Tigermed Reports 2021 Interim Results with Strong Financial Growth

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Aug 25, 2021, 08:49 ET

HANGZHOU, China, Aug. 25, 2021 /PRNewswire/ -- Hangzhou Tigermed Consulting Co., Ltd. (stock code: 300347.SZ / 3347.HK), a leading provider of innovative clinical research solutions for biopharmaceutical and medical device industry, reports its interim results for the six months ended June 30, 2021 (the "Reporting Period").

This press release is for information and summary only and is not intended to provide any representation, in whole or in part, of the relevant matters. For further information, please refer to the 2021 interim results and relevant announcements published on the websites of the Shenzhen Stock Exchange (www.szse.cn) and the Stock Exchange of Hong Kong (www.hkexnews.hk).

All financials disclosed in this press release are prepared based on International Financial Reporting Standards (IFRS) except for those specifically noted otherwise. The 2021 Interim Results of the Company has not been audited.

First Half 2021 Financial Highlights

Total revenue achieved 41.6% year-over-year growth to RMB 2,056.4 million during the Reporting Period.
Net profit for the period increased 52.0% year-over-year to RMB 1,594.2 million during the Reporting Period.
Adjusted Non-IFRS net profit attributable to owners increased 69.8% year-over-year to RMB 692.1 million during the Reporting Period.
Adjusted Non-IFRS diluted earnings per share increased 46.3% year-over-year to RMB 0.79 during the Reporting Period.
New bookings during the Reporting Period reached RMB 5,074.8 million, representing a 150.8% year-over-year growth.
Clinical Trial Solutions ("CTS") realized revenue of RMB 1,033.6 million during the Reporting Period, representing a year-over-year growth of 45.4%, primarily attributable to the increased revenue from our clinical trial operation and other services under the CTS segment including medical registration, medical translation, and pharmacovigilance services etc.
Clinical-related and Laboratory Services ("CRLS") realized revenue of RMB 1,022.8 million during the Reporting Period, representing a year-over-year growth of 38.0%, primarily attributable to the increase in demand of our laboratory services, site management and patient recruitment services, and Data Management and Statistical Analysis ("DMSA") services.
Revenue generated in the PRC continued its steady growth and increased by 31.3% year-over-year to RMB 1,110.8 million. Businesses in China that were negatively impacted by the COVID-19 pandemic during the Corresponding Period presented strong year-over-year growth, including site management and laboratory services.
Overseas business showed strong recovery from the COVID-19 pandemic and revenue generated overseas increased by 56.0% year-over-year to RMB 945.6 million. Increased demand of Multi-Region Clinical Trials (MRCTs) from our customers during the Reporting Period also contributed to the growth of our overseas revenue.

First Half 2021 Business Highlights

Faced with this unprecedented period of time and an ever-changing world, we are sparing no efforts to uphold our unwavering commitments to our customers, grow our business and execute our strategies. We have also been doing our part to actively work with our customers, scientists, doctors and many other medical professionals in the joint race to find a solution to the COVID-19 crisis.

As of June 30, 2021, we had 491 ongoing drug clinical research projects, including 351 being conducted in the PRC and 140 being conducted overseas. For the 140 ongoing overseas projects, 111 of which were single region trials in South Korea, Australia and the U.S., and 29 of which were Multi-Region Clinical Trials (MRCTs) being conducted in more than 20 countries across North America, Asia Pacific, Europe, Africa and Latin America with various therapeutic areas including oncology, vaccine, cardiovascular, and rare diseases etc.

As of June 30, 2021, we had multiple vaccine clinical trial projects at hand, many of which are Multi-Region Clinical Trials (MRCTs).

We also had 219 ongoing medical device clinical research projects as of June 30, 2021. Our medical device clinical research team initiated multiple real-world device studies in Hainan Boao Lecheng Pilot Zone of International Medical Tourism and had expanded their service offerings by launching medical device regulatory consulting services.

During the Reporting Period, Frontage continued to expand its capacity and capability in drug discovery and genomics services by acquiring Ocean Ridge Biosciences and Quintara Discovery in the U.S., and added more than 6,200 sq.m of lab space in Zhangjiang, Shanghai for additional capacity in large molecule bioanalytical and central lab services.

As of June 30, 2021, we had 681 ongoing Data Management and Statistical Analysis (DMSA) projects, with more than 790 professionals based in China, South Korea, the U.S. and India.

As of June 30, 2021, we had 1,329 ongoing site management projects. Our site management team had accumulatively completed a total of 759 site management projects and the number of employees reached over 2,600 as of June 30, 2021. Meanwhile, our patient recruitment team had more than 120 ongoing projects, predominantly from multinational pharmaceutical companies in China. As of June 30, 2021, our patient recruitment team had successfully recruited a total of more than 10,000 patients as clinical trial subjects.

During the Reporting Period, we launched our in-house Risk-Based Quality Management ("RBQM") system, and our in-house Clinical Trial Management System ("CTMS") reached the milestone of running its 2,000^th clinical trial.

During the Reporting Period, we continued to pursue external partnership and collaboration that we think are mutually beneficial with various stakeholders in the healthcare industry. The Boao Lecheng Clinical Center was officially inaugurated in May 2021 in joint efforts with Hainan Government and Hainan Boao Lecheng Pilot Zone of International Medical Tourism. Under the existing collaboration, we plan to expand the scope of real-world study ("RWS") projects at this newly established clinical center.

As part of our growth strategies, we continued to expand our global clinical operation and project management teams in key overseas markets including the U.S., Latin America and Europe. As of June 30, 2021, number of our total employees reached 7,208, our overseas employees were based in 39 countries and regions across 5 continents.

Management Comments

"We achieved strong and rapid financial growth in the first half of 2021, which were driven by our continuous efforts on business globalization, digital strategy and operational efficiency," said Ms. Xiaochun Cao, President of Tigermed. "During the Reporting Period, we expanded our global scale to 39 countries in 5 continents around the world, including Latin America and Africa; we kept investing in cutting-edge technology and capabilities like digital monitoring system and real world study; we relentlessly focused on enabling our customers to bring innovative medical products to patients; and we managed through highly complicated and challenging pandemic situations and coordinated seamlessly across continents to provide services with quality and efficiency to support vaccine clinical trials."

"I would like to thank our employees for their exceptional commitment, our customers for their valued trust and support, our stakeholders for the confidence they placed in us. Looking ahead, we will continue to enhance our service capabilities and build on our integrated platform to enable boundless possibilities for healthcare innovation, and work united as one across the world to fulfill our commitment to serve unmet medical needs and save patients' lives."

Forward-Looking Statements

The information communicated herein contains certain statements that are or may be forward looking, including predictions about future events based on beliefs of the Company and information currently available to the management of the Company. By their nature forward looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future relating to, inter alia, the ability of the Company to compete effectively, the ability of the Company to develop new and market new services, the risks associated with listed subsidiaries of the Company, unforeseeable international tension, regulatory or governmental scrutiny in certain countries, the impact of emergencies and other force majeure events. Any investment in any securities issued by the Company will also involve certain risks. There may be additional material risks that are currently not considered to be material or of which the Company and its advisors or representatives are unaware. Against the background of these uncertainties, you should not rely on these forward-looking statements. The Company undertakes no obligation to update forward-looking statements or to adapt them to future events or developments.

Non-IFRS Measure

To supplement our financial information which are presented in accordance with IFRS, we use adjusted net profit attributable to owners of the Company as an additional financial measure, which is not required by, or presented in accordance with IFRS. We define adjusted net profit attributable to owners of the Company as profit for the year attributable to owners of the Company before certain expenses and amortization. We define adjusted net profit attributable to owners of the Company as profit attributable to owners of the Company adjusted for (1) share-based compensation expense, (2) net foreign exchange loss/(gain), (3) amortization of intangible assets arising from acquisitions, (4) listing expenses incurred by our Group, and (5) increase in fair value of financial assets at FVTPL. Adjusted net profit attributable to owners of the Company is not an alternative to (i) profit before tax, profit for the year or profit for the year attributable to owners of the Company (as determined in accordance with IFRS) as a measure of our operating performance, (ii) cash flows from operating, investing and financing activities as a measure of our ability to meet our cash needs, or (iii) any other measures of performance or liquidity. We believe that this non-IFRS measure is useful for understanding and assessing underlying business performance and operating trends, and that the owners of the company and we may benefit from referring to this non-IFRS measure in assessing our financial performance by eliminating the impact of certain unusual, non-recurring, non-cash and/or non-operating items that we do not consider indicative of the performance of our business. However, the presentation of this non-IFRS measure is not intended to, and should not, be considered in isolation from or as a substitute for the financial information prepared and presented in accordance with the IFRS. You should not view the non-IFRS measure on a stand-alone basis or as a substitute for results under the IFRS, or as being comparable to results or a similarly titled financial measure reported or forecasted by other companies.

About Tigermed

Tigermed (Stock code: 300347.SZ/3347.HK) is a leading provider of innovative clinical research solutions across the full life cycle of biopharmaceutical and medical device products globally. With a broad portfolio of services and a promise of quality, from clinical development to commercialization, we are committed to moving our customers and patients through their development journey efficiently and cost-effectively. Tigermed currently represents a worldwide network of more than 60 subsidiaries and 160 offices and sites, with over 7,500 employees across 39 countries in Asia Pacific, Europe, North & South America and Africa. We are devoted to building an integrated platform that enables boundless possibility for the healthcare industry, embracing challenges to fulfill our commitment to serve unmet patients' needs, and eventually saving lives.

SOURCE Tigermed