VIVA BIOTECH (01873) experienced a sharp decline, falling more than 10% at one point during Hong Kong trading. As of the latest update, the stock was down 7.37% at HK$1.445, with turnover reaching HK$12.736 million.

The drop follows the release of the company's interim results for the first half of 2026. During this period, VIVA BIOTECH generated revenue of HK$1.0065 billion, a year-on-year increase of 20.99%. However, net profit fell 32.1% to HK$100.9 million, while adjusted non-IFRS net profit declined 30.08% to HK$128 million.

The company attributed the profit decline to several factors, including a reduced contribution from investment gains during the reporting period, adverse foreign exchange movements, and increased research and development expenses associated with the expansion into new business areas.

In its CRO segment, revenue dropped from HK$423 million in the same period last year to HK$405 million, representing a decline of approximately 4.2%. Correspondingly, adjusted gross profit in this division fell from HK$195 million to HK$174 million, a decrease of around 10.7%.

However, excluding the negative impact of foreign exchange fluctuations, the CRO business revenue decreased by approximately 1.2% year-on-year on a constant currency basis, while adjusted gross profit declined by about 2.6% under the same measure.