Kangzhe Pharmaceuticals 2025 Revenue Growth of 10%, Normalized Net Income Up 4%, Multi-Engine Drives Performance Back to Growth Track

On March 16, Kangzhe Pharmaceutical (867.HK/8A8.SG) released its 2025 full-year performance announcement. During the reporting period, the company achieved operating revenue of 8.21 billion yuan (RMB), a year-on-year increase of 9.9%; normalized net profit excluding one-time non-operating items was 1.78 billion yuan, up 3.6% year-on-year. The company plans to pay a final dividend of RMB 0.1366 per share, with total annual per-share dividends up 9.0% year-on-year. This marks Kangzhe Pharmaceutical’s successful recovery from the impact of centralized procurement, entering a new growth cycle.

Growth “Structural Shift”: Exclusive/Brand and Innovative Products Rise to 60%

In 2025, the company’s drug sales revenue reached 9.39 billion yuan, with major exclusive/brand and innovative products contributing 5.61 billion yuan, a 23.3% increase, accounting for 59.8% of total revenue. Notably, revenue from exclusive drugs and innovative medicines grew rapidly by 44.1%, demonstrating a clear “structural shift” in growth, with innovation and exclusive products now leading the growth momentum.

Driven by multiple cycles of “innovative products + comprehensive commercialization system + internationalization of industry,” Kangzhe Pharmaceutical is accelerating the development of a diversified and sustainable second growth curve.

Approximately 50 Differentiated Innovation Pipelines, Tiered Innovation Products Accelerate Commercialization

Kangzhe Pharmaceutical has built a differentiated, tiered product pipeline through parallel “co-development + independent R&D” innovation paths. As of now, the company has about 50 differentiated innovative pipelines, including 7 approved and commercialized in China, 6 under review for listing, and around 20 projects about to start or in clinical trials (including 6 self-developed projects).

Since 2025, Rucaparib Cream (vitiligo) and Dextrodostatin Tablets (renal anemia) have been approved and launched in China, continuously expanding Kangzhe’s innovative product matrix. Rucaparib Cream, as China’s first and only topical JAK inhibitor approved for vitiligo, fills a clinical gap and has significant market potential.

The company has established a replicable innovation incubation system. With the support of innovation partners, more potential products are accelerating toward commercialization:

· Solvaymab injection (rabies passive immunization), Viconduta injection (tetanus passive immunization) are expected to be approved by 2026;

· Y-3 injectable, the world’s first neuroprotective agent targeting key pathological points PSD95-nNOS and MPO in stroke, is expected to be approved by 2027;

· The gout treatment URAT1 inhibitor APB-671 is also expected to be approved by 2028.

With multiple products demonstrating clinical value and commercialization potential gradually coming to market, the company’s medium- and long-term growth prospects are expected to become more transparent and certain.

Meanwhile, Kangzhe Pharmaceutical is also strengthening its independent R&D system, focusing on cutting-edge global targets in specialty fields to build differentiated competitive advantages. Currently, six innovative drugs with global independent intellectual property rights—including CMS-D003 capsules for hypertrophic cardiomyopathy and CMS-D008 injections for overweight/obesity—are progressing in China’s clinical development, providing endogenous momentum for long-term growth.

The company has established a “investment + R&D + commercialization” closed-loop growth model, achieving a synergistic effect of “investment promoting R&D, sales driving R&D,” further enhancing resilience through cycles.

Commercialization Acceleration and Deepening of Specialty Focus

Kangzhe Pharmaceutical is building a diversified commercial ecosystem through “full-channel coverage,” promoting integrated growth inside and outside hospitals. During the reporting period, the company continued to deepen its layout in retail pharmacies, DTP pharmacies, e-commerce platforms, and O2O channels, exploring incremental markets outside hospitals and consumer healthcare.

At the same time, the company is continuously strengthening its focus on specialties, achieving scale effects in cardiology, nephrology, metabolism, gastroenterology, ophthalmology, and dermatology, forming a multi-polar growth pattern.

In the reporting period, the ophthalmology subsidiary Kangzhe Weisheng added two approved ophthalmic anti-VEGF drugs in China: Ranibizumab injection and BusiZumab injection, completing the core product matrix in the ophthalmology field and simultaneously enhancing academic network and brand influence.

In dermatology, in April 2025, the company announced plans to spin off DermaMed into an independent listing on the Main Board of the Hong Kong Stock Exchange, unlocking its rapid growth potential and independent value. On March 12, 2026, Rucaparib Cream was first prescribed for vitiligo in 30 provincial-level regions nationwide, covering thousands of public and private medical institutions, and simultaneously entering over 1,300 offline pharmacies and JD platforms, marking another milestone in the dermatology business.

Full-Chain Layout in Emerging Markets to Expand International Business

In July 2025, Kangzhe Pharmaceutical successfully listed on the Singapore Exchange (SGX) for a secondary listing, forming a dual listing with HKEX, leveraging international capital platforms to tap into Southeast Asia, the Middle East, and other emerging markets. Through the “R&D-CMS, manufacturing-Linked PharmaGend, sales-Rxilient” full-chain efficient collaboration, the company promotes high-efficiency matching of differentiated product resources with emerging market demands and creates spillover ecological value.

As of the end of the reporting period, the holding subsidiary Rxilient had submitted nearly 20 product and medical device listing applications in Asia-Pacific and the Middle East, with about 20 products granted exclusive rights in Southeast Asia, the Middle East, and North Africa, with initial expansion into Latin America and Oceania. In early 2026, the innovative drug Diazepam Nasal Spray was approved in Singapore.

Future Outlook: Multi-Engine Drive, Initiating a New Growth Cycle

Kangzhe Pharmaceutical has established a multi-dimensional growth engine driven by “innovative drug volume + commercialization empowerment + internationalization breakthroughs,” steadily progressing toward an innovative-driven international pharmaceutical company. With the deepening implementation of the “New Kangzhe” strategy, the company’s core competitiveness will continue to strengthen, providing long-term value anchoring and building a resilient moat through cycles.