Lepu Medical Technology Co (300003) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 was ¥1.67 billion, down 3.70% year-over-year; net profit attributable to shareholders was ¥246.81 million, down 34.80% year-over-year.

• Excluding a one-time convertible bond redemption expense, adjusted net profit attributable to shareholders was ¥324.88 million, down 3.71% year-over-year.

• Gross margin declined by 1.99 percentage points due to centralized procurement policies.

Financial highlights

• Operating cash flow was ¥274.90 million, down 34.39% year-over-year.

• Basic and diluted EPS were both ¥0.1339, compared to ¥0.2053 in the prior year.

• Total assets at quarter-end were ¥25.59 billion, down 2.11% from year-end 2025.

• Net assets attributable to shareholders were ¥16.44 billion, up 2.02% from year-end.

Outlook and guidance

• Pharmaceutical segment expects improvement in Q2 as channel inventory clears and several products win new procurement contracts with some price increases.

• Innovative drug candidates in obesity and lipid disorders are progressing through clinical trials, with key milestones expected in late 2026 and early 2027.