Fudan-Zhangjiang Bio-Pharma sees profit plunge 92% in H1 2025

Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co., Ltd. reported a significant decline in its financial performance for the six months ended June 30, 2025. Revenue decreased by 4% to RMB390,083,112 from RMB408,123,863 in the same period of 2024. Net profit plummeted by 92% to RMB5,622,200, compared to RMB70,344,013 in the prior year, primarily due to increased research and development expenses and the recognition of compensation and liquidated damages from a terminated cooperation with a LIBOd® promotion service provider. Basic earnings per share also fell to RMB0.01 from RMB0.07.

The company's research and development expenses rose by 15% to RMB177,976,257, reflecting a continued focus on innovative drug development. Selling expenses increased by 59% to RMB181,910,272, while cost of sales increased to RMB39,773,796, attributed to reduced production volumes of LIBOd® after its exclusion from volume-based procurement.

Despite the challenges, net cash flow from operating activities increased by 125% to RMB62,212,859, mainly due to higher cash receipts from sales of goods and services. Total assets stood at RMB2,541,453,272, a slight decrease from RMB2,586,502,623 at the end of 2024. The company also noted a price adjustment for LIBOd® products, effective May 1, 2025, which is expected to further impact sales revenue.