Henlius 2022 Annual Results: Significant Achievements in Commercialisation, Surged to RMB3.2 Billion in Revenues
SHANGHAI,April 1,2023 --Henlius (2696.HK) announced its 2022 annual results. In 2022,Henlius' revenue reached about RMB3.2147 billion,representing an increase of 91.1% YoY,primarily due to sales revenue and licensing revenue generated by the successive commercialisation of various products. As of now,Henlius has launched 5 products in China,1 product has been approved in overseas markets,and 18 indications were approved worldwide,continuing to expand its global presence. Meanwhile,the company stays focused on differentiated innovation to accelerate the development of products in its pipeline. In 2022,the company's R&D expenditure reached approximately RMB2.1832 billion.
Wenjie Zhang,Chairman,Executive Director and Chief Executive Officer of Henlius,remarked: "2022 was a milestone for Henlius,as we strive for excellence in difficult times and seek progress in stability,achieving high-quality evolution towards Biopharma. Despite the pandemic,our performance has grown against the headwinds,with revenue surpassing RMB3 billion and sales of our 5 listed products increasing rapidly,once again demonstrating our strong commercial capabilities. In addition,our business collaborations lead the nation,with multiple products licensed out and an upfront payment totaling over RMB1.5 billion. Driven by our self-developed biosimilars and innovative products,we will continue to enhance our market competitiveness for a higher-level development,growing ourselves into a leader in China's biopharmaceutical industry,and working with all circles of society to achieve greater success."
A major breakthrough in commercialisation,entering a new phase of global development
In 2022,Henlius has defied the impact of the epidemic and reached a sales revenue of approximately RMB2.6754 billion increased by 79.0% YoY,providing a strong impetus for R&D,manufacturing and commercialisation. By the end of December 2022,the company has established a team of over 1,000 professionals to speed up the entire commercialisation process,to build a business presence in the China market and drive the market penetration on HANQUYOU and HANSIZHUANG. In 2022,these two core products of the company gained sales revenues of RMB1.7312 billion and RMB339.1 million respectively. In addition,the company received a profit-sharing of RMB553.9 million and RMB51.2 million for HANLIKANG and HANDAYUAN respectively.
Henlius' core anti-tumour product,HANQUYOU (trastuzumab,trade name in Europe: Zercepac®,trade name in Australia: Tuzucip® and Trastucip®),achieved a domestic sales revenue of RMB1.6959 billion,representing an increase of 95.4% YoY,overseas licensing and R&D services revenue,and sales revenue recorded RMB35.3 million and RMB168.6 million,respectively. The 150mg/60mg dual dosage and preservative-free formulation of HANQUYOU sets it apart,leading clinical practices and providing a personalized and cost-effective treatment option for breast cancer patients of any weight. On the other hand,in collaboration with Accord and other overseas commercial partners,Henlius has been actively promoting the global commercialisation of HANQUYOU,resulting in its approval in more than 30 countries,including the UK,France,Germany,Switzerland,Australia,Finland,Spain,Singapore,Argentina and Saudi Arabia. Notably,the Biologics License Application (BLA) for HANQUYOU has been accepted by the U.S. Food and Drug Administration (FDA),which will further expand the product's footprint in major markets of biologics in the U.S. and Europe.
The company's first innovative product,HANSIZHUANG (serplulimab),was launched in China in March 2022,with total sales revenue of RMB339.1 million in 9 months after launch and has been approved for 3 indications including MSI-H solid tumour,squamous non-small cell lung cancer (sqNSCLC) and extensive stage small cell lung cancer (ES-SCLC) so far. As the world's first anti-PD-1 monoclonal antibody (mAb) for the first-line treatment of small cell lung cancer,HANSIZHUANG set a record for SCLC immunotherapy with a median OS (overall survival) of 15.8 months,and its international multi-centre phase 3 clinical study ASTRUM-005 was published in the top medical journal JAMA (impact factor 157.3). The company has been pushing forward the global commercialisation of HANSIZHUANG to bring benefits to more patients and it was granted orphan drug designations by the European Commission (EC) and the U.S. FDA for the treatment of small cell lung cancer. As of now,the European Medicines Agency (EMA) has validated the Marketing Authorization Application(MAA) for HANSIZHUANG for the first-line treatment of ES-SCLC. Henlius also plans to submit a BLA for HANSIZHUANG in the U.S. in 2024. In addition,a New Drug application (NDA) for HANSIZHUANG for the first-line treatment of esophageal squamous cell carcinoma (ESCC) has been accepted by the NMPA in China,and the results of the study ASTRUM-007 were published in Nature Medicine (impact factor 87.2).
In 2022,the company made a new high in business collaboration and obtained overseas licensing and other revenue of approximately RMB539.3 million,representing an increase of 188.3% YoY. The company joined hands with international partners such as Organon,Abbott,Getz Pharma,Eurofarma and Fosun Pharma to accelerate overseas commercialisation of products such as HANSIZHUNAG,HANQUYOU,HANLIKANG,HANDAYUAN,HANBEITAI,HLX11,HLX14,etc.The upfront payment for overseas licensing revenues in 2022 totaled RMB1.5 billion,with a potential transaction amount of up to US$1.446 billion. Among which,the company sealed a deal with Organon for two biosimilars in development and is expected to receive up to a total of US$541 million,including an upfront payment of US$73 million,which marks the largest biosimilar licensing deal in the past five years. The company also entered into an exclusive license agreement with Fosun Pharma for commercialisation of HANSIZHUNAG in the U.S. with RMB1 billion of upfront payment,breaking into the U.S. biopharma market.
Enable differentiated innovation with global clinical data
In 2022,Henlius continued to broaden and deepen product innovation,commit greater resources to R&D pipeline with innovation product as a core,and consolidate the construction of R&D platforms such as antibody-drug conjugates (ADC) platforms. The pipeline cuts across a wider range of therapeutic areas and molecule types including bispecific antibodies and ADCs. The company initiated more than 30 clinical trials in China,the U.S.,the EU,Australia and other countries and regions,with 16 new clinical trials approved and 15 first patient dosing completed in the year.
Along with the rapid commercialisation of HANSIZHUANG,the company is actively expanding its differentiation advantages to cover a wide range of high-incidence tumour types,including lung cancer and gastrointestinal cancer,and has enrolled more than 3,500 patients worldwide. It made breakthroughs and won recognitions from global academics. In 2022,Henlius explored more on HANSIZHUANG in wider population and more regions across the world. The first patient has been dosed in an international multi-centre phase 3 clinical trial (ASTRUM-020) of HANSIZHUANG in patients with limited-stage small cell lung cancer (LS-SCLC) in the U.S. Another patient has also been dosed in a head-to-head bridging trial of HANSIZHUANG versus first-line standard of care atezolizumab for ES-SCLC in the U.S,which propels the product towards U.S. market approval further. In addition,the company continues to explore the combination therapies between HANSIZHUANG and self-developed products such as HANBEITAI,HLX07 (anti-EGFR mAb),HLX26 (anti-LAG-3 mAb),HLX208 (BRAF V600E small molecule inhibitor) and HLX60 (anti-GARP mAb) to further maximize the anti-tumour synergy effect.
In 2022,Henlius has been unlocking the potential of the candidate targets including BRAF,LAG-3,TIGIT,4-1BB,GARP and OX40,and joined forces with global partners to build global presence and open more markets. The company accelerated the international multi-centre Phase 3 clinical studies of HLX11(biosimilar to Pertuzumab),HLX14(biosimilar to Denosumab) and HLX04-O (anti-VEGF mAb),and completed the first-patient dosings in China,Australia and other countries and regions. The company also enriched its early-stage pipeline by licensing-in,entering into strategic collaborations with Novacyte Therapeutics Biomedical Technology,Palleon and MediLink Therapeutics to further strengthen competitiveness in the global oncology therapeutics.
Enhance quality and efficiency to improve the integrated production platform
In 2022,the company's commercial production capacity doubled to 48,000 litres. The three production facilities,Xuhui Facility,Songjiang First Plant and Songjiang Second Plant,can altogether reach a larger operational scale with the total commercial production capacity expected to reach 144,000 litres in 2026. In 2022,Songjiang First Plant was put into commercial operation and its 24,000 litres can be fully used for the commercial production of HANQUYOU,which offered a strong support for its market expansion. In 2022,Songjiang First Plant obtained China GMP and EU Qualified Person (QP) certification and is expected to receive FDA GMP inspection in 2023. To secure more commercial production in the long run,the construction of Songjiang Second Plant is underway,with its first stage well on track and the first engineering run to be completed in 2023. Moreover,Henlius continues to promote lean manufacturing to improve production efficiency,drive cost reduction and reinforce the localization of key materials and equipment,by for example exploring the control system for large-scale stainless steel bioreactors.
Looking ahead,Henlius will continue to bolster up its commercialisation,keep improving the efficiency of innovation,and optimize the long-term planning of three manufacturing facilities to evolve towards a sustainable Biopharma with sharpened edges in R&D,manufacturing and commercialisation to bring more and better treatment options to patients worldwide.
About Henlius
Henlius (2696.HK) is a global biopharmaceutical company with the vision to offer high-quality,affordable,and innovative biologic medicines for patients worldwide with a focus on oncology,autoimmune diseases,and ophthalmic diseases. Up to date,5 products have been launched in China,1 has been approved for marketing in overseas markets,18 indications are approved worldwide,and 3 marketing applications have been accepted for review in China,and the EU,respectively. Since its inception in 2010,Henlius has built an integrated biopharmaceutical platform with core capabilities of high-efficiency and innovation embedded throughout the whole product life cycle including R&D,manufacturing and commercialisation. It has established global innovation centers and Shanghai-based manufacturing facilities in line with global Good Manufacturing Practice (GMP),including Xuhui Plant certificated by China and the EU GMP and Songjiang First Plant certificated by China GMP.
Henlius has pro-actively built a diversified and high-quality product pipeline covering over 20 innovative monoclonal antibodies (mAbs) and has continued to explore immuno-oncology combination therapies with proprietary HANSIZHUANG (anti-PD-1 mAb) as backbone. Apart from the launched products HANLIKANG (rituximab),the first China-developed biosimilar,HANQUYOU (trastuzumab for injection,trade name in Europe: Zercepac®; trade names in Australia: Tuzucip® and Trastucip®,the first China-developed mAb biosimilar approved both in China and Europe,HANDAYUAN (adalimumab) and HANBEITAI (bevacizumab),the innovative product HANSIZHUANG has been approved by the NMPA for the treatment of MSI-H solid tumors,squamous non-small cell lung cancer (sqNSCLC) and extensive-stage small cell lung cancer (ES-SCLC),making it the world's first anti-PD-1 mAb for the first-line treatment of SCLC. Its NDA for the treatment of esophageal squamous cell carcinoma (ESCC) is under review. What's more,Henlius has conducted over 30 clinical studies for 16 products,expanding its presence in major markets as well as emerging markets.
