Ab&B Bio-Tech (2627) investor relations material

Executive summary

• H1 revenue rose to RMB71.1m from RMB7.0m as quadrivalent subunit influenza vaccine sales ramped; period loss narrowed 22.0% to RMB121.5m.

• Portfolio includes a marketed quadrivalent subunit influenza vaccine, a lyophilized human rabies vaccine candidate and 11 other candidates.

Financial highlights

• Revenue increased to RMB71.1m from RMB7.0m, reflecting higher quadrivalent vaccine sales and a true-up of estimated returns on 2024 sales.

• Cost of sales fell to RMB10.3m from RMB12.6m; gross profit was RMB60.8m versus a gross loss of RMB5.6m, with gross margin of 85.5% versus a gross loss margin of 80.0%.

• Period loss narrowed to RMB121.5m from RMB155.8m; basic and diluted loss per share was RMB0.34 versus RMB0.43.

• R&D expenses were RMB98.8m versus RMB99.9m; selling expenses rose 91.5% to RMB47.3m, while administrative expenses fell 17.6% to RMB26.2m.

Outlook and guidance

• Priorities include advancing core-product trials and post-approval studies, developing other candidates, upgrading technology platforms, expanding manufacturing and commercialization, and entering overseas markets.

• Milestones include trivalent influenza vaccine NDA approvals targeted for Q3 or Q4 2025, rabies Phase III commencement targeted for Q3 2025, recombinant RSV Phase I targeted for Q4 2025, and mRNA RSV Phase I completion targeted for H1 2026.

• IPO proceeds of HK$243.4m (63.6%) are allocated to core-product development and registration, and HK$69.3m (18.1%) to other vaccine candidates; planned use is by end-2027 and end-2026, respectively.