Financial Performance - The Group's revenue for Q1 2022 was HK$324,750,000, representing a 14.7% increase compared to HK$283,142,000 in Q1 2021[4]. - The gross profit for Q1 2022 was HK$215,826,000, with a gross profit margin of 66.5%, a decrease of 1.5 percentage points from 68.0% in Q1 2021[4]. - Net profit attributable to the owners of the Company in Q1 2022 was HK$20,307,000, a decrease of 50.5% compared to the same quarter in 2021[11]. - For the three months ended March 31, 2022, the revenue was HK$324,750,000, an increase from HK$283,142,000 in the same period of 2021, representing a growth of approximately 14.7%[42]. - Profit for the period decreased to HK$20,665,000 from HK$36,356,000 year-over-year, reflecting a decline of approximately 43.3%[44]. - Basic earnings per share for Q1 2022 was HK$3.45, down from HK$6.98 in Q1 2021, a decrease of about 50.6%[42]. - The total comprehensive expense for the period was HK$304,203,000, compared to HK$61,956,000 in the previous year, indicating a significant increase in expenses[44]. - The operating profit for the period was HK$35,503,000, down from HK$47,366,000 in the previous year, reflecting a decline of approximately 25.1%[42]. - The total comprehensive expense for the period was HK$53,047, highlighting the financial challenges faced during this timeframe[51]. - The total interest income for the Group was HK$24,621,000, down from HK$31,581,000 in the same period of 2021[80]. - The Group's taxation for the three months ended 31 March 2022 amounted to HK$12,846,000, compared to HK$7,475,000 in the same period of 2021[84]. Revenue Composition - Sales from licensed-in products accounted for 61.8% of total revenue in Q1 2022, up from 55.6% in Q1 2021, while proprietary and generic products contributed 38.2%, down from 44.4%[4]. - Revenue from proprietary and generic products was HK$124,020,000, while revenue from licensed-in products was HK$200,730,000, indicating a significant contribution from licensed-in products[74]. - More than 90% of the Group's revenue was derived from activities conducted in the People's Republic of China (PRC) during the reporting period[76]. Research and Development - R&D expenses totaled HK$103,801,000 in Q1 2022, representing 32.0% of quarterly revenue, compared to 27.0% in Q1 2021[6]. - The Group aims to optimize resource allocation among prioritized R&D projects while keeping expenditures within revenue limits for the fiscal year ending December 2022[6]. - The Group has over 40 projects in its pipeline, ranging from early to late-stage development, with several applications under review by the Centre for Drug Evaluation (CDE) and the National Medical Products Administration (NMPA) for various drugs[15][17][21][24]. - The oncology pipeline includes 10 assets, with 6 innovative and 4 generics, focusing on immuno-oncology, including Socazolimab in various clinical trial stages for cervical cancer and small cell lung cancer[20][23]. Product Approvals and Developments - The Group obtained 4 ANDA and IDL approvals from NMPA during the quarter[21][24]. - Zingo® received its Drug Registration Certificate on March 1, 2022, for use in local analgesia prior to venipuncture in children and adults[22][25]. - INOmax® was approved on March 8, 2022, for treating hypoxic respiratory failure associated with pulmonary hypertension in infants[27][30]. - High Concentration Treprostinil Injection received approval on March 9, 2022, with a specification of 20ml: 50mg[28][31]. - Natulan® was approved on April 21, 2022, for use in combination with chemotherapy to treat Hodgkin's lymphoma in adults[29][32]. - The Group anticipates more NDA approvals in 2022, including Teglutik® for Amyotrophic Lateral Sclerosis (ALS) and Nadroparin Calcium Injection[34][36]. Strategic Initiatives - The Group launched flagship online stores on Alibaba.com and JD.com in March 2022 to enhance brand awareness and expand sales channels[7]. - The Group is focusing on efficiency across the value chain, particularly in sales and R&D, to adapt to the new normal[35]. - The company is focusing on optimizing its product portfolio to create development opportunities amid a challenging regulatory environment[38]. - The company has implemented measures to adapt to the "new normal," emphasizing efficiency in key processes such as sales and R&D[38]. Financial Position and Investments - The total retained profits stood at HK$2,100,295, indicating a strong accumulation of earnings over time[51]. - The total share capital was reported at HK$5,000, indicating a stable equity base[51]. - The company has a significant investment in financial assets, with fair value changes impacting overall financial performance[51]. - Capital commitments for intangible assets (license fee and development cost) amounted to HK$36,730,000, while property, plant, and equipment commitments were HK$143,945,000, totaling HK$266,949,000[114]. Corporate Governance and Compliance - The company has applied new amendments to HKFRS for the first time, which are effective for annual periods beginning on or after January 1, 2022, without material impact on reported amounts[63]. - The unaudited condensed consolidated financial statements were prepared in accordance with Hong Kong Accounting Standards, ensuring compliance with local regulations[54]. - The company has not early adopted new HKFRS amendments that are issued but not yet effective, indicating a cautious approach to accounting changes[68]. - The Board does not recommend payment of dividends for the three months ended 31 March 2022, consistent with the previous year[115].
李氏大药厂(00950) - 2022 Q1 - 季度财报