Hua Medicine released its 2025 Environmental, Social and Governance Report, highlighting a sharp financial turnaround and notable progress across all ESG pillars.

Financial and Operational Highlights • Revenue rose 93.00% year-on-year to RMB492.90 million, driven by fully independent commercialization of HuaTangNing (dorzagliatin). • Gross profit climbed 125.00% to RMB280.40 million, lifting gross margin to 56.90%. • A one-off release of RMB1.24 billion in previously deferred income under the terminated Bayer agreement propelled net profit to RMB1.11 billion—the company’s first annual profit. • HuaTangNing shipments exceeded 4.00 million packs, up 89.00% versus 2024, reaching more than 10,000 hospitals and 4,000 pharmacies across 400 cities.

R&D Pipeline Progress • Phase Ib MAD trial of second-generation GKA (HMS1005) dosed first subject in the United States in December 2025; topline data expected mid-2026. • Fixed-dose combination of dorzagliatin and metformin filed IND with China’s NMPA; bioequivalence study targeted for 2027 NDA. • Dorzagliatin NDA accepted by Hong Kong Department of Health; Macau filing completed, creating a springboard for Southeast Asia expansion.

Governance and Compliance • Board enhanced direct oversight of ESG by elevating the ESG Working Group’s reporting line. • No material non-compliance, corruption, data-privacy breaches or product-recall incidents reported during the year. • Supplier audits reached 24 on-site reviews; all suppliers passed quality standards.

Environmental Performance • Per-capita Scope 1 & 2 carbon-emission intensity fell 46.95% year-on-year, while per-capita electricity and water consumption dropped 48.70% and 64.31%, respectively. • Zero environmental incidents or regulatory penalties recorded. • Packaging optimisation cut PVDC usage by 181 kg and medicinal aluminium foil by 17 kg; all office paper is now FSC-certified.

Social Metrics • Total headcount grew to 333, with women holding 34.00% of mid- and senior-management roles. • Employee turnover remained low at 9.00% despite rapid sales-team expansion; no work-related injuries or fatalities reported for the third consecutive year. • Over 6,100 training hours delivered, averaging 17.80 hours per employee.

Community & Access • HuaTangNing maintained its original reimbursement price in China’s 2025 NRDL renewal, enhancing affordability for diabetes patients. • Real-world evidence studies enrolled more than 2,000 subjects, supporting broader indication exploration. • Public-health outreach reached 510,000 people through online lectures and short-video campaigns on glucose management.

Outlook Management affirmed its commitment to align carbon-neutral ambitions with national targets, deepen multi-source supply resilience, and accelerate global commercialization of its diabetes franchise while expanding the pipeline to metabolic and neurodegenerative diseases.