Biopharmaceutical Industry Biweekly Report No. 8, 2026 (Total No. 157): AACR Conference Highlights Domestic Innovative Drug Advancements

Industry Review

During this reporting period, the pharmaceuticals and biotechnology industry index fell by 1.88%, ranking 31st among the 31 primary industries in the Shenwan classification, underperforming the CSI 300 Index (2.86%). Among the sub-industries, hospitals and offline pharmacies led the gains with increases of 3.96% and 3.71%, respectively; while medical R&D outsourcing and in vitro diagnostics led the declines, with drops of 4.90% and 3.75%, respectively.

In terms of valuation, as of April 24, 2026, the PE (TTM overall method, excluding negative values) of the pharmaceuticals and biotechnology industry was 30.26x (30.54x at the end of the previous period), with a decline in valuation, falling below the average. The top three sub-industries within the SW Pharmaceuticals and Biotechnology sector by PE (TTM overall method, excluding negative values) were Diagnostic Services (267.71x), Vaccines (51.03x), and Medical Consumables (39.94x), with a median of 32.30x, while Pharmaceutical Distribution (13.93x) had the lowest valuation.

As of April 26, 2025, out of the 504 pharmaceutical and biotechnology industry listed companies we are tracking, 352 have disclosed their 2025 performance. Among them, 41 companies have a year-over-year net profit growth rate of ≥100%, 62 companies have a growth rate of ≥30% but <100%, and 63 companies have a net profit growth rate of ≥30% in 2025 with positive net profits in 2024.

Important Industry Information:

General Office of the State Council: "Several Opinions on Improving the Drug Price Formation Mechanism"

NMPA: "Work Procedure for the Review and Approval of Conditional Drug Marketing Applications"

GSK: The World's First BCMA ADC, Belantamab Mafodotin, Approved for Marketing by NMPA

Revolution Medicines: Daraxonrasib Achieves Positive Results in Interim Analysis of Phase III Clinical Trial for Pancreatic Ductal Carcinoma

Approval of Semaglutide Generic Drug Suspended

Investment Advice:

Recently, the resonance between the AACR2026 Annual Meeting and the new drug pricing policy has signaled that China's innovative drug industry is transitioning from a "research-driven" phase to a "value realization" stage. On one hand, AACR showcased Chinese pharmaceutical companies' platform-based capabilities represented by ADC/XDC, bispecific/multi-specific antibodies, with their global competitiveness to be continuously validated through subsequent academic conferences and BD collaborations. On the other hand, the new drug pricing policy will establish a complete chain for high clinical value drugs: "clinical value–price formation–payment承接–sales expansion," significantly enhancing the commercial return expectations for innovative drugs. Against this backdrop, it is recommended to focus on three main themes: first, innovative drug companies with differentiated technology platforms and continuous pipeline output; second, high-level innovative drug companies benefiting from pricing reforms with clear commercialization paths; and third, CXOs and upstream supply chain "enablers" supporting the R&D and production of complex drugs.

Risk Warning:

Policy falls short of expectations, R&D progress falls short of expectations, market risks intensify.