Zhaoke Ophthalmology (6622) H1 2025 earnings summary

Executive summary

• Three lead assets—atropine eye drops (0.01% and 0.02%), CsA Ophthalmic Gel and TAB014—advanced to regulatory review; commercial preparations and international partnerships expanded.

• Revenue fell largely because H1 2024 included RMB33.5m of one-off licensing income; excluding it, drug and product sales were RMB15.1m vs RMB15.6m.

Financial highlights

• Revenue was RMB15.8m vs RMB49.8m, and gross profit was RMB8.5m vs RMB42.8m.

• Net loss widened to RMB116.6m from RMB75.8m; adjusted loss excluding equity-settled share-based payment expenses was RMB115.3m vs RMB75.7m.

• R&D expense rose to RMB113.1m from RMB89.8m; G&A fell to RMB30.6m from RMB31.3m and selling and distribution expense to RMB23.4m from RMB28.4m.

• Basic and diluted loss per share were RMB0.21 vs RMB0.14; total comprehensive loss was RMB195.4m, including RMB78.8m of negative translation differences.

• Other income declined to RMB26.3m from RMB44.5m; other net results shifted to a RMB20.0m gain from an RMB8.8m loss, primarily reflecting foreign-exchange gains.

Outlook and guidance

• Approval progress for the two atropine doses, CsA Ophthalmic Gel and TAB014 is a key H2 priority; launches are being prepared for the three core assets.

• Target is 12 commercialized drugs by end-2026; approvals of the three core assets are expected to support revenue growth.

• BRIMOCHOL PF Phase II trials in China are expected to finish by end-2025; Epinastine HCl eye drops are in final ANDA review, and an NMPA IND filing is planned for PAN-90806.

• Plans include advancing ZKY001, pursuing U.S. pre-IND discussions for melphalan and expanding international commercialization partnerships.