RemeGen Co., Ltd. reported a sharp turnaround for the first half of 2026, moving from a RMB 449.57 million net loss a year earlier to a RMB 4.66 billion profit as licensing income and rising product sales drove record results.
Financial Highlights (H1 2026 vs. H1 2025)
• Revenue surged 434% to RMB 5.85 billion (H1 2025: RMB 1.09 billion), fuelled by a USD 650 million (RMB 4.51 billion) upfront payment from AbbVie for global rights (ex-Greater China) to bispecific antibody RC148 and robust domestic sales of telitacicept and disitamab vedotin.
• Gross profit climbed to RMB 5.58 billion, lifting gross margin to 95.4% (H1 2025: 84.4%).
• R&D expenditure eased 36% to RMB 414.15 million following out-licensing of late-stage assets; selling and distribution costs rose modestly to RMB 549.60 million, while administrative expenses expanded to RMB 262.44 million, reflecting transaction-related advisory fees.
• Other income and gains jumped to RMB 354.89 million, largely from mark-to-market appreciation of Vor Bio warrants and higher wealth-management returns.
• Net profit reached RMB 4.66 billion; basic EPS was RMB 8.32 (H1 2025: loss per share RMB 0.83).
Balance Sheet and Liquidity
• Total assets increased 35.9% to RMB 9.85 billion, while liabilities fell 57.9% to RMB 1.53 billion after repayment of bank borrowings. Resulting equity more than doubled to RMB 8.31 billion.
• Cash and cash equivalents rose to RMB 1.53 billion. Gearing ratio dropped to 15.6% (31 Dec 2025: 50.2%) on reduced debt.
Commercial & R&D Milestones
• Telitacicept received Chinese approvals for IgA nephropathy and Sjögren’s syndrome in June 2026, expanding its label to five autoimmune indications.
• Disitamab vedotin secured NMPA nods for first-line HER2-expressing urothelial cancer (April 2026) and HER2-low breast cancer with liver metastases (March 2026). Phase II/III gastric-cancer data presented at ASCO showed risk reductions of 39-58% in overall survival across HER2-expressing subgroups.
• RC148 obtained Breakthrough Therapy Designation for non-small cell lung cancer and was licensed to AbbVie for up to USD 5.60 billion (USD 650 million upfront, USD 4.95 billion in milestones, plus double-digit royalties). Post-deal, multiple Phase III trials are advancing in China and the U.S.
• RC28-E Phase III wet-AMD trial completed enrolment; DME filing was voluntarily withdrawn in July 2026 to meet NMPA safety-sample requirements.
• Early-stage assets RC118, RC278 and RC288 progressed through Phase II/III or Phase I/II programmes targeting solid tumours.
Post-Period Events
• Acquired additional bank wealth-management products; cumulative fair value of such investments reached RMB 2.05 billion.
• Repurchased 41,040 A Shares in July–August 2026 for RMB 4.48 million; treasury share balance stood at 235,184 A Shares.
• Entered a July 2026 data-licensing agreement with an independent third party, generating RMB 60 million.
Outlook
Management aims to deepen penetration of telitacicept and disitamab vedotin in China, accelerate global trials with partners Vor Bio, Pfizer/Seagen, Santen and AbbVie, and pursue additional indications across autoimmune, oncology and ophthalmology portfolios.
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