迈博药业(02181) - 2025 - 中期业绩

Company Information and Forward-Looking Statements Company Profile Mabpharm Limited focuses on the R&D and industrialization of new drugs and biosimilars for cancer and autoimmune diseases - Mabpharm Limited released its unaudited consolidated financial results for the six months ended June 30, 2025[3] - The company's main business is the R&D, development, manufacturing, and intellectual property transfer of monoclonal antibody drugs for cancer and autoimmune diseases[92] Forward-Looking Statements The report contains forward-looking statements involving risks and uncertainties that may cause actual results to differ materially from expectations - This announcement contains forward-looking statements that involve known and unknown risks and uncertainties[2] - Actual results, performance, or achievements may differ materially from those expressed in the forward-looking statements[2] - The company undertakes no obligation to update or revise any forward-looking statements[2] Interim Results Summary Consolidated Financial Performance Overview The company achieved a significant turnaround, with revenue growing 152.7% to RMB 274 million and recording a profit of RMB 2.9 million Key Financial Data for H1 2025 (RMB in thousands) | Indicator | 2025 | 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 274,183 | 108,483 | 152.7 | | Cost of sales | (32,938) | (14,127) | 133.2 | | Gross profit | 241,245 | 94,356 | 155.7 | | R&D expenses | (23,809) | (56,293) | (57.7) | | Administrative expenses | (51,366) | (60,651) | (15.3) | | Profit/(loss) before tax | 2,898 | (97,569) | (103.0) | | Total profit/(loss) for the period | 2,898 | (97,569) | (103.0) | | Net assets | 98,863 | 88,934 | 11.2 | | Net current assets | 27,290 | 53,649 | (49.1) | - The company achieved profitability with a 152.7% year-over-year increase in revenue, primarily driven by new drug launches and sales promotion[5] Business Overview and Core Products Corporate Strategy and Core Competencies Mabpharm is a leading biopharmaceutical company in China focusing on innovative and biosimilar drugs for cancer and autoimmune diseases - The company is a leading biopharmaceutical company in China, specializing in the R&D and industrialization of new drugs and biosimilars for cancer and autoimmune diseases[5] - It is committed to providing high-quality, affordable innovative biopharmaceuticals through an efficient R&D system and low-cost manufacturing capabilities[5] - The industrialization business has entered a high-growth phase with the launch and promotion of new drugs[5] Core Products and Market Performance The company's three core products, CMAB009, CMAB007, and CMAB008, have achieved significant market progress and sales growth - The company's drug pipeline includes 9 monoclonal antibody drugs and 1 potent antibody drug, with 3 approved as core products[5] - Core products CMAB009, CMAB007, and CMAB008 have all been approved for marketing and included in the National Reimbursement Drug List, achieving substantial sales volume growth[5][9] - The company is actively expanding new indications and overseas markets for its core products, with CMAB008 approved for sale in several foreign countries[6][11] CMAB009 Enlituo® (Cetuximab beta for Injection) CMAB009 is the first domestically developed anti-EGFR monoclonal antibody innovative drug, showing superior safety and rapid sales growth - CMAB009 Enlituo® was approved by the NMPA in June 2024 for the first-line treatment of RAS/BRAF wild-type metastatic colorectal cancer[5] - As the first self-developed EGFR-targeting antibody new drug launched in China in nearly two decades, it demonstrates significant clinical efficacy and better safety (no black box warning)[5] - It has been successfully included in the National Reimbursement Drug List, with sales volume increasing by more than 10 times compared to the previous six months[5][6] CMAB007 Omasu® (Omalizumab α for Injection) CMAB007 is China's first domestically produced therapeutic antibody for allergic asthma, with sales steadily increasing post-launch - CMAB007 Omasu® was approved in May 2023 as China's first domestically produced therapeutic antibody new drug for allergic asthma[7] - A Phase III clinical trial for chronic spontaneous urticaria has been initiated[7] - As an exclusive product listed in the National Reimbursement Drug List, its sales volume increased by 4.8% compared to the previous six months[9] CMAB008 Class-Stop® (Infliximab for Injection) CMAB008 is approved for six indications and is expanding into international markets, with significant sales growth - CMAB008 Class-Stop® was approved in July 2021 for six indications and is automatically included in the medical insurance list[9] - During the reporting period, sales volume increased by 31.8% compared to the previous six months, indicating effective market promotion[10] - Registration and expansion efforts have been initiated in over thirty countries, with sales approval granted in Peru, Indonesia, Pakistan, and Bangladesh[11] R&D Pipeline and Production Capacity Overview of Drug Candidate R&D The company maintains a rich pipeline of drug candidates across multiple therapeutic areas, advancing them toward regulatory approval - The company's pipeline covers cancer, respiratory diseases, autoimmune diseases, bone-related diseases, and inflammatory diseases[20][21][22] - Core products CMAB009, CMAB007, and CMAB008 are on the market, and an NDA has been submitted for CMAB807/CMAB807X[20][21] Development Status of Major Drug Candidates | Area | Target | Candidate Code | Category | Clinical Stage | Est. Next Milestone | Est. Regulatory Approval | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cancer | EGFR | CMAB009 | New Drug/Core Product | Marketed | Approved June 2024 | - | | Respiratory | IgE | CMAB007 | New Drug/Core Product | Marketed | Approved May 2023 | - | | Autoimmune | TNFα | CMAB008 | Biosimilar/Core Product | Marketed | Approved July 2021 | - | | Bone-related | RANKL | CMAB807/CMAB807X | Biosimilar | Phase III | NDA Submitted Jan 2025 | Q2 2026 | | Cancer | Non-PD1 | CMAB819 | Biosimilar | Phase I | Int'l Registration Trial 2026 | Q3 2029 | | Cancer | EGFR | CMAB017 | Innovative Drug | Phase I | Phase II Q3 2026 | Q2 2030 | | Autoimmune | IL-17A | CMAB015 | Biosimilar | Phase III | NDA Submission Q2 2026 | Q4 2027 | | Inflammatory | IL-12 & IL-23 | CMAB022 | Biosimilar | Pre-clinical | IND Submission Q3 2026 | Q4 2030 | | Asthma/Allergy | TSLP | CMAB023 | Biosimilar | Pre-clinical | IND Submission Q4 2026 | Q2 2030 | | Autoimmune | IL-4Rα | CMAB016 | Biosimilar | Pre-clinical | IND Submission Q3 2026 | Q2 2029 | Other Major Drug Candidates The company's pipeline includes multiple promising candidates in various clinical stages, targeting significant market opportunities - CMAB807/CMAB807X (Denosumab) has completed Phase III trials and an NDA has been submitted, with approval for osteoporosis and other indications expected in Q2 2026[13][36] - Innovative drug CMAB017 (anti-EGFR potent antibody) has initiated Phase I clinical studies for advanced solid tumors, with approval expected in Q2 2030[13][37] - CMAB015 (Secukinumab biosimilar) is nearing completion of Phase III trials, with approval for psoriasis and other conditions expected in Q4 2027[13][39] - CMAB819 (Nivolumab biosimilar) has completed Phase I trials, with approval for various cancers expected in Q3 2029[40] - CMAB022 (Ustekinumab biosimilar) is undergoing process scale-up, with approval for inflammatory diseases like psoriasis expected in Q4 2030[40][41] - CMAB023 (anti-TSLP monoclonal antibody biosimilar) is in process development, with approval as a broad-spectrum anti-allergic drug expected in Q2 2030[41] - CMAB016 (Dupilumab biosimilar) has completed initial process research, with approval for atopic dermatitis and asthma expected in Q2 2029[41] New Candidate R&D and System The company leverages its experienced R&D team and core technology patents to develop new antibody drugs and bifunctional proteins - The company has initiated R&D on a series of new antibody drugs, bifunctional antibodies, and bifunctional proteins for autoimmune diseases and tumors[42] - The company possesses efficient R&D capabilities, advanced preparation technologies, and low-cost drug production capacity[43] - The R&D team has over 20 years of experience and holds core technology patents in antibody engineering, humanization, and high-expression vector construction[14][43] Commercialization and Production Facilities The company operates two GMP-certified production bases in Taizhou with a total cell reactor capacity of 40,000L and is expanding its CDMO business - The company has two production bases in Taizhou; the G79 base has four 1,500L antibody bioreactor systems and has passed GMP compliance inspections[44] - The Xiangtailu production base has added a new 7,500L GMP drug substance production line, bringing the total cell reactor capacity to 40,000L[45] - The company is actively expanding its CDMO business and signed an industrial-scale CDMO contract in 2025[15][46] Market Strategy and Future Outlook Market Development and Marketing The company leverages its competitive advantages to capitalize on national healthcare reform opportunities while actively expanding its global market presence - The company will leverage its advantages in technology, quality, and cost to participate in national healthcare reform and seize market opportunities[46] - Global market expansion is underway, with CMAB008 registration initiated in over thirty countries and sales approved in Peru, Indonesia, Pakistan, and Bangladesh[46] - Products are sold to hospitals and pharmacies through a distributor network, with inventory levels actively monitored to improve efficiency[47] Quality Management System An effective quality management system is in place to ensure all products and services meet high industry and GMP standards - The company has established an effective quality management system covering raw materials, equipment, and finished products to ensure service quality[48] - A corporate-level quality assurance department is responsible for inspecting product quality and coordinating quality control procedures[48] - Manufacturing and R&D operations are inspected according to China's national laboratory quality control standards and GMP regulations[48] Future Development and Strategy The company's strategy focuses on capitalizing on healthcare reform, advancing its pipeline, investing in technology, and expanding global partnerships - The company will seize opportunities from China's healthcare reform, focusing on gastroenterology, respirology, rheumatology, and oncology markets[50] - In the short term, the focus will be on the market development of CMAB008, CMAB007, and CMAB009, and completing the commercialization of CMAB807/CMAB807X and CMAB015[52] - The company plans to continue investing in advanced technology and product development, and to attract and retain high-caliber talent[53][54] - The company plans to expand its overseas market presence through partnerships with renowned domestic and international pharmaceutical companies[55] Financial Review Operating Performance Analysis The company's operating performance improved significantly, achieving a turnaround to profitability driven by strong revenue growth and controlled expenses - Revenue increased by 152.7% to RMB 274.2 million, driven by solid growth in drug sales and exclusive promotion rights income in mainland China[58] - Gross profit grew by 155.7% to RMB 241.2 million, with the gross profit margin maintained at 88%[60] - Profit for the period was RMB 2.9 million, a significant turnaround from a loss of RMB 97.6 million in the same period last year[72] Revenue Revenue for the six months ended June 30, 2025, reached RMB 274.2 million, a year-over-year increase of 152.7% Revenue Breakdown (RMB in thousands) | Revenue Source | 2025 | 2024 | | :--- | :--- | :--- | | Sales of pharmaceutical products | 249,002 | 98,532 | | Exclusive promotion right income in mainland China | 21,804 | 9,951 | | Sales of materials | 3,186 | – | | Contract service income | 191 | – | | Total | 274,183 | 108,483 | - Revenue increased by 152.7% year-over-year, primarily due to growth in pharmaceutical sales and exclusive promotion right income[58] Cost of Sales The cost of sales increased by 133.2% to RMB 32.9 million, mainly due to a higher volume of pharmaceutical products sold - Cost of sales increased by 133.2% from RMB 14.1 million to RMB 32.9 million[59] - The increase was primarily due to the higher volume of pharmaceutical products sold during the reporting period[59] Gross Profit and Gross Profit Margin Gross profit grew by 155.7% to RMB 241.2 million, while the gross profit margin remained stable at 88% - Gross profit increased by 155.7% from RMB 94.4 million to RMB 241.2 million[60] - The gross profit margin remained stable at 88%, as revenue and cost of sales increased proportionally[60] Other Income Other income surged by 357.3% to RMB 6.0 million, mainly from increased government grants and VAT super-credit deductions Other Income Breakdown (RMB in thousands) | Income Source | 2025 | 2024 | | :--- | :--- | :--- | | Bank interest income | 245 | 215 | | Government grants and subsidies related to income | 4,058 | 1,095 | | VAT super-credit deduction | 1,710 | – | | Others | – | 5 | | Total | 6,013 | 1,315 | - Other income increased by 357.3%, primarily due to higher government grants and VAT super-credit deductions[61] Other Gains and Losses The loss from other gains and losses increased by 5.6% to RMB 0.6 million, driven by impairment losses on receivables Other Gains and Losses Breakdown (RMB in thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Net foreign exchange gains/(losses) | 55 | (454) | | Fair value gains on financial assets at FVTPL | 7 | 115 | | Impairment losses on prepayments and other receivables | (613) | (58) | | Others | – | (125) | | Total | (551) | (522) | - The loss from other gains and losses increased by 5.6% to RMB 0.6 million, as foreign exchange gains were offset by impairment losses on receivables[63] R&D Expenses R&D expenses decreased significantly by 57.7% to RMB 23.8 million, mainly due to the capitalization of three R&D products R&D Expenses Breakdown (RMB in thousands) | Expense Item | 2025 | 2024 | | :--- | :--- | :--- | | Contract costs | 2,568 | 20,887 | | Raw materials and consumables | 5,049 | 8,464 | | Employee costs | 11,273 | 17,385 | | Depreciation | 2,341 | 6,584 | | Others | 2,578 | 2,973 | | Total | 23,809 | 56,293 | - R&D expenses decreased by 57.7% to RMB 23.8 million, primarily because three R&D products were capitalized[65] Administrative Expenses Administrative expenses decreased by 15.3% to RMB 51.4 million, driven by lower employee costs and reduced depreciation Administrative Expenses Breakdown (RMB in thousands) | Expense Item | 2025 | 2024 | | :--- | :--- | :--- | | Employee costs | 21,448 | 27,417 | | Depreciation | 17,199 | 20,371 | | Others | 12,719 | 12,863 | | Total | 51,366 | 60,651 | - Administrative expenses decreased by 15.3% to RMB 51.4 million, mainly due to lower employee costs and depreciation[67] Finance Costs Finance costs remained stable at RMB 5.4 million, consisting mainly of interest on bank and other borrowings Finance Costs Breakdown (RMB in thousands) | Cost Item | 2025 | 2024 | | :--- | :--- | :--- | | Interest on loans from a related party | 205 | 421 | | Interest on bank and other borrowings | 4,082 | 3,651 | | Interest on lease liabilities | 1,138 | 1,346 | | Total | 5,425 | 5,418 | - Finance costs increased by 0.1% to RMB 5.4 million, remaining stable compared to the prior period[70] Profit/Loss for the Period The company achieved a turnaround, recording a profit attributable to owners of RMB 2.9 million compared to a loss last year - Profit attributable to owners of the Company was RMB 2.9 million, a significant improvement from the loss of RMB 97.6 million in the prior period[72] - The turnaround was primarily attributable to increased gross profit and decreased R&D expenses[72] Liquidity and Capital Resources Trade receivables and inventories increased significantly by 53.8% and 31.3% respectively, reflecting higher sales and future demand expectations Analysis of Liquidity and Capital Resources (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Trade receivables | 145,335 | 94,526 | 53.8 | | Prepayments and other receivables | 24,681 | 31,554 | (21.8) | | Inventories | 145,782 | 111,009 | 31.3 | | Cash and bank balances | 94,162 | 89,344 | 5.4 | | Restricted bank deposits | – | 39,341 | (100.0) | | Total | 410,298 | 365,774 | 12.2 | - Trade receivables increased by 53.8% to RMB 145.3 million, mainly due to a substantial increase in drug sales volume[73] - Inventories increased by 31.3% to RMB 145.8 million, primarily in anticipation of higher drug demand in the second half of the year[73] Indebtedness Structure As of June 30, 2025, total debt comprised lease liabilities and interest-bearing borrowings, with related party loans fully repaid Breakdown of Indebtedness (RMB in thousands) | Debt Type | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Lease liabilities | 48,561 | 47,501 | | Interest-bearing bank and other borrowings | 256,449 | 245,591 | | Loans from a related party | – | 18,500 | - As of June 30, 2025, the company had fully repaid its loans from a related party[75] - The existing debt does not contain any material covenants or covenants that could limit the company's ability to incur further debt[75] Contingent Liabilities, Pledge of Assets, and Guarantees The company has pledged land, buildings, and equipment with a total carrying value of RMB 384.3 million to secure loans - The company pledged land and buildings with carrying values of approximately RMB 33.2 million and RMB 156.8 million, respectively, to secure bank loans of RMB 80.0 million[77] - Equipment with a carrying value of RMB 194.3 million was pledged to secure an entrusted loan of RMB 100.1 million[77] - Apart from those disclosed, the company had no other material contingent liabilities, mortgages, or similar indebtedness[78] Capital Structure and Foreign Exchange Risk The company's capital structure improved slightly with a higher equity ratio, while it faces foreign exchange risks from HKD and USD - As of June 30, 2025, the company's capital structure consisted of 90.7% debt and 9.3% equity, showing a slight increase in the equity portion[79] - The company is exposed to foreign exchange risks arising from HKD and USD, which are managed by closely monitoring the market[80] - During the reporting period, the company did not enter into any currency hedging transactions[80] Gearing Ratio and Liquidity Ratios The gearing ratio slightly decreased to 90.7%, while liquidity and quick ratios declined due to increased current liabilities - As of June 30, 2025, the gearing ratio was 90.7%, down from 91.2% at the end of 2024[81] Key Financial Ratios | Ratio | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Current ratio | 1.1 | 1.2 | | Quick ratio | 0.7 | 0.8 | - The current and quick ratios decreased, mainly due to an increase in current liabilities from accrued marketing service fees[84] Condensed Consolidated Interim Financial Statements Consolidated Statement of Profit or Loss and Other Comprehensive Income The company reported a profit of RMB 2,898 thousand for the period, a significant turnaround from the prior year's loss Summary of Consolidated Statement of Profit or Loss and Other Comprehensive Income (RMB in thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | 274,183 | 108,483 | | Gross profit | 241,245 | 94,356 | | R&D expenses | (23,809) | (56,293) | | Administrative expenses | (51,366) | (60,651) | | Profit/(loss) before tax | 2,898 | (97,569) | | Profit/(loss) and total comprehensive income/(loss) for the period | 2,898 | (97,569) | | Earnings/(loss) per share attributable to ordinary equity holders of the Company - Basic | RMB0.00 | RMB(0.02) | | Earnings/(loss) per share attributable to ordinary equity holders of the Company - Diluted | RMB0.00 | RMB(0.02) | Consolidated Statement of Financial Position As of June 30, 2025, total assets stood at RMB 1,067,846 thousand, with net assets increasing to RMB 98,863 thousand Summary of Consolidated Statement of Financial Position (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Total non-current assets | 657,548 | 650,444 | | Total current assets | 410,298 | 365,774 | | Total current liabilities | 383,008 | 312,125 | | Total non-current liabilities | 585,975 | 615,159 | | Net assets | 98,863 | 88,934 | | Total equity | 98,863 | 88,934 | Consolidated Statement of Changes in Equity Total equity increased to RMB 98,863 thousand, primarily driven by profit for the period and share-based compensation Summary of Consolidated Statement of Changes in Equity (RMB in thousands) | Item | Share Capital | Share Premium | Other Reserves | Share Option Reserve | Accumulated Losses | Total Equity | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | At Jan 1, 2025 (Audited) | 2,804 | 1,400,504 | (32,763) | 79,010 | (1,360,621) | 88,934 | | Profit and total comprehensive income for the period | – | – | – | – | 2,898 | 2,898 | | Recognition of equity-settled share-based compensation | – | – | – | 7,031 | – | 7,031 | | At June 30, 2025 (Unaudited) | 2,804 | 1,400,504 | (32,763) | 86,041 | (1,357,723) | 98,863 | Consolidated Statement of Cash Flows The company generated a net cash inflow from operating activities of RMB 43,027 thousand, improving its cash position Summary of Consolidated Statement of Cash Flows (RMB in thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Net cash flows from/(used in) operating activities | 43,027 | (64,177) | | Net cash flows used in investing activities | (24,766) | (12,298) | | Net cash flows used in financing activities | (13,459) | (22,812) | | Net increase/(decrease) in cash and cash equivalents | 4,802 | (99,287) | | Cash and cash equivalents at end of period | 94,162 | 74,066 | Notes to the Condensed Consolidated Interim Financial Information General Information Mabpharm Limited was incorporated in the Cayman Islands and is listed on the Hong Kong Stock Exchange - The Company was incorporated in the Cayman Islands on June 1, 2018, and listed on the Hong Kong Stock Exchange on May 31, 2019[92] - The Group is principally engaged in the R&D, manufacturing, and intellectual property transfer of monoclonal antibody drugs for cancer and autoimmune diseases[92] Basis of Preparation and Changes in Accounting Policies The interim financial information is prepared in accordance with IAS 34, with accounting policies consistent with the 2024 annual report - The condensed consolidated interim financial information is prepared in accordance with International Accounting Standard 34 Interim Financial Reporting[94] - The accounting policies adopted are consistent with those of the 2024 annual financial statements, with the first-time adoption of amendments to IAS 21[95][96] - The amendments had no impact on the interim financial information as the Group's transactional and functional currencies are exchangeable[96] Operating Segment Information The Group operates as a single reportable segment, with all revenue generated from customers in China - The Group has only one reportable segment as the chief operating decision-maker reviews the consolidated results as a whole for resource allocation[97] - All revenue during the period was derived from customers in China, and the majority of non-current assets are located in China[98] - During the reporting period, no single customer accounted for 10% or more of the Group's total revenue[99] Revenue Analysis Total revenue from contracts with customers amounted to RMB 274,183 thousand, primarily from pharmaceutical sales in mainland China Disaggregation of Revenue from Contracts with Customers (RMB in thousands) | Revenue Source | 2025 | 2024 | | :--- | :--- | :--- | | Sales of pharmaceutical products | 249,002 | 98,532 | | Exclusive promotion right income in mainland China | 21,804 | 9,951 | | Sales of materials | 3,186 | – | | Contract service income | 191 | – | | Total | 274,183 | 108,483 | | Geographical markets | | | | Mainland China | 274,183 | 108,483 | | Timing of revenue recognition | | | | Over time | 21,804 | 9,951 | | At a point in time | 252,379 | 98,532 | Other Income Analysis Other income totaled RMB 6,013 thousand, mainly comprising government grants and VAT super-credit deductions Other Income Breakdown (RMB in thousands) | Income Source | 2025 | 2024 | | :--- | :--- | :--- | | Bank interest income | 245 | 215 | | Government grants and subsidies related to income | 4,058 | 1,095 | | VAT super-credit deduction benefits | 1,710 | – | | Others | – | 5 | | Total | 6,013 | 1,315 | Other Gains and Losses Analysis Other gains and losses resulted in a net loss of RMB 551 thousand, primarily due to impairment losses on receivables Other Gains and Losses Breakdown (RMB in thousands) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Net foreign exchange gains/(losses) | 55 | (454) | | Fair value gains on financial assets at FVTPL | 7 | 115 | | Impairment losses on prepayments and other receivables | (613) | (58) | | Others | – | (125) | | Total | (551) | (522) | Finance Costs Analysis Finance costs totaled RMB 5,425 thousand, mainly consisting of interest on bank borrowings and lease liabilities Finance Costs Breakdown (RMB in thousands) | Cost Item | 2025 | 2024 | | :--- | :--- | :--- | | Interest on loans from a related party | 205 | 421 | | Interest on bank and other borrowings | 4,082 | 3,651 | | Interest on lease liabilities | 1,138 | 1,346 | | Total | 5,425 | 5,418 | Profit/Loss Before Tax The company achieved a profit before tax of RMB 2,898 thousand, a significant turnaround from the prior year's loss - Profit before tax was RMB 2,898 thousand, compared to a loss of RMB 97,569 thousand in the prior period, marking a successful turnaround[86] - Key adjustments include depreciation of property, plant and equipment of RMB 27,276 thousand, employee costs of RMB 34,368 thousand, and share-based payment expenses of RMB 7,031 thousand[105] Income Tax The company is exempt from income tax in the Cayman Islands, and no provision for income tax was made for its subsidiaries - The Company is incorporated in the Cayman Islands and is exempted from income tax[106] - No provision for income tax has been made as subsidiaries in Hong Kong and China had no assessable profits[106] Dividends and Earnings/Loss Per Share No interim dividend was declared, and basic and diluted earnings per share were both RMB 0.00, improving from a loss per share - No dividend was paid or proposed for ordinary shareholders of the Company for the six months ended June 30, 2025[107] Earnings/Loss Per Share (RMB) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Basic earnings/(loss) per share | 0.00 | (0.02) | | Diluted earnings/(loss) per share | 0.00 | (0.02) | - The weighted average number of ordinary shares for calculating basic and diluted earnings/loss per share was 4,124,080 thousand shares[110] Property, Plant and Equipment The Group acquired assets at a cost of RMB 8,145 thousand, primarily related to construction in progress - During the six months ended June 30, 2025, the Group acquired assets at a cost of RMB 8,145 thousand[111] - The asset acquisitions mainly comprised construction in progress of RMB 8,040 thousand[111] Other Non-current Assets Other non-current assets totaled RMB 3,384 thousand, mainly prepayments for the new production facility in Taizhou High-tech Zone Other Non-current Assets Breakdown (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Prepayments for acquisition of property, plant and equipment | 3,293 | 2,407 | | Deposits | 91 | 447 | | Total | 3,384 | 2,854 | - Prepayments for the acquisition of property, plant and equipment are mainly related to the construction of the new production facility in Taizhou High-tech Zone[112] Trade Receivables Trade receivables totaled RMB 145,335 thousand, with the increase reflecting a significant growth in pharmaceutical sales volume Ageing Analysis of Trade Receivables (RMB in thousands) | Ageing | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Within 3 months | 123,802 | 75,807 | | 4 to 6 months | 15,572 | 11,482 | | 7 to 9 months | 5,820 | 6,283 | | 10 to 12 months | 141 | 954 | | Total | 145,335 | 94,526 | - Trade receivables increased by 53.8% to RMB 145,335 thousand, primarily due to a substantial increase in drug sales volume[73] Prepayments and Other Receivables Prepayments and other receivables amounted to RMB 24,681 thousand, with prepayments for R&D services being the largest component Prepayments and Other Receivables Breakdown (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Other receivables | 3,139 | 1,560 | | Prepayments for R&D services | 18,476 | 18,628 | | Other deposits and prepayments | 3,061 | 3,722 | | VAT recoverable | 5 | 7,644 | | Total | 24,681 | 31,554 | Trade and Other Payables Trade and other payables totaled RMB 216,751 thousand, with accrued marketing service fees being the largest component Trade and Other Payables Breakdown (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Trade payables | 29,235 | 11,709 | | Accrued R&D service expenses | 24,132 | 22,807 | | Other payables for purchase of property, plant and equipment | 6,695 | 33,671 | | Payroll and bonus payables | 10,488 | 13,289 | | Other tax payables | 8,463 | 634 | | Accrued listing expenses and issuance costs | 11,295 | 11,189 | | Accrued marketing service fees | 119,770 | 71,332 | | Other payables | 6,673 | 4,736 | | Total | 216,751 | 169,367 | - The credit period on trade payables is generally 60 days from the date of receipt of goods and/or services[115] Interest-bearing Bank and Other Borrowings Total interest-bearing borrowings amounted to RMB 256,449 thousand, comprising both current and non-current loans Details of Interest-bearing Bank and Other Borrowings (RMB in thousands) | Borrowing Type | Effective Interest Rate (%) | Maturity | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Current | | | | | | Bank loans (secured) | LPR+50 bps | 2025 | 89,987 | 80,054 | | Non-current | | | | | | Other loans (unsecured) | 4.0% | 2032 | 66,366 | 65,537 | | Bank loans (secured) | LPR | 2026 | 100,096 | 100,000 | | Total | | | 256,449 | 245,591 | - The difference between the carrying amounts and fair values of the non-current portion of interest-bearing bank and other borrowings is negligible[117] Share Capital As of June 30, 2025, the company's issued and fully paid share capital was RMB 2,804 thousand - As of June 30, 2025, the company's issued and fully paid share capital was RMB 2,804 thousand[118] - The share capital consisted of 4,124,080,000 ordinary shares with a par value of US$0.0001 each[118] Capital Commitments The Group had capital commitments of RMB 3,715 thousand for equipment purchases and building construction Capital Commitments (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Contracted, but not provided for | 3,715 | 4,223 | - Capital commitments are mainly related to the new production facility in Taizhou High-tech Zone[119] Related Party Transactions The Group conducted several transactions with its related party, Biomabs, including the repayment of loans and interest Related Party Transactions during the Period (RMB in thousands) | Transaction Type | 2025 | 2024 | | :--- | :--- | :--- | | Repayment of loans from a related party - principal | (18,500) | – | | Interest on loans from a related party | 205 | 421 | | Repayment of interest on loans from a related party | 1,801 | – | Amounts due to a Related Party (RMB in thousands) | Item | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Trade payables (Biomabs) | 47,280 | 47,280 | | Interest payables (Biomabs) | – | 1,596 | | Loans payable (Biomabs) | – | 18,500 | | Total | 47,280 | 67,376 | - The trade payables to Biomabs of RMB 47,280 thousand, related to the acquisition of intellectual property for CMAB807, have had their due date extended to December 31, 2027[123] Compensation of Key Management Personnel (RMB in thousands) | Compensation Item | 2025 | 2024 | | :--- | :--- | :--- | | Salaries and other benefits | 2,396 | 1,819 | | Pension scheme contributions | 175 | 140 | | Directors' fees | 220 | 165 | | Share-based compensation | 6,231 | 7,567 | | Total | 9,022 | 9,691 | Other Corporate Information Interim Dividend The Board of Directors has recommended that no interim dividend be paid for the six months ended June 30, 2025 - The Board of Directors recommends that no interim dividend be paid for the six months ended June 30, 2025[126] Use of Net Proceeds from Listing The net proceeds of approximately HK$1,144.5 million from the global offering have been fully utilized as intended - The net proceeds from the global offering of approximately HK$1,144.5 million have been fully utilized[127] - The use of net proceeds was in accordance with the intentions set out in the prospectus[127] Material Investments, Acquisitions and Disposals The Group held no material investments and made no significant acquisitions or disposals during the reporting period - As of June 30, 2025, the Group did not hold any material investments[128] - There were no future plans for material investments or capital assets during the reporting period[128] - There were no material acquisitions or disposals of subsidiaries, associates, or joint ventures during the reporting period[128] Employees and Remuneration Policy As of June 30, 2025, the company had 383 employees, with a focus on attracting and retaining high-caliber R&D talent Number of Employees by Function | Function | Number of Employees | | :--- | :--- | | Business Unit | 67 | | R&D Staff | 253 | | Administration | 20 | | Management | 43 | | Total | 383 | - The company is committed to attracting, recruiting, and retaining qualified employees by offering opportunities to work on cutting-edge biologics projects[130] - Employee remuneration includes salaries and bonuses, with contributions made to social insurance funds; a labor union has been established in Taizhou[131] Corporate Governance and Securities Transactions The Group is committed to high standards of corporate governance and has complied with all applicable code provisions - The Group is committed to maintaining high standards of corporate governance and has adopted the Corporate Governance Code[132] - The Board believes the company has complied with all applicable code provisions of the Corporate Governance Code during the reporting period[132] - The company has adopted the Model Code for securities transactions by directors, and all directors have confirmed their compliance[133] Material Litigation The company was not involved in any material litigation or arbitration during the reporting period - During the reporting period, the Company was not involved in any material litigation or arbitration[135] - The directors are not aware of any pending or threatened material litigation or claims against the Group[135] Audit Committee and Review of Financial Report The Audit Committee has reviewed the interim financial statements and confirmed the adequacy of the internal control system - The Audit Committee has reviewed the Group's interim consolidated financial statements for the six months ended June 30, 2025[136] - The Audit Committee discussed accounting principles, policies, and internal control matters with senior management and the external auditor, Ernst & Young[136] - The Audit Committee is satisfied that the internal control system is sufficient to identify, manage, and mitigate various operational risks[136] Important Events After the Reporting Date There were no significant events requiring disclosure between June 30, 2025, and the date of this announcement - From June 30, 2025, up to the date of this announcement, there were no important events requiring disclosure by the Group[137] Publication of Interim Report and Acknowledgement The interim report will be published on the websites of the Stock Exchange and the company in due course - This announcement is published on the websites of the Stock Exchange and the Company[138] - The interim report for the six months ended June 30, 2025, will be published in due course[138] - The Board extends its sincere thanks and appreciation to all shareholders, business partners, and employees[139] Definitions This section provides definitions for key terms and abbreviations used throughout the report to ensure clear understanding - This section provides definitions for key terms and abbreviations used in the report[140] - Definitions include company names, core products (CMAB007, CMAB009, and CMAB008), regulatory bodies (NMPA), and financial terms (NDA, GMP)[140][141][142]