Medtide Inc. Announces Significant Profit Growth for FY2025: Key Insights for Investors
Medtide Inc. (Stock Code: 3880), a leading integrated contract research, development, and manufacturing organization (CRDMO) in China, has issued a Positive Profit Alert for its financial year ended December 31, 2025. The announcement contains several developments that are potentially price-sensitive and could have a substantial impact on the Company’s share value.
Key Financial Highlights
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Revenue Growth: The Group expects revenue for FY2025 to be in the range of RMB555 million to RMB585 million, marking an increase of approximately 25.5% to 32.3% compared to FY2024 revenue of RMB442.2 million.
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Profit Surge: Net profit is projected to reach RMB200 million to RMB230 million, representing an exceptional rise of approximately 237.8% to 288.5% over FY2024’s profit of RMB59.2 million.
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Adjusted Net Profit: The adjusted net profit (a non-IFRS measure) is anticipated to be RMB200 million to RMB230 million, up 16.3% to 33.7% from the FY2024 adjusted net profit of RMB172.0 million.
Drivers Behind the Performance
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Revenue Growth: The increase is attributed to the successful execution of the “going with compound” strategy, leveraging Medtide’s CRDMO platform, industry-leading project delivery timelines, and a proven record of excellent project execution. Strong demand from key customers, especially in the rapidly expanding global peptide market and the glucagon-like peptide-1 (GLP-1) sector, further fueled this growth.
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Profit Increase: The profit surge is due to:
- Robust revenue growth.
- Cost savings and efficiency improvements via operational management optimization.
- Fair value gain on financial liabilities at fair value through profit or loss (FVTPL), resulting from redemption liabilities being converted to equity upon the listing of H shares on the Hong Kong Stock Exchange. This contrasts with a fair value loss recorded in FY2024.
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Adjusted Net Profit: Growth in this metric is mainly the result of revenue growth and operational cost efficiencies. Please note that “adjusted net profit” is not defined under IFRS and is calculated by adding back non-cash items (fair value gains/losses, share-based compensation, and listing expenses) to the profit figure.
Important Considerations for Shareholders
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Non-IFRS Measure: Adjusted net profit is a non-IFRS measure, which may not be directly comparable to similar metrics used by other companies and should not be viewed as a substitute for IFRS-based analysis.
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Preliminary Figures: The results are based on unaudited management accounts and have not been reviewed by the Company’s audit committee or its auditors. Actual figures may differ from those disclosed, and final audited results will be published by the end of March 2026.
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Potential Share Price Impact: The substantial increases in revenue and profit, especially the conversion of financial liabilities to equity and strong demand in the GLP-1 sector, are likely to be viewed positively by the market and could influence the Company’s share price.
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Investor Caution: Shareholders and potential investors are advised to exercise due caution when dealing in the securities of Medtide Inc. and to consult professional advisers if necessary.
Corporate Information
The announcement was signed by Dr. Xu Qi, Chairwoman and Chief Executive Officer, on behalf of the Board. As at the date of the announcement, the Board comprises a mix of executive, non-executive, and independent non-executive directors.
Anticipated Timeline
The Company expects to publish its audited annual results announcement by the end of March 2026, in accordance with the Listing Rules.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. The financial figures discussed are based on preliminary, unaudited management accounts and may differ from audited results. Investors should exercise caution and consult their professional advisers before making any investment decision regarding Medtide Inc.
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