Shanghai Haohai Biological Technology Co., Ltd. (Haohai Biotech) reported a sharp earnings contraction for the six months ended 30 June 2026, reflecting weaker domestic demand in medical aesthetics and pressure from product price competition.
Revenue and Earnings • Revenue retreated 9.81% year-on-year to RMB1.17 billion. • Net profit attributable to shareholders declined 46.64% to RMB112.63 million, while profit after excluding non-recurring items fell 59.82% to RMB82.06 million. • Basic EPS dropped to RMB0.49 from RMB0.91 a year earlier.
Margin and Cost Dynamics • Group gross margin narrowed to 65.15% from 70.11%, largely due to a lower contribution from high-margin hyaluronic-acid (HA) dermal fillers. • R&D expenditure was RMB95.39 million, down 3.06%; the spend represented 8.18% of revenue versus 7.61% in the prior-year period. • Additional depreciation and amortisation of more than RMB21 million related to the new medical-device facility weighed on operating profit.
Segment Performance • Medical aesthetics & wound care: revenue fell 23.95% to RMB435.99 million as HA dermal filler sales slid 41.59% to RMB202.01 million amid soft consumer demand and intensified pricing pressure. • Ophthalmology: revenue slipped 5.87% to RMB344.64 million; cataract products rose 2.29%, but orthokeratology lens sales fell after the termination of the Brighten Optix distribution agreement. • Orthopedics: revenue eased 8.41% to RMB206.96 million as sodium hyaluronate injection and chitosan viscosupplement sales both declined. • Anti-adhesion & hemostasis: revenue declined 10.26% to RMB98.69 million, reflecting price cuts and provincial procurement pressures. • Regeneration & repair: newly added product line contributed RMB61.09 million following exclusive distribution deals for acellular dermis, biological amniotic membranes and allogeneic bone.
Geographical Mix Mainland China generated 985.13 million, or 84.5% of total revenue (−8.4% YoY). Europe, the United States and other regions collectively contributed 180.72 million (−20.4% YoY).
Balance Sheet and Liquidity • Cash and bank balances stood at RMB2.32 billion, down RMB126.26 million from end-2025, reflecting capex of RMB114.44 million and H-share buybacks of RMB22.54 million. • Interest-bearing borrowings rose to RMB408.23 million, all due within one year. • Current ratio remained robust at 3.49 (end-2025: 3.79). • Gearing ratio was 16.78%.
Capital Returns The board declared an interim dividend of RMB0.25 per share (inclusive of tax), versus RMB0.40 a year earlier, totalling RMB56.19 million based on shares outstanding after treasury-share deductions. No material post-period events or new major investments were reported.
Operational Highlights The period saw a series of product approvals, including a bio-gel intraocular filler and multiple high-end intraocular lenses—hydrophilic heparin-coated large-optic aspheric, hydrophilic aspheric multifocal, and hydrophobic moulded trifocal IOLs. China’s first hydrophobic moulded trifocal toric IOL received clearance in August 2026. Key pipeline assets such as EDOF IOLs, advanced orthokeratology lenses, next-generation dermal fillers, collagen solutions and long-acting orthopedic injectables progressed through registration or clinical stages.
Strategic Priorities for H2 2026 Management plans to accelerate high-end product launches, enhance marketing synergies—particularly between HA fillers and EndyMed’s RF devices—navigate upcoming volume-based procurement rounds, and develop the newly added regeneration & repair portfolio to cultivate future growth drivers.