Core Viewpoint - The successful debut of Xuan Bamboo Biotech (02575.HK) on the Hong Kong Stock Exchange, with a first-day surge of 126.72%, reflects a positive market sentiment towards biotech stocks, particularly those under the 18A listing category [1][8]. Company Overview - Xuan Bamboo Biotech is a subsidiary of Sihuan Pharmaceutical (00460.HK) and has previously attempted to list on the STAR Market without success [1][3]. - The company has three approved products and is actively developing over ten drug assets targeting various diseases, including gastrointestinal disorders, tumors, and non-alcoholic fatty liver disease [3][4]. Financial Performance - Despite the successful listing, Xuan Bamboo Biotech has not yet turned a profit, with revenues of 2.9 million and 30.09 million in 2023 and 2024, respectively, while incurring losses of 300 million and 556 million [6]. - As of the first half of 2025, the company reported revenues of 17.89 million and a loss of 111 million, with cash and cash equivalents dwindling to 8.56 million [6]. Product Pipeline - The core product, KBP-3571, is set to be commercialized starting November 2023, targeting duodenal ulcers and expanding its indications to gastroesophageal reflux disease by the end of 2026 [3][4]. - Other significant products include XZP-3287, a CDK4/6 inhibitor approved for HR+/HER2- advanced breast cancer, and XZP-3621, an ALK-targeted therapy for non-small cell lung cancer [4][5]. Market Sentiment - The recent performance of 18A new stocks, including Xuan Bamboo Biotech, indicates a recovery in investor confidence in the biotech sector, with several stocks experiencing significant first-day gains [1][8]. - The overall market sentiment has improved, leading to higher valuations and expectations for biotech companies [8].

Core Viewpoint - The successful debut of Xuan Bamboo Biotech (02575.HK) on the Hong Kong Stock Exchange, with a first-day surge of 126.72%, reflects a positive market sentiment towards biotech stocks, particularly those listed under the 18A category [1][3][7] Company Overview - Xuan Bamboo Biotech is a subsidiary of Sihuan Pharmaceutical (00460.HK) and has previously attempted to list on the STAR Market without success [1][3] - The company has three approved products and is actively developing over ten drug assets targeting various diseases, including gastrointestinal disorders, tumors, and non-alcoholic fatty liver disease [3][4] Financial Performance - Despite the successful listing, Xuan Bamboo Biotech reported continuous losses, with projected losses increasing in 2024. Revenue figures for 2023 and 2024 are 29,000 yuan and 30.09 million yuan, respectively, with losses of 301 million yuan and 556 million yuan for the same periods [5][6] - The increase in losses is attributed to reduced revenue and rising administrative expenses, particularly due to stock-based compensation for management and staff [6] Market Sentiment and Trends - The recent performance of 18A new stocks, including Xuan Bamboo Biotech, indicates a recovery in investor confidence in the biotech sector, with several stocks experiencing significant first-day gains [1][7] - The overall market sentiment towards the biotech industry has improved, driven by increased global focus on biopharmaceutical research and technological advancements [7]