Shanghai Bao Pharmaceuticals (2659) H2 2025 earnings summary

Executive summary

• FY2025 revenue rose to RMB49.2m from RMB6.2m, while net loss widened to RMB395.3m from RMB364.4m, including a substantial litigation provision and higher listing expenses.

• Pipeline advanced across core assets: SJ02 received China NDA approval, KJ103 completed its kidney-transplant Phase III trial, and KJ017 remained under NDA review.

• Cash and cash equivalents were RMB1,241.6m at year-end, supported by the December 2025 IPO and bank borrowings; no final dividend was recommended.

Financial highlights

• Revenue was RMB49.2m vs RMB6.2m in 2024; licensing revenue contributed RMB40.0m, including upfront consideration recognized after termination of the Organon license, and product sales were RMB3.6m.

• Gross profit was RMB43.8m vs RMB5.0m; cost of sales rose to RMB5.4m from RMB1.1m, in line with revenue growth.

• Net loss was RMB395.3m vs RMB364.4m; R&D expense was RMB248.2m, down 1.0%, and administrative expense was RMB104.6m, down 2.8%.

• Other expenses increased to RMB65.1m from RMB0.1m, including litigation provisions and net foreign-exchange losses; listing expenses were RMB25.2m vs RMB5.6m.

• Operating cash outflow was RMB180.0m; investing cash outflow was RMB93.0m, while financing cash inflow was RMB998.0m.

Outlook and guidance

• KJ017 NDA approval and China commercial launch are targeted for H1 2026; an overseas IND application to EMA or FDA is planned for 2026.

• KJ103 kidney-transplant NDA submission and anti-GBM Phase III initiation are targeted for H1 2026; a GBS orphan designation and pre-Phase III IND submission are planned for H2 2026.

• 2026 pipeline targets include KJ101 wound-healing Phase II completion in H1 and gastric-mucus Phase II initiation in H2; BJ044 IND submission in H1; and KJ015 Phase I completion in H2.

• BJ007 completed Phase I in January 2026 and is expected to enter a pivotal trial in H1; BJ009 Phase I completion is expected in 2026.

• A new ~37,000 sq.m. Shanghai manufacturing site is expected to be completed and operational by 2026; capital commitments for property, plant and equipment were RMB174.5m at year-end.