Qyuns Therapeutics (2509) H2 2023 earnings summary

Executive summary

• Clinical-stage biologics developer focused on autoimmune and allergic diseases; remained pre-revenue in 2023, with R&D progress across skin, rheumatic, respiratory and digestive indications.

• 2023 advanced core candidates QX002N and QX005N, while QX001S completed Phase III and its China BLA was accepted for review.

Financial highlights

• Revenue and cost of revenue were nil in both 2022 and 2023; 2023 net loss was RMB521.3 million versus RMB312.3 million in 2022.

• R&D expenses rose 41.7% YoY to RMB364.4 million; administrative expenses increased to RMB164.6 million from RMB76.6 million, including higher share-based payment and listing costs.

• Other income declined 3.1% to RMB24.9 million; other net loss was RMB0.4 million in 2023 versus a RMB14.4 million gain in 2022.

• Finance costs decreased 10.0% to RMB16.8 million, mainly following partial repayment of interest-bearing borrowings.

• Net loss attributable to equity shareholders was RMB507.7 million in 2023; no dividends were declared or paid for the year.

Outlook and guidance

• QX002N Phase III trial for ankylosing spondylitis began in September 2023; completion was expected in H2 2025.

• QX001S commercialization was planned following expected BLA approval in Q4 2024; the application had been accepted in August 2023 and remained under review at the Latest Practicable Date.

• QX005N Phase II trials for prurigo nodularis and chronic rhinosinusitis with nasal polyps completed in April 2024; an atopic dermatitis Phase III plan was published, and breakthrough therapy designation was granted for prurigo nodularis.

• Global Offering proceeds were intended to fund pipeline development, principally QX002N and QX005N; use of proceeds was expected to be completed by end-2025.