Bora Pharmaceuticals (6472) Q2 2025 earnings summary

Executive summary

• Achieved net revenues of NT$4,868 million in Q2 2025, up 9% sequentially and 28% year-over-year, with a market cap of $2.9 billion and strong international presence.

• Achieved second strongest EPS quarter historically, with significant growth in specialty and rare disease pipeline and double-digit market share gains in the Vigabatrin franchise.

• Transitioned out of integration phase, evidenced by improved cash flow and balance sheet health.

• Continued investment in high-value assets, infrastructure, and expansion of the Viagravitran franchise, with double-digit growth in Q2.

• Consolidated financial statements for H1 2025 were reviewed by independent auditors, with no material misstatements identified.

Financial highlights

• Q2 2025 revenue reached NT$4,868 million, up 9% sequentially and 28% year-over-year; H1 2025 revenue was NT$9,347,370 thousand, up 28% year-over-year.

• Gross margin for H1 2025 was 42%, down from 48% in H1 2024, impacted by manufacturing delays; Q2 2025 gross margin at 41%.

• Basic EPS for Q2 2025 was NT$5.95, with NT$1.81 from discontinued operations; core EPS excluding Forex impacts would have been NT$8.05.

• Operating cash inflow increased by NT$3.6 billion year-over-year; ~NT$370 million debt paid down in the quarter.

• Net income from continuing operations for H1 2025 was NT$3,572,795 thousand, up 38% year-over-year; net loss from discontinued operations was NT$1,433,655 thousand.

Outlook and guidance

• Management is bullish for H2 2025, expecting margin recovery and continued revenue growth, with operational leverage from controlled OpEx and capacity expansion.

• Clear runway for organic growth in 2H25, with accelerating sales and net income expected.

• CDMO sterile business is back on track, with new projects and high demand, especially in U.S. facilities.

• Focus remains on high-value generics, specialty branded drugs, and further investments in DEE and complex generics.

• Management is monitoring the impact of new IFRS standards, with no material effect expected in the near term.