Mabwell (Shanghai) Bioscience (688062) Q2 2024 earnings summary

Executive summary

• H1 revenue rose 28.42% YoY to RMB115.53m, driven by higher drug sales and licensing income; attributable net loss widened to RMB445.0m as R&D and commercialization spending remained high.

• Three products were commercialized, with a 15-asset clinical/marketed pipeline; Nectin-4 ADC 9MW2821 advanced across pivotal trials and received multiple regulatory designations.

Financial highlights

• Revenue was RMB115.53m, up 28.42% YoY; drug sales reached RMB65.67m versus RMB13.92m, while 9MW3011 licensing also contributed.

• Attributable net loss was RMB444.98m versus RMB413.53m; loss excluding non-recurring items was RMB460.73m versus RMB415.54m.

• Operating loss was RMB443.30m; operating costs included RMB322.12m R&D expense and RMB113.18m selling expense.

• Operating cash outflow was RMB461.62m, including the return of R&D settlement funds; cash and cash equivalents ended at RMB1,737.0m.

Outlook and guidance

• 8MW0511’s China marketing application was accepted in Dec 2023; site inspection and GMP compliance checks were completed, with approval anticipated in 2025.

• 9MW0813 completed Phase III enrollment and is expected to submit a marketing application in 2025; an India supply and commercialization agreement was signed in Mar 2024.

• Commercialization and pipeline advancement remain priorities, alongside overseas registrations and licensing; discussions with international and domestic pharmaceutical firms covered multiple assets.