Dongbao Pharmaceutical: Revenue and profit both achieved double-digit growth in the first quarter of 2026

On April 28, Tonghua Dongbao Pharmaceutical Co., Ltd. (hereinafter referred to as "Tongbao Pharmaceutical" or the "Company") released its first quarter report for 2026. The company's performance in the first quarter got off to a good start, with three core indicators of revenue, profit and gross profit margin improving across the board. During the reporting period, the company achieved operating income of 748 million yuan, a year-on-year increase of 14.76%; net profit attributable to shareholders of listed companies was 127 million yuan, a year-on-year increase of 16.15%; net profit attributable to shareholders of listed companies after deducting non-recurring gains and losses was 127 million yuan, a year-on-year increase of 15.72%.

While revenue and profits have grown steadily, the company's operating quality has further improved. During the reporting period, the company's gross profit margin increased by 2.30 percentage points year-on-year to 71.62%; the sales expense rate and administrative expense rate both decreased year-on-year, reflecting the continued release of the company's product structure optimization and expense control results, and the substantial improvement in profit quality.

Steady growth in core business

In the first quarter, the company's core business continued to maintain steady growth, with domestic market revenue increasing by nearly 20% year-on-year. The company's insulin analog sales have maintained rapid growth, with insulin aspart sales increasing by more than 46% year-on-year; insulin analog preparation revenue has further expanded to more than 55% of the company's total insulin preparation revenue, becoming an important support for the company's insulin business growth and structural upgrade.

In terms of GLP-1 products, the company's liraglutide injection sales increased by approximately 60% year-on-year in the first quarter. The company continues to carry out liraglutide-related academic activities across the country, promote standardized application information of GLP-1RA, share mature medication experience, help improve the diagnosis and treatment level of grassroots doctors, and promote the standardized application of the product in hospitals at different levels.

In addition, the company's long-acting GLP-1 product semaglutide injection (THDB0225 injection) has submitted a Pre-NDA application in February, and the NDA application work is in full progress. Relying on the synergistic advantages of the company's mature sales network covering medical institutions at all levels across the country and existing diabetes treatment products, it is expected that semaglutide will have a good foundation for rapid volume expansion after it is approved and launched in the future, becoming an important driving force for the company's performance growth.

The product matrix is further enriched

During the reporting period, the company signed a "Commercialization Cooperation Agreement" with Huisheng Biopharmaceutical Co., Ltd., and obtained the exclusive commercialization rights of its insulin degludec aspart double insulin injection (trade name: Huiyoujia) and degludec insulin injection (trade name: Huiyouda) in mainland China.

The two products further enrich the company's product layout in the field of dual insulin and basal insulin, forming synergy and complementarity with the company's existing products. In the future, the company will leverage its commercial advantages in the field of endocrine metabolism, accelerate the market promotion and clinical application of the two products, and cultivate new growth momentum.

Deepening of internationalization strategy

In the first quarter, the company's internationalization strategy was simultaneously advanced across the board in European and American markets and emerging markets, and its global layout continued to deepen.

• European and American markets: After the U.S. BLA and EU MAA for insulin aspart were accepted, the review work progressed steadily, and the company actively cooperated with regulatory agencies to carry out relevant work. The preparation and application of registration materials for insulin glargine and insulin lispro in the European and American markets are progressing in an orderly manner.
• Emerging markets: In March, the company's human insulin injection series products obtained the GMP certificate from Malaysia, a PIC/S member country, further improving the Southeast Asian market layout; in April, the human insulin API product obtained the DRAP approval letter from Pakistan, laying the foundation for market supply in South Asia. At the same time, the commercialization of the company's previously approved products in countries such as Indonesia, Myanmar, Dominica, Uzbekistan, and Nicaragua is progressing in an orderly manner, and the company is gradually transforming from "registration and approval" to "increasing sales volume."
• GLP-1 going overseas: The company cooperated with Sinovac Pharmaceutical to promote the internationalization process of liraglutide injection, and the registration layout in 17 overseas emerging markets continued to expand. In February, liraglutide injection officially obtained the GMP certificate issued by Brazil's ANVISA, laying a compliance foundation for expanding the core market in Latin America.

Looking to the future

2026 is a critical year for the company's "innovative R&D + internationalization" strategy to deepen and implement. The company will continue to consolidate its leading position in human insulin, accelerate the expansion of insulin analogues and upgrade its product structure; promote the commercialization cooperation between double insulin aspart and insulin degludec; promote the registration application of key products such as semaglutide and super-fast-acting insulin; and continue to strengthen international registration and overseas commercialization capabilities, promote the speed and expansion of products overseas, and enhance the company's long-term development potential.