Hong Kong-listed Chinese drug firms set to turn corner on rising sales, licensing deals

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Hong Kong-listed mainland Chinese pharmaceutical companies are projected to achieve full-year profits due to increased drug sales and out-licensing agreements. Macquarie Capital anticipates strong earnings for innovative drugs in China despite domestic pricing pressures. Innovent Biologics, the first Chinese company approved to sell a weight loss and diabetes drug, is expected to report its first full-year profit of 984 million yuan in 2025, a significant turnaround from a loss in 2024. Innovent's revenue is expected to increase by 45% in 2025, driven by cancer treatment drug development and the launch of six new products last year. Innovent, founded in 2011, was among the first companies to list in Hong Kong under rules allowing pre-revenue firms to raise capital.
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