China-based drugmaker Jiangsu Hengrui Pharmaceuticals reported quarterly profit below market estimates, impacted by pressure on its generic drug business.

The company reported net profit of 1.96 billion yuan for the quarter ended December 31, compared to analyst estimates of 2.7 billion yuan.

Hengrui stated that revenue from generic drugs declined, reflecting continued pressure on the segment.

The decline is linked to China’s centralised bulk procurement programmes, which have impacted pricing for generic medicines.

The company reported that revenue from innovative drugs increased by 26.09% in 2025.

For the full year 2025, Hengrui reported net profit growth of 21.69% to 7.71 billion yuan.

The company has been expanding its innovative drug portfolio and licensing activities.

The quarterly performance reflects pressure in the generic segment alongside growth in innovative therapies.

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