Sinobiopharma 1177.HK 1177 HK: 1H26F preview and FY26F forecast revisions

研报英文原文证据摘录

Sinobiopharma 1177.HK 1177 HK: 1H26F preview and FY26F forecast revisions

Global Markets Research

Sinobiopharma 1177.HK 1177 HK 24 July 2026

EQUITY: HEALTH CARE & PHARMACEUTICALS

Rating1H26F preview and FY26F forecast revisions Remains Buy

Target priceWe expect mild top-line growth in 1H26F and Reduced from HKD 8.26collaboration revenue to drive 2H26F growth HKD 8.67

We estimate 1H26F sales increased by 5.3%, driven by innovative drug sales, while Closing23 July 2026price HKD 5.19

earnings were down from a high 1H25 base

We estimate Sinobiopharma’s (SBP) 1H26F revenue increased 5.3% y-y to CNY18.5bn ( Implied upside +59.2%3.4% below the Bloomberg consensus estimate), which was driven by 22% y-y growth of

its innovative drugs (to CNY9.5bn), offsetting an 8% y-y decline in generics (to Market Cap (USD mn) 12,366.7

CNY9.0bn). ADT (USD mn) 62.1

We forecast a higher gross margin of 83.0% (+0.5pp y-y) in 1H26F and a lower opex ratio

of 61% (2pp down y-y), leading to operating profit rising 19.5% y-y to CNY4.1bn. Together Relative performance chart

with a lower other income estimate, compared to a high base in 1H25 (CNY2.7bn), we

estimate net profit to shareholders will be reported at CNY1.6bn (-51.6% y-y) in 1H26F.

For 2H26F, we expect a similar performance pattern, namely high growth for innovative

drugs and downbeat generics sales. We also expect SBP to recognize the upfront

payment of two deals it conducted in March and July (see our reports: QuickNote-

Sinobiopharma(1177HK)(Buy)-Anout-licensingdealwithAstraZeneca, QuickNote-

Sinobiopharma(1177HK)(Buy)-Firstlandmarkoutlicensingdealdelievered), which we

expect will help it to report 24.5% top-line growth and net profit to shareholders of

CNY2.2bn (compared to a loss of CNY1.0bn in 2H25) in 2H26F.