Core Viewpoint - The company is undergoing a full transformation towards innovative drug research and development, with significant financial resources to support its activities until 2029 [3]. Group 1: Financial Performance - The company reported a revenue of 0.01 billion RMB and a net profit attributable to shareholders of -0.88 billion RMB for the first half of 2025 [3]. - The company has approximately 18.28 billion RMB in cash and cash equivalents, which is expected to sustain its R&D and operations until 2029 [3]. Group 2: Product Development - ASC30 has shown promising results in its Phase Ib clinical trial, with an average weight loss of 6.5% in obese patients after 28 days of oral administration, positioning it as a potential best-in-class oral GLP-1 small molecule weight loss drug [4]. - The company is advancing ASC30 into Phase IIa clinical trials in the U.S., with topline data expected in Q4 2025 and Q1 2026 for oral and subcutaneous administration, respectively [4]. - ASC47, a fat-targeting drug, demonstrated a long half-life and potential for weight loss without muscle loss in its Phase Ib trial, with a peak weight loss of 1.7% observed [5]. - The company is conducting clinical trials for ASC47 in combination with semaglutide, with topline data anticipated later this year [5].

Investment Rating - The report maintains a "Buy" rating for the company [5] Core Insights - The company focuses on innovative drug development, particularly in metabolic products, and has a strong cash position to support its R&D activities until 2029 [1] - ASC30, a potential best-in-class GLP-1 small molecule weight loss drug, shows promising clinical data with an average weight reduction of 6.5% after 28 days of oral administration [2] - ASC47, another drug in development, demonstrates the potential for fat loss without muscle loss when used in combination with GLP-1 peptides, with ongoing clinical trials expected to yield data this year [3] Financial Performance and Forecast - The company reported a revenue of 0.01 billion RMB and a net profit of -0.88 billion RMB for the first half of 2025 [1] - The revenue forecast for 2025 is expected to remain at 0.01 billion RMB, with a projected net profit of -4.21 billion RMB, an improvement from previous estimates [4][9] - The estimated earnings per share (EPS) for 2025 is projected at -0.43 RMB [4][9]

Group 1 - Company Gilead Sciences announced a pre-market placement agreement to issue 52.4 million shares at HKD 16.45 per share, representing a discount of approximately 9.9% from the previous closing price [1] - The total gross and net proceeds from the placement are expected to be HKD 474 million and HKD 468 million, respectively, with about 90% of the funds allocated for clinical trials related to obesity treatments [1] - Following the announcement, Gilead's stock price fell over 13%, closing at HKD 15.79, with a market capitalization of HKD 15.32 billion [1] Group 2 - In the first half of the year, Gilead reported revenue of HKD 104 million, a year-on-year increase of 111.4%, and a net loss of HKD 87.95 million, narrowing by 32.5% [2] - As of mid-2025, Gilead's cash and cash equivalents reached HKD 1.58 billion, indicating sufficient reserves to support R&D activities until 2029 [2] - R&D expenses increased by approximately 10.9% to HKD 147 million, facilitating progress in metabolic and immune disease pipelines, particularly in obesity treatments with candidates ASC30 and ASC47 [2]

Core Viewpoint - The stock price of Gilead Sciences-B (01672) has increased over 3%, with a cumulative rise of over 100% in the past month, reflecting strong market performance and positive developments in its drug pipeline [1] Financial Performance - For the six months ending June 30, 2025, the company reported total revenue of RMB 104 million, representing a year-on-year increase of 111.4% [1] - Research and development costs amounted to RMB 147 million, showing a year-on-year increase of 10.9% [1] - The loss attributable to equity shareholders was RMB 87.95 million, a reduction of 32.5% compared to the previous year [1] - The loss per share was reported at 9.14 cents [1] Drug Development Progress - Significant advancements were made in the metabolic disease pipeline, immune disease pipeline, and expanded indication product pipeline [1] - The ASC30 oral tablet for obesity treatment demonstrated a weight reduction of up to 6.5% after 28 days in a U.S. Phase Ib study, indicating its potential as a best-in-class candidate for obesity treatment [1] - The company initiated a U.S. Phase IIa study and rapidly enrolled 125 participants within just over a month [1] - The ASC30 subcutaneous injection, administered once monthly or less frequently, showed a half-life of 36 days in obesity patients during a U.S. Phase Ib study, supporting its potential for less frequent dosing [1]

Investment Rating - The report maintains an investment rating of "Outperform" [4] Core Insights - Novo Nordisk's semaglutide has received FDA approval for a new indication for the treatment of Metabolic Dysfunction-associated Steatotic Liver Disease (MASH), which is expected to increase the sales scale of GLP-1 drugs beyond diabetes and weight loss indications [21][24] - The report highlights the significant market potential for GLP-1 drugs and the deep positioning of domestic companies in this field, particularly regarding overseas licensing opportunities for domestic GLP-1 products [25] Summary by Sections Weekly New Drug Market Review - From August 11 to August 17, 2025, the top five gainers in the new drug sector were: Beihai Kangcheng (+35.6%), Basilea Pharmaceutica (+32.6%), Deqi Pharmaceuticals (+30.2%), Heyu Biotech (+30.1%), and Gilead Sciences (+29.7%). The top five losers were: Boan Biologics (-11.6%), Laika Pharmaceuticals (-3.9%), Ailis (-3.2%), Nossland (-1.2%), and CanSino Biologics (-1.1%) [16][18] Recommended Stocks - The report suggests focusing on domestic GLP-1 products for overseas licensing, including: 1. RAY1225 from Zhongsheng Pharmaceutical for GLP-1/GIP dual weekly administration 2. ASC30 from Gilead Sciences for oral GLP-1 small molecules 3. BGM0504 from Borui Pharmaceuticals and ZX2021 from Kangyuan Pharmaceuticals for multi-target GLP-1 receptor agonists 4. UBT251 from Lianfa Pharmaceuticals and HS-10535 from Hansoh Pharmaceutical for already licensed MNC products [20][25] Key Analysis of the New Drug Industry - The approval of semaglutide for MASH marks it as the first GLP-1 therapy approved for this condition, expanding treatment options for patients and potentially increasing market size [21][24] New Drug Application Approvals and Acceptances - This week, there were 6 new drug applications accepted, including semaglutide injection from Huisheng Biopharmaceutical and others [29][31] Clinical Application Approvals and Acceptances - This week, 18 new drug clinical applications were approved, and 39 new drug clinical applications were accepted [32][35]

Core Viewpoint - The company has shown strong progress in its core pipelines and financial performance in the first half of 2025, with significant revenue growth and promising clinical data expected in the near future [1][2][3] Financial Performance - The company's main operating revenue for H1 2025 was 1.08 million, primarily from R&D services [1] - R&D expenses for H1 2025 were 146 million, a year-on-year increase of 10.9%, with effective pipeline adjustments and cost optimizations [1] - Cash and cash equivalents at the end of H1 2025 reached 1.58 billion, a year-on-year increase of 361.9%, mainly due to the maturity of time deposits [1] Pipeline Development - ASC30, the company's core small molecule GLP-1 pipeline, demonstrated a 6.5% weight loss in a 4-week Phase I trial in the U.S., outperforming Eli Lilly's small molecule GLP-1 [1] - The company is currently conducting a Phase IIa trial for ASC30, with top-line data expected in Q4 2025 [1] - ASC47, a new THR-β target pipeline, is in Phase I clinical trials in the U.S., with top-line data anticipated in Q4 2025 [2] - ASC50, an oral small molecule for IL-17, is also in Phase I clinical trials, with top-line data expected by the end of 2025 [2] - The oral small molecule FASN inhibitor, Denifasita, is projected to submit a market application in China by 2026 based on excellent Phase III data [2] Profit Forecast and Investment Rating - The company’s pipeline progress aligns with expectations, increasing the likelihood of successful product launches [3] - Revenue forecasts for 2025-2027 have been adjusted to 0.02 billion, 0.64 billion, and 2.03 billion respectively [3] - The target price has been raised to 29.26 HKD, maintaining a "buy" rating based on improved pipeline success rates [3]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The report highlights that the company has made significant progress in its overseas clinical trials, which enhances the probability of success for its long-term pipeline [1] - The revenue forecast for 2025 has been adjusted upwards to 0.02 billion, 0.64 billion, and 2.03 billion for the years 2025, 2026, and 2027 respectively, indicating a positive outlook [1] - The target price has been raised to 29.26 HKD, reflecting increased confidence in the company's pipeline success [1] Financial Performance Summary - Total revenue for 2023 is projected at 56.69 million, with a year-on-year growth of 4.81% [1] - The net profit attributable to the parent company is expected to be negative at (144.72) million for 2023, with a year-on-year increase of 54.04% [1] - The earnings per share (EPS) for 2025 is estimated at (0.43) HKD, with a price-to-earnings (P/E) ratio of (18.70) [1] Pipeline Development - ASC30, the company's core GLP-1 pipeline, is currently in Phase IIa clinical trials in the US, with expected top-line data release in Q4 2025 [1] - ASC47, a new THR-β target pipeline, is also in clinical trials, with data expected in Q4 2025 [1] - ASC50, an oral small molecule for psoriasis, is in Phase I clinical trials, with top-line data anticipated by the end of 2025 [1] - The company has a strong cash position of 1.58 billion at the end of H1 2025, which supports ongoing research and development [1]

Core Viewpoint - Songlei Pharmaceutical-B has announced the completion of the Phase IIa study for its small molecule oral GLP-1R agonist ASC30, targeting obesity or overweight subjects, indicating rapid clinical advancement in a competitive market [1][2]. Group 1: Clinical Progress - ASC30 is the first and only small molecule GLP-1R agonist developed by the company that can be administered either orally once daily or via subcutaneous injection once monthly. The company initiated the Phase IIa clinical trial in early July and enrolled 125 subjects in just over a month, showcasing high efficiency. The treatment period lasts for 13 weeks, with top-line data expected in Q4 2025. Currently, the fastest progress in the global small molecule GLP-1 development pipeline is by Eli Lilly with Orforglipron, which has submitted an FDA application, while Pfizer has abandoned its small molecule GLP-1 pipeline, placing ASC30 in a competitive catch-up position [1]. Group 2: Potential and Safety Profile - ASC30 demonstrates potential to become a Best in Class (BIC) treatment due to its safety profile and rapid weight loss capabilities. According to data presented at the ADA conference from the Phase I MAD study, the average weight loss after four weeks was 6.4%. No severe adverse reactions, such as hepatotoxicity, were observed, and treatment-emergent adverse events (TEAEs) were mild, with no vomiting reported at doses of 2mg and 5mg. This positions ASC30 favorably in the market [1]. Group 3: ASC47 Development - ASC47, another small molecule THRβ agonist developed by the company, is designed for monthly injection and is currently in clinical trials in combination with semaglutide for treating obesity. ASC47 targets adipose tissue and is expected to provide synergistic effects when used with GLP-1, helping to reduce muscle loss while enhancing weight loss efficacy. The design of ASC47 allows for convenient monthly administration alongside GLP-1 [2]. Group 4: Financial Forecast - The company anticipates increased overseas clinical investment, projecting R&D expenses of 415 million, 487 million, and 540 million yuan for 2025, 2026, and 2027, respectively. The net profit attributable to the parent company is forecasted to be -372 million, -467 million, and -562 million yuan for the same years. Given the rapid clinical progress of ASC30 and ASC47, the company is positioned to achieve Best in Class potential in the small molecule weight loss drug development space, leading to a "Buy" investment rating [2].

Investment Rating - The report assigns a "Buy" investment rating for the company, indicating a positive outlook for its stock performance [11]. Core Insights - The company is making rapid progress in its clinical trials, particularly with its small molecule GLP-1R agonist ASC30, which has shown promising results in weight loss and safety [6][7]. - ASC30 is positioned to potentially become a "Best in Class" treatment due to its efficacy in weight reduction and low adverse effects [7]. - The company is also developing ASC47, a small molecule THRβ agonist, which is expected to work synergistically with GLP-1 treatments to enhance weight loss while minimizing muscle loss [8]. Clinical Development - The company initiated its first phase IIa clinical trial for ASC30 in early July, successfully enrolling 125 participants within a month [6]. - The expected timeline for top-line data from the ASC30 trial is Q4 2025 [6]. Financial Projections - The report forecasts the company's R&D expenses to increase to 415 million, 487 million, and 540 million RMB for the years 2025 to 2027, respectively [9]. - The projected net profit attributable to the parent company is expected to be -372.9 million, -467.09 million, and -562.67 million RMB for the years 2025 to 2027 [9][13]. - Revenue projections for 2021 to 2023 are not specified, but the report indicates a significant decline in revenue for 2024 [9][13]. Financial Statements Overview - The company's total assets are projected to decrease from 2,491.01 million RMB in 2023 to 571.46 million RMB by 2027 [14][16]. - The report highlights a significant drop in operating income, with a forecast of 1.28 million RMB in 2024 and no revenue expected in 2025 and 2026 [13][16]. - The cash flow statement indicates negative cash flow from operating activities, with projections of -555.17 million RMB in 2025 [15].

Market Trends - The domestic market indices showed positive performance with the Shanghai Composite Index closing at 3,683.46, up by 0.48%, and the Shenzhen Component Index rising by 1.76% to 11,551.36 [4]. Industry Commentary - In the chemical pharmaceutical sector, the oral GLP-1 small molecule receptor agonist has reached phase III clinical endpoints, showcasing weight loss potential in domestic pipelines during U.S. clinical trials [5][6]. - The AI-powered slag removal equipment developed by Qingda Environmental Protection has been recognized as internationally leading, aiming for a smart operation model with self-sensing and self-diagnosing capabilities [8][9]. Company Commentary - Qingda Environmental Protection (688501.SH) has received approval for a private placement to raise up to 150 million yuan, aimed at enhancing liquidity. The company is expected to see significant revenue growth driven by the demand for flexible transformation in thermal power generation [8][9]. - 361 Degrees reported a strong performance in e-commerce channels with a mid-year dividend payout ratio of 45%, reflecting robust growth in online sales [8]. - Industrial Fulian (601138.SH) reported a 35.58% year-on-year increase in revenue for the first half of 2025, driven by strong demand for AI servers and high-speed switches [17][19]. - Zhigao Machinery (920101.BJ) is recognized as a "small giant" in the engineering machinery sector, focusing on rock drilling equipment and air compressors, with a strong market presence [16]. Financial Performance - Qingda Environmental Protection anticipates revenue between 900 million to 1.25 billion yuan for the first half of 2025, representing a year-on-year growth of 75.1% to 143.2% [9]. - 361 Degrees expects revenues of 113.67 billion, 127.14 billion, and 141.10 billion yuan for 2025-2027, with net profits projected to grow steadily [12]. - Industrial Fulian's EPS is projected to be 1.56, 2.01, and 2.61 yuan for 2025-2027, maintaining a "buy-A" rating based on strong growth prospects [19].