CEO's 'Radical Overhaul' Drives 21% YoY Net Profit Surge in Q2 as Huadong Bio's SynBio Strategy Bears Fruit

Recently, Bloomage Biotech released a semi-annual report that reflects mounting pressures yet hints at emerging opportunities.

The financial report shows,2025H1 Revenue22.61100 million yuan, a year-on-year decrease19.57%; Net profit2.21RMB 100 million, a year-on-year decrease35.38%. However, upon closer examination of the second quarter,Net Profit Rises Against the Trend in a Single Quarter20.89%, achieving a profit margin of2024the first year-on-year and month-on-month double increase since the first quarter of the year.

Behind this turning point is Zhao Yan, founder and general manager of Bloomage Biotech2025Year3Returning to the frontline in [Month], she drove a comprehensive restructuring—from marketing to organization, and from R&D to branding—with the determination of a “second startup.”

Source: Bloomage Biotech Official Website

This restructuring may appear “iron-fisted, iron-willed, and hard-hearted,” but to outside observers, the effectiveness of a series of measures—such as eliminating inefficient marketing, abandoning outsourced operations, and reducing non-core brands—has already been preliminarily validated in the second quarter.

At the strategic level, Bloomage Biotech is fully betting on synthetic biology as its growth curve.It has not only jointly established the Tianjin Industrialization Base of the National Center for Technological Innovation in Synthetic Biology with the National Center for Technological Innovation in Synthetic Biology and the Tianjin Municipal Government, thereby overcoming the “scale-up” bottleneck in biomanufacturing, but also pursued technological breakthroughs in areas such as the in vitro total enzymatic synthesis of heparin glycans.

Meanwhile, the international market is becoming another revenue pillar for Bloomage Biotech. According to the financial report, raw material sales in the international market during the first half of the year3.31100 million yuan, accounting for of the company's raw material business revenue52.93%. In Japan, the growth rate exceeded20%, regions such as Europe and Southeast Asia also maintained near10%Growth.

Within the "strategic depth" of synthetic biology,How Bloomage Biotech’s shift from “selling raw materials” to “providing solutions,” and its transition from “scale-oriented” to “technology-led” growth, translates into every line of its financial statements is worth monitoring over the long term.

“2025Year3“...the company’s general manager returned to the front lines of business operations.” In this semi-annual report, Bloomage Biotech repeatedly emphasized this change.

This is not a mere personnel adjustment, but the strongest signal from this biotech giant after a year and a half of “deep squatting”: Bloomage Biotech is ready to “leap.”

Zhao Yan’s “second entrepreneurship” is not simply a case of the “boss stepping in personally,” but rather a systematic restructuring.

In the past, Bloomage Biotech was often criticized for its “high-profile, high-spending” approach, relying heavily on paid traffic acquisition and celebrity endorsements. One of the key initiatives following Zhao Yan’s return has been to decisively cut inefficient marketing expenditures, reduce budgets for non-core brands, and mandate that all marketing communications be closely tied to the company’s “high-barrier technological assets.”

As a result, the logic of brand communication has been rewritten.

Bloomage Biotech is no longer pursuing brand expansion without technological support, but is instead focusing on its core strengths in high-end hyaluronic acid, driving the deep integration of core technologies with its brand.

Meanwhile, the organization and talent system have also undergone comprehensive reform—Bloomage Biotech has completely abandoned the model of hiring external “professional operators,” shifting instead to cultivating internal management backbones who possess both a passion for technology and an entrepreneurial spirit; furthermore, it has established a communication system based on scientific evidence to proactively address claims such as the “hyaluronic acid is outdated” narrative.

“3“After the General Manager returned to the front lines, initiatives such as organizational restructuring, cost compression, and R&D focus were launched almost overnight, with the second quarter serving only as an initial validation,” commented an institutional investor who has long tracked Bloomage Biotech. “The real highlight lies in whether the company can translate the value of its synthetic biology platform into every line item of its financial statements after these measures have been implemented for a full year. Based on the current strategic layout, the market may reasonably hold high expectations.”  

Past18Over the past few months, Bloomage Biotech has indeed gone through a difficult period, with declining revenue, pressure on profits, and stock price volatility...

2024In the year, Bloomage Biotech achieved operating revenue56.8billion yuan, a year-on-year decrease12.8%; Net profit attributable to shareholders of the parent company5.7billion yuan, a year-on-year decrease38.4%. This is Bloomage Biotech since2019Since its listing, the company has recorded its first annual decline in profit.

After Zhao Yan personally took charge of strategy, organization, and product development, the transformation began to show results.

2025Year8Month26The latest financial report disclosed on the evening of [Date] shows that Bloomage Biotech achieved operating revenue in the first half of the year22.61billion yuan, a year-on-year decrease19.57%; Net profit attributable to shareholders of the parent company2.21100 million yuan, a year-on-year decrease35.38%. Focusing on the second quarter, performance has shown signs of stabilization and recovery: quarterly revenue11.83100 million yuan, with the decline narrowing to18.44%, while net profit attributable to the parent company grew against the trend20.89%To1.19100 million yuan, with the net profit margin achieving a self-2024the first simultaneous year-on-year and quarter-on-quarter increase since the first quarter of the year.

It is worth noting that this profit growth was achieved despite the company’s accrual of4837Asset Impairment and Expenses (in RMB 10,000)2900RMB 10,000 in personnel optimization costs and2000achieved against the backdrop of strategic investments totaling tens of millions of yuan in production capacity.

If Zhao Yan’s return to the frontline is a “deep squat jump” tactical move, and the inflection point in profitability in the second quarter is a “tactical victory,” then the synthetic biology strategy represents Bloomage Biotech’s “strategic depth.”

Bloomage Biotech is making comprehensive efforts across technological layout, platform construction, and industrial commercialization.

Public information indicates that Bloomage Biotech, the National Center for Technological Innovation in Synthetic Biology, and the Tianjin Municipal Government have jointly established the Tianjin Industrialization Base of the National Center for Technological Innovation in Synthetic Biology. The goal is to overcome the “scale-up” bottleneck in transitioning biomanufacturing projects from the laboratory to large-scale production.

2025The semi-annual report further disclosed that multiple key projects have made substantial progress—injectable-grade recombinant humanized type XVII collagen, cosmetic-grade retinyl sodium hyaluronate (VAHA) and other products have completed pilot-scale trials and officially entered the trial production phase, significantly accelerating the industrialization process.

Meanwhile, Bloomage Biotech has established an “extracellular matrix (ECM）-Intercellular Communication-a complete technical system “inside the cell.”

“With its core foundational technology being high-end hyaluronic acid with precise molecular weight control, Bloomage Biotech has made a firm commitment to conduct reverse research in cell biology and glycobiology within the fields of aging intervention and tissue regeneration, leveraging collaborations with global universities, research institutions, and pharmaceutical companies.”

Specifically, in the extracellular matrix (ECM) direction, Bloomage Biotech focuses onHyaluronic Acid Derivatives, chondroitin sulfate, collagen peptides, and other key substances, exploring their potential in tissue support and repair; the intercellular communication sector focuses on heparin, humanHuman Milk Oligosaccharides、PDRNhigh value-added ingredients, studying the mechanisms of cell signal transduction and regulation; at the level of intracellular mechanisms, Bloomage Biotech focuses on ergothioneine,PQQ, active compounds such as salidroside, to explore their application value in metabolic regulation and antioxidant fields.

Under this system,Bloomage Biotech2025Newly launched in the first half of the year6bioactive raw materials, including two pharmaceutical/Medical Device-Grade Raw MaterialsHyatrue®Sodium Hyaluronate Cross-linked、BloomColla®Recombinant Humanized Type III Collagen.

R&D efforts to “enhance quality and improve efficiency” have yielded significant results. Financial reports show that,2025R&D Expenses in the First Half of the Year2.31100 million yuan, a year-on-year increase of15.25%, accounting for the proportion of revenue10.22%. During the reporting period, newly granted intellectual property rights340items, including invention patents29Item.

Source: Bloomage Biotech 2025 Semi-Annual Report

Breakthroughs have also emerged in the biosynthesis of heparin polysaccharides. Traditional heparin relies on animal extraction, which not only poses viral risks but is also frequently constrained by supply chain fluctuations. In response,Bloomage Biotech, through its incubated subsidiary Bloomage Tang’an Biotechnology (Shenzhen) Co., Ltd., has achieved precise in vitro total enzymatic synthesis of heparin glycans.

According to disclosures, the company has become the only enterprise in China to master the biosynthesis technology for fully natural structurally anticoagulant heparin glycans, with its technical capabilities reaching a globally leading level.

This breakthrough is not only expected to resolve the long-standing “chokehold” predicament facing domestically produced heparin, but also significantly reduce costs and enhance purity, thereby driving the industry’s transition toward green manufacturing and unlocking new market opportunities.

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