Solid Earnings, Modest Buyback Fail to Boost Drug Seller 111 Inc.

Profitability is now in focus at online drug company, as it seeks to breathe life into its shares that are down 10% this year Key takeaways: 111’s revenue grew 87% in second quarter, generally outpacing its peers, as it aims to more than double its fulfillment capacity this year Company’s shares now trade around $6.50, well off a $23 high reached in February, as investors worry about regulatory wave for broader tech sector By Mia Shanley With massive revenue growth and market share gains in the bag, online drug seller…

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New Horizon’s Sales Surge as China Promotes Early Cancer Detection

Company’s first-mover advantage in at-home colorectal screening and China’s focus on early detection have turbocharged sales, though valuation remains frothy Key takeaways: New Horizon’s first-half revenues jumped more than fourfold, assisted by government early cancer testing drive Stock volatility could owe to frothy valuation, as well as unclear timeline for profitability By Richard Barbaroza New Horizon Health Ltd. (6606.HK), a Chinese maker of self-administered tests for colorectal cancer, has reported a more than fourfold increase in revenue in the first half of 2021, buoyed by the government’s recent campaign for…

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Everest Medicines Ties With Tencent to Scale Last Mile to Patient Care

Back-to-back deals with Tencent and Medbanks Health seek to build new distributing partnerships ahead of expected first drug approvals Key points: Everest Medicines could gain valuable distribution channels through its new partnerships with Tencent and Medbanks Both new partners have users bases on ‘closed-loop’ healthcare platforms providing everything from checkups to drug sales By Richard Barbarossa What do cutting-edge cancer drugs and social media have in common? Not much, really. But that unlikely pairing is bringing together cancer and autoimmune disorder drug startup Everest Medicines Ltd. (1952.HK) and leading social…

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Drug Maker I-Mab Wins Plaudits as Analysts Urge Caution on Soaring Stock

Cancer specialist’s shares have nearly doubled in the last six months after it posted its first-ever profit and named two well-connected board members Key points: I-Mab’s shares have nearly doubled over the past six months on major licensing deal, fundraising and pending drug approvals Appointment of two new well-connected board members could expedite first approvals of company’s drugs in China By Richard Barbarossa Cancer drug developer I-Mab (IMAB.US) has been on a roll this year. The company’s shares have nearly doubled in the past six months after it recorded its…

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Online Insurance Broker Waterdrop Makes Splash, Then Crash, in New York IPO

Company raises $360 million after pricing shares at the top of their range, only to see stock tank nearly 20% in trading debut Key points: Waterdrop’s position as a middleman insurance broker should help protect it from regulatory risk in China’s sensitive financial services sector The company’s strong IPO pricing, followed by a sharp selloff in its trading debut, reflect investor indecision about its growth prospects  By Doug Young Middlemen are creatures of little or no respect, often seen as parasites that profit from a gap between businesses and the…

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Biosimilar Specialist Henlius Takes Off. Now Comes the Hard Part

Fosun Pharma-backed company posts huge revenue jump in the second half of last year, as it boosts production and signs more global licensing deals to stay ahead of competition Key takeaways: Henlius is one of the earliest entrants to China’s young biosimilar market, giving it a first-mover advantage The company will need to quickly develop more new drugs, boost production and sign new partnerships to stay ahead in an increasingly crowded field By Richard Barbarossa Biosimilar specialist Shanghai Henlius Biotech, Inc. (HKEx: 2696) is set to ramp up production after…

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Meitu’s Latest Earnings Report: Debutante, or Fading Beauty?

Beauty app operator edges closer to profitability as user numbers fall in shift to quality-over-quantity approach Key takeaways: Meitu is focusing its resources on people who spend money on its app rather than simply boosting its user base The shift could finally help it achieve profitability this year for its core operations. By Doug Young The latest earnings report from beauty app Meitu Inc. (HKEx: 1357) contains a lot of moving parts, reflecting a company still in search of elusive profits more than four years after its IPO. Investors clearly…

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No Beauty in Cosmetic Surgery Specialist So-Young’s Latest Earnings

Company posts strong user growth in last year’s fourth quarter, but revenue expanded far slower and profits plunged due to rising costs Key Takeaways: So-Young is gaining traction as a leading marketplace for information and services from China’s cosmetic surgery sector The company will face difficulty monetizing its business due to the industry’s fragmented state, with meaningful consolidation still likely several years away   By Doug Young Cosmetic surgery specialist So-Young International Inc. (Nasdaq: SY) has just reported its latest quarterly results, and – puns aside – they weren’t pretty. That’s…

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