Duality Biotherapeutics (9606) H2 2025 earnings summary

Executive summary

• Revenue for 2025 was RMB1,851.7 million, down 4.6% year-over-year, mainly due to delayed milestone payments.

• Net loss widened to RMB2,594.8 million from RMB1,050.4 million in 2024, largely due to a significant fair value loss on financial liabilities.

• Adjusted loss (excluding fair value changes) was RMB388.8 million, compared to RMB177.0 million in 2024.

• IPO on the Hong Kong Stock Exchange in April 2025 raised significant capital, improving total equity to RMB2,426.7 million.

• Over 3,200 patients enrolled globally in clinical trials, with 10 clinical-stage ADCs in the pipeline.

Financial highlights

• Gross profit fell 24.9% to RMB589.1 million, with gross margin dropping to 31.8% from 40.4%.

• R&D expenses remained stable at RMB837.8 million.

• Administrative expenses rose 35.2% to RMB214.6 million, mainly due to increased staff and listing costs.

• Finance income doubled to RMB99.3 million, while finance costs increased to RMB1.2 million.

• Cash and bank balances at year-end were RMB3,324.5 million.

Outlook and guidance

• Sufficient funds are available to meet working capital and capital expenditure needs for 2026.

• Continued focus on advancing late-stage ADCs and expanding global clinical development.

• Plans to utilize remaining IPO proceeds over the next two to four years for R&D and commercialization.