Huadong Medicine Co., Ltd (SHE: 000963), a leading China-based pharmaceutical company, has released its 2022 financial report, demonstrating robust growth with revenues of RMB 37.715 billion (USD 5.5 billion), an increase of 9.12% year-on-year (YOY), and net profits of RMB 2.598 billion (USD 379.3 million), marking a 13.24% YOY increase.
Pharmaceutical Industry Sector Performance
The pharmaceutical industry sector, including Contract Sales Organization (CSO) business, generated RMB 11.244 billion (USD 1.64 billion) in sales, a 10.88% YOY increase. The company’s commitment to research and development (R&D) was evident with an expenditure of RMB 2.681 billion (USD 391.4 million), a significant increase of 44.8% YOY. During 2022, Huadong achieved multiple milestones, including the US approval of ELAHERE, a first-in-class antibody-drug conjugate (ADC) for ovarian cancer, with a Biologics License Application (BLA) expected in China later this year. The in-house developed Category 1 diabetes drug HDM1002 was filed in both China and the US, and ARCALYST, licensed from Kiniksa, was awarded priority review status with a BLA filing scheduled for this year. The company’s pipeline includes 52 novel drugs and biosimilars, with 5 in Phase III and 3 in Phase II stages, covering oncology, endocrine, and autoimmune diseases.
Medical Aesthetics Segment Growth
The medical aesthetics segment saw substantial growth, generating RMB 1.915 billion (USD 279.5 million), an increase of 91.11% YOY. Its UK wholly-owned subsidiary, Sinclair, contributed GBP 134.57 million (USD 168.37 million), a 76.90% YOY increase. Huadong boasts a global portfolio of 36 medical aesthetics products, with 24 available commercially.
Industrial Microbiology Sector and Medicine Commerce
The industrial microbiology sector achieved RMB 510 million (USD 74.46 million) in sales, a 22% YOY increase. Huadong owns 3 R&D bases and 6 industrial bases, supporting over 130 R&D programs, including 17 innovative raw materials such as xRNA and ADC, 30 pharmaceutical raw materials and intermediates, and 18 major health and aesthetic raw materials, animal health, and biomaterials. Medicine commerce revenue reached RMB 25.553 billion (USD 3.73 billion), a 10.55% increase, with an aggregate net profit of RMB 397 million (USD 57.96 million), up 3.85% YOY.
Conclusion
Huadong Medicine’s 2022 financial report reflects the company’s strong performance across various sectors, with notable growth in pharmaceuticals, medical aesthetics, and industrial microbiology. The company’s commitment to R&D and innovation positions it well for continued growth and leadership in the global pharmaceutical market.-Fineline Info & Tech
