Genscript Biotech (1548) H1 2026 earnings summary

Executive summary

• Revenue for the first half of 2026 reached $404.2 million, up 27.3% year-over-year, with adjusted net profit surging 203.3% to $62.5 million; core business net profit increased 116.7% to $25.6 million.

• Growth was driven by AI drug discovery demand, expansion of the gene-to-protein platform, and operational efficiency gains across all business segments.

• The company is positioned as a critical infrastructure provider for AI-enabled biotech innovation, with a diversified global customer base and strong balance sheet.

• Net loss was $129.3 million, mainly due to non-cash equity accounting impacts from Legend Group.

• Operating leverage and innovation accelerated profitability and margin expansion.

Financial highlights

• Group revenue reached $404.2 million, up 27.3% year-over-year; gross profit was $206.7 million, up 48%.

• Adjusted net profit hit $62.5 million, up 203.3% year-over-year, marking a record half-year result.

• Life Science Group revenue grew 28.8% to $319 million; ProBio revenue rose 34.2% to $61.1 million; Bestzyme revenue increased 7.4% to $30.4 million.

• Adjusted gross margin for Life Science Group reached 57.8% (55.4% excluding U.S. tariff refunds); adjusted operating margin was 29.5% (27.1% excluding refunds).

• ProBio's adjusted EBITDA loss narrowed to $6.5 million from $16.8 million year-over-year; adjusted operating loss narrowed to $24.3 million.

Outlook and guidance

• Full-year guidance for Life Science Service segment raised: revenue growth expected at 25%-30%, adjusted gross margin above 55%, and adjusted operating margin above 25%.

• ProBio revenue growth guidance increased to 25%-30%, with positive EBITDA targeted for 2027.

• Bestzyme expected to achieve 8%-10% revenue growth and maintain adjusted gross margin over 43%.

• Continued investment in automation, digitalization, and AI-driven drug discovery platforms.

• Management expects sustained growth in gene-to-protein and CRDMO businesses, leveraging global biotech funding recovery.