#China #Shanghai #Viva Biotech #AI Drug Discovery #CDMO Projects

Viva Biotech Presents Its Annual Report for 2025

On March 30, 2026, Viva Biotech Holdings, a prominent player in drug discovery and contract development and manufacturing organization (CDMO) services, unveiled its financial results for the year ending 2025. The company reported substantial growth across multiple sectors, driven primarily by its innovative AI-driven drug discovery capabilities and robust CDMO commercial projects.

Viva Biotech achieved a remarkable revenue of RMB 1,729.4 million, marking a positive trajectory in its financial performance compared to the previous year. The gross profit was recorded at RMB 655.6 million, reflecting a commendable gross profit margin of 37.9%. This margin saw a year-on-year increase of 3.3 percentage points, largely attributed to strategic adjustments made within Langhua Pharmaceutical’s business mix and enhancements in the operational efficiency of the company's Contract Research Organization (CRO) segment.

The net profit surged to RMB 269.3 million, demonstrating a notable growth margin of 21.3% year-on-year. In terms of adjusted net profit under non-IFRS standards, the company's figures rose from RMB 314.6 million in the previous year to RMB 335.3 million, showcasing a growth increment of nearly 6.6%. This increase highlights the continuing success of the CRO business, alongside profitability improvements from Langhua Pharmaceutical's optimized business structure and investment returns from successful exits of incubation portfolio companies.

Growth in CRO Segment

Throughout 2025, Viva Biotech’s CRO business exhibited a sustainable recovery, generating revenues of RMB 848.6 million. This figure reflects a year-on-year growth of approximately 4.7% from the previous year's earnings. Similarly, the adjusted gross profit for this segment improved from RMB 357.1 million to RMB 383.1 million, an increase of roughly 7.3%. The company expanded its client base to 1,866, including collaborations with ten of the world's leading pharmaceutical firms, which contributed 25.7% of total revenue.

Viva Biotech has successfully delivered over 98,885 protein structures to clients by the end of 2025, including 16,169 structures newly delivered that year. The research focused on a wide array of independent drug targets, with novel modalities, such as peptides and antibodies, accounting for approximately 15.8% of total CRO revenue. This sector now serves as a burgeoning growth driver for the company.

Additionally, the integration of AI technology into drug research was highlighted as a significant contributor to the workflow of drug discovery, with continuous growth achieved through the fusion of dry and wet labs. As of December 31, 2025, AIDD supported 196 projects, with 73 clients actively purchasing related services, contributing about 12% to total CRO revenue.

CDMO Initiatives and Profitability Improvements

The report also outlined successful ventures launched within the CDMO framework, underscoring the group’s objective of providing a holistic service platform across the drug development chain. Following the acquisition of Langhua Pharmaceutical, two new CDMO projects were initiated, with commercial production slated to commence soon. These initiatives are anticipated to become significant growth factors for the CDMO sector in the coming years.

The CMC division has reported greater project delivery efficiencies due to a refined customer structure and heightened foreign client engagement, culminating in improved gross margins and reduced operational losses. The CMC division completed or advanced a total of 295 new drug projects, showcasing a capable workforce of 96 professionals.

Langhua Pharmaceutical’s performance peaked with total revenues of RMB 880.8 million and an adjusted gross profit of RMB 286.6 million, boasting a 100% retention rate for its top ten clients. Furthermore, the existing production capacity was noted to significantly accommodate demand over the next few years, with additional capacity expansion plans underway.

Successful Exits from Incubation Ventures

The group also marked noteworthy financial progress through investments in various incubation start-ups, realizing total repayments of nearly RMB 83.6 million by the end of 2025. The firm has invested in 93 start-ups, with 13 companies nearing new financing rounds that collectively amount to US$453.3 million. The success of the incubation program highlights the potential within the regions of research and development, boasting a diverse pipeline of nearly 231 projects in different stages of development.

Workforce and Facilities Overview

Viva Biotech reported a total work force of 2,169 employees, of which 1,123 were dedicated to CRO R&D activities. The company emphasized its commitment to expanding its laboratory facilities to align with future business growth. The infrastructure developments are critical to supporting the increasing demand for its innovative services.

As Viva Biotech continues to drive advancements in drug discovery through AI technology, the firm is well-positioned for ongoing growth and innovation in the pharmaceutical landscape.