Breaking Down Suzhou Zelgen Biopharmaceuticals Co., Ltd. Financial Health: Key Insights for Investors

Suzhou Zelgen Biopharmaceuticals Co., Ltd., founded in 2009 and headquartered in Kunshan, Jiangsu, has rapidly evolved from a research-focused startup into a STAR Market-listed biopharma (ticker 688266) after its IPO on January 23, 2020, building GMP-certified manufacturing capacity since 2018 and expanding to two Kunshan GMP plants plus R&D centers in Kunshan, Shanghai and Thousand Oaks, California; by 2020 it employed about 413 staff, and by 2022 reported revenue of ¥1.92 billion with product sales comprising approximately 82% of total revenue and collaboration agreements about 15%, while its ownership structure as of November 2025 shows ~264.71 million shares outstanding, a market capitalization near ¥28.06 billion, insiders holding 28.27% and institutional investors 25.55%, supported by strategic financing including a July 2023 secondary offering that raised ¥1 billion as Zelgen advances approved products like Donafenib Tosylate and Recombinant Human Thrombin, pursues late-stage oncology and hematology candidates, and operates five subsidiaries to integrate research, manufacturing and commercialization across domestic and international markets

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS): Intro

• Founded in 2009 in Kunshan, Jiangsu Province as a biopharmaceutical R&D and manufacturing company focused on innovative small-molecule and biologic therapies.
• 2018: Commissioned its first GMP-certified manufacturing facility in Kunshan, significantly expanding in-house production capacity for small-molecule drugs and regulated commercial supply.
• January 23, 2020: Listed on the Shanghai Stock Exchange STAR Market under ticker 688266, providing capital for pipeline expansion and commercial scale-up.
• By 2020 the company employed approximately 413 staff, reflecting rapid operational growth across R&D, manufacturing, and commercial functions.
• 2022: Reported full-year revenue of ¥1.92 billion, marking a material increase versus prior periods and highlighting successful commercialization of key products.
• As of late 2025 the company continues to expand its product pipeline, manufacturing capability and international market reach.

• Post-IPO shareholder base: mix of institutional investors, strategic partners and retail investors typical of STAR Market listings (significant free float after 2020 listing).
• Governance: Board and management structures consistent with PRC listed biotech peers - R&D-led executive team with oversight from independent directors and audit/compensation committees.
• Capital structure: Public equity (688266.SS) as primary equity instrument; use of IPO proceeds directed to GMP capacity, pipeline development and working capital.

• Mission: develop and commercialize innovative medicines addressing unmet medical needs, with emphasis on oncology, metabolic and specialty hospital therapeutics.
• Strategy: integrate internal R&D with in-house GMP manufacturing to shorten time-to-market, reduce COGS and support scalable commercial launches domestically and abroad.

• Discovery & Preclinical: internal discovery teams plus academic collaborations to nominate clinical candidates.
• Clinical Development: conduct IND-enabling studies and phased clinical trials (China-first and global-development pathways).
• Manufacturing: GMP facility in Kunshan enables process development, tech transfer and commercial production for approved drugs.
• Commercialization: China hospital and retail channels supported by in-house sales force and distribution partners; expanding export and licensing arrangements.

• Product sales: primary revenue from marketed small-molecule drugs and specialty therapeutics sold in hospitals, pharmacies and via tender contracts.
• Licensing & collaboration: milestone and royalty income from out-licensing or co-development arrangements with domestic and international partners.
• Contract manufacturing: external CDMO services leveraging GMP capacity (supplementary revenue stream as capacity allows).
• R&D service fees: collaboration fees for discovery, development or formulation services provided to partners.

• Commercialized small-molecule therapeutics addressing hospital and specialty markets (core revenue drivers).
• Clinical-stage candidates in oncology and specialty indications advancing through China regulatory pathways and selective global trials.
• Ongoing investments to broaden biologics and formulation capabilities alongside small-molecule franchises.

• Listing on the STAR Market strengthened access to growth capital and visibility among domestic institutional investors focused on life sciences.
• Revenue growth to ¥1.92 billion in 2022 demonstrated commercial traction; management continues to allocate capital to scale manufacturing and fund late-stage trials.
• For investor-centered detail and shareholder composition insights see: Exploring Suzhou Zelgen Biopharmaceuticals Co., Ltd. Investor Profile: Who's Buying and Why?

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS): History

• Exchange: Shanghai Stock Exchange - STAR Market (688266.SS)
• Shares outstanding (Nov 2025): 264.71 million
• Market capitalization (Nov 2025): ¥28.06 billion
• Implied market price per share (Nov 2025): ≈ ¥106.03

• Insiders (management, founders, employees): 28.27% - ~74.86 million shares
• Institutional investors: 25.55% - ~67.67 million shares
• Public/retail investors: 46.18% - ~122.18 million shares

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS): Ownership Structure

• Mission: To become a leading pharmaceutical company in China with global reach, focused on transformative therapies in oncology, hematology and autoimmune diseases.
• Innovation: Robust pipeline with multiple late-stage programs - including pivotal (Phase III) oncology candidates and several Phase II assets - supported by internal discovery and external collaborations.
• Quality: Two GMP-certified manufacturing facilities in Kunshan that support clinical and commercial production and enable tech-transfer and scale-up.
• Global collaboration: R&D centers in Kunshan, Shanghai and Thousand Oaks, CA to facilitate international partnerships and scientific exchange.
• Integrity and transparency: Regular disclosures to investors and adherence to regulatory and ethical standards in clinical development and manufacturing.
• Social responsibility: Participation in community health programs and initiatives to reduce environmental impact in operations.

• Discovery and preclinical: internal discovery teams plus academic and industry partnerships to generate candidates.
• Clinical development: multiple assets progressing through Phase I-III trials with focus on oncology indications and hematologic disorders.
• Manufacturing: two GMP-certified facilities in Kunshan providing clinical- and commercial-scale API and finished-dose production capabilities.
• Regulatory & commercial: filings for domestic approval with parallel development plans for select markets outside China via collaborations or licensing.

• Product sales: revenue from approved in-market therapies and incremental sales as late-stage candidates gain approval.
• Collaborations & licensing: milestone and royalty income from partnerships, including technology transfer and out-licensing deals.
• CDMO services: contract manufacturing and development services using GMP facilities (clinical supply and small commercial batches).
• R&D grants and public funding: episodic non-dilutive funding for specific programs or infrastructure investments.

• Founders and management: significant insider stake supporting strategic continuity.
• Institutional shareholders: domestic and international institutional investors, including healthcare-focused funds and state-backed capital providers.
• Public float: retail and other public shareholders via the A-share listing on the STAR Market.

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS): Mission and Values

• End-to-end integration: in-house discovery, clinical development, GMP manufacturing and commercialization to shorten timelines and control costs.
• Quality and compliance: two GMP-certified facilities (small molecule tablets/capsules and recombinant proteins) to ensure consistent product quality and regulatory readiness.
• Collaborative innovation: multi-site R&D network to leverage regional strengths and global partnerships.

• Technology platform: a unified technology stack that supports small-molecule medicinal chemistry, biologics (recombinant protein) development, analytical and CMC operations, and commercial-scale manufacturing.
• Subsidiaries and roles: five subsidiaries targeting drug development, manufacturing, commercialization and corporate holdings, enabling specialization across the value chain.
• R&D network: three centers in Kunshan, Shanghai and Thousand Oaks (California) to support discovery, translational research and global collaboration.
• Manufacturing capacity: two GMP-certified Kunshan plants-one dedicated to oral small-molecule formulations (tablets/capsules) and one for recombinant protein production-allowing flexible production planning and cost control.

• Approved products: Donafenib Tosylate tablets and Recombinant Human Thrombin (commercialized products providing current revenue streams).
• Late-stage candidates: multiple assets in advanced clinical development, including programs for myelofibrosis and several oncology indications (solid tumors and hematologic malignancies).
• Commercial strategy: a mix of direct product sales, licensing/collaborations and strategic partnerships to broaden market access and share development risk.

• Revenue mix (2022): product sales represented approximately 82% of total revenue, with collaboration/licensing and other revenue making up the remainder (~18%).
• Primary revenue drivers: sales of approved drugs (Donafenib Tosylate, Recombinant Human Thrombin) plus milestone and collaboration income from partner agreements.
• Cost structure advantages: in-house GMP manufacturing reduces third-party CMO spend and supports margin capture as sales scale.

• Listed entity: traded as 688266.SS (STAR Market). Institutional and strategic investors typically include venture investors, corporate partners and public shareholders post-listing.
• Corporate governance: board and executive leadership focused on balancing R&D investments with near-term commercialization to drive sustainable growth and shareholder value.

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS): How It Works

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS) is a China-based specialty biopharmaceutical company focused on developing, manufacturing and commercializing targeted oncology and hemostasis products. The company's operations span R&D, clinical development, regulatory approvals, manufacturing and commercial sales, with additional income from collaborations and licensing arrangements.

• Core product portfolio: Donafenib Tosylate tablets (targeted oncology) and Recombinant Human Thrombin (hemostatic agent).
• R&D pipeline: clinical-stage assets supported by internal development teams and external collaborations.
• Manufacturing: in-house GMP-capable production for key products and CMO partnerships for scale-up.
• Commercialization: direct sales to hospitals, distributors and through partner agreements in domestic and selected international markets.

How revenue is generated and scaled

• Direct product sales: The primary revenue engine-Donafenib and Recombinant Human Thrombin generate the bulk of sales through hospital tenders, formulary placement and outpatient oncology prescriptions.
• Collaboration and licensing income: Strategic partnerships, milestone payments and co-development agreements contribute meaningful, recurring non-product revenue (≈15% in 2022).
• One-off/other: Technology transfers, service revenues from manufacturing or contract work and occasional milestone receipts.
• Financing-enabled growth: Use of equity and debt to fund trials, manufacturing capacity and commercial rollouts-e.g., the ¥1 billion secondary offering in July 2023 supported clinical and operational expansion.

Key financial and operational drivers

• Product mix and pricing: Oncology drugs like Donafenib carry higher ASPs and volume growth potential, driving margin expansion as penetration increases.
• Pipeline progression: Positive clinical readouts and regulatory approvals convert R&D investment into higher future sales and licensing leverage.
• Partnerships: Collaboration agreements diversify revenue and de-risk development costs while providing milestone-based cash inflows.
• Capital structure: A mix of equity raises and targeted debt has funded trials and capacity; the July 2023 equity raise of ¥1 billion is a recent example.

Operational metrics and recent trends

Strategic implications for revenue growth

• Scaling Donafenib adoption and hospital penetration is central to expanding product-sales-derived revenue.
• Advancing pipeline assets and securing milestone-driven collaboration payments improves near- to mid-term cash flow visibility.
• Prudent use of financing (equity and debt) ensures continued investment in clinical programs and manufacturing without overleveraging.

Further reading: Exploring Suzhou Zelgen Biopharmaceuticals Co., Ltd. Investor Profile: Who's Buying and Why?

Suzhou Zelgen Biopharmaceuticals Co., Ltd. (688266.SS): How It Makes Money

• Product sales: marketed biologics and specialty therapies in China (commercialized oncology/hematology products where approved).
• Clinical-stage asset value realization: milestone and licensing income from collaborations and out-licenses of late-stage candidates.
• Contract development and manufacturing (CDMO) services: fee-for-service revenue from biologics process development and manufacture.
• Research collaborations and grants: non-dilutive funding and co-development arrangements with global partners.

• Market capitalization: approximately ¥28.06 billion (as of November 2025).
• Pipeline: multiple late-stage clinical candidates focused on various cancers and serious diseases, underpinning future product launches.
• Global R&D footprint: research centers in the United States augment international collaboration and regulatory strategy.
• Financial posture: consistent revenue growth and strategic financing initiatives (equity raises, convertible instruments, and partnership milestones) supporting R&D and commercialization.
• Strategic focus: innovation and quality systems aimed at scaling manufacturing and expanding market access domestically and overseas.