KINTOR PHARMA-B (09939) has announced that its anti-hair loss foam product is one of the offerings under its cosmetic brand KOSHINÉ, which features KX-826 as a primary ingredient. The company clarified that while the sales agency agreement presents a favorable opportunity to further advance the commercialization of its cosmetic products, this cosmetics sales business is currently small in scale and supplementary when compared to the group's listed business, which focuses on the development and commercialization of its core product KX-826, GT20029, and other pipeline products. It was further clarified that the disclosed sales target of RMB 100 million is a long-term goal measured on a cumulative basis and is not an indicator expected to be achieved in the short term.

Regarding human resources, as of the date of this announcement, out of the company's 121 employees, 69 are dedicated to drug research and development, drug supply, and local GMP production. An additional 24 employees are currently focused specifically on cosmetics sales and the marketing and sales preparation for the company's drug candidates.

Financially, based on the company's management accounts, R&D expenses are projected to constitute over 50% of the company's total expenditures for the fiscal year ending December 31, 2025. This is primarily due to the allocation of funds towards Phase II and Phase III clinical studies of KX-826 for treating androgenetic alopecia (in men) in China, and the Phase II clinical study of GT20029 for treating acne in China.

The Board of Directors confirms that the company will utilize the cash flow generated from its cosmetics business, including sales of the product, to fund its medical and biological applications and development. The company also reaffirms its commitment to adhering to the established strategy for its listed business.

The Directors have reviewed the group's cash flow forecast for a period of no less than 12 months starting December 31, 2025. After considering factors including the company's active negotiations with several banks for financing, which is expected to be granted and drawn in the first quarter of 2026, and the company's active pursuit of equity financing, including discussions with several potential investors regarding the subscription of new shares, the Directors believe the company possesses sufficient financial resources and liquidity to fund its operations, research and development, and preparation for the commercialization of its core products.