21st Century Business Herald reporter Ji Yuanyuan
In the context of the &#34;cost reduction and efficiency enhancement&#34; main theme amidst the capital winter in the innovative drug industry, Junshi Biosciences has delivered its 2025 report card.
On the evening of March 13, Junshi Biosciences (1877.HK, 688180.SH) released its 2025 annual report, showing that the company achieved operating revenue of 2.498 billion yuan during the reporting period, a year-on-year increase of 28.23%; the net loss attributable to shareholders narrowed to 875 million yuan, a significant reduction of 31.68% year-on-year. If the impact of share-based payments related to the equity incentive plan is excluded, the net loss attributable to shareholders would further decrease to 799 million yuan, with a year-on-year reduction rate reaching 38%.
The core highlight of this financial report is not just the reduction in losses. The report data shows that Junshi Biosciences' sales expense ratio decreased from 50.53% in 2024 to 42.15%, while its core product Toripalimab (Tuoyi®) still achieved sales of 2.068 billion yuan in the domestic market, a year-on-year increase of approximately 38%.
A pharmaceutical industry analyst from a brokerage firm told the 21st Century Business Herald reporter that the financial report data indicates that Junshi Biosciences is transitioning from the past model of &#34;burning money for scale&#34; to &#34;refined operations.&#34; Although the company is still in a negative operating cash flow state, the continuous narrowing of losses means it is getting closer to the true breakeven point.
However, the competition for domestic PD-1 has already entered the &#34;second half.&#34; As the indication dividend for Toripalimab peaks, can Junshi Biosciences build a new moat in the fierce market competition with next-generation IO therapies such as PD-1/VEGF bispecific antibodies?
In 2025, Junshi Biosciences' operational strategy underwent significant changes. The most intuitive manifestation is the refined control of expenses.
The annual report data shows that although the company's operating revenue grew by 28%, the growth rate of various expenses was far lower than the revenue increase. Among them, sales expenses increased by only 6.95% year-on-year, far below the 40.32% growth rate of drug sales revenue; management expenses even decreased by 5.50% year-on-year.
&#34;The company's commercialization team has improved sales efficiency through management optimization, with per capita output continuously increasing.&#34; This is a phrase that Junshi Biosciences repeatedly mentioned in the annual report. This means that the past logic of innovative pharmaceutical companies &#34;using a manpower strategy to capture the market&#34; is being overturned.
On the R&amp;D front, Junshi Biosciences still maintained a certain level of investment, with R&amp;D expenses reaching 1.342 billion yuan in 2025, a year-on-year increase of 5.24%. However, it is worth noting that the proportion of R&amp;D investment to operating revenue decreased from last year's 65.45% to 53.72%. In this regard, Junshi Biosciences disclosed in the annual report that the company has established a full-process tracking management mechanism for R&amp;D projects from initiation to application, with the number of participants in clinical research exceeding 2,000.
From the perspective of cash flow, the net cash flow generated from operating activities was -520 million yuan, significantly narrowing from -1.434 billion yuan in the same period last year. This indicates that the company continues to rely on the self-&#34;hematopoiesis&#34; of its core products. Toripalimab remains the absolute mainstay supporting Junshi Biosciences' revenue
In 2025, the product achieved sales revenue of 2.068 billion yuan in the domestic market, a year-on-year increase of approximately 38%.
This growth rate is still considerable among domestic PD-1 products, but it is undeniable that with the continuous expansion of indications, the market competition for PD-1 monoclonal antibodies has entered a red ocean stage.
As of now, Toripalimab has been approved for 12 indications in China, all of which are included in the latest national medical insurance catalog, making it the only anti-PD-1 monoclonal antibody drug in the catalog used for the treatment of kidney cancer, triple-negative breast cancer, and melanoma. For example, in the case of melanoma, with the inclusion of first-line treatment indications in medical insurance, the annual out-of-pocket expenses for patients have decreased from approximately 40,000-50,000 yuan to around 10,000 yuan. The logic of &#34;exchanging price for volume&#34; still holds, but as the base increases, the growth dividend brought by medical insurance coverage is gradually diminishing.
The aforementioned analyst pointed out that the homogenization competition of PD-1 in the domestic market is far from over, and competitors have never stopped chasing in terms of the number of indications. Currently, the competitive landscape of the PD-1 market has clearly surpassed the early price battles, shifting towards building a moat through &#34;broad coverage, strong overseas expansion, and superior formulations.&#34;
Fortunately, the overseas market is becoming a new growth pole. The annual report shows that in 2025, Junshi Biosciences' overseas operating income increased by 102.37% year-on-year. As of now, Toripalimab has been approved for marketing in over 40 countries and regions worldwide, including the United States, European Union, Australia, Singapore, and several countries in the Middle East. Through commercial cooperation with partners such as Coherus, Hikma, and Dr. Reddy's in over 80 countries, Junshi Biosciences' commercialization network is extending from Europe and America to emerging regions such as the Middle East, Africa, and Southeast Asia.
For innovative pharmaceutical companies, going overseas is not only an increment in revenue but also a reshaping of valuation logic. Once Toripalimab can achieve stable sales in overseas markets, Junshi Biosciences will break free from the pricing dilemma solely dependent on domestic medical insurance negotiations.
If the performance in 2025 is a realization of past investments, then the pipeline layout determines the future height. Among Junshi Biosciences' research pipeline, the most market-attention-grabbing is undoubtedly JS207 (PD-1/VEGF dual antibody).
Why is the PD-1/VEGF dual antibody so important? This is because in the field of tumor immunotherapy, PD-1/VEGF dual antibodies are considered the next-generation cornerstone therapy to replace the first-generation PD-1 monoclonal antibodies.
However, the level of competition in the PD-1/VEGF dual antibody track is far beyond imagination. According to data from YaoYuan, there are currently over 20 PD-(L) 1/VEGF products in clinical stages globally, all related to Chinese companies. The potential buyers are limited, and as giants like Pfizer, Merck, BMS, and AbbVie have all taken action, there are not many seats left for latecomers.
In 2025, BD transactions surrounding PD-1/VEGF dual antibodies frequently appeared. For example, on May 20, 2025, 3SBio exclusively authorized Pfizer the global (excluding mainland China) development, production, and commercialization rights of SSGJ-707. This transaction's upfront payment of $1.25 billion set a record for the upfront payment of Chinese innovative drugs authorized for overseas markets, elevating the upfront payment for the authorization of domestic innovative drugs to the $1 billion level for the first time
On June 2, 2025, BioNTech acquired global rights to BNT327 for less than $2.1 billion. Six months later, it reached a collaboration with BMS for a total amount of $11.1 billion, resulting in a price difference of up to $9 billion, becoming a classic case of &#34;buy low, sell high&#34; in innovative drugs.
Where does Junshi Biosciences' JS207 stand in this competition? From the clinical progress, JS207 is currently in Phase II clinical research. The key data lies in efficacy: in patients with PD-L1 positive non-small cell lung cancer, the objective response rates (ORR) for the 10mg/kg and 15mg/kg dose groups reached 56.3% and 60.0%, respectively. In October 2025, JS207 received approval from the U.S. FDA for a Phase II/III study comparing it to nivolumab for neoadjuvant treatment in resectable non-small cell lung cancer patients, becoming the first PD-1/VEGF dual-target drug approved for confirmatory studies in this surgical population globally.
This data indicates that JS207 not only has single-agent potential but may also build a therapeutic barrier through combination therapy.
The real highlight lies in the &#34;IO+ADC&#34; combination strategy. With Daiichi Sankyo/AstraZeneca's DS-8201 igniting the ADC era, how to combine immunotherapy with ADC has become a mandatory course for all pharmaceutical companies. Junshi Biosciences is clearly aware of this, and JS207 is currently undergoing a Phase II clinical trial in combination with its self-developed EGFR/HER3 dual antibody ADC (JS212).
Industry insiders believe that the PD-1/VEGF dual antibody, as the IO 2.0 version, combined with ADC is expected to cover a broader range of tumor types and overcome some resistance mechanisms of ADCs. In other words, the future landscape of cancer treatment may no longer be dominated by a single drug but rather by a competitive &#34;dual antibody + ADC&#34; combination scheme.
In the field of oncology, following PD-1, PD-1/VEGF is considered the next &#34;hot-selling&#34; product. The challenges this brings to Junshi Biosciences are evident.
On one hand, although JS207 is ahead in clinical progress, Akeso's AK112 has submitted a marketing application to the FDA, and 3SBio's SSGJ-707, licensed to Pfizer, is about to start multiple global Phase III clinical trials. Under the competitive rule of &#34;the fast fish eats the slow fish,&#34; the time difference to market will directly affect market share.
On the other hand, the standards for MNCs in choosing partners are becoming increasingly stringent. Previously, the termination of the partnership between Yiming Oncology and Instil Bio sounded the alarm for the industry, indicating that not all shining preclinical data can be converted into commercial value; the financial strength and execution capability of partners have become more critical variables than the BD transaction amount.
Junshi Biosciences is clearly aware of this. Unlike simply &#34;selling seedlings,&#34; Junshi Biosciences is attempting to maximize the clinical value of JS207 through parallel self-development and collaborative use. In February 2026, Junshi Biosciences reached a strategic cooperation with Eucure Biopharma to explore the combination of JS207 with the oral CD73 small molecule inhibitor ATG-037
This is a &#34;three-axis&#34; strategy - simultaneously regulating immune checkpoint signals, angiogenesis, and adenosine pathways to build differentiated competitive barriers.
In the field of autoimmune diseases, Junshi Biosciences is also gearing up. The new drug application for the anti-IL-17A monoclonal antibody (Rokotibab) for the treatment of moderate to severe plaque psoriasis has been accepted. If approved smoothly, it will become the second commercialized product in the autoimmune sector after Junmaikang®.
Looking back at the Chinese innovative drug industry in 2025, the keyword is undoubtedly &#34;differentiation.&#34; Leading companies rely on core products for self-sustenance and win the favor of multinational corporations (MNCs) through efficient R&amp;D, while trailing companies struggle for survival amid financing difficulties.
Junshi Biosciences' 2025 annual report clearly shows the company's shift from &#34;storytelling&#34; to &#34;execution.&#34; Revenue growth, narrowing losses, and declining expense ratios are all visible results of internal management. The &#34;IO+ADC&#34; combination of JS207 and JS212 represents a hidden layout for the future.
However, in the already validated golden track of PD-1/VEGF dual antibodies, competition has shifted from &#34;land grabbing&#34; to &#34;close combat.&#34; The first-mover advantage of Kangfang Biotech, Pfizer's capital support, and Rongchang Biotech's rise have all added suspense to this battle.
For Junshi Biosciences, 2026 will be a crucial battle. Once a &#34;star&#34; enterprise favored by the capital market, Junshi Biosciences has successively listed on the Hong Kong Stock Exchange and the Shanghai Stock Exchange, creating an &#34;A+H&#34; dual listing platform, and in 2022, it conducted a targeted issuance of A-share stocks to several investment institutions including UBS Group and GF Securities.
Thus, in the coming year, can Junshi Biosciences break through the fierce market competition with JS207? Can it achieve a good standing in the field of tumor treatment? Can it end losses and achieve profitability? These will also become the issues it must address to regain the trust of the capital market

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Junshi Biosciences released its 2025 annual report, with operating revenue reaching 2.498 billion yuan, a year-on-year increase of 28.23%; the net loss attributable to the parent company narrowed to 875 million yuan, a year-on-year reduction of 31.68%. The sales expense ratio decreased to 42.15%, and the sales of the core product Toripalimab reached 2.068 billion yuan, a year-on-year increase of 38%. The company is transitioning from "burning cash for scale" to "refined operations." Although it is still in a negative operating cash flow state, the loss margin continues to narrow, approaching the breakeven point. The operational strategy for 2025 has significantly changed, with refined expense control and improved sales efficiency

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Junshi Biosciences 2025 Annual Report: Loss reduction exceeds 30%, dual antibody battlefield welcomes a watershed moment