Financial Performance - Revenue increased by RMB 689.3 million or 22.3% to RMB 3,783.8 million compared to the six months ended June 30, 2022[2]. - Gross profit rose by RMB 636.4 million or 24.8% to RMB 3,201.6 million, with a gross margin increase from 82.9% to 84.6%[2]. - Net profit attributable to equity holders of the parent increased by RMB 13.7 million or 1.4% to RMB 980.6 million, while normalized net profit rose by RMB 199.3 million or 20.1% to RMB 1,191.5 million[2]. - EBITDA increased by RMB 37.5 million or 2.9% to RMB 1,330.5 million, with normalized EBITDA up by RMB 228.4 million or 17.7% to RMB 1,518.1 million[2]. - The company reported a total comprehensive income of RMB 933.6 million for the period, compared to RMB 892.2 million for the same period last year[9]. - The company’s basic earnings per share increased to RMB 0.40 from RMB 0.39 year-on-year[5]. - The profit attributable to equity holders of the parent company for the six months ended June 30, 2023, was RMB 980,577,000, compared to RMB 966,893,000 for the same period in 2022, representing an increase of approximately 1.1%[31]. - Basic earnings per share for the first half of 2023 were RMB 0.402, compared to RMB 0.394 in the same period of 2022[30]. Assets and Liabilities - Total non-current assets amounted to RMB 12,918.6 million as of June 30, 2023, compared to RMB 12,258.4 million as of December 31, 2022[10]. - Current assets totaled RMB 10,251.3 million as of June 30, 2023, an increase from RMB 9,750.5 million as of December 31, 2022[10]. - Current liabilities increased to RMB 3,559.6 million as of June 30, 2023, compared to RMB 1,843.9 million as of December 31, 2022[10]. - The net asset value was RMB 15,964.4 million as of June 30, 2023, up from RMB 15,363.6 million as of December 31, 2022[11]. - The total equity attributable to owners of the parent company increased to RMB 13,520,757 thousand as of June 30, 2023, compared to RMB 12,925,805 thousand in the previous year, reflecting a growth of approximately 4.6%[12]. - The total borrowings as of June 30, 2023, were RMB 4,937,483,000, compared to RMB 4,478,742,000 as of December 31, 2022, reflecting an increase of about 10.2%[43]. - The total interest-bearing bank borrowings increased to approximately RMB 3,725.7 million from RMB 2,315.0 million as of December 31, 2022, reflecting an increase of approximately RMB 1,640.9 million during the reporting period[96]. Revenue Sources - Revenue for the six months ended June 30, 2023, reached RMB 3,783,833 thousand, a 22.3% increase from RMB 3,094,460 thousand in the same period of 2022[20]. - Revenue from the sale of biopharmaceutical products and contract development and manufacturing services was RMB 3,688,923 thousand for the first half of 2023, up from RMB 3,039,146 thousand in the prior year, representing a growth of 21.5%[20]. - The company reported external customer revenue from mainland China of RMB 3,684,591 thousand for the first half of 2023, compared to RMB 3,019,862 thousand in the same period of 2022, marking an increase of 22%[18]. - Total customer contract revenue for 2023 reached RMB 3,783,833 thousand, a 22.2% increase from RMB 3,094,460 thousand in 2022[21]. - The CDMO business generated approximately RMB 95 million in customer orders in the first half of 2023, showcasing strong demand for biopharmaceutical services[67]. - The revenue from CDMO business rose to approximately RMB 94.9 million, an increase of about RMB 39.6 million or 71.6% compared to RMB 55.3 million in the previous year[82]. Market Position and Products - The company reported a market share of 64.6% for its core product, Teplizumab, in the platelet reduction treatment market in China for the first half of 2023[51]. - The company has a 42.9% market share in the rhEPO market, maintaining its position as a leader for the past 20 years[51]. - Tebipenem, a proprietary product developed by the company, has a market share of 33.1% in terms of volume and 64.6% in terms of sales for the treatment of thrombocytopenia in mainland China as of the first half of 2023[56]. - The market share of Erythropoietin in the rhEPO market is primarily held by the company and its competitor, accounting for a significant portion of the 10,000 IU dosage market[57]. - The market share of Etanercept in the TNFα inhibitor market in mainland China was 23.7% in the first half of 2023[59]. - The sales of the innovative anti-HER2 monoclonal antibody, Eniotuzumab (Saiputing), expanded to over 1,300 hospitals in mainland China in the first half of 2023, with an increasing average treatment duration per patient[60]. - Mandi (Minoxidil) captured a market share of 70.3% in mainland China in the first half of 2023, with a year-on-year sales growth of 35.3%[62]. Research and Development - The company has 30 products in active development, with 25 of them being innovative drugs in mainland China, including 14 antibody products and 10 small molecule drugs[72]. - The research and development team consists of nearly 600 experienced scientists focused on accelerating clinical development and seeking breakthrough therapies[71]. - The company is conducting clinical trials for various innovative biological products and small molecule drugs targeting diseases such as renal disease, tumors, autoimmune diseases, and skin conditions[70]. - The company is actively preparing for bioequivalence studies for several small molecule generic products in the fields of nephrology, autoimmune diseases, and dermatology[70]. - The company has initiated a Phase III clinical study for Teplizumab to treat chronic liver disease-related thrombocytopenia, with the first patient enrolled recently[53]. - The company is actively pursuing clinical development for TRK-820 in chronic liver disease to meet the clinical needs of patients in China[66]. Expenses and Financial Management - Sales and distribution expenses amounted to approximately RMB 1,374.8 million, an increase of about RMB 224.5 million or 19.5% compared to RMB 1,150.3 million for the six months ended June 30, 2022[86]. - Administrative expenses were approximately RMB 214.4 million, up by about RMB 16.3 million or 8.2% from RMB 198.1 million for the six months ended June 30, 2022[87]. - R&D costs increased to approximately RMB 306.6 million, a rise of about RMB 12.3 million or 4.2% compared to RMB 294.3 million for the six months ended June 30, 2022[88]. - Financing costs rose to approximately RMB 88.9 million, an increase of about RMB 52.4 million or 143.6% compared to RMB 36.5 million for the six months ended June 30, 2022[90]. - Income tax expenses increased to approximately RMB 207.6 million, up by about RMB 43.6 million or 26.6% from RMB 164.0 million for the six months ended June 30, 2022[91]. Strategic Initiatives - The company is focusing on increasing brand awareness and market penetration, currently at only 2-3% among the 250 million people suffering from hair loss in mainland China[62]. - The company aims to enhance its digital marketing strategy by expanding its online presence to new platforms like Douyin and Xiaohongshu, targeting potential customers more effectively[62]. - The company plans to focus on accelerating the development of autoimmune products and exploring multiple indications in the second half of 2023[80]. - The company is preparing for clinical trial applications for Winlevi® in mainland China, aiming to provide new treatment options for millions of acne patients[68]. - The company is committed to continuous market education and resource investment to promote scientific hair restoration and enhance brand recognition[62]. Corporate Governance - The audit committee reviewed the group's unaudited interim results and found the internal control and risk management systems to be effective and sufficient[108]. - The board of directors includes executive directors Dr. Liu Jing and Ms. Su Dongmei, as well as non-executive director Mr. Huang Bin, and independent non-executive directors Mr. Pu Tianruo, Ms. Yang Kaidi, Mr. Huang Zuyao, and Dr. Zhang Dan[110].
三生制药(01530) - 2023 - 中期业绩