Beijing, March 10, 2026 – Yifang Bio-Tech (Shanghai) Co., Ltd. (referred to as “Yifang Bio-Tech”) reported a net loss of 317 million Renminbi in 2025, bringing the total losses over the past four years to 1.3 billion. As a pharmaceutical research and development company, they find themselves in a difficult situation where they are unable to collect money after selling their products.
In a recent announcement titled “2025 Annual Performance Quick Report,” Yifang Bio-Tech stated: “It is expected to achieve operating income of 373.253 million yuan in 2025, with a net profit attributable to the owners of the parent company of -316.384 million yuan.”
The announcement also revealed that Yifang Bio-Tech’s annual operating income decreased by 77.89% compared to the previous year, and the net loss attributed to the parent company further expanded from 240 million yuan the year before. By the end of 2025, the company’s total assets shrunk to 1.704 billion yuan, with the equity attributable to the parent company decreasing to 1.536 billion yuan, representing declines of 11.29% and 15.17% respectively from the beginning of the previous year.
On March 8th, Hua Xia Times reported that this marks the fourth consecutive year of losses for Yifang Bio-Tech since its listing on the Sci-Tech Innovation Board in 2022, with a total accumulated loss of 1.324 billion yuan.
According to the media, the significant decline in Yifang Bio-Tech’s revenue in 2025 was mainly due to revenue uncertainty. The company’s business model is quite pure, focusing on early-stage drug development. After their products reach the clinical stage, they license commercial rights to large pharmaceutical companies without establishing their own sales team. This business model allows them to avoid the high costs of building a sales channel but also makes their revenue highly dependent on licensing upfront payments, research milestone payments, and sales royalties, all of which are subject to the pace and willingness of their partners.
Yifang Bio-Tech’s licensing partner, Beta Pharma, delayed payment of 180 million yuan for nearly two years. In 2023, the 180 million yuan owed to Yifang Bio-Tech by Beta Pharma was still outstanding. On December 26, 2025, Yifang Bio-Tech only received 80 million yuan, with 100 million yuan still pending.
The report highlights that Yifang Bio-Tech’s inability to collect payments reveals that under the licensing model, their performance depends not only on their own research progress but also to a large extent on the operational situation and payment willingness of their partners. If cash flow tightens for their partners or payment processes are delayed, the expected income may turn into “accounts receivable” or even “bad debt provisions” in the financial statements.
Ba Wenxi, Vice Chairman of the China Enterprise Capital Alliance, analyzed that as long as the company maintains its current pure licensing strategy and their internally developed pipeline has not entered the commercialization stage, fluctuations in revenue will become the norm.
Public records show that Yifang Bio-Tech (Shanghai) Co., Ltd. was established in 2013 and went public on the Sci-Tech Innovation Board in July 2022. The company is headquartered in Shanghai and mainly engages in pharmaceutical production, wholesale, retail, import, export, as well as technical development and services in the fields of biotechnology and medical technology.