CF PharmTech (2652) H2 2025 earnings summary

Executive summary

• 2025 revenue fell 29.0% YoY to RMB432.5m; profit for the year was RMB2.5m versus RMB21.1m, while adjusted profit was RMB31.8m versus RMB51.9m.

• The year marked a shift toward a global inhalation-delivery platform, with progress in product diversification, overseas shipments, channels and innovative R&D.

• Near-term results were pressured by VBP pricing and procurement timing, lower respiratory-infection incidence, channel restructuring, and continued R&D and listing-related costs.

Financial highlights

• Revenue was RMB432.5m, down 29.0% YoY; gross profit was RMB327.9m, down 33.3%, and gross margin declined to 75.8% from 80.9%.

• Cost of revenue fell 10.1% to RMB104.6m, while selling and distribution expenses fell 61.7% to RMB90.3m; administrative expenses were RMB128.0m and R&D expenses RMB124.5m.

• Profit before tax was a loss of RMB13.4m; a RMB15.9m income tax credit resulted in net profit of RMB2.5m. Basic and diluted EPS was RMB0.66 cents versus RMB5.69 cents.

• Adjusted profit, adding back share-based payment and listing expenses, was RMB31.8m versus RMB51.9m; adjusted results exclude these non-cash and non-recurring items.

Outlook and guidance

• The Board expects 2026 to be a year of resumed growth and structural upgrading; the outlook is cautious but confident, with no quantified financial guidance stated.

• CF017's nationwide brand-based volume reporting is complete and its procurement cycle runs through end-2028; normalized procurement and shipments are expected to support its role as a stable revenue anchor in 2026.

• At least five new product approvals and commercial launches are planned for 2026–2030 across China, the U.S., Europe and emerging markets.

• Growth priorities include CF018 and nasal sprays, out-of-hospital and online channels, overseas delivery, and advancing ICF001, ICF004 and the small nucleic acid platform.