Core Insights - The "Eight Articles" of the Sci-Tech Innovation Board have revitalized the capital market ecosystem, with significant growth in M&A activities and IPOs for unprofitable companies [1] - Since the release of the "Eight Articles," there have been 106 new M&A transactions on the Sci-Tech Innovation Board, with 60 completed and a total transaction value exceeding 140 billion yuan [1] - Institutional innovations are strengthening the connection between "hard tech" companies and the capital market, enhancing the flexibility of capital to promote technological advancements [1] Group 1: Company Responses to "Eight Articles" - Baili Tianheng's chairman highlighted that the "Eight Articles" have deepened reforms and increased support for high-quality development of unprofitable companies, allowing for successful IPOs even before profitability [1] - Jinghe Integrated's chairman noted that the "Eight Articles" have improved financing efficiency and innovation mechanisms, enabling the company to issue 2 billion yuan in technology innovation bonds [2] - Chip Origin's chairman mentioned that the "Eight Articles" support refinancing for R&D, allowing the company to accelerate its strategic layout in Chiplet technology [3] Group 2: Recommendations for Future Reforms - Tianyue Advanced's chairman expressed the need for more long-term capital to focus on outstanding Sci-Tech Innovation Board companies and suggested enhancing the inclusivity of capital operations for hard tech companies [7] - Du Jinhao from Ailis proposed increasing liquidity by attracting more long-term funds and promoting international connectivity for quality Sci-Tech enterprises [7] - The emphasis on improving corporate governance and enhancing profitability through cash dividends was also highlighted as a key area for development [4]

Group 1 - The core viewpoint highlights a strong performance in the Chinese innovative pharmaceutical sector, with the Shanghai Stock Exchange Sci-Tech Innovation Board Biopharmaceutical Index rising by 2.72% as of June 12, 2025, driven by significant gains in constituent stocks such as Rongchang Bio (+17.55%) and BeiGene (+8.00%) [1] - A total of 53 new drugs were approved in China from the beginning of 2025 to the end of May, including 30 domestic innovative drugs and 23 imported ones, covering various therapeutic areas such as oncology and rare diseases [1] - The Chinese innovative drug market is projected to reach nearly 550 billion RMB in 2024, with an expected explosive growth driven by business development (BD) revenues from 2025 to 2027, and is anticipated to exceed 2 trillion RMB by 2030 [1] Group 2 - The Sci-Tech Innovation Board Biopharmaceutical Index consists of 50 large-cap companies from various sectors, including biopharmaceuticals and biomedical engineering, reflecting the overall performance of representative companies in the industry [2] - As of May 30, 2025, the top ten weighted stocks in the index accounted for 51.6% of the total index weight, with companies like United Imaging Healthcare and BeiGene among the leading constituents [2]

Core Viewpoint - The performance of the Sci-Tech Innovation Pharmaceutical Index ETF has shown significant growth in both trading volume and scale, indicating strong investor interest and confidence in the sector [3][5][6]. Liquidity - The Sci-Tech Innovation Pharmaceutical Index ETF had an intraday turnover of 9.12%, with a transaction volume of 20.17 million yuan. Over the past week, the average daily transaction volume reached 50.98 million yuan, ranking first among comparable funds [3]. Scale - In the past year, the Sci-Tech Innovation Pharmaceutical Index ETF's scale increased by 143 million yuan, achieving notable growth and ranking first among comparable funds [3]. Shares - The ETF's shares grew by 120 million in the past year, also ranking first among comparable funds [3]. Top Holdings - As of May 30, 2025, the top ten weighted stocks in the Shanghai Stock Exchange Sci-Tech Innovation Board Biopharmaceutical Index accounted for 51.6% of the total weight. The leading stocks include: - United Imaging Healthcare (8.97%) - BeiGene (7.05%) - Huaitai Medical (5.85%) - Aierx (4.91%) - Baillie Tianheng (4.77%) - Zai Lab (4.75%) - BGI Genomics (4.17%) - Junshi Biosciences (4.15%) - Aibo Medical (3.33%) - Teva Biopharma (3.25%) [5]. Market Response - Following the American Society of Clinical Oncology (ASCO) annual meeting, there has been a positive market response, highlighting the competitiveness and innovation of Chinese pharmaceutical companies in new drug development [5][6]. Innovation Pipeline - The proportion of domestic companies' innovative drug data presented at ASCO has been increasing, with 73 studies selected for oral presentations in 2025, indicating a strong focus on innovation within the industry [6]. Investment Opportunities - Investors without stock accounts can access opportunities in the Sci-Tech Innovation Board biopharmaceutical sector through the Sci-Tech Biopharmaceutical ETF linked fund (021061) [6].

Group 1: Liquidity and Performance of Sci-Tech Pharmaceutical Index ETF - The Sci-Tech Pharmaceutical Index ETF had a turnover rate of 16.48% during the trading session, with a transaction volume of 37.98 million yuan, indicating active market trading [2] - Over the past week, the average daily transaction volume of the ETF reached 48.92 million yuan, ranking first among comparable funds [2] - In the past year, the ETF's scale increased by 154 million yuan, achieving significant growth and ranking first in new scale among comparable funds [2] - The ETF's shares grew by 130 million units in the past year, also ranking first in new shares among comparable funds [2] - As of June 10, the net value of the ETF increased by 25.51% over the past year [2] - The highest monthly return since inception was 23.29%, with the longest consecutive monthly gains being 4 months and a maximum increase of 21.76% [2] - The average monthly return during the rising months was 8.18%, with a historical one-year profit probability of 69.81% [2] Group 2: Market Trends and Investment Opportunities - The Central Committee of the Communist Party of China and the State Council issued opinions to improve the basic medical insurance drug catalog adjustment mechanism and to develop a commercial health insurance innovative drug catalog [3] - A report from Dongwu Securities indicated that there were 73 oral presentations from China at the 2025 ASCO, marking a historical high, with 89 out of 184 ADC pipeline studies coming from China, accounting for approximately 48.4% of the total [3] - The agency believes that the competitiveness of domestic innovative drugs in the global market is continuously improving, and international investors' confidence in Chinese innovative drug companies is increasing [3] - Domestic innovative drugs are transitioning from "catching up" to "leading," presenting significant investment opportunities [3] - Investors without stock accounts can access the Sci-Tech Biopharmaceutical ETF linked fund (021061) to capitalize on opportunities in the Sci-Tech Board biopharmaceutical sector [3]

Group 1 - The core viewpoint of the news is the performance and holdings of the Industrial and Commercial Bank of China Medical Healthcare Stock Fund, which has shown positive returns in various time frames [1] - The latest net value of the fund is 2.7270 yuan, with a growth of 1.79% [1] - The fund's performance over the past month has yielded a return of 8.91%, ranking 96 out of 1025 in its category [1] - Over the last six months, the fund has achieved a return of 13.01%, ranking 146 out of 989 [1] - Year-to-date, the fund has returned 19.66%, ranking 96 out of 999 [1] Group 2 - The top ten holdings of the fund account for a total of 39.79%, with significant positions in companies such as Heng Rui Pharmaceutical (8.90%) and WuXi AppTec (5.12%) [1] - The fund was established on November 18, 2014, and as of March 31, 2025, it has a total scale of 2.724 billion yuan [1] - The fund is managed by Zhao Bei and Ding Yang, both of whom have extensive experience in the healthcare sector [2]

Investment Rating - Investment Rating: Positive [2] Core Insights - The pharmaceutical and biotechnology industry index increased by 3.36%, ranking 6th among 31 primary industries, outperforming the CSI 300 index, which decreased by 0.21% [5][17] - The valuation of the pharmaceutical and biotechnology industry as of June 6, 2025, is 28.24x (TTM, excluding negative values), up from 27.60x in the previous period, indicating an upward trend but still below the average [5][23] - Notable sub-industry performance includes chemical preparations and other biological products, with increases of 5.77% and 4.68% respectively, while offline pharmacies saw a decline of 1.15% [5][17] Industry Review - The report highlights three major investment opportunities: 1) Companies with dual-antibody/multi-antibody technology platforms that have differentiated target design capabilities and clinical advancement efficiency are likely to attract international giants [9] 2) Areas with unmet clinical needs, such as advanced liver cancer and non-small cell lung cancer, are promising for dual-antibody therapy development [9] 3) Potential license-out candidates, as domestic innovative pharmaceutical companies continue to engage in global collaborations [9] Important Industry News - CDE launched the "Star Plan" to encourage the development of pediatric anti-cancer drugs, addressing significant unmet clinical needs in this area [7][32] - Alcon's dry eye medication "Tryptyr" received FDA approval, marking it as the first of its kind globally [39] - Hansoh Pharmaceutical's third-generation EGFR-TKI "Amivantamab" was approved in the UK for first-line treatment of NSCLC, becoming the first domestically developed EGFR-TKI approved overseas [42] - BMS and BioNTech entered a collaboration for the dual-antibody candidate BNT327, with an upfront payment of $1.5 billion and potential milestone payments of $7.6 billion [51] Company Dynamics - Stone Pharmaceutical is negotiating three potential deals totaling $5 billion, involving several products including EGFR ADCs [49] - BMS's "Rotecip" was approved for treating lower-risk myelodysplastic syndromes, marking a significant innovation in this therapeutic area [45] - AbbVie’s JAK inhibitor "Upadacitinib" was approved for treating giant cell arteritis, becoming the first approved treatment for this condition in China [48]

中国专利金奖是中国知识产权领域的最高奖项，由国家知识产权局与世界知 识产权组织共同主办。本次获奖是对公司研发实力的认可，有利于发挥公司自主 知识产权的优势，也进一步增强了核心产品伏美替尼的市场影响力。未来，公司 将继续秉持"科技关爱生命"的使命，注重研发投入，不断完善知识产权布局，努 力提升公司技术创新能力和核心竞争力。 该奖项的获得，不会对公司近期的生产经营产生重大影响，敬请广大投资者 谨慎决策，注意防范投资风险。 特此公告。 1 上海艾力斯医药科技股份有限公司自愿披露 关于获得第二十五届中国专利金奖的公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述 或者重大遗漏，并对其内容的真实性、准确性和完整性依法承担法律责任。 根据《国家知识产权局关于第二十五届中国专利奖授奖的决定》（国知发运 字〔2025〕20 号），上海艾力斯医药科技股份有限公司（以下简称"公司"）"吡啶 胺基嘧啶衍生物、其制备方法及应用"（专利号：ZL201410365911.4）的发明专 利荣获第二十五届中国专利金奖。 本次获奖的"吡啶胺基嘧啶衍生物、其制备方法及应用"是甲磺酸伏美替尼 片（以下简称"伏美替尼"）的核心 ...

Group 1 - The Chinese innovative pharmaceutical industry is experiencing an unprecedented revaluation, with the innovative drug index rising over 20% and the Hong Kong innovative drug index increasing by more than 45% this year [1][2] - Institutions have shown heightened interest in the innovative drug sector, with numerous companies such as BeiGene and I-Mab being heavily researched by various institutions [1][3] - The focus of institutional research has shifted from generic drugs and raw materials to cutting-edge areas like ADCs, bispecific antibodies, and cell therapies, indicating a growing interest in clinical data and international progress [4][5] Group 2 - The recent surge in the innovative drug sector is attributed to the culmination of years of investment and development, with many projects now reaching commercialization [5][6] - The improvement in liquidity and the influx of foreign capital have significantly boosted the performance of Hong Kong innovative drug stocks, with net purchases exceeding 600 billion yuan this year [6][7] - The next three years are expected to be critical for the Chinese innovative drug industry, with 2025 marking a pivotal year for revenue growth, profitability, and valuation increases [8][9] Group 3 - The innovative drug sector is anticipated to remain a key focus within the pharmaceutical industry, with particular attention on companies that are successfully entering overseas markets and those that are experiencing significant domestic sales growth [9]

Industry Investment Rating - The investment rating for the pharmaceutical and biotechnology industry is "Outperform" [1] Core Insights - The domestic innovative drug sector is entering a harvest phase with multiple new drug approvals, enhancing the focus on innovative drugs. As of the end of May 2025, a total of 53 new drugs were approved in China, including 30 domestic and 23 imported drugs, covering various treatment areas such as oncology and rare diseases. The upcoming national medical insurance negotiations are expected to accelerate the market entry of successfully approved innovative drugs [4][12][20]. Summary by Sections Industry Overview - The closing index for the pharmaceutical and biotechnology sector is 7699.75, with a weekly high of 8490.25 and a low of 6070.89 [1]. Recent Performance - The pharmaceutical and biotechnology sector increased by 2.21% this week, outperforming the CSI 300 index by 3.3 percentage points. Since May 2025, the sector has risen by 7.25%, again surpassing the CSI 300 index by 5.53 percentage points [16][19]. Subsector Performance - The biopharmaceutical sector saw the highest increase of 4.65%, followed by chemical preparations at 4.27%, and medical research outsourcing at 4%. The offline pharmacy sector experienced the largest decline at 2.69% [5][18]. Recommended and Benefiting Stocks - Recommended stocks include: Yingke Medical, Maipu Medical, Yihe Jiaye, Weidian Biology, Gongdong Medical, and others. Benefiting stocks include: Shanhaishan, Yirui Technology, and others [6][25][36]. Key Events and Trends - The approval of innovative drugs is expected to reshape valuations in the domestic innovative drug sector, which is anticipated to be a key investment theme throughout the year. The upcoming national medical insurance negotiations are crucial for the successful market entry of newly approved drugs [4][12][20]. Market Dynamics - The medical device sector is projected to benefit from policies promoting equipment upgrades, with a significant increase in procurement expected in the second quarter of 2025. The sector's current price-to-earnings ratio indicates potential for valuation growth [21][27]. Future Outlook - The report emphasizes the importance of monitoring procurement progress and the potential for a recovery in the medical device sector's performance in the coming quarters [21][23]. Conclusion - The pharmaceutical and biotechnology industry is positioned for growth, driven by innovative drug approvals and supportive policy changes, making it an attractive investment opportunity [4][12][20].

Investment Rating - The report assigns an "Overweight" rating to the pharmaceutical industry, specifically for pharmaceutical manufacturing and pharmaceutical services [1][2]. Core Insights - Continuous attention is recommended for innovative drugs with rising prosperity, as evidenced by the record number of 73 oral reports on Chinese innovative drug assets at the 2025 ASCO annual meeting [2][36]. - The Chinese innovative drug sector is experiencing a significant demand from multinational corporations (MNCs), which is reflected in the increasing number of overseas business development (BD) transactions [36]. - The pharmaceutical sector outperformed the market in May 2025, with the SW Pharmaceutical and Biological sector rising by 6.4%, ranking first among Shenwan's primary industries [15][37]. Summary by Sections Investment Highlights - The report highlights a portfolio of A-Shares including Jiangsu Heng Rui Medicine, Huadong Medicine, Sichuan Kelun Pharmaceutical, and others, indicating a focus on companies with strong growth potential [2][5]. - The report notes that the pharmaceutical sector's premium level relative to all A-Shares is currently at a normal level, with a relative premium rate of 87.88% as of the end of May 2025 [28][37]. Performance Analysis - In May 2025, the pharmaceutical sector's performance was ranked first, with individual stock gains led by Staidson Beijing BioPharmaceuticals (+145.4%) and Sunshine Guojian Pharmaceutical (+99.4%) [15][37]. - The report also details the performance of the Hong Kong and U.S. pharmaceutical sectors, noting that the Hong Kong stock pharmaceutical sector outperformed the market while the U.S. sector underperformed [38]. Market Trends - The report emphasizes the upward trend in the innovative drug market, with traditional pharmaceutical companies emerging from centralized procurement challenges and entering a phase of profitability [36]. - The report indicates that the biopharmaceutical sector's sub-sectors, such as chemical raw materials and biological products, have shown strong performance, with increases of 10.5% and 7.3% respectively [20][37].