a revenue of 1.4 billion RMB, representing a year-on-year growth of 33%, primarily due to the sales increase of its core products [3][4]. - The sales team has expanded to over 1,200 members, with sales expenses increasing by 30% to 670 million RMB [4]. Group 3: Profitability and Losses - 康方生物 has not yet achieved profitability, with losses widening from 250 million RMB in the first half of 2024 to 590 million RMB in the first half of 2025 [4]. - The increase in losses is attributed to a larger investment loss in partner Summit, which grew from 30 million RMB to 190 million RMB, and a rise in R&D expenses by 137 million RMB compared to the previous year [4]. Group 4: Product Pipeline - 康方生物 has seven self-developed products approved for market, with 12 products in Phase III clinical trials and another 12 in Phase I/II clinical research [4]. - The company aims to become a leading global biopharmaceutical enterprise by focusing on innovative drug development and establishing a world-class production system [4].

智通财经APP获悉，小摩发布研报称，康方生物(09926)上半年业绩表现低于预期，主要是利润率下降和 营运支出高于预期，该行相信，最值得留意是集团宣布HARMONi-A在最终分析达到总生存期(overall survival)的统计显著性，这突显ivonescimab的差异化优势及其成为下一代关键免疫疗法之一的潜力。该 行指，在12种药物的第三期或注册临床试验正进行中，未来几年其可持续发展将面临许多潜在驱动因 素。该行将其目标价由99港元上调至166港元，其评级为"增持"。 该信息由智通财经网提供 ...

Core Viewpoint - Morgan Stanley's report indicates that Kangfang Biopharma (09926) underperformed in the first half of the year, primarily due to declining profit margins and higher-than-expected operating expenses. However, the announcement of HARMONi-A achieving statistical significance in overall survival highlights the differentiated advantage of ivonescimab and its potential as a next-generation key immunotherapy [1] Group 1 - The company's half-year performance was below expectations, driven by a decrease in profit margins and increased operating expenses [1] - The report emphasizes the significance of the HARMONi-A trial results, showcasing the potential of ivonescimab as a leading immunotherapy [1] - There are currently 12 drugs undergoing Phase III or registration clinical trials, indicating multiple potential growth drivers for the company in the coming years [1] Group 2 - Morgan Stanley raised the target price for Kangfang Biopharma from HKD 99 to HKD 166, maintaining an "Overweight" rating [1]

8月28日，康方生物（09926.HK）公告，两位创始人将通过配售分别减持150万股。按每股配售价149.54 港元计算，两位创始人可共套现近4.5亿港元。 减持的两位创始人是：康方生物董事会主席、总裁兼首席执行官夏瑜，执行董事、副总裁兼首席科学官 李百勇。 除了创始人配售老股外，康方生物此次还将发行新股，计划通过发行新股募资35亿港元。康方生物近两 年的再融资频次是同行中最高的，2024年，在资本寒冬下，康方生物通过两次配售新股分别募得11.7亿 港元、19.2亿港元。 在不断扩大的研发投入和商业推广投入下，康方生物的资金消耗速度很快，截至2025年6月底，其账面 现金余额为14.5亿元人民币，短期借款5.1亿元，流动负债约20亿元。 康方生物是一家总部位于广东中山的创新药企，2024年5月，因其核心药物在头对头临床试验中击败全 球"药王"K药而声名大噪。在2025年创新药股市热潮中，康方生物的股价从年初的58港元/股上涨至8月 27日的历史最高点179港元/股。 8月28日配售公告发布后，康方生物股价下挫，截至上午收盘，下跌4.2%，报150港元/股，总市值1350 亿港元，市值在创新药企中排在第7位。 ...

Market Overview - The Hong Kong stock market experienced a collective decline in the morning session, with the Hang Seng Index falling by 0.66%, narrowly holding above 25,000 points, while the Hang Seng China Enterprises Index dropped by 0.86% and the Hang Seng Tech Index decreased by 1.04%, marking three consecutive days of decline [2][2][2] - Southbound capital recorded a net sell-off exceeding 10 billion HKD [2] Sector Performance - Major technology stocks, which serve as market indicators, showed collective weakness, particularly Meituan, which plummeted over 10% post-earnings, marking the worst performance. Alibaba and JD.com fell nearly 4%, while Baidu dropped over 1%. Xiaomi and Tencent also experienced declines [2][2][2] - The biopharmaceutical sector continued to decline due to impending drug tariffs, with innovative drug companies facing significant drops, including a more than 12% decline for BGI Genomics, alongside declines for Kangfang Bio, Zai Lab, WuXi Biologics, and BeiGene [2][2][2] - Chinese electric vehicle stocks in the US market also fell, leading to a collective drop in Hong Kong's new energy vehicle sector. Other sectors such as new consumption, steel, building materials, beer, heavy machinery, catering, and gambling stocks also saw declines [2][2][2] Positive Trends - Institutions are optimistic about the accelerated replacement of domestic chips, leading to a significant rise in semiconductor stocks, with SMIC surging over 8% and approaching historical highs [2][2][2] - Financial stocks, including domestic banks, Chinese brokerage firms, and domestic insurance stocks, generally performed actively, while oil and rare earth concept stocks saw widespread increases [2][2][2]

继昨日收跌7%后，康方生物(9926.HK)今日盘中再度走低，一度跌超7%报145.2港元。 消息面上，康方生物公布，拟配售2355万股新股，每股作价149.54港元，较昨日收市价折让4.75%，集 资35.22亿港元，其中80%将用于全球及中国的创新研发管道、平台以及全球及中国基础设施的建设、 10%将用于现有已批准产品的商业化，及10%将用于一般企业用途。 另外，主席、总裁兼首席执行官夏瑜及执行董事兼首席科学官李百勇将各配售150万股现有股份，合共 300万股，占现有已发行股份总数0.33%，每股配售价同为149.54港元，套现4.49亿港元。 ...

Core Insights - On August 27, SenseTime-W made its debut on the Hong Kong Stock Connect active trading list for the first time in a month [1] - The total trading volume of active stocks on the Hong Kong Stock Connect reached HKD 565.00 billion, accounting for 29.55% of the day's total trading amount, with a net buying amount of HKD 134.39 billion [1] - Among the active stocks, SMIC had the highest trading volume at HKD 121.55 billion, followed by Alibaba-W and Tencent Holdings with trading volumes of HKD 78.33 billion and HKD 62.70 billion, respectively [1] Trading Activity Summary - The most frequently listed stocks in the past month were Alibaba-W and Tencent Holdings, each appearing 23 times, indicating strong interest from Hong Kong Stock Connect investors [1] - SenseTime-W recorded a trading volume of HKD 31.58 billion on its first appearance, with a net selling amount of HKD 0.86 billion, and closed the day with an increase of 8.90% [1] Active Stocks Overview - The following table summarizes the trading activity of the top active stocks on August 27: | Stock Code | Stock Name | Trading Amount (billion HKD) | Net Buying Amount (billion HKD) | Recent Listings | Latest Closing Price (HKD) | Daily Change (%) | |------------|------------------|-------------------------------|----------------------------------|------------------|----------------------------|-------------------| | 01810 | Xiaomi Group | 51.06 | -2.97 | 23 | 53.200 | -0.56 | | 00700 | Tencent Holdings | 62.70 | 0.41 | 23 | 599.000 | -1.72 | | 00981 | SMIC | 121.55 | -6.59 | 23 | 56.250 | 0.09 | | 09988 | Alibaba-W | 78.33 | 21.78 | 23 | 121.500 | 0.16 | | 03690 | Meituan-W | 43.88 | 17.83 | 19 | 116.300 | -3.08 | | 02800 | Tracker Fund | 56.61 | 55.50 | 16 | 25.700 | -1.23 | | 01347 | Hua Hong Semiconductor | 35.22 | 3.59 | 13 | 52.750 | -0.85 | | 02828 | Hang Seng China Enterprises | 32.06 | 30.43 | 11 | 92.300 | -1.28 | | 03033 | Southern Hang Seng Technology | 10.02 | 9.54 | 11 | 5.595 | -1.41 | | 09926 | CanSino Biologics | 41.98 | 5.74 | 9 | 157.000 | -7.10 | | 00020 | SenseTime-W | 31.58 | -0.86 | 1 | 2.080 | 8.90 | [1]

Market Performance - The Hang Seng Healthcare Index (HSHCI) decreased by 1.23% as of August 28, 2025, with mixed performance among constituent stocks [3] - The Hang Seng Medical ETF (513060) fell by 1.15%, with a latest price of 0.69 yuan, but showed a 6.26% increase over the past month, ranking in the top third among comparable funds [3] - The Hang Seng Hong Kong Stock Connect Innovative Drug Selection Index (HSSCPB) dropped by 1.02%, with the Hong Kong Innovative Drug Selection ETF (520690) down by 0.81% to 0.98 yuan [4] Company Highlights - Innovent Biologics reported a 50.6% year-on-year revenue increase to 5.95 billion yuan for the first half of 2025, achieving a gross margin of 86% and a net profit of 830 million yuan, driven by pipeline expansion in oncology and new product launches [4] - The company has over 2 billion USD in cash reserves to support future innovation pipeline advancements [4] Policy and Industry Developments - The Ministry of Commerce and Jiangsu Provincial Government issued a plan to enhance the biopharmaceutical industry in Jiangsu Free Trade Zone by 2030, focusing on large molecule biologics, cell and gene therapy, and innovative medical devices [5] - Recent market pressure on the pharmaceutical sector was noted, with the Hang Seng Healthcare Index dropping over 2.1%, influenced by U.S. tariff proposals on imported drugs that could disrupt the global pharmaceutical industry [5] Analyst Insights - Analysts suggest that the recent decline in the Hong Kong pharmaceutical sector is a short-term fluctuation and does not alter the long-term industry outlook, with ongoing favorable policies expected to drive more cross-border business development transactions [6] - The Chinese innovative drug assets are gaining international recognition, presenting structural opportunities in the medium to long term [6] ETF Performance and Metrics - The Hang Seng Medical ETF has seen a significant increase in scale by 46.87 million yuan this month, ranking in the top third among comparable funds [8] - The ETF's share count increased by 92.5 million shares over the past week, also ranking in the top third [9] - The ETF recorded a net inflow of 74.96 million yuan recently, with a total of 65.92 million yuan accumulated over the last five trading days [10] - The ETF's financing net purchase reached 2.5072 million yuan this month, with a financing balance of 268 million yuan [11] Risk and Return Metrics - The Hang Seng Medical ETF has achieved a 48.60% net value increase over the past two years, with a maximum monthly return of 28.34% since inception [11] - The ETF's Sharpe ratio for the past year is 2.41, indicating strong risk-adjusted returns [12] - The ETF has the lowest relative drawdown among comparable funds, with a drawdown of 0.63% year-to-date [13] Valuation Insights - The latest price-to-earnings ratio (PE-TTM) for the Hang Seng Medical ETF is 30.9, which is below the historical average, indicating a potentially undervalued position [15]

Market Overview - On August 27, the Hang Seng Index fell by 1.27%, closing at 25,201.76 points, while southbound funds through the Stock Connect recorded a net purchase of HKD 15.371 billion [1][2] Trading Activity - The total trading volume for the Stock Connect on August 27 was HKD 191.172 billion, with a net purchase of HKD 15.371 billion [1] - The Shanghai Stock Connect had a trading volume of HKD 118.378 billion and a net purchase of HKD 9.005 billion, while the Shenzhen Stock Connect had a trading volume of HKD 72.794 billion and a net purchase of HKD 6.366 billion [1] Active Stocks - In the Shanghai Stock Connect, the most actively traded stock was SMIC, with a trading volume of HKD 6.799 billion, followed by Alibaba and Tencent, with trading volumes of HKD 4.360 billion and HKD 4.078 billion, respectively [1][2] - In terms of net buying, the top stock was the Tracker Fund of Hong Kong (盈富基金), with a net purchase of HKD 3.056 billion, despite its closing price dropping by 1.23% [1] - SMIC recorded the highest net selling amount of HKD 586 million, while its closing price increased by 0.09% [1][2] Shenzhen Stock Connect Highlights - In the Shenzhen Stock Connect, SMIC also led in trading volume with HKD 5.356 billion, followed by Alibaba and the Tracker Fund of Hong Kong, with trading volumes of HKD 3.473 billion and HKD 2.502 billion, respectively [2] - The Tracker Fund of Hong Kong had a net purchase of HKD 2.494 billion, while Xiaomi Group recorded the highest net selling amount of HKD 300 million, with its closing price down by 0.56% [2]