Overall performance has surpassed expectations, with profitability entering a phase of accelerated realization. During the first half of 2026, the core business of the GenScript Group maintained robust growth. On a comparable basis, revenue increased by 27.3% year-on-year, gross profit grew by 48.0%, and adjusted net profit surged by 203.3%. Driven by core business growth and improved operational efficiency, the company achieved a simultaneous leap in both revenue and profitability, with the overall operational performance continuing to improve.

Industry demand is driving accelerated growth, further strengthening the competitive advantages of the core business. Benefiting from a rebound in global biomedical R&D activity and the release of client R&D budgets, the Life Sciences business revenue reached $319.0 million, a year-on-year increase of 28.8%. The biopharmaceutical CRDMO platform saw new orders grow by 54.0% year-on-year. Meanwhile, the industrial synthetic biology business maintained rapid growth. The growth momentum across the three major business segments has strengthened in tandem, laying a solid foundation for future performance growth.

The accelerated release of AIDD demand is opening a new growth curve. The AIDD-related business doubled compared to the same period last year, with deepening collaborations with leading AI pharmaceutical companies. Client stickiness and project value are continuously increasing, propelling the company to accelerate its position as a top-tier validation platform within the AI drug discovery ecosystem. Today, GENSCRIPT BIO, a global leading life sciences research and manufacturing service provider, announced its interim results for the six months ended June 30, 2026. For the first half of 2026, on a comparable basis, the GenScript Group achieved revenue of approximately $404.2 million, a year-on-year increase of 27.3%; gross profit of approximately $206.7 million, a year-on-year increase of 48.0%; and adjusted net profit of approximately $62.5 million, a year-on-year increase of 203.3%. Driven by the steady growth of the core business, the group's revenue, gross profit, and profit all achieved significant improvements, with profitability continuously enhancing.

From a business perspective, the continuous improvement in industry sentiment and the accelerated penetration of technological innovation are jointly driving the company's growth momentum. Global biomedical R&D activities are steadily recovering, and client R&D investments are gradually rebounding, leading to a sustained recovery in demand for the CXO industry. At the same time, the accelerated application of new technologies like AIDD is driving demand for R&D services to extend from early-stage discovery to higher-value segments such as validation, development, and production, opening up new growth space for the company. Against this backdrop, GENSCRIPT BIO's core business orders have maintained strong growth, and capacity utilization rates have continued to improve, providing strong support for revenue growth, profitability improvement, and the release of operating leverage.

Shao Weihui, Rotating CEO of the GenScript Group, stated: "In the first half of 2026, the group's core business grew rapidly, with all business segments working in synergy to drive the simultaneous improvement of revenue and profit. We are optimistic about the medium-to-long-term development prospects of the industry. The company will continue to focus on client needs and an innovation-driven development strategy, actively seize the structural opportunities brought by AI empowering life sciences, continuously improve operational efficiency and global delivery capabilities, and steadily enhance core competitiveness and growth certainty, driving the company towards high-quality, sustainable development. The company will continue to expand its global gene-to-protein platform, advance the construction of automation and digital manufacturing capabilities, further strengthen its long-term competitive advantages, and consolidate its position as a key infrastructure partner in the AI-driven drug discovery ecosystem."

01 Core Business Steady Growth, More Diversified Performance Support

During the performance period, all three core business segments of GENSCRIPT BIO maintained strong development momentum. The Life Sciences business accelerated significantly, the biopharmaceutical CRDMO business experienced demand recovery and accelerated order release, and the industrial synthetic biology business progressed steadily. As the synergistic effects between the business segments become more apparent, the group's growth foundation continues to be solidified, providing strong support for revenue growth and profitability enhancement.

The Life Sciences business continued to act as the group's growth engine. In the first half of 2026, the Life Sciences business achieved revenue of approximately $319.0 million, a year-on-year increase of 28.8%; adjusted gross profit was approximately $184.5 million, a year-on-year increase of 46.1%. Adjusted operating profit was approximately $94.0 million, a year-on-year increase of 102.8%, with revenue and profit growth significantly exceeding industry expectations. This performance was primarily driven by the rapid development of the biomedical R&D outsourcing market, the successful execution of the integrated gene and protein strategy, and the structural demand growth driven by AIDD. Furthermore, the deepening of automation and digital manufacturing capabilities continues to drive the release of operating leverage and the realization of economies of scale.

Notably, GENSCRIPT BIO's globally leading gene-to-protein platform business now accounts for approximately 66% of the Life Sciences segment's revenue, consistently serving as a key pillar for business growth. During the reporting period, the AIDD-related business achieved double-digit growth year-on-year and maintained a rapid growth trend for three consecutive half-year periods. With deepening collaborations with global leading AI pharmaceutical companies, the company is further consolidating its competitive advantage as a leading wet-lab validation platform in the industry. It is expected that revenue from AIDD-related orders will maintain a double-digit growth trend in the future.

The biopharmaceutical CRDMO subsidiary, ProBio, showed a trend of recovering demand, order-led growth, and improving profitability. In the first half of 2026, ProBio achieved revenue of approximately $61.1 million, a year-on-year increase of 34.2% on a comparable basis, significantly exceeding industry expectations. Adjusted gross profit was approximately $8.3 million, a notable year-on-year improvement. The revenue growth was primarily driven by the sustained high demand for global biopharmaceutical R&D, the expansion of upstream CRDMO demand, the rapid growth of the in vivo CAR-T business, and the continuous expansion of overseas markets. During the reporting period, new orders signed by ProBio grew by 54% year-on-year, indicating that client R&D demand is accelerating, providing good support for future revenue growth. Meanwhile, the adjusted operating loss narrowed by approximately 22.5% to $24.3 million year-on-year. With the continuous growth of orders and ongoing improvement in operational efficiency, ProBio is expected to achieve positive adjusted EBITDA by 2027, entering a new phase of continuous profitability improvement.

The industrial synthetic biology products subsidiary, Bestzyme, continued its growth trend of leading the industry. During the reporting period, Bestzyme achieved revenue of approximately $30.4 million, a year-on-year increase of 7.4%; adjusted gross profit was approximately $13.0 million, a year-on-year increase of 14.0%. While maintaining steady operations, the company continues to increase investment in enzyme engineering and AI-enabled synthetic biology, actively promoting the deep integration of AI4S technology with its R&D platform. Looking ahead, relying on synthetic biology large models and a digital R&D system, the company can further improve R&D efficiency, reduce production costs, and accelerate the development of new products, thereby continuously enhancing product competitiveness and operational efficiency, laying a solid foundation for the long-term growth of the industrial synthetic biology business.

02 Outlook

Looking to the future, GENSCRIPT BIO believes the biomedical industry is entering a development phase characterized by a resonance between demand recovery and AI-driven innovation. The continuous growth of global R&D investment will support the expansion of the CRO and CRDMO markets. Meanwhile, the reshaping of the biomedical industry by AIDD is creating new demand, and the application of AI is continuously extending from early-stage discovery to high-value segments like validation, development, and production. Industry market space and per-project value are both expected to increase further. Against this backdrop, GENSCRIPT BIO will leverage its global layout, automation capabilities, and integrated service platform advantages to continuously improve commercialization efficiency and global delivery capabilities, responding more nimbly to client needs and industry changes. With order growth, improved capacity utilization, and the release of economies of scale, the company is expected to continuously strengthen its competitive advantages, achieve the simultaneous improvement of revenue and profitability, and create long-term sustainable value for shareholders.

03 First Half 2026 Financial Performance

Revenue

In the first half of 2026, the Group recorded revenue of approximately $404.2 million. On a comparable basis, revenue increased by 27.3% year-on-year. This was primarily due to (i) the continuous growth in industry demand for AI-driven drug discovery and antibody drug development, accelerating the "gene-to-protein" business; (ii) the strong recovery of upstream demand in the CRDMO industry, leading to an increase in the number of projects undertaken and improved capacity utilization; and (iii) the continuous expansion of the industrial enzyme business, driving steady sales growth during the reporting period.

Gross Profit

In the first half of 2026, the Group recorded a gross profit of approximately $206.7 million. On a comparable basis, gross profit increased by 48.0% year-on-year. The increase in gross profit was primarily attributable to revenue growth, optimized business mix, improved capacity utilization, and the continuous implementation of cost efficiency improvement measures.

Selling and Distribution Expenses

In the first half of 2026, the Group's selling and distribution expenses increased by 13.7% from approximately $47.5 million in 2025 to approximately $54.0 million. This was mainly due to (i) the continuous strengthening of regional commercial capabilities to support business expansion and client interaction in key global markets; and (ii) increased investment in the commercial talent team through targeted recruitment of experienced sales personnel and the optimization of incentive mechanisms.

Administrative Expenses

In the first half of 2026, administrative expenses remained relatively stable compared to the same period last year, at approximately $63.1 million. Adjusted administrative expenses decreased by 1.9% compared to the previous period.

Research and Development Expenses

In the first half of 2026, R&D expenses increased by 25.9% from approximately $31.3 million in 2025 to approximately $39.4 million. This was primarily attributed to (i) the continuous investment of R&D resources to optimize existing processes and technologies, shorten production cycles, and improve operational efficiency; and (ii) the deployment of new technology areas and applications to expand the Group's potential market space and support future growth.

This press release is for reference only and does not constitute a complete representation of the company's official announcement. The financial data and related information contained in the press release are for reference only. For specific details, please refer to the official announcement published by the company on the Hong Kong Stock Exchange on August 16, 2026, and the information disclosed on the company's website. Investors should exercise prudent judgment and be aware of investment risks. 1. In this press release, "comparable basis" refers to financial data excluding the financial impact of the license transaction with Lixin recognized in the previous period based on the license agreement. The Group's management believes that the comparable basis helps to more objectively reflect the Group's underlying business performance.