Breaking Down Shanghai Haohai Biological Technology Co., Ltd. Financial Health: Key Insights for Investors

Founded in 2007, Shanghai Haohai Biological Technology Co., Ltd. (6826.HK) has grown into a cross-border biomedical materials and medical devices leader with operations across China, Europe and the United States, a global R&D footprint in China, the United States, the United Kingdom, France and Israel, and the distinction of being the first biomedical company listed on both the Hong Kong Stock Exchange and the Shanghai STAR Market; the company channels roughly 15% of annual revenue into R&D, dominates China's ophthalmic viscoelastic agents and surgical anti-adhesion markets for 17 consecutive years and leads the domestic orthopedic joint cavity viscoelastic supplement market for 10 straight years, offering a broad portfolio spanning ophthalmology, medical aesthetics, wound care and orthopedics while pursuing import substitution, ISO 13485 and CFDA-compliant quality systems, customer-centric service models and international partnerships-read on to explore how Haohai's mission, vision and core values power its strategy, innovation pipeline and market leadership.

Shanghai Haohai Biological Technology Co., Ltd. (6826.HK) - Intro

• Founding year: 2007.
• Global R&D footprint: China, United States, United Kingdom, France, Israel.
• Key therapeutic/product areas: ophthalmic viscoelastic agents, surgical anti-adhesion agents, orthopedic viscoelastic supplements, medical aesthetics injectables, wound-care biomaterials.
• Market leadership: China market share leader in ophthalmic viscoelastic agents and surgical anti-adhesion agents for 17 consecutive years (as of 2023); No.1 in China's orthopedic joint cavity viscoelastic supplements for 10 consecutive years (as of 2023).

• Mission - To improve patient outcomes globally by developing and delivering safe, effective biomedical materials and medical devices that enable better surgical and therapeutic care.
• Vision - To be the world-class biomedical materials company bridging innovative biomaterial science and scalable clinical solutions across ophthalmology, orthopedics and regenerative medicine.
• Core values - Scientific rigor, patient-centricity, regulatory compliance, international collaboration, quality manufacturing, and sustainable growth.

• Technology-driven product pipeline supported by international collaborations and a distributed R&D network across five countries.
• Differentiated manufacturing capabilities: end-to-end sterile production lines and QA/QC systems designed for ophthalmic, orthopedic and aesthetic product families.
• Regulatory and market access: product registrations and commercial channels spanning China, EU and U.S. markets to accelerate adoption by clinicians.
• Long-term market share leadership in core categories that underpin recurring consumables and procedure-driven demand.

• Integrated discovery-to-commercialization pipeline with clinical and regulatory teams aligned across geographies to support registrations (CE, NMPA, and other regional pathways).
• Quality systems and GMP-compliant production to ensure sterile, high-purity biomaterials for surgical use.
• Collaborative alliances with universities and biotech partners in the U.S., UK, France and Israel to accelerate material science and clinical translation.

• Products designed to reduce surgical complications (e.g., anti-adhesion agents), improve functional recovery (e.g., viscoelastic supplements) and expand access to reconstructive and aesthetic procedures.
• Focus on long-term clinician training and hospital partnerships to ensure safe, evidence-based use of novel biomaterials.

Shanghai Haohai Biological Technology Co., Ltd. (6826.HK) - Overview

• Mission: Improve the health of the Chinese people and facilitate patient recovery by applying biotechnological achievements to treat human diseases.
• R&D-driven growth: The company emphasizes continuous innovation in research and development as the primary driving force, allocating approximately 15% of its annual revenue to R&D to remain at the forefront of biotechnological advancements.
• Technology commercialization: Committed to providing innovative medical products via technological innovation and transformation, integrating domestic and international resources, and scaling to large-volume production.
• Import substitution and market leadership: Aims to achieve import substitution for relevant pharmaceutical products and become a leading enterprise in biomedical materials within China.
• Compliance and value creation: Seeks to maximize benefits for society and shareholders by adhering to laws and regulations, scientific management principles, and a focus on biopharmaceutical preparations and biological materials.
• Patient-centric solutions: Strives to enhance patients' quality of life by offering a comprehensive range of medical solutions across therapeutic and material platforms.

• Industrial positioning: Integrates upstream biological material development, midstream biopharmaceutical preparation manufacturing, and downstream clinical application pathways to compress commercialization timelines and scale production.
• Stakeholder commitments: Balances societal health objectives with shareholder returns through compliance, transparent governance, and reinvestment into innovation.
• Strategic partnerships: Leverages domestic manufacturing scale and selective international collaborations to accelerate product registration, quality assurance, and market access.

Shanghai Haohai Biological Technology Co., Ltd. (6826.HK) - Mission Statement

• Mission core: develop, manufacture and commercialize advanced biomaterials that shorten patient recovery times, increase surgical efficacy, and expand access to domestically produced medical products.
• Strategic outcome targets: increase domestic market share in core therapeutic segments (ophthalmology, medical aesthetics & wound care, orthopedics, surgery) and achieve measurable import substitution for at least several product categories within a 3-5 year horizon.
• Operational commitments: maintain high R&D intensity, robust quality systems, and international clinical collaboration to accelerate regulatory approvals and commercialization.

• Therapeutic focus: prioritize fast-evolving, high-demand fields - ophthalmology, medical aesthetics & wound care, orthopedics, and surgery - to align R&D and commercial efforts with areas showing above-market growth and high clinical need.
• Global R&D footprint: operate an integrated R&D system spanning China, the United States, the United Kingdom, France and Israel to combine local clinical insights with global technological leadership. Current stated R&D network: 5 countries.
• Commercialization & import substitution: pursue substitution of imported products through local manufacturing scale-up, aiming to reduce dependence on imports in targeted product classes while expanding domestic supply resilience.
• Public health objective: contribute to improving the health of the Chinese population by accelerating access to advanced biomedical materials that support faster recovery and better clinical outcomes.

• R&D acceleration: leverage cross-border labs to shorten time-to-clinic for new biomaterial constructs and improve product differentiation.
• Regulatory and clinical alignment: harmonize development with China NMPA, US FDA and EU regulators to enable multi-jurisdiction approvals and broaden addressable markets.
• Partnerships & M&A: pursue selective collaborations and acquisitions to integrate upstream raw-material capability and downstream clinical-service channels, increasing vertical integration.
• Brand & professional services: enhance training for clinicians, post-market surveillance, and evidence generation to elevate adoption and brand trust.

• Integrated R&D pipeline: cross-country teams accelerate iteration cycles - discovery in innovation hubs (Israel, France, UK), translational work and manufacturing scale in China, clinical validation in US/China dual tracks.
• Capital allocation: prioritize budget to programs with high clinical need and clear reimbursement pathways; maintain disciplined spend with an eye to ROI and market access timelines.
• Quality and regulatory investments: expand GMP capacities and international regulatory dossiers to support exports and hospital tender participation.

Shanghai Haohai Biological Technology Co., Ltd. (6826.HK) - Vision Statement

• Continuous innovation in R&D: sustained investment in discovery and product development to maintain technological leadership in biomedical materials and biopharmaceutical formulations.
• Quality assurance and regulatory compliance: commitment to NMPA/CFDA approvals and international quality management systems such as ISO 13485 for medical devices.
• Customer-centricity: build systems and processes that maximize client engagement, responsiveness, and high customer satisfaction rates.
• Scientific management and legal compliance: operate under strict adherence to laws, industry standards, and best practices in GMP/quality governance.
• Integration of domestic and international resources: leverage global partnerships and local manufacturing to drive import substitution and scale market leadership.
• Public health focus: improve patient outcomes and support national healthcare goals through accessible, effective biological therapies and materials.

• R&D investment intensity: targeted reinvestment of a significant proportion of revenue into R&D to accelerate pipeline progression and process innovation.
• Pipeline breadth: focus on biopharmaceutical preparations, medical biological materials, and device-related consumables with multiple projects in preclinical and clinical stages.
• Collaborative network: partnerships with domestic research institutes and selected overseas technology providers to shorten development timelines and access cutting‑edge platforms.

• Regulatory approvals: products developed under NMPA (formerly CFDA) regulatory framework, with multiple filings and approvals across therapeutic and material categories.
• Quality systems: adoption and certification to ISO 13485 for device-related lines and implementation of GMP standards for biopharmaceutical production.
• Third‑party audits: regular external audits and supplier quality programs to ensure traceability and consistent product performance.

• Client engagement systems: CRM and service-response platforms to capture end‑user feedback, inform post‑market surveillance and drive continuous product improvements.
• Customer satisfaction: targets to maintain high satisfaction and retention among hospital procurement, distributors, and research institutions.
• Market strategy: combine direct hospital channels, institutional partnerships, and distributors for nationwide reach while expanding exportable product lines.

• Import substitution goal: scale local production of key biomedical materials to replace imported equivalents, reducing supply chain dependency.
• Global sourcing and licensing: selective technology licensing and co‑development to introduce advanced formulations and manufacturing know‑how.
• Manufacturing footprint: upgrade domestic facilities to meet international standards and enable cost‑competitive scale production.

• Scale manufacturing to support import substitution for selected biomedical materials within 3-5 years.
• Increase R&D allocation to 12-15% of revenue by near term to accelerate clinical-stage assets.
• Expand international registration efforts to enter targeted APAC and EMEA markets for device‑adjacent products.

• R&D spend as % of revenue
• Time-to-market for new product approvals (NMPA milestones)
• Customer satisfaction and reorder rates
• Domestic substitution rate for targeted imported materials
• Regulatory compliance and audit pass rates

• For financial analysis and deeper investor insights, see: Breaking Down Shanghai Haohai Biological Technology Co., Ltd. Financial Health: Key Insights for Investors