Sino Biopharmaceutical (1177) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 rose 10.6% year-over-year to RMB19.44 billion, driven by strong growth in innovative drugs and out-licensing, which increased 44.3% and accounted for 45.2% of total revenue.

• Profit attributable to owners increased 1.4% to RMB3.43 billion; underlying profit (non-HKFRS) grew 8.1% to RMB3.34 billion, with a 92.3% surge excluding Sinovac LS dividend income.

• Major strategic collaborations and licensing deals were signed with Sanofi, AstraZeneca, and GSK, supporting internationalization and new revenue streams.

• The board declared an interim dividend of HK7 cents per share.

• The group completed key acquisitions (LaNova Medicines, Hygieia) to strengthen R&D and technology platforms.

Financial highlights

• Revenue: RMB19.44 billion (+10.6% YoY); innovative drugs and out-licensing sales: RMB8.79 billion (+44.3% YoY).

• Profit attributable to owners: RMB3.43 billion (+1.4% YoY); underlying profit: RMB3.34 billion (+8.1% YoY).

• Basic EPS: RMB19.10 cents (+1.5% YoY); underlying EPS: RMB18.57 cents (+8.2% YoY).

• Gross profit: RMB16.15 billion; gross margin stable.

• Strong liquidity: fund reserve RMB34.58 billion; net cash RMB17.41 billion.

Outlook and guidance

• Pipeline expects nearly 30 national category 1 innovative drugs to be approved from 2026–2030, with multiple global FIC/BIC products.

• Continued focus on internationalization, leveraging global partnerships and out-licensing to drive a second growth curve.

• Anticipates regulatory decisions and launches for key products (e.g., bepirovirsen for hepatitis B) in 2027.

• Continued expansion in core therapeutic areas: oncology, liver/cardiometabolic, respiratory/autoimmune, and surgery/analgesia.