Core Viewpoint - The company reported strong financial performance for H1 2025, with total revenue of 7.434 billion RMB, a year-on-year increase of 14.3%, and a net profit attributable to shareholders of 3.135 billion RMB, up 15.02% [1] Financial Performance - Total revenue for H1 2025 reached 74.34 billion RMB, reflecting a 14.3% year-on-year growth [1] - Net profit attributable to shareholders was 31.35 billion RMB, marking a 15.02% increase compared to the previous year [1] - Revenue from innovative drug products amounted to 61.45 billion RMB, up 22.1%, accounting for 82.7% of total revenue [1] Product Revenue Breakdown - Revenue from the oncology product portfolio, including drugs like Amatinib and Flumatinib, was 45.31 billion RMB, remaining stable year-on-year [1] - Revenue from the anti-infection product portfolio, including Adefovir and Metronidazole, reached 7.35 billion RMB, a 4.9% increase [1] - Revenue from the central nervous system disease product portfolio, including Inalizumab, was 7.68 billion RMB, up 4.8% [1] - Revenue from the metabolic and other diseases product portfolio surged to approximately 14.00 billion RMB, a significant increase of 134.5% [1] Strategic Developments - The company received an upfront payment of 112 million USD from MSD for the agreement related to HS-10535 (an oral small molecule GLP-1RA) [1] - The sales data from sample hospitals indicated a growth from 18.41 million RMB in 2020 to 1.784 billion RMB in 2024, with a compound annual growth rate of 214% [2] - Amatinib has expanded its indications related to NSCLC, with four approved indications and additional ones under review [2] Clinical Development - The company has over 40 candidate innovative drugs undergoing more than 70 clinical trials as of H1 2025 [3] - Eight new innovative drugs entered clinical trials in H1 2025, including HS-20122 (EGFR/c-Met ADC) and HS-10510 (PCSK9) [3] - Three new drugs entered Phase III clinical trials, including HS-20137 (IL-23p19) for psoriasis and two ADCs for bone and soft tissue sarcoma and ovarian cancer, with overseas rights granted to GSK [3] Revenue and Profit Forecast - The company's revenue forecast for 2025 has been revised upward from 13.741 billion RMB to 14.668 billion RMB, with expected revenues of 15.835 billion RMB and 17.779 billion RMB for 2026 and 2027, respectively [3] - The net profit forecast for 2025 has been adjusted from 4.746 billion RMB to 5.167 billion RMB, with expected net profits of 5.325 billion RMB and 6.133 billion RMB for 2026 and 2027, respectively [3]

Core Viewpoint - Tianfeng Securities maintains an "overweight" rating for Hansoh Pharmaceutical, adjusting revenue and net profit forecasts for 2025, 2026, and 2027 due to expected large BD transaction payments [1] Group 1: Financial Performance - The revenue forecast for 2025 is raised from 137.41 billion to 146.68 billion RMB, with expected revenues of 158.35 billion and 177.79 billion RMB for 2026 and 2027 respectively [1] - The net profit forecast for 2025 is increased from 47.46 billion to 51.67 billion RMB, with expected net profits of 53.25 billion and 61.33 billion RMB for 2026 and 2027 respectively [1] - In the first half of 2025, total revenue reached 74.34 billion RMB, with a net profit of 31.35 billion RMB [1] Group 2: Product Performance - Revenue from innovative drug products reached 61.45 billion RMB, accounting for 82.7% of total revenue [1] - The metabolic and other fields saw significant growth, with revenue from this segment approximately 14.00 billion RMB, a year-on-year increase of 134.5% [1] - The anti-tumor product portfolio, including Amatinib and Flumatinib, generated revenue of 45.31 billion RMB, remaining stable year-on-year [1] Group 3: Innovation and Clinical Development - Over 40 candidate innovative drugs are undergoing more than 70 clinical trials, with 8 new drugs entering clinical trials in the first half of 2025 [3] - Three drugs have entered Phase III clinical trials, including HS-20137 for psoriasis and HS-20093 and HS-20089 for sarcoma and ovarian cancer respectively [3] - The TYK2 inhibitor HS-10374 is also in Phase III trials, showing low skin toxicity risk [3] Group 4: Market Position and Growth - Amatinib, as the first domestic third-generation EGFR TKI, has seen rapid sales growth, with a compound annual growth rate of 214% from 2020 to 2024 [2] - Amatinib is expanding its indications related to NSCLC, with four approved indications and additional ones expected in 2025 [2] - The drug received approval from the UK MHRA in June 2025, marking Hansoh's first entry into the overseas market [2]

Core Viewpoint - Tianfeng Securities maintains an "overweight" rating for Hansoh Pharmaceutical (03692), adjusting the 2025 revenue forecast from 13.741 billion to 14.668 billion RMB, with expected revenues of 15.835 billion and 17.779 billion RMB for 2026 and 2027 respectively. The net profit forecast for 2025 is raised from 4.746 billion to 5.167 billion RMB, with projections of 5.325 billion and 6.133 billion RMB for 2026 and 2027 respectively [1] Group 1 - In H1 2025, the total revenue of the company reached 7.434 billion RMB, with a net profit of 3.135 billion RMB. Revenue from innovative drug products amounted to 6.145 billion RMB, accounting for 82.7% of total revenue [1] - The revenue from the metabolic and other fields saw significant growth, with the MSD upfront payment received [1] - In H1 2025, the product portfolio in the oncology field, including Amivantamab and Furmonertinib, generated revenue of 4.531 billion RMB, remaining stable year-on-year [1] Group 2 - The sales of Amivantamab, the first domestic third-generation EGFR TKI, have rapidly increased, with a compound annual growth rate of 214% from 2020 to 2024, reaching 1.784 billion RMB in 2024 [2] - Amivantamab has expanded its indications related to NSCLC, with four approved indications and additional approvals expected in 2025 [2] - The company aims to obtain EMA recognition for Amivantamab in overseas markets following its approval by the UK MHRA in June 2025 [2] Group 3 - The company has over 40 candidate innovative drugs undergoing more than 70 clinical trials as of H1 2025 [3] - Eight new innovative drugs entered clinical trials in H1 2025, including HS-20122 (EGFR/c-Met ADC) and HS-10510 (PCSK9) [3] - Three new drugs entered Phase III clinical trials, including HS-20137 (IL-23p19) for psoriasis and two ADCs for bone and soft tissue sarcoma and ovarian cancer, with overseas rights granted to GSK [3]

Investment Rating - The investment rating for the company is "Accumulate" [6] Core Views - The company reported a total revenue of 7.434 billion yuan for H1 2025, representing a year-on-year growth of 14.3%, with a net profit attributable to shareholders of 3.135 billion yuan, up 15.02% year-on-year [1] - Revenue from innovative drug products reached 6.145 billion yuan, showing a year-on-year increase of 22.1%, and accounted for 82.7% of total revenue [1] - The metabolic and other fields saw significant revenue growth, with a 134.5% increase in revenue from related products, amounting to approximately 1.4 billion yuan [2] Summary by Sections Financial Performance - The company adjusted its 2025 revenue forecast from 13.741 billion yuan to 14.668 billion yuan, with expected revenues of 15.835 billion yuan and 17.779 billion yuan for 2026 and 2027, respectively [5] - The net profit forecast for 2025 was raised from 4.746 billion yuan to 5.167 billion yuan, with projections of 5.325 billion yuan and 6.133 billion yuan for 2026 and 2027 [5] Product Development - The company has over 40 candidate innovative drugs undergoing more than 70 clinical trials, with 8 new innovative drugs entering clinical trials in H1 2025 [4] - Three new drugs have entered Phase III clinical trials, including HS-20137 for psoriasis and two ADCs for bone and soft tissue sarcomas and ovarian cancer, with overseas rights granted to GSK [4] Market Position - The sales of the domestic first third-generation EGFR TKI, Amatinib, have grown rapidly, with a compound annual growth rate of 214% from 2020 to 2024, and it is expected to account for about 28% of total sales in 2024 [3] - The company is actively expanding indications related to NSCLC, with multiple approvals and ongoing NDA reviews for new treatment indications [3]

Investment Rating - The report assigns an "Accumulate" rating for the company, marking it as the first coverage with a target price of HKD 29.50, compared to the current price of HKD 27.2 [5]. Core Viewpoints - The company is recognized as a leading innovation-driven pharmaceutical enterprise, focusing on oncology, anti-infection, central nervous system, metabolic diseases, and autoimmune diseases. It is projected to achieve a revenue of HKD 12.26 billion in 2024, representing a 21% year-on-year growth, and a net profit of HKD 4.372 billion, reflecting a 33% increase [1][5]. - The company has successfully launched multiple innovative drugs, with a strong pipeline that is expected to drive future growth. The sales of innovative drugs are anticipated to continue increasing, with a projected revenue of HKD 9.477 billion in 2024, marking a 38.1% year-on-year growth [16][24]. Summary by Sections 1. Innovation and R&D - The company has established a comprehensive R&D system, employing over 1,800 professionals and creating several national-level research institutions. It has been recognized as a key high-tech enterprise and a national technology innovation demonstration enterprise [14][26]. - The company has eight innovative drugs approved for market, including Amelotin (甲磺酸阿美替尼片) and Fluoromethylnitro (甲磺酸氟马替尼片), which are expected to contribute significantly to revenue growth [16][17]. 2. Market Performance - The sales of Amelotin, the first domestic third-generation EGFR TKI, are projected to grow rapidly, with a compound annual growth rate (CAGR) of 214% from 2020 to 2024, capturing approximately 28% of the total sales of third-generation EGFR TKIs by 2024 [2]. - The company has also seen significant sales growth in Fluoromethylnitro, with a 54% increase in 2023 and a projected 36% growth in 2024 [3]. 3. Future Growth Potential - The company has a robust pipeline with several innovative drugs in various stages of clinical trials, including HS-20089 and HS-20093, which have entered phase II and III trials, respectively [4]. - The company is expanding its market presence through collaborations, such as granting global exclusive licensing rights for HS-10535 to Merck, indicating strong potential for future revenue streams [4][5]. 4. Financial Projections - Revenue forecasts for 2025, 2026, and 2027 are projected at HKD 13.741 billion, HKD 15.567 billion, and HKD 17.374 billion, respectively, with net profits expected to reach HKD 4.746 billion, HKD 5.336 billion, and HKD 5.850 billion [5].

Investment Rating - The report assigns an "Accumulate" rating for the company, marking it as the first coverage with a target price of HKD 29.50, compared to the current price of HKD 27.2 [5]. Core Viewpoints - The company is recognized as a leading innovative pharmaceutical enterprise with a focus on oncology, anti-infection, central nervous system, metabolic diseases, and autoimmune diseases. It has shown robust performance with a projected revenue of HKD 12.26 billion for 2024, representing a 21% year-on-year growth, and a net profit of HKD 4.372 billion, reflecting a 33% increase [1][5]. - The company has successfully launched multiple innovative drugs, with significant sales growth in its key products, particularly in the oncology sector, which is expected to account for 66.24% of total revenue by 2024 [17][24]. Summary by Sections 1. Innovation and R&D - The company has established a comprehensive R&D system with over 1,800 professional researchers, focusing on drug discovery and clinical research. It has been recognized as a national high-tech enterprise and a national technology innovation demonstration enterprise [14][26]. - The company has eight innovative drugs approved for market, including Amelotin (甲磺酸阿美替尼片) and Fluoromethine (甲磺酸氟马替尼片), which have shown strong sales performance [16][17]. 2. Sales Performance - The sales of Amelotin are projected to grow at a compound annual growth rate (CAGR) of 214% from 2020 to 2024, capturing approximately 28% of the total sales for third-generation EGFR TKIs by 2024 [2]. - The sales of Fluoromethine increased by 54% in 2023 compared to the previous year, with a projected growth of 36% in 2024 [3]. 3. Future Growth Potential - The company has a robust pipeline with several innovative drugs in various stages of clinical trials, including HS-20089 and HS-20093, which have entered phase II and III trials, respectively [4]. - The company is expanding its market presence with global licensing agreements for its innovative drugs, indicating strong potential for future revenue growth [4][5]. 4. Financial Forecast - The revenue forecast for the company is set at HKD 13.741 billion, HKD 15.567 billion, and HKD 17.374 billion for the years 2025, 2026, and 2027, respectively, with net profits projected at HKD 4.746 billion, HKD 5.336 billion, and HKD 5.850 billion [5].