Jiangsu Nhwa Pharmaceutical (002262) H2 2025 earnings summary

Executive summary

• Revenue reached ¥5.91 billion in 2025, up 3.75% year-over-year; net profit attributable to shareholders was ¥1.06 billion, down 7.54% from 2024.

• Operating profit was ¥1.20 billion, down 10.28% year-over-year; cash flow from operations increased 17.71% to ¥1.08 billion.

• R&D investment rose 20.52% to ¥869 million, with 70+ projects in the pipeline and 57 patent applications.

• Dividend proposal: ¥4.00 per 10 shares, totaling ¥406 million, representing 38.43% of net profit.

Financial highlights

• Gross margin for core products remained high: anesthetics 87.68%, psychiatric drugs 81.04%, neurology drugs 66.72%.

• Total assets at year-end were ¥9.22 billion, up 9.28% from 2024; net assets attributable to shareholders rose 10.37% to ¥8.06 billion.

• Basic and diluted EPS were both ¥1.05, down from ¥1.13 in 2024.

• R&D expenses accounted for 14.7% of revenue.

Outlook and guidance

• 2026 focus: deepen CNS drug R&D, accelerate AI integration, and expand internationalization.

• Plan to launch 1 innovative drug and 3 generic drugs, with 11 clinical projects and 1 consistency evaluation project expected.

• Continued investment in digital transformation, cost control, and talent development.