Everest Medicines, a China-based biopharmaceutical company listed on the Hong Kong Stock Exchange (HKG: 1952), has reported its financial results for the first half of 2024. The firm’s revenues experienced a substantial month-on-month increase of 158%, reaching RMB 302 million for the six-month period, primarily propelled by sales of the Xerava (eravacycline) antibiotic and Nefecon (targeted-release budesonide). This marks a significant leap from the RMB 89 million recorded in the corresponding period of the previous year.
In a demonstration of enhanced operational efficiency, the proportion of operating expenses to revenue saw a substantial decrease of 249%. The gross profit margin has also shown notable improvement, rising from 62.7% in the same period last year to 76.6% in the current period. Excluding intangible asset amortization, the gross profit margin soared to 83.0%, signifying the company’s first-ever commercial-level profit in its history. Furthermore, Everest Medicines’ cash balance has reached RMB 1.93 billion, providing a solid foundation for future business development and sustained growth.
Nefecon, the first fully approved etiological treatment for immunoglobulin A nephropathy (IgAN), has gained approvals in mainland China, Singapore, and Hong Kong. Xerava, the world’s inaugural tetracycline-based antibacterial drug, serves as the company’s inaugural commercialized product and continues to exhibit strong growth potential. Velsipity (etrasimod), a therapy for autoimmune diseases, has received approvals in Macau and Singapore.
Everest Medicines plans to augment sales of Nefecon in mainland China and other Asia-Pacific regions, engaging in negotiations for the National Reimbursement Drug List (NRDL) to enhance the drug’s affordability and accessibility. The company also anticipates growth in Xerava sales through core hospital coverage and collaborations with Contract Sales Organizations (CSOs). Velsipity is set to launch in Macau, from where it will be made available to patients in mainland China under the favorable Greater Bay Area (GBA) policy. With an ambitious outlook, Everest Medicines expects to introduce three new products by the end of 2024 and is confident in achieving sales of RMB 700 million for the year.- Flcube.com
