Hengrui Pharmaceutical’s innovative achievements have been accelerated, with R&D investment exceeding 4.5 billion in the third quarter

On the evening of October 28, Hengrui Medicine announced its third quarter performance report for 2022. In the first three quarters, Hengrui Medicine achieved operating income of 15.945 billion yuan, down 21.06% year-on-year, and net profit attributable to shareholders of listed companies was 3.173 billion yuan, down 24.57 percent year-on-year. %. But at the same time, the report also revealed some positive information. The operating income of Hengrui in the third quarter was 5.717 billion yuan. Although it was still down compared to the same period last year, it was up 20.38% compared to the second quarter of this year.

The report also shows that in the first three quarters of 2022, research and development expenses will reach 3.498 billion yuan. According to estimates, together with the new development expenditures in this period, it is estimated that the company’s research and development investment will exceed 4.5 billion yuan, providing strong support for the long-term development of enterprise innovation.

Analysts believe that under the complex and severe internal and external environment, the biopharmaceutical industry is still in the “pain” period of transformation and development. Facing many challenges, Hengrui Medicine adheres to the two-wheel-driven development strategy of innovation and internationalization, and continues to invest heavily in research and development. , the innovation achievements have been accelerated to the market, and the operation reform has also achieved initial results. It is expected to accelerate the transformation and achieve long-term sustainable development.

Accelerate the implementation of innovation achievements

Hengrui Medicine continues to implement the development strategy of scientific and technological innovation in depth, vigorously promotes innovative research and development, and achieves frequent harvests. The report shows that the company continues to increase investment in research and development. The research and development expenditure in the first three quarters of 2022 will reach 3.498 billion yuan. According to estimates, plus the new development expenditure in this period, it is estimated that the company’s research and development investment will exceed 4.5 billion yuan.

In July this year, Hengrui’s 11th listed innovative drug and the first domestically developed androgen receptor (AR) inhibitor, Ariane® (Revelutamide Tablets), issued the first prescription in the country. Nearly 30 provinces and municipalities have issued 700 prescriptions, bringing new treatment options to patients with metastatic hormone-sensitive prostate cancer (mHSPC) with high tumor burden in my country.

In terms of the application of innovative drugs and new indications, in July this year, the application for marketing authorization of the innovative drug SHR8554 injection for the treatment of moderate and severe pain after abdominal surgery was accepted. At present, there is no similar drug on the market in China; it has obtained 2 important drugs in the field of breast cancer. Pounds of progress, innovative drug Dalcitinib for the treatment of hormone receptor (HR)-positive, human epidermal growth factor receptor 2 (HER2)-negative locally advanced or metastatic breast cancer, and innovative drug pyrotinib for HER2-positive, advanced stage Drug marketing authorization applications for recurrent or metastatic breast cancer who have not received anti-HER2 therapy have been accepted by the State Food and Drug Administration.

Based on the strong comprehensive strength of innovation, Hengrui Medicine has won many awards in relevant selections at home and abroad since the beginning of this year. In the “2021 Top 100 List of China’s Pharmaceutical Industry”, Hengrui once again topped the “Top 100 Chinese Chemical Pharmaceutical Enterprises” list; Forbes China “2022 China’s Top 50 Innovative Enterprises”, Hengrui has become the field of big health One of the representative companies on the list; Hengrui has been on the list for the fourth consecutive year and ranked first in the 2022 “Top 100 Chinese Pharmaceutical Innovation Enterprises” list by “E-Pharmaceutical Manager”. At the same time, it ranked second in the list of “Top 50 Models of China’s Pharmaceutical Innovation and Upgrade” selected for the first time; in the global patent database incoPat Innovation Index Research Center’s TOP100 list of global biomedical invention patents, Hengrui ranked No. 13, is the only Chinese pharmaceutical company to enter the TOP20.

At present, Hengrui has launched 11 innovative drugs, ranking among the top in the domestic industry. More than 60 innovative drugs are under clinical development, and more than 260 clinical trials are being carried out at home and abroad.

The innovative drug projects under research have repeatedly made breakthroughs, and the future is worth looking forward to

During the reporting period, Hengrui Medicine has made a number of progress in its innovative drug projects, including a product that is planned to be included in the list of breakthrough treatment varieties.

The innovative drug camrelizumab combined with famitinib in the first-line treatment of recurrent or metastatic non-small cell lung cancer is planned to be included in the Breakthrough Therapy List; Hengrui Medicine’s self-developed antibody-drug conjugate targeting HER2 (ADC) A total of 2 clinical trials of SHR-A1811 for injection have been approved, namely: in combination with SHR-1701 for the treatment of HER2-positive advanced gastric or gastroesophageal junction adenocarcinoma, and in combination with pyrotinib or adebelimumab (SHR-1316) for the clinical study of HER2-abnormal advanced non-small cell lung cancer; in addition, the innovative drug SHR-1701 is combined with the treatment of EGFR-mutated recurrent or advanced non-small cell lung cancer, and the innovative drug SHR-1802 is combined with Aderbelly The clinical study of monoclonal antibody (SHR-1316) in the treatment of advanced solid tumors has also been approved successively.

At the same time, Hengrui’s innovative drug research results have repeatedly appeared on the international academic stage. At one of the world’s most influential oncology conferences, the European Society for Medical Oncology (ESMO), Hengrui has a total of 29 studies selected, including Carelli. 4 studies of zuzumab combined with apatinib, dalsilib, and pyrotinib were selected for oral and short oral reports, and 25 studies were displayed in poster format; in terms of academic journal publication, the innovative drug revelutamide CHART The research was published in the international authoritative medical journal “Lancet Oncology” (IF=54.433), and the research results of the innovative drug apatinib APPROVE were listed in the authoritative medical journal “Journal of the American Medical Association Oncology” ( JAMA Oncology, IF=33.006), etc., to show China’s innovative drugs on the international stage. 

Focusing on innovation and transformation, continue to optimize corporate governance

Facing the external situation of industry changes and intensified competition, Hengrui Medicine continues to promote the evolution of organizational operations, optimize corporate governance, and provide organizational mechanism guarantees for the company’s innovation, transformation and development.

Following the appointment of the general manager of the company, the senior management team of Hengrui Medicine was adjusted again in the third quarter of this year. He Feng, who has been engaged in research and development in the pharmaceutical industry for more than 20 years and has both Hengrui gene and global R&D background, was newly appointed as the deputy general manager of Hengrui Medicine. Hengrui said that the appointment of the new deputy general manager of R&D will help the company to further input “fresh blood” on the basis of ensuring the continuity and stability of innovative R&D.

In terms of employee incentives, the previous announcement disclosed that 12 million shares for the company’s 2022 employee stock ownership plan have been repurchased, and the employee stock ownership plan is progressing smoothly. It is expected that more than 1,000 employees will receive no more than 12 million shares. excitation. This employee stock ownership plan, which takes innovative drug business as an assessment item, is also generally interpreted by the outside world as Hengrui’s innovative drug planning goal in the next few years, demonstrating Hengrui’s confidence and determination in innovation.