YICAI | Over Half of China-Listed Drugmakers Post Annual Profit Growth on Novel Medicines, Foreign Deals
(Yicai) April 8 -- More than half of pharmaceutical companies listed in the Chinese mainland have reported higher profit for last year, with innovative drug commercialization and foreign licensing deals emerging as the main growth drivers.
Sixty of the 112 mainland-listed drugmakers that had released their 2025 financial statements as of April 6 saw their net profit widen last year, according to incomplete statistics.
Innovation-led research and development and industrial upgrading have become the industry's main focuses, according to insiders. The health service model is being rapidly restructured, with a clear trend toward integrated online-offline delivery and more personalized services.
Consumer demand is moving quickly toward greater diversity, personalization and tech-driven offerings, they said, adding that as a result, companies with strong innovation capabilities and overseas strategies are likely to keep widening their competitive edge, while firms with weaker R&D capabilities will face mounting operating pressure.
Hengrui Pharmaceuticals logged a nearly 22 percent gain to CNY7.7 billion (USD1.1 billion) in the 12 months ended Dec. 31. Revenue rose 13 percent to CNY31.6 billion (USD4.6 billion), as income from novel drugs and licensing deals both surged 26 percent to CNY16.3 billion and CNY3.4 billion, respectively. It expects revenue from innovative medicines to climb by over 30 percent this year.
InnoCare Pharma posted its first annual profit of CNY642 million (USD94 million) for 2025, with operating revenue up 135 percent to nearly CNY2.4 billion, thanks to licensing income.
Fosun Pharmaceutical Group reported a 22 percent profit jump to CNY3.4 billion. Operating revenue inched up 1.5 percent to CNY41.7 billion, with that from novel drugs accounting for over 33 percent of its total pharmaceutical revenue. Revenue from overseas businesses made up about 31 percent of operating revenue.
Chunlizhengda Medical Instruments saw its profit leap 118 percent on an almost 30 percent jump in revenue. The firm attributed the strong performance to the stable supply of products included in China's centralized procurement program and deeper penetration into international markets.
Weigao Orthopedic Device posted a 20 percent profit gain to CNY268.6 million, and a 4.8 percent rise to CNY1.5 billion in operating revenue. The company said it benefited from the smooth implementation of volume-based procurement and a continued increase in market share for domestic brands.
Pharmaceutical R&D outsourcers, such as WuXi AppTec, Porton Pharma Solutions, and Tigermed Consulting, doubled their profits. WuXi AppTec attributed the results to the continuous deepening of its 'contract research, development, and manufacturing organization' model and the improvement of production efficiency in clinical commercialization projects.