China Biotech Services Holdings Limited (CH BIOTECH SER) reported FY2025 revenue of HK$73.50 million, up 4.2% year on year. A return to a HK$7.73 million gross profit (gross margin 10.5%) contrasted with the HK$4.94 million gross loss recorded in FY2024. The net loss attributable to owners shrank 67.9% to HK$68.78 million, while total loss for the year fell to HK$80.84 million from HK$251.85 million, driven by lower impairments, reduced R&D spending and the absence of one-off asset write-downs booked a year earlier.
Segment performance • Medical laboratory testing and health check services: revenue dropped 8.6% to HK$35.78 million as demand normalised post-pandemic. • Insurance brokerage: revenue rose 22.8% to HK$37.57 million, reflecting an expanded distribution network and higher-end customer base. • No revenue was generated from tumor immune cell therapy, BNCT services or pharmaceutical distribution during the year; the BNCT segment remained in the pre-revenue build-out phase. • Logistics services contributed HK$0.15 million (FY2024: HK$0.07 million).
Cost and expense highlights • Selling and distribution expenses fell 29.4% to HK$8.31 million. • Administrative expenses declined 40.8% to HK$58.13 million, reflecting staff cost reductions and the absence of a HK$22.00 million legal claim booked in FY2024. • R&D expenditure decreased 48.4% to HK$17.20 million following completion of Phase I CAR-T trials. • Finance costs rose to HK$27.57 million (FY2024: HK$16.92 million) due to higher bank and other borrowings; HK$8.09 million was capitalised on the BNCT project. • Impairment charges on right-of-use assets totalled HK$6.73 million (FY2024: HK$2.58 million).
Balance sheet Total assets reached HK$702.58 million (31 Dec 2024: HK$529.96 million). Cash and bank balances stood at HK$12.08 million. Total borrowings and lease liabilities were HK$338.01 million and HK$12.62 million respectively, pushing the gearing ratio to 77.83% (FY2024: 54.26%). Current liabilities exceeded current assets by HK$266.07 million, with a current ratio of 0.23x. Capital commitments contracted but not yet incurred amounted to HK$90.87 million, mainly for BNCT equipment and construction.
Financing activities • Outstanding 2024 convertible bonds: US$6.00 million (carrying amount HK$44.27 million), coupon 8.25%, maturing December 2026. • After year-end, the company completed a US$35.00 million (HK$272.44 million) convertible bond placement on 20 Feb 2026; this triggered a reset of the 2024 bond conversion price to HK$1.11 per share from HK$1.20. • Total bank borrowings rose to HK$156.13 million, including RMB180 million project loans secured against BNCT assets.
BNCT project milestones The NeuCure® accelerator-based BNCT system in Hainan achieved its first beam emission on 20 Nov 2025 and entered clinical commissioning; trial operations are scheduled for Q1 2026. Capitalised construction costs lifted property, plant and equipment to HK$384.71 million (31 Dec 2024: HK$219.34 million).
Immunotherapy progress Shanghai Longyao completed Phase I trials of LY007 (CD20-targeted CAR-T) with 13 patients; Phase II preparation is under way, targeting late-2026 commencement.
Other information • No final dividend was declared. • Fair value loss on FVOCI investments (primarily holdings in Pillar Biosciences) amounted to HK$12.57 million. • Capital injections and associated put-option arrangements with Yixing Huanke resulted in a HK$49.28 million written put liability at year-end.
Management expects improved cash flow once BNCT services commence, supported by the February 2026 convertible bond proceeds and ongoing cost controls. No material contingent liabilities were reported.