Jiangsu Nhwa Pharmaceutical (002262) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 reached ¥3.22 billion, up 6.91% year-over-year, with net profit attributable to shareholders at ¥740.68 million, up 5.74% year-over-year.

• Core business remains focused on CNS drugs, with strong R&D pipeline and market leadership in anesthesia, pain, and psychiatric medications.

• Significant investments in digitalization, production capacity, and talent development supported operational efficiency and innovation.

Financial highlights

• Operating income: ¥3.22 billion (+6.91% YoY); net profit: ¥740.68 million (+5.74% YoY).

• Gross margin for anesthesia products: 91.67%; psychiatric: 76.54%; neurology: 63.00%.

• Cash flow from operations: ¥280.41 million, down 43.33% YoY due to increased cash outflows for purchases.

• R&D investment: ¥385.30 million, representing 12% of revenue.

• Total assets at period end: ¥9.54 billion (+3.38% from year-end 2025).

Outlook and guidance

• Continued focus on CNS drug innovation and market expansion, leveraging digital and precision medicine.

• Plans to accelerate new product launches and expand into emerging therapeutic areas.

• Ongoing investment in R&D and digital transformation to sustain growth.