KHPG(SZ:002773) Huafu Securities·2025-03-16 13:08Investment Rating - The report maintains an "Outperform" rating for the industry [7]. Core Insights - The report highlights the potential of gene therapy for retinal diseases, particularly focusing on the single-dose treatment that could replace long-term injections, with a specific emphasis on Kanghong Pharmaceutical [4][5]. - The global market for retinal diseases, primarily age-related macular degeneration (AMD), is approaching $20 billion and continues to grow, indicating significant unmet medical needs [4][32]. - The report identifies key players in the gene therapy space, including REGENXBIO and AbbVie, with their product ABBV-RGX-314 expected to complete critical Phase 3 clinical trials in 2025 [4][46]. Summary by Sections 1. Market Overview - The CITIC Pharmaceutical Index rose by 1.9% during the week of March 10-14, 2025, outperforming the CSI 300 Index by 0.3 percentage points [3]. - The pharmaceutical sector has shown resilience, with innovative drugs performing well and a positive market sentiment driven by policy changes and new healthcare initiatives [5]. 2. Gene Therapy for Retinal Diseases - Gene therapy is seen as an ideal solution for retinal diseases due to the unique characteristics of the eye, such as immune privilege and low treatment dosage requirements [4][26]. - Current treatments for AMD involve frequent injections, which pose challenges in patient compliance and treatment burden [36]. - Kanghong Pharmaceutical is highlighted for its advanced clinical products KH631 and KH658, which are expected to enter clinical trials in 2023 and 2024, respectively [4][26]. 3. Key Players and Products - ABBV-RGX-314, developed by REGENXBIO and AbbVie, is in Phase 3 trials and has shown promising results in reducing treatment burden by 97% for patients previously requiring frequent injections [64]. - 4DMT's product 4D-150 is designed to inhibit multiple VEGF targets and is expected to significantly reduce treatment needs for wAMD patients [77][89]. - Adverum's Ixo-vec is also entering Phase 3 trials, aiming to provide sustained effects through a single injection [99]. 4. Investment Recommendations - The report recommends focusing on innovative drugs and companies with strong growth potential, particularly those involved in gene therapy and AI applications in healthcare [5][6].