China-based CSPC Pharmaceutical Group Ltd (HKG: 1093) has released its 2022 financial report, recording RMB 30.937 billion (USD 4.469 billion) in revenues, marking an 11% year-on-year (YOY) increase. The report details the performance of various business segments, with on-patent medicines generating RMB 24.52 billion (USD 3.5 billion, +10.8%), raw material products RMB 4.451 billion (USD 643 million, +16.5%), and functional food and others RMB 1.966 billion (USD 284 million, +43.9%).
Business Segment Performance and Growth
In 2022, the on-patent medicine business maintained stable growth, with revenues in the anti-tumor field reaching RMB 7.415 billion (USD 1.07 billion), a 3.8% YOY decrease. The nervous system field revenue was RMB 8.108 billion (USD 1.17 billion), up 7.5% YOY, while the anti-infection field revenue was RMB 5.403 billion (USD 780.59 million), up 20.1% YOY. The cardiovascular field revenue was RMB 2.889 billion (USD 417.38 million), up 4.5% YOY. The respiratory system, digestion and metabolism, and other fields also achieved significant growth. The core product of the nervous system field, EBP (butylphthalide), maintained stable sales growth, with the National Reimbursement Drug List (NRDL) renewal price effective as of March 2023 and new indications under development. Oncology product mitoxantrone and Copiktra (duvelisib), China’s first PI3K inhibitor, were launched in January and November 2022, respectively. Additionally, multiple newly launched generic drugs won spots in the national volume-based procurement (VBP) with quick uptake.
Research and Development Investment
During the period, the research and development investment in the one-patent medicine business sector reached RMB 3.987 billion (USD 576 million), up 16.1% YOY and accounting for 16.3% of revenue. CSPC currently has an international research and development team of over 2000 people, with over 110 innovative drug projects, including about 40 macromolecules, 40 small molecules, and 30 new formulations. A total of 3 new drugs and 1 modified drug are at the market filing stages, and it is expected that over 40 innovative drugs will be approved in the next 5 years.
Business Expansion and Partnerships
In terms of business expansion, CSPC completed 2 product license and acquisition projects, and 2 out-licensing projects. These include the authorization of CLDN18.2 antibody-drug conjugate (ADC) SYSA1801 to Elevation Oncology Company in the United States, and Nectin-4 ADC SYS6002, to Corbus Pharmaceuticals.-Fineline Info & Tech
