Chengda Biotech: Net profit of 138 million yuan in 2025, down 59.86% year-on-year

Chengda Bio released its performance report, showing that in the fiscal year 2025, the company achieved a total operating revenue of 1.39 billion yuan, a year-on-year decrease of 17.06%; net profit was 138 million yuan, a year-on-year decrease of 59.86%. The main factors affecting operational performance during the reporting period are as follows: (1) The decline in operating revenue was mainly influenced by changes in the domestic human rabies vaccine market environment. On one hand, market demand has contracted due to changes in industry regulatory policies and intensified market competition; on the other hand, the sales rhythm of products has slowed due to periodic destocking in terminal channels and adjustments in procurement schedules, leading to a year-on-year decline in domestic sales revenue; (2) The increase in asset impairment losses is primarily due to the company’s adjustment of its R&D strategy, terminating the development of the hib vaccine project, and fully accounting for the asset impairment provision for the capitalized R&D investment in this project; (3) The increase in fair value change gains is mainly due to a valuation recovery in the innovative drug industry investments within the private equity funds the company has invested in, resulting in a rebound in the fair value of assets; (4) The company’s overseas sales revenue realized growth, while continuously strengthening internal management effectively controlled sales and management expenses, which alleviated downward pressure on performance to some extent.