Movement Alert|HBM HOLDINGS-B Falls 5.24% in Regular Trading, Continued Selling Pressure as H1 Profit Declined 11% Despite Revenue Growth

Market Focus08-31

On August 31, HBM HOLDINGS-B fell 5.24% in regular trading to HK$14.16, with turnover of HK$18.99 million, extending the prior session's decline as the market continued to digest disappointing interim results.

The company reported H1 revenue of US$122 million, up 20.9% year-over-year, but net profit fell 11.16% to US$64.85 million. The profit erosion was primarily driven by a 64.6% surge in R&D costs to US$29.6 million and a 126.3% jump in administrative expenses to US$16.67 million, largely attributable to rising headcount costs and litigation-related fees. While molecular licensing and collaboration revenue grew to US$113 million, the sharp expense expansion compressed margins, prompting sustained negative market reaction to the revenue-profit divergence.

Separately, on August 27 the company announced a board reshuffle, with executive director Rong Yiping departing for personal reasons and Chen Youchen and Liu Yi appointed as new executive directors.

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