Financial Data and Key Metrics Changes - Long coal production was 32.2 million tonnes, and attributable sellable coal production was 18.9 million tonnes, tracking well against full year production guidance [4] - Cash operating costs were $93 per tonne, flat compared to the previous year, with an implied cash operating margin of $40 per tonne [5][11] - Revenue for the first half was $2.68 billion, with operating EBITDA of $595 million at a 23% margin, reflecting a 15% decrease in revenue compared to the previous year [5][30] - Profit after tax was $163 million, with a fully franked interim dividend of $82 million declared, representing a 50% payout ratio [6][34] Business Line Data and Key Metrics Changes - ROM coal and saleable coal production were 15% to 16% higher than the first half of the previous year, while attributable sales were effectively flat due to temporary disruptions [10] - Attributable saleable coal was up 11% compared to the previous year, indicating strong operational performance despite challenges [12] Market Data and Key Metrics Changes - Realized thermal coal price was $138 per tonne, down 12% from the previous year, while metallurgical coal price was $207 per tonne, down 35% [23][24] - The company observed cuts to supply from Indonesia (12%) and Colombia (24%), which could support a recovery in international thermal coal prices [23] Company Strategy and Development Direction - The company aims to maintain low cash operating costs and optimize production volumes, product quality, and efficiency metrics to deliver the best outcomes for shareholders [36] - There is a focus on operational recovery and maintaining production guidance of 35 to 39 million tonnes for the full year [36] Management's Comments on Operating Environment and Future Outlook - Management noted that geopolitical events and weather disruptions impacted sales and logistics, but they are optimistic about recovering delayed shipments in the third quarter [20][30] - The company is confident in the demand for metallurgical coal, particularly from India and Southeast Asia, as these regions are expected to see growth [56] Other Important Information - The company retains a strong balance sheet with $1.8 billion in cash and no external debt, providing flexibility for future growth opportunities [6][34] - The capital expenditure guidance for 2025 is set at $750 million to $900 million, with ongoing investments required to ensure productivity [36] Q&A Session Summary Question: Why is the decline in profit from certain mines more drastic than others? - Management attributed this to the drop in API five prices, which affected margins, particularly from low CV coal [40][42] Question: Is the year-over-year increase in coal royalty per sellable tonne due to the royalty rate change? - The increase is due to both the royalty rate change and lower coal prices, resulting in a relatively flat royalty across periods [45][48] Question: How likely is it that inventory will be digested by year-end? - Management is on schedule to catch up on first-half underperformance and aims to reduce inventory by the end of August or early September [51][54] Question: What are the growth opportunities for coking coal outside of China? - Significant growth opportunities are seen in India and Southeast Asia, driven by infrastructure plans and GDP growth [56] Question: Are there plans for further expansion in coal production volume? - The company is focused on optimizing existing assets for productivity rather than significant expansions at this time [57][59] Question: What is the expected sales mix for 2025? - The sales mix is expected to remain relatively consistent, with minor variations due to production impacts from weather [80][82] Question: What is the interest rate on the cash balance held? - The company is currently receiving between 4% to 5% on its cash balance [85] Question: Will Yancoal consider acquisitions in China? - While open to growth opportunities, competing against the majority shareholder in China may not be practical [100] Question: How does the company assess potential M&A opportunities? - The company evaluates all opportunities in the best interest of shareholders, maintaining a strong balance sheet to support growth [90][92]

Financial Data and Key Metrics Changes - Yancoal reported a revenue of AUD 2.68 billion, a 15% decrease compared to the previous year, primarily due to lower average realized coal prices and delayed sales volumes [29][30] - Operating EBITDA was AUD 595 million, reflecting a 40% decrease, resulting in a margin of 23% [5][30] - Profit after tax was AUD 163 million, translating to AUD 0.02 per share, with a 50% payout ratio leading to an interim dividend of AUD 82 million [6][30] Business Line Data and Key Metrics Changes - Long coal production reached 32.2 million tonnes, with attributable sellable coal production at 18.9 million tonnes, indicating a strong operational performance [4][10] - Cash operating costs remained flat at AUD 93 per tonne, an 8% improvement over the previous year [11][14] - Attributable saleable coal was up 11% compared to the previous year, despite flat sales due to temporary disruptions [12][10] Market Data and Key Metrics Changes - The realized thermal coal price was AUD 138 per tonne, down 12% from the previous year, while metallurgical coal prices fell 35% to AUD 207 per tonne [22][23] - The company noted a stable customer mix, with significant contributions from China and Japan, although global demand for metallurgical coal remains sluggish [20][21] - Supply cuts from Indonesia (12%) and Colombia (24%) were observed, which could support a recovery in international thermal coal prices [22] Company Strategy and Development Direction - Yancoal aims to maintain production guidance of 35 to 39 million tonnes for the full year, with a focus on optimizing operational performance and cost management [34] - The company is committed to reinvesting in its assets to ensure productivity and cost-effectiveness, with capital expenditure guidance set between AUD 750 million and AUD 900 million [35] - Management remains open to M&A opportunities, evaluating both domestic and international prospects while being cautious in the current coal market conditions [89][91] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in recovering delayed shipments and optimizing inventory levels, targeting to catch up on first-half underperformance by the end of Q3 [19][53] - The company anticipates a potential recovery in coal prices, driven by geopolitical events and supply-demand dynamics, while acknowledging the need to navigate the current market cycle [25][113] - Management emphasized the importance of maintaining financial discipline and operational efficiency in the short term [113] Other Important Information - The company has no external debt and holds AUD 1.8 billion in cash, providing a strong financial position for future growth opportunities [6][30] - Yancoal's sustainability strategy includes initiatives for decarbonization and improving safety performance, with a commitment to reducing TRIFR [7][8] Q&A Session Summary Question: Why is the profit decline from certain mines more drastic than others? - Management attributed the decline to the drop in API five prices, which affected margins, particularly from low CV coal [39][41] Question: Is the year-over-year increase in coal royalty per sellable tonne due to the royalty rate change? - Management confirmed that the increase is due to both the royalty rate change and lower coal prices, resulting in relatively flat royalties across periods [44][47] Question: How likely is it that inventory will be digested by year-end? - Management indicated that they are on schedule to catch up on inventory by the end of August or early September [53] Question: What are the growth opportunities for coking coal outside of China? - Management highlighted significant growth opportunities in India and Southeast Asia, driven by infrastructure needs and economic growth [55] Question: Are there plans for further expansion in coal production volume? - Management stated that while there are conceptual projects under study, the current production profile is steady, focusing on optimizing existing assets [56][59] Question: Will Yancoal consider acquisitions in China? - Management noted that while they are open to M&A opportunities, competing against their majority shareholder in China may not be practical [105] Question: What is the expected sales mix for 2025? - Management indicated that while there may be a marginal difference in the thermal coal mix, it would not be substantial [84]

Financial Data and Key Metrics Changes - Total revenue for the first half of 2025 reached RMB 3,731 million, representing a year-on-year increase of 74.3% [4] - Drug sales achieved RMB 641 million with a year-on-year growth of 53.5% [4][14] - Net loss for 2025 significantly narrowed to RMB 35.6 million, a year-on-year decrease of 86.7% [4][15] - Cash position stood at RMB 7,600 million, equivalent to approximately USD 1,100 million [16] Business Line Data and Key Metrics Changes - The company reported strong performance in its drug sales, particularly from relabotinib, which contributed significantly to revenue growth [14][19] - Tafasitamab was highlighted as a new growth driver, approved for treating DLBCL patients in China [15] - The company is transitioning to a diversified multi-franchise portfolio with several late-stage drivers expected to contribute to long-term revenue growth [15] Market Data and Key Metrics Changes - The market potential for ITP is estimated to be around RMB 1 billion to 1.5 billion in China, while the potential for SLE is around RMB 3 billion [64] - The company anticipates that the first-line CLL indication will significantly enhance its market position and sales potential [62] Company Strategy and Development Direction - The company aims to expand its international presence through strategic collaborations, such as the partnership with Prolyom for developing specific antibodies [17][18] - The focus is on advancing its clinical pipeline, particularly in hematology and autoimmune diseases, with several drugs in late-stage trials [24][50] - The company is committed to maintaining a strong R&D backbone, with R&D expenses increasing to RMB 450 million in the first half of 2025 [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving at least 35% growth for Orillah in 2025, driven by strong market demand and unique product positioning [21][62] - The company is optimistic about the upcoming approvals and market entries for its drugs, particularly in the autoimmune disease segment [23][64] - Management highlighted the importance of patient enrollment and clinical trial progress as critical factors for future success [10][12] Other Important Information - The company has made significant progress in its R&D pipeline, with multiple drugs in various stages of clinical trials, including BCL-2 inhibitors and BTK inhibitors [24][50] - The company is actively pursuing global clinical trials for its drugs, particularly in the AML and MDS indications, which are expected to enhance its market presence [78] Q&A Session Summary Question: Regarding the performance of Orillah and potential guidance adjustments - Management noted that Orillah's revenue exceeded 50% growth in the first half, indicating confidence in surpassing the 35% annual guidance [62][63] Question: Expectations for pricing negotiations related to new indications - Management is preparing for negotiations and believes that the unique value of their products will support strong sales momentum [70][71] Question: R&D expenses outlook considering global trials - Management indicated that R&D expenses are expected to grow by 15% to 20% over the next two years, with a focus on late-stage clinical trials [73][74] Question: Global trial plans for BCL-2 inhibitors - Management clarified that while they are focusing on the Chinese market for first-line CLL, they are prioritizing global trials for AML and MDS due to urgent market needs [78] Question: Progress on lupus indication and phase three trials - Management expects to have top-line results from the phase two trial by September, which will inform decisions on phase three trials [91]

Financial Data and Key Metrics Changes - Total revenue for the first half of 2025 reached RMB 3,731 million, representing a year-on-year increase of 74.3% [4] - Drug sales achieved RMB 641 million with a year-on-year growth of 53.5% [4][13] - Net loss for 2025 significantly narrowed to RMB 35.6 million, a decrease of 86.7% year-on-year [4][15] - Cash position stood at RMB 7,600 million, equivalent to approximately USD 1,100 million [15] Business Line Data and Key Metrics Changes - The company reported strong performance in its hematology oncology segment, particularly with the drug Orillah, which achieved over 50% growth in the first half of 2025 [18] - Tafasitamab was approved as the first CD19 antibody product for treating DLBCL patients in China, contributing to revenue growth [14][18] - The company is transitioning to a diversified multi-franchise portfolio, with several late-stage drivers expected to add durable revenue growth [14] Market Data and Key Metrics Changes - The market potential for ITP is estimated to be around RMB 1 billion to 1.5 billion in China, while the potential for SLE is around RMB 3 billion [60] - The company anticipates significant market opportunities in autoimmune diseases, with a focus on expanding its patient base [22][46] Company Strategy and Development Direction - The company aims to expand its international presence through strategic collaborations, such as the partnership with Prolyom for developing and commercializing ICP B02 [16] - The focus is on advancing its clinical pipeline, particularly in hematology and autoimmune diseases, with several drugs in late-stage trials [15][22] - The company is committed to maintaining a strong R&D backbone, with R&D expenses increasing to RMB 450 million, reflecting its commitment to innovation [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving at least 35% growth for Orillah in 2025, driven by strong market demand and unique product positioning [19] - The company is optimistic about the upcoming approvals and market entries for its drugs, which are expected to significantly enhance revenue streams [14][22] - Management highlighted the importance of patient enrollment in ongoing clinical trials to support future growth [9][10] Other Important Information - The company has made significant progress in its R&D pipeline, with multiple drugs in various stages of clinical trials, including BCL2 inhibitors and BTK inhibitors [5][10] - The company is actively pursuing global trials for its drugs, particularly in the areas of AML and MDS, to capitalize on unmet medical needs [36][41] Q&A Session Summary Question: Regarding Orillah's performance and future guidance - Management confirmed that Orillah achieved over 50% growth in the first half of 2025, exceeding the annual guidance of 35% [58] - The company is confident in its ability to raise guidance based on strong market performance and upcoming product approvals [59] Question: Expectations for pricing negotiations and R&D expenses - Management is preparing for negotiations related to pricing and expects to provide unique value to patients, which will support sales momentum [65] - R&D expenses are projected to increase as the company invests in late-stage clinical trials and global initiatives [69] Question: Global trials for BCL2 inhibitors - Management indicated that while there are excellent results for first-line CLL, the focus will initially be on launching in China before considering global trials [73] Question: Progress on lupus indication and ADC pipeline - Management expects to have top-line results for the lupus indication by September and is optimistic about the ADC pipeline's potential [88][90]

Financial Data and Key Metrics Changes - Total revenue reached RMB 116 billion, up 30.5% year on year, marking the fifth consecutive quarter of record-breaking performance [4][22] - Adjusted net profit was RMB 10.8 billion, up 75% year on year, achieving a new record high for the third consecutive quarter [4][31] - Gross margin improved to 22.5%, an increase of 1.8 percentage points year on year [4][22] Business Line Data and Key Metrics Changes - Smartphone revenue was RMB 45.5 billion, accounting for 39.3% of total revenue, with global smartphone shipments reaching 42.4 million units, marking the eighth consecutive quarter of year-on-year shipment growth [23][22] - AIoT revenue reached RMB 38.7 billion, up 44.7% year on year, with a gross margin of 22.5%, up 2.8 percentage points year on year [24][25] - Revenue from smart large appliances grew 66.2% year on year, with air conditioning shipments exceeding 5.4 million units, up over 60% year on year [25][26] Market Data and Key Metrics Changes - In Mainland China, smartphone market share for devices priced between RMB 4,000 and 6,000 increased by 4.5 and 6.5 percentage points year on year, respectively [12] - Xiaomi ranked first in smartphone activations in Mainland China and maintained a strong presence in Southeast Asia, Europe, and Latin America [7][8] - Global MAUs for Internet services reached 731 million, up 8.2% year on year, with MAUs in Mainland China reaching 185 million, up 12.4% year on year [27] Company Strategy and Development Direction - The company aims to achieve steady annual increases in market share in China and is focused on premiumization and technological advancements [9][10] - Xiaomi plans to enter the European market by 2027 and is committed to enhancing its international market infrastructure [19][20] - The company emphasizes innovation driven by user needs and aims to transform the home appliance industry through intelligent transformation [15][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the intense competition in the smartphone industry and the need for continuous investment in core technology and product innovation [8][9] - The company expects the smartphone market to remain flat globally, with a target of 175-180 million shipments for the year [81][82] - Management expressed confidence in the long-term growth of the large appliance business despite current market challenges [16][99] Other Important Information - Xiaomi's R&D expenses reached RMB 7.8 billion, up 41.2% year on year, with a record high number of R&D personnel [30] - The company was included in the Fortune 500 list for the seventh consecutive year, ranking 297th, an improvement of 100 places from the previous year [19] Q&A Session Summary Question: Performance of AIoT segment in Chinese and overseas markets - Management noted strong growth rates in both markets, with a focus on expanding offline retail channels to enhance efficiency [34][37] Question: Smartphone gross margin trends - Management indicated that rising costs for components are a concern, but premiumization efforts are expected to help improve margins in the long term [36][44] Question: AIoT gross margin pressure - Management attributed quarter-on-quarter pressure to seasonal factors and promotional activities, but year-on-year growth remains strong [46][55] Question: EV business gross margin and overseas development - Management expressed confidence in maintaining satisfactory gross margins through competitive product offerings and economies of scale [88][90] Question: Brand strength in overseas markets - Management highlighted high brand awareness in Europe and plans to enhance the reputation of Xiaomi EVs before entering the market [90][91]

Financial Data and Key Metrics Changes - Total revenue reached RMB 116 billion, up 30.5% year on year, marking the fifth consecutive quarter of record-breaking performance [6][24] - Adjusted net profit was RMB 10.8 billion, up 75% year on year, achieving a new record high for the third consecutive quarter [6][32] - Gross margin improved to 22.5%, an increase of 1.8 percentage points year on year [6][24] Business Line Data and Key Metrics Changes - Smartphone revenue was RMB 45.5 billion, accounting for 39.3% of total revenue, with global smartphone shipments reaching 42.4 million units, marking the eighth consecutive quarter of year-on-year shipment growth [25][24] - AIoT revenue reached RMB 38.7 billion, up 44.7% year on year, with a gross margin of 22.5%, up 2.8 percentage points year on year [26][24] - Smart large appliances revenue grew 66.2% year on year, with air conditioning shipments exceeding 5.4 million units, achieving over 60% year-on-year growth [27][15] Market Data and Key Metrics Changes - In Mainland China, smartphone market share for devices priced between RMB 4,000 and 6,000 increased by 4.5 and 6.5 percentage points year on year, reaching 24.7% and 15.4% respectively [13] - Xiaomi ranked first in smartphone activations in Mainland China and maintained strong positions in Southeast Asia, Europe, and Latin America [9][10] - Global MAUs for Internet services reached 731 million, up 8.2% year on year, with MAUs in Mainland China reaching 185 million, up 12.4% year on year [29] Company Strategy and Development Direction - The company aims to achieve steady annual increases in market share in China and is focused on premiumization and technological advancements [11][12] - Xiaomi plans to enter the European market by 2027 and is committed to enhancing its brand and product competitiveness [21][85] - The company emphasizes innovation driven by user needs and aims to transform the home appliance industry through intelligent transformation [16][17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the intense competition in the smartphone industry and the need for continuous investment in core technology and product innovation [10][11] - The company expects the smartphone market to show little growth overall, with a target of 175-180 million shipments for the year [81] - Management expressed confidence in the long-term growth of the large appliance business despite current market challenges [17][98] Other Important Information - Xiaomi's R&D expenses reached RMB 7.8 billion, up 41.2% year on year, with a record high of 22,641 R&D personnel [31] - The company was included in the Fortune 500 list for the seventh consecutive year, ranking 297th, an improvement of 100 places from the previous year [21] - The company is committed to corporate social responsibility and has made significant contributions to disaster relief efforts [33] Q&A Session Summary Question: Performance of AIoT segment in China and overseas - Management noted strong growth in both markets, with a focus on expanding the new retail system to enhance AIoT business [36][38] Question: Long-term smartphone gross margin outlook - Management indicated that while there are short-term pressures on gross margin, premiumization and product structure adjustments are expected to support future growth [37][45] Question: AIoT gross margin pressure and R&D investment direction - Management explained that the pressure on AIoT gross margin was due to market conditions, and R&D investments are focused on core technologies and product lines [48][52] Question: EV business gross margin and overseas development - Management expressed confidence in maintaining satisfactory gross margins through competitive products and emphasized the importance of brand awareness for EVs in overseas markets [88][90] Question: Robotics opportunities and large appliances strategy - Management is optimistic about robotics opportunities and highlighted the rapid growth of air conditioning sales, with plans to enhance competitiveness further [94][98]

Financial Data and Key Metrics Changes - Operating income reached JPY 5,450,000,000, a year-on-year increase of 22% [28][30] - Net profit for the first half of the year was JPY 550,000,000, reflecting a year-on-year increase of 34% [29][34] - Asset management grew to RMB 112.1 billion, a 12% increase compared to the same period last year [29] Business Line Data and Key Metrics Changes - Automobile financing transactions reached JPY 32,700,000,000, a year-on-year increase of 4% [12] - Used car financing grew by 31% year-on-year, with transaction volume reaching 222,000 units [15] - FinTech business achieved a financing scale of CNY 1,530,000,000, a year-on-year increase of 58% [17] Market Data and Key Metrics Changes - New passenger car sales in China reached 13,530,000 units, a year-on-year increase of 13% [6] - The transaction volume of used passenger cars was 7,570,000 units, a year-on-year increase of 0.5% [6] - New energy passenger cars saw a year-on-year growth of about 33.3% [7] Company Strategy and Development Direction - The company aims to focus on core capacity building and leverage technological advantages to consolidate its leading position in auto finance [11] - Yixin plans to enhance its FinTech capabilities to empower traditional finance and improve customer experience [12] - The company is transitioning to a more lightweight business model to better fulfill its value proposition [46][49] Management Comments on Operating Environment and Future Outlook - Management noted that the industry is expected to return to rational competition due to increased regulatory policies [8] - The company anticipates that its strategic focus on technology and innovation will drive sustainable growth [11] - Management expressed confidence in achieving better performance in the second half of the year compared to the first half [70] Other Important Information - The company has established partnerships with over 100 financial institutions and is focusing on expanding its overseas business, particularly in Southeast Asia [35][40] - The penetration rate of new energy vehicles in new cars is about 54%, indicating strong market demand [18] Q&A Session Summary Question: What is the core reason behind the successful transformation and future plans? - Management emphasized the shift to a lightweight business model and the importance of AI capabilities in enhancing operational efficiency and market competitiveness [46][49] Question: How does the company view its growth in the used car market? - Management confirmed that the company is increasing its market share and highlighted the potential for further growth in the underserved used car market [56][59] Question: Can you elaborate on the impact of anti-evolution policies on the market? - Management stated that these policies promote healthier competition and stability among partners, which is beneficial for the company's long-term growth [66][68] Question: What are the achievements in overseas expansion? - Management reported significant growth in Singapore, with plans to replicate successful models in other Southeast Asian markets [39][40]

Financial Data and Key Metrics Changes - Operating income reached JPY 5,450,000,000, a year-on-year increase of 22% [31] - Net profit for the first half of the year was JPY 550,000,000, reflecting a year-on-year increase of 34% [32] - Asset management grew to RMB 112.1 billion, a 12% increase compared to the same period last year [32] Business Line Data and Key Metrics Changes - Automobile financing transactions reached JPY 32,700,000,000, a year-on-year increase of 4% [14] - Used car financing grew by 31% year-on-year, with transaction volume at 222,000 units [17] - FinTech business achieved explosive growth, reaching CNY 1,530,000,000, a year-on-year increase of 58% [19] Market Data and Key Metrics Changes - New passenger car sales in China reached 13,530,000 units, a year-on-year increase of 13% [7] - The transaction volume of used passenger cars was 7,570,000 units, a year-on-year increase of 0.5% [7] - New energy passenger cars saw a year-on-year growth of about 33.3% [8] Company Strategy and Development Direction - The company aims to focus on core capacity building and leverage technological advantages to consolidate its leading position in auto finance [12] - Yixin plans to enhance its AI capabilities and integrate them into its business model to improve efficiency and customer experience [31] - The company is exploring overseas markets, particularly in Southeast Asia, to replicate its successful business model [43] Management's Comments on Operating Environment and Future Outlook - Management noted that the industry is moving towards rational competition, emphasizing technological innovation and improved product quality [9] - The company expects to continue its solid performance in the second half of the year, building on the strong results from the first half [74] - Management highlighted the importance of AI capabilities in driving future growth and enhancing service offerings [55] Other Important Information - The company has established partnerships with over 100 financial institutions and is focusing on expanding its overseas business [38] - The penetration rate of new energy vehicles in financing reached about 52% of the total [18] - The company has applied for 18 new AI invention patents in the first half of the year [47] Q&A Session Summary Question: What is the core reason behind the successful transformation and future plans? - Management emphasized the shift to a lightweight business model to enhance value and quality, leveraging strong partnerships with financial institutions [49][50][52] Question: How does the company view its growth in the used car market? - Management confirmed that the company is increasing its market share and noted that the used car market remains relatively underserved, presenting opportunities for growth [60][62] Question: Can you elaborate on the anti-evolution policies and their impact? - Management stated that the company supports sustainable development and healthy competition, which is expected to stabilize partnerships and improve predictability in performance [70][72] Question: What are the achievements in overseas expansion? - Management reported significant success in Singapore, with plans to replicate this model in other Southeast Asian markets, focusing on new energy vehicles and technology solutions [42][43][80]

Financial Data and Key Metrics Changes - The company reported a revenue of RMB950 million for the first half of 2025, with over RMB300 million coming from commercialized drugs, marking a significant achievement in its first year of commercialization [50][51] - Gross profit was RMB660 million, comparable to the previous year, while the net loss for the first half was RMB145 million, with an adjusted loss of RMB69 million after one-off budget adjustments [52][53] Business Line Data and Key Metrics Changes - The company has three main products ready for the market, with significant progress in approvals and commercialization efforts [12][21] - The commercialization team has expanded to nearly 400 personnel to support the increasing number of products [12] Market Data and Key Metrics Changes - The company has covered over 30 provinces, 300 cities, and over 1,000 hospitals across China, with partnerships established with over 400 pharmacies [28][32] - The company is actively working towards gaining medical insurance coverage for its products, which is expected to enhance market access [33][34] Company Strategy and Development Direction - The company aims to advance differentiated pipelines targeting significant medical needs, optimizing payload linker strategies, and exploring applications in non-oncology areas [26] - The focus is on expanding global partnerships and strengthening strategic collaborations to maximize the value of its pipelines [26] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the future income from sales revenue, anticipating continued cash flow generation from both R&D partnerships and commercialized drugs [51] - The company is preparing for the implementation of new medical insurance policies, which could significantly impact product sales strategies [97][100] Other Important Information - The company completed a follow-on financing of US$250 million and is included in several global equity indexes, enhancing its financial stability [25] - The company is involved in ongoing litigation regarding IP disputes with several founders, which has been accepted for review by the Sichuan Provincial High Court [101] Q&A Session Summary Question: What is the breakdown of sales revenue for breast cancer and lung cancer? - Lung cancer is the biggest contributor to sales revenue, consistent with patient numbers and indications. The sales expenses are expected to decrease once products are included in medical insurance coverage [62][63] Question: What is the focus for R&D going into the next stage? - The focus is on developing differentiated products targeting clinical demands, with an emphasis on bispecific targets and new payload strategies [68][70] Question: Can you provide guidelines on the sales trend for Q3? - The company expects quarter-over-quarter growth, with significant contributions anticipated from lung cancer indications [72] Question: What is the rationale behind the clinical trial design for PD L1 positive and negative patients? - The company is focusing on first-line treatment for wild-type non-small cell lung cancer, with ongoing projects in development [88] Question: How is the company planning to navigate the new medical insurance policy? - The company is prioritizing entry into the medical insurance catalog and is actively preparing to comply with the new policy [97][98]

Financial Data and Key Metrics Changes - The company reported a revenue of RMB 950 million for the first half of 2025, with over RMB 300 million coming from commercialized drugs, marking a significant achievement in its first year of commercialization [52][53]. - The gross profit was RMB 660 million, comparable to the previous year, while the net loss for the first half was RMB 145 million, with an adjusted loss of RMB 69 million after one-off budget adjustments [54][55]. - Cash and financial assets totaled RMB 4.5 billion, indicating a healthy financial status to support upcoming R&D and innovation [58]. Business Line Data and Key Metrics Changes - The company has three main products ready for the market, with significant progress in commercialization, covering over 30 provinces and 300 cities, and engaging over 10,000 doctors [32][34]. - The commercialization team has expanded to nearly 400 personnel to support the increasing number of products ready for market [14][15]. Market Data and Key Metrics Changes - The company has successfully partnered with over 400 pharmacies across China, enhancing its market access and professional services [32][34]. - The company is actively pursuing medical insurance coverage for its products, with seven provinces already covered under specific affordable care programs [36][37]. Company Strategy and Development Direction - The company aims to advance differentiated pipelines targeting significant medical needs, optimizing payload linker strategies, and exploring applications in non-oncology areas [30]. - The focus is on developing ADCs and small molecules, with an emphasis on bi-specific targets and innovative payloads to replace traditional chemotherapy [70][72]. Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future income from sales revenue, anticipating continued cash flow generation from both R&D partnerships and commercialized drugs [53]. - The company is preparing for the implementation of new medical insurance policies, which are expected to enhance market access and sales volume [100][101]. Other Important Information - The company has completed a follow-on financing of USD 250 million and is included in major global equity indexes, enhancing its market presence [29]. - The company has made significant advancements in clinical trials, with multiple pivotal trials initiated both domestically and globally [25][26]. Q&A Session Summary Question: What is the breakdown of sales revenue for breast cancer and lung cancer? - Lung cancer is the biggest contributor to sales revenue, consistent with patient numbers and indications. The sales expenses are expected to decrease once products are included in the national medical insurance catalog [60][64]. Question: What is the focus for R&D going into the next stage? - The focus is on developing differentiated products targeting clinical demands, with an emphasis on bi-specific targets and innovative payloads [70][72]. Question: Can you provide guidelines on the sales trend for Q3? - The company has recorded quarter-over-quarter growth of several dozen percentage points, indicating a positive sales trend [76]. Question: What is the rationale behind the clinical trial design for PD L1 positive and negative patients? - The company is focusing on developing effective treatments for both PD L1 positive and negative patients, with ongoing trials to assess efficacy [91]. Question: How does the company plan to navigate the new medical insurance policies? - The company is prioritizing entry into the medical insurance catalog and is actively preparing to comply with new policies to enhance market access [100][101].