Hello, everyone. This is Phil Zhou, CFO at GenScript.

Welcome to 2025 Annual Results Conference Call. Joining me on the call today are Mr.

Robin Meng, Chairman of the Board; Ms. Sherry Shao, Rotating CEO of GenScript; Dr.

Ray Chen, President of GenScript Life Science Group; Dr. Aixi Bai, General Manager of Bestzyme; Mr.

Allen Guo, CEO of ProBio. During today's call, we will be making statements about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, which may constitute forward-looking statements.

Actual results may differ materially from those indicated by such forward-looking statements because of various important risk factors and changing market conditions. We do not undertake any obligation to publicly update any forward-looking statements.

Today, Sherry will start with company highlights and our business heads will present highlights for each segment. I will then guide you through 2025 financial performance.

Following that, Sherry will update our business focus and 2026 full-year guidance. We also have a Q&A session at the end of the call.

As a reminder, today's presentation materials can be accessed in the Investor Relations section of the company's website. Now, I will hand over to Sherry.

Thank you, Phil. In 2025, GenScript Group delivered accelerated growth despite navigating complex geopolitical and macroeconomic [environment?]

. Our success was powered by leveraging our global operations, robust management frameworks, and technological expertise, allowing us to transform challenges into opportunities.

The biotech sector delivered three key catalysts in 2025: renewed funding flows, AI-driven innovation, and record-breaking Chinese out-licensing, all of which directly enhanced our growth trajectory. In terms of our financial performance, we achieved outstanding results.

Group revenue surged by 61.4% year-over-year. Adjusted net profit reached near $230 million.

Our growth stems from our four strategic drivers. First, our gene-to-protein synergy strategy successfully integrated capabilities across the life sciences value chain, creating powerful cross-business momentum.

Second, our global expansion accelerated performance across all three business segments through targeted market investments. Third, our productization strategy drove tangible results.

Both the Life Science Group products and industrial enzyme business delivered solid revenue contributions. Fourth, operational excellence through automated manufacturing and AI-powered R&D shortened development cycles and boosted manufacturing efficiency significantly.

Regarding our associate company, Legend Biotech, we are proud to share two milestones. Legend Biotech's CARVYKTI therapy achieved full-year profitability in 2025.

The adjusted net profit turned positive in Q4 2025, and the 2025 full-year adjusted net loss significantly narrowed to $33.1 million. We are confident that Legend's strengthening financial position will create long-term positive impact for our group.

In 2025, we made significant progress in sustainability. In recent years, ESG has become a critical competitive differentiator for global companies.

An increasing number of our customers worldwide now regard ESG ratings as a gold standard when selecting partners. Through years of strategic investment and continuous management optimization, GenScript has achieved industry-leading ESG performance.

In 2025, MSCI upgraded our ESG rating to AA. We were also selected for inclusion in the FTSE4Good Index Series.

Additionally, we received a silver medal in the EcoVadis global supply chain sustainability assessment. Just last month, GenScript was further honored by being named to the 2026 S&P Global Sustainability Yearbook.

These ESG achievements reflect our ongoing efforts across environmental stewardship, labor practices, corporate governance, and beyond, all driving continuous improvement in our management systems. Now, I will hand over to Dr.

Ray Chen, President of GenScript Life Science Group, to share Life Science Group's business highlights.

Thank you, Sherry. This is Ray, and good morning, everyone, and thank you for joining us.

In the year of 2025, GenScript Life Science Group business surpassed the $500 million revenue milestone, representing an important scale inflection for the platform we have been building over the past decade. Even through a more cautious funding environment for biotech globally from the year 2021 to 2024, we delivered a CAGR of 12.9%.

In the year of 2025, our business growth accelerated from the 11% in the first half of the year to about 15% for the full year, reaching the upper end of our guidance. What gave us confidence is not only the growth itself, but how the growth is actively being engineered.

Our long-term growth strategy has been simple and focused: continue advancing our platform, grow the ecosystem around it, and scale the infrastructure that powers it. Number one, platform leadership.

We keep innovating and upgrading our platform capabilities, and importantly, we continue to unlock powerful synergies across the platform workflows. This is how our TurboCHO platform could lead the industry to deliver from gene to purified antibody in just about 5 business days with superior and reliable titer.

In 2025, our gene-to-protein platform contributed about 65% out of our total revenue growth. Number two, ecosystem expansion.

We are deepening relationships with global pharma, biotech, and academic innovators, scripting possibilities and partnering with them to turn scientific potentials into reality. In 2025, we are expanding our customer base.

Orders from first-time clients grew over 34% year-over-year. The last but not least, the number three, automation-driven scale.

Our global business is expanding, with the US maintaining steady growth. The Europe has achieved 5 consecutive years of strong results, including over 30% growth in the year of 2025.

APAC, especially Greater China, is showing increased activities as well. This requires us to continuously innovate and advance AI-enabled manufacturing and automation worldwide in order to enhance productivity, strengthening the global resilience, and improve margins.

Together, these three pillars are transforming GenScript Life Science Group from a collection of services and product offerings into a scalable biotechnology infrastructure platform, enabling researchers worldwide to move faster from scientific insights to therapeutic discovery. Let me walk you through each of these drivers.

Our first growth pillar is platform leadership, and at the center of the advantage is our platform flywheel. Over the past several years, we have invested heavily in integrating capabilities across gene, protein, RNA, peptide, and antibody.

In 2025, this integration began to translate into clearer commercial momentum. One of the strongest example is our integrated gene-to-protein services, which delivered over 50% revenue growth in the year of 2025.

This growth reflects the powerful flywheel effect by design within our platform. Our gene synthesis capabilities continue to expand rapidly, delivering approximately 46% of more base pairs.

More importantly, we are seeing increasing platform synergy, where genes we build seamlessly fit into downstream protein expression work. In fact, gene flows into the protein workflow increased over 160% to fuel the 50% of the revenue growth of the gene-to-protein.

What this means strategically is simple: the combination of integration, speed, and scientific excellence is increasingly valued by our customers, particularly in AI-enabled drug discovery where rapid and accessible design, build, test cycle at high throughput is essential. Today, nearly 70% of our protein orders support AI-driven antibody or more complicated antibody discovery programs, reflecting the growing alignment between our platform and the future of biotech innovations.

More importantly, this platform leadership is not static. We are integrating into new workflows, including gene-to-mRNA, gene-to-viral vectors, further delivering value and strengthening the long-term growth flywheel.

Also, excitingly, we are now extending more integration into in-house solutions for our customers as products, further expanding addressable markets that we're reaching with higher margin at larger scale. Our AmMag portal purification systems are now used by 17 of top 20 pharma worldwide.

We are in the process of launching our TurboCHO expression kit to global market. This in-house solution will deliver superior antibody expression titer using nearly half time by current solutions in the market.

Our second growth pillar is ecosystem expansion. Within 2025, we continue to see strong growth across all major customer segments, reinforcing our role as a trusted partner to innovators across the global life science ecosystem.

Let me start with the pharmaceutical and biotechnology companies, which remain our largest and fastest-growing customer group. Sales from pharma and biotech grew 24% year-over-year.

Even among the top 20 pharma, where our relationships are already well established, we still achieved over 16% of the growth, demonstrating the continued strategic importance of our platform infrastructure. In academic, where research funding has been more constrained globally, we remained strong with close to 15% of the growth, reflecting our deep presence in global research institutions.

Just as important to the expansion of our new customer pipeline, in 2025, sales from newly acquired customers increased over 30% year-over-year, demonstrating strong brand momentum following our global rebranding and continued marketing expansion. In 2025, we served more than 66,000 active customers globally, supported by an extraordinary level of scientific engagement.

This adoption is also reflected in scientific impact, over 118,000 peer-reviewed publications citing us, enabled by us, highlighting our deep integration into the global research ecosystem. All taken together, this ecosystem expansion provides both growth momentum for today and the future.

Our third growth pillar is automation-driven scale, which is becoming an increasingly important differentiator for us. As biotech research accelerates globally, customers demand not only scientific expertise, but also speed, reliability, and cost efficiency at scale.

To meet these expectations, we have been focusing heavily on automation, digitalization, and AI-enabled production, building a truly global manufacturing network. In 2025, we continued upgrading our manufacturing footprint to support both scale and reliability.

Four of our five major production sites have been equipped and upgraded into fully automated, AI-enabled, lights-out factories, enabling continuous 24-hour production with exceptional consistency at scale. This automation is not only improving operational efficiency, it is also strengthening our ability to meet rapidly growing global demand, and importantly, our margins.

Looking ahead, by the end of 2026, about 60% of our global production capacity will be powered by AI-driven automation, significantly enhancing throughput, quality control, and cost efficiency. Our New Jersey facility is a good example of how this strategy is playing out.

In 2025, revenue generated from this site, New Jersey, increased around 70% year-over-year, highlighting its growing role in our global operations. Together, we are building the platform infrastructure that is not only industry-leading, but also globally scalable and operationally resilient.

This concludes GenScript Life Science Group part updates. I will now hand it over to Allen, CEO of ProBio.

Thank you, Ray. Good morning.

I'm Allen, CEO of ProBio. It's a pleasure to share our 2025 performance highlights with you today.

Let's turn to page 10. After navigating industry fluctuations over the past 2 years, we are pleased to report that ProBio has returned to 21% organic growth in 2025, with business trends showing gradual quarter-over-quarter acceleration.

In our antibody and protein discovery business, we launched our novel TCR engineering and functional characterization platform, and we also further upgraded our hybridoma platform with features automated imaging system and AI-powered data analysis, elevating mouse monoclonal reach from 70% to 86%. Our CMC capabilities have undergone significant upgrades as well.

We introduced the ProMax expression system, delivering industry-leading yield and stability, and based on this excellent vector system, we launched our Express CMC service, compressing timelines from gene synthesis to tox batch delivery from 6 months to just 4 months, a 33% efficiency improvement, and it's also the industry-leading speed. We also commercialized our AOC, antibody-oligonucleotide conjugate platform, to better address the rising market demand for AOC discovery and development.

We made several pivotal achievements in 2025. We completed our first PPQ project with BLA submitted in November 2025.

This marks the first non-COVID-related BLA application for ProBio. We further enhanced the data integrity quality system to meet stringent US, Europe, and China regulatory requirements, supporting our growing partnership with global multinational companies.

Our antibody and protein discovery and development services maintained stable growth and consistent with market projections. For 2026, we anticipate continued robust expansion aligned with sustained industry demand.

In terms of our track record, there are several key takeaways. Now, 40% of our antibody and protein CDMO projects originates from international clients, validating our global market strategy.

We delivered our first overseas process characterization project and also secured our first international 2,000-liter GMP manufacturing order. We also supplied multiple clinical batches to two top-tier multinational companies, which is a testament to our world-class quality system.

In 2025, in vivo CAR-T emerged as the most prominent highlight in the CGT field. Leveraging our market insight, we have proactively positioned ourselves in this area.

We established proprietary CD3/CD7 dual-targeting lentivirus and also TTNP-based in vivo CAR-T technology. Additionally, we established and launched the CMC and related quality study platforms for both LVV and LNP platforms.

On the LVV platform, we have four IIT CMC projects and three of which have been successfully delivered, while one project is still ongoing. On the LNP platform, we present a unique integrated one-stop solution covering plasmid, mRNA, antibody, and TTNP.

Currently, we have four R&D enabling projects in progress. Due to the book-to-bill cycle, revenue from in vivo CAR-T-related projects has not yet reached a significant revenue scale in 2025.

We secured around $9 million new orders for in vivo CAR-T-related CMC services already. Besides, we are continuously upgrading our plasmid and viral vector platforms.

On plasmid, we launched the PowerS DNA strain, which is capable of increasing fermentation yields for DNA drugs and vaccine projects to 3 g/L, significantly reducing production costs. Meanwhile, we further shortened the turnaround time for both GMP-grade plasmid and GMP-grade plasmid, achieving industry-leading performance.

For our US site, we commenced the GMP plasmid manufacturing capabilities last year. On the viral vector platform, we upgraded our AAV platform.

We can achieve titer as high as 3E12 VG/ml and a recovery rate of approximately 50% now. Simultaneously, we initiated the AAV manufacturing capability in the US site, and our first AAV CMC project is also being executed in our US Hopewell site now.

Besides, we completed the first LVV PAI inspection from MFDS, the Korean FDA, in 2025, which is expected to be approved very soon this year. In terms of CGT track record, we newly secured 60 60 CGT CDMO projects in 2025, including 6 in vivo CAR-T projects.

In 2025, we also successfully supported one client in completing two out-licensing transactions. We continue to invest in R&D, stressing the development of proprietary platforms and high-potential assets, and leveraging our enhanced innovation capabilities to empower client success and create long-term value.

Currently, we have over 30 pre-developed projects spanning multiple molecule formats and covering numerous high-value targets. Among them, our proprietary CD3 VHH and CD3 TCE pipeline stand out, featuring innovative molecular architectures, improved druggability, enhanced efficacy, and superior safety profiles.

As I mentioned during the previous slide, we have successfully established the proprietary CD3/CD7 dual-targeting LVV and TTNP-based in vivo CAR-T technology, and our antibody-retargeted LVV platform has been accepted by AACR 2026 for poster presentation. Our TCE molecules are primarily focused on oncology indications, with potential exploratory application in autoimmune diseases.

We are also developing a next-generation TCE platform technology that leverage antibody masking to reduce on-target, off-tumor tox and costimulation moiety to boost tumor cell killing in tumor microenvironment. Now, we have eight TCE molecules constructed in different discovery stages, and with three molecules entering the PCC stage by first half 2026.

Two selected PCCs are planned to further advance to CMC development with the expectation to complete tox material production by 2026. Two TCE molecules featuring next-generation TCE molecules have been accepted by AACR 2026 for poster presentation, and with our DLL3 costimulated TCE invited for oral presentation.

We believe our CD3 VHH platform and TCE molecules will definitely enable potential clients who are interested in this field to accelerate their R&D programs. By the end of 2025, we have received upfront payment and milestone payments totally about $280 million from the [unclear] project.

To date, we have accumulated 16 out-license programs, and five of which have officially entered into clinical development. Looking ahead, based on each partner's specific considerations regarding R&D capabilities, funding, and timelines, we will adopt more flexible collaboration models, including, but not limited to, fee-for-service, co-development, asset buyouts, and out-licensing.

With that concludes my part. Now, let me turn the floor over to Dr.

Bai.

Thank you, Allen. Good morning.

Hello, everyone. I'm Bai

Combined, our novel amylase and phytase products generated nearly $2 million in sales within the launch year, validating our ability to rapidly scale next-generation enzyme innovations with clear commercial traction. Our sweet protein product have successfully obtained GRAS certification from the US FDA.

In second half of 2025, we submitted our market authorization application to China's National Health Commission. Our manufacturing facility for sweet protein is on the way, with production expected to commence by mid-2026, and we have already received some pilot orders.

In 2025, thanks to a significant increase in our R&D efficiency, the number of our patent applications reached a record high, growing by about 35% compared with the same period last year. Meanwhile, we further strengthened the construction of our intellectual properties protection protocols and internal control systems.

In 2025, Bestzyme has significantly increased its R&D investment to foster long-term growth. Let me outline how we are strategically allocating these resources.

Our R&D efforts are focused on two main areas. First, AI-powered molecular discovery platform.

We've developed multi-property proprietary AI models for enzyme and synbio product screening, utilizing our extensive data sets accumulated from product development. These interconnected models are supported by GenScript's wet lab platform, enabling rapid, reliable, and cost-effective gene synthesis and high-efficiency protein production.

Our integrated DBTL platform completed the information cycle by validating candidates using our robust data assets and continuously generating high-quality data to refine the models. Second, AI-driven product optimization.

By implementing AI, we achieved a 140% improvement in R&D efficiency and reduced the average project timeline to just 6 months. This enabled us to build a pipeline of over 20 high-performance strains, supporting the development of more than six novel enzyme products and enhancements for existing ones.

Thank you for your attention. I would now like to invite our CFO, Phil, to provide an overview of the company's financials.

Thank you, Dr. Bai.

I will be presenting the group's financial performance for 2025. In the year, our total revenue reached $959.5 million, a 61.4% year-over-year increase, with gross profit more than doubling.

All business units delivered sustainable growth. The Life Science Group continued to be our growth engine and profit center.

Revenue grew 14.8% year-over-year to $522.1 million. ProBio achieved 309.1% year-over-year growth to $388.7 million revenue, including nearly $280 million [unclear] license deal.

Bestzyme's revenue grew by 7.9% year-over-year to $58 million, outperforming the industry average of 5%. However, due to the share of loss and impairment from our investment in Legend Biotech, we recorded a loss for the year of $532.4 million.

Now, let me elaborate more on the share of loss and impairment from our investment in Legend Biotech. In October 2024, the GenScript Group lost control of Legend Biotech and subsequently account for investment in Legend as an associate Legend.

Under Hong Kong AS 28 Investments in Associates and Joint Ventures, a significant or prolonged decline in the fair value of an investment in an equity instrument below cost is an objective evidence of impairment. As of December 31st, 2025, the significant and prolonged decline in Legend Biotech ADS price by year-end triggered an impairment test under Hong Kong AS 36.

The group engaged an independent external valuer to conduct a valuation to determine the recoverable amount of the investment in Legend, being the higher of, number one, value in use based on DCF model with reasonable growth projection and WACC applied, and number two, fair value less cost of disposal calculated by reference to the closing price, and provided an impairment loss of $398.1 million. During the year ended 31st December 2025, the group recognized its share of Legend Biotech's profit and loss based on Legend's own financials, appropriate adjustments, and the changes in shareholding percentage in Legend.

The group recognized a share of loss of $310.4 million in 2025. It's important to know that both the impairment and the share of loss are non-cash accounting items and do not materially impact the group's cash position or liquidity.

By excluding the non-operational and non-cash items, our adjusted net profit was $230.3 million, which better reflects the true performance of our business, improved from FY 2024 $59.8 million, a 285% year-over-year growth. Based on Legend's Q4 earnings report, Legend Biotech achieved the full-year 2025 revenue of $1.03 billion, and its adjusted net loss has been significantly narrowed to $33.1 million.

Given that the CARVYKTI franchise has achieved breakeven in 2025 and Legend Biotech is expecting to turn operating breakeven in 2026, we expect Legend's improving operating performance will positively impact the GenScript's profit over time. In 2025, Life Science Group revenue surpassed the $500 million milestone, growing by 14.8% year-over-year.

We observed its revenue momentum accelerate in the second half of 2025. From a product mix perspective, attributed by synergies between gene and protein businesses, integrated one-stop gene-to-protein service now account for nearly 65% of total revenue, serving as the primary growth driver.

Industrial customer revenue, particularly from pharmaceutical companies, continued to grow, reflecting enhanced key account development capabilities with global multinational companies. Adjusted gross profit grew 12.5% year-over-year to $267.3 million, with adjusted gross profit margin at 51.2%, broadly stable compared to the second half of 2024.

On the expense side, SG&A expenses increased primarily due to ongoing investment in Europe and North American market business development and marketing and rebranding campaigns in the second half. The investment will further increase our customer base and generate new customer demand.

R&D expenses remain at approximately 9% of total revenue to maintain our cutting-edge technology leadership of our core business. Adjusted operating profit stood at $95.4 million.

Over the past 2 years, margin fluctuations have been impacted by product mix, global capacity ramp-up, and pricing strategy adjustments. Currently, gross profit has been stabilized and shows signs of recovery.

We will keep focusing on cost optimization and lean operations through adopting generative AI, manufacturing automation, and R&D efficiency improvement. In 2025, ProBio generated $388.7 million in total revenue.

By excluding the [unclear] deal, fee-for-service revenue demonstrated 21% organic growth, primarily driven by solid underlying customer demand for protein and antibody. Revenue and order momentum accelerated significantly throughout the year.

New order intake continued its recovery trajectory in 2025, growing at 22% year-over-year to $158 million, laying a solid foundation for 2026 growth. With fee-for-service revenue, the mix between protein and antibody and CGT offerings shifted, primarily driven by the robust recovery in the antibody and protein CDMO market.

Our global expansion strategy works well in driving significant growth. North American and European markets are now contributing 38% of total revenue, a notable increase that reflects our enhanced international footprint.

The adjusted gross profit was $258.4 million and the adjusted EBITDA was $224.3 million. On the expense side, SG&A costs increased primarily due to operational ramp-up expenses at our Hopewell CGT facility in the US.

Meanwhile, R&D expenditures grew approximately 1.6 times year-over-year, reflecting strategic investments in proprietary platforms and high-potential assets. Fee-for-service gross margin was temporarily compressed by initial ramp-up costs at Hopewell and new antibody and protein CDMO capacity deployment.

Bestzyme's revenue grew by 7.9% to $58 million. Adjusted gross profit was $23 million.

Coupled with increased R&D investment to enhance product competitiveness and develop innovative products, the segment shifted to an operating loss of $3.2 million, while commercialization of innovation will significantly improve our product mix and profitability in the coming year. The business from international market ramped pretty well.

Outside China revenue increased significantly to 26%, which holds major strategic importance for future margin improvement. Margins in industry and feed enzyme fluctuate due to changing market dynamics, but we remain confident that ongoing product performance enhancement and cost optimizations will drive renewed margin improvement.

Expenses increased across the board as we further invest in R&D and regional sales force. As Dr.

Bai highlighted, these investments are critical to building a long-term competitive advantage. That concludes my part.

I now hand it back to our CEO, Sherry, to introduce our 2026 business focus and full-year guidance.

In 2026, our business focus will be on achieving high-quality growth while gradually improving profitability. For GenScript's Life Science Group, we remain confident in the long-term growth trajectory.

We will strengthen our platform flywheel by innovating and integrating across gene, protein, and new modalities; grow our global ecosystem through expanded customer reach, key partnerships, and in-house solutions to boost revenue; scale automation and digitalization for faster, more efficient, cost-effective global delivery. We expect the revenue growth for Life Science Group to be between 15% and 18% in 2026.

We anticipate the adjusted gross margin to reach 52%, with adjusted operating profit margin expected to be around 19%. For ProBio, we will further strengthen our commercial capabilities, seize the industry opportunity, and accelerate CRDMO services business.

Antibody and protein demands will stay strong momentum. In vivo-related demand will boost customer needs in the CGT business.

We will continue our investment on new molecular entities and platform, also strengthening our external business development capabilities to achieve licensing deals. We expect the fee-for-service business revenue growth to reach 25% to 30%, with overall loss expected to narrow.

For Bestzyme, we are continuously working to launch a series of first-in-class and best-in-class products and to solidify our innovation advantage through patent applications and IP protection, laying the foundation for international market expansion. We will expedite the establishment of commercial manufacturing capacity for sweet proteins, paving the way for market launch.

We expect the revenue growth for Bestzyme to be between 10% to 15%, and with adjusted gross margin increasing to around 43%. For group perspective, strengthening our capabilities in business synergy, globalization, automation, and digitalization continues to be the key focuses in 2026.

This concludes today's presentation. Operator, we will now proceed to the Q&A session.

Good morning, everyone. Thank you for allowing me to ask questions.

I have two quick ones. The first one is just trying to confirm how much revenue was recognized from [unclear] deal in the second half?

Because I think the cash payment we received is about $70 million. If that's all recognized as part of revenue, I think organic growth in the second half is much higher than first half.

What is the kind of key drivers here? That's my first question.

Thank you, Mr. Huang.

This is Phil. I'm happy to address your question.

We received our proportion of [unclear] second milestone payment in the second half of the year 2025. You please just refer to the inside information announcement published by October 2025.

Other than the [unclear] deal, our underlying core business also achieved outstanding growth. We notice in overall acceleration across our Life Science Group and ProBio CDMO business.

For Life Sciences Group, our gene-to-protein revenue was particularly strong, with a robust growth of 51.5% and contribute 65% revenue mix of the total business. At the regional level, Europe and Asia market both contributed strong growth driven by the funding of biotech environment warming up and the industry trends.

The US market also kept stable and profitable growth. Other than services, our product offerings revenue mix also keeps increasing as another profitable growth engine.

On the basis that the total business grew by nearly 15% year-over-year, and in the second half, the revenue grew even faster, 18.7%. Our strategy of delivering standard and scalable product selling is also working pretty well.

ProBio, excluding the [unclear] deal, fee-for-service revenue demonstrates 21% organic growth in the full year, and 25% organic growth in the second half was observed in the business. It's primarily driven by solid underlying customer demand for protein and antibody.

Our global expansion strategy also works well in driving a significant growth. North American and European market are now contributed 38% of total revenue.

That is also notable increase, reflects our enhanced international footprint.

Great. Second question is about profitability.

We saw in 2025, both Life Science and the Bestzyme gross profit margin is actually declining, right, compared to 2024. I think the management guided 2026 will have improvement.

Can you give kind of more detailed discussion how management plan to do to improve profitability for Life Science and Bestzyme?

Thank you. Yeah.

For Life Sciences Group, there's slight gross profit fluctuation purely from year-over-year perspective, due to the necessary investment to support our global expansion, and our aim is to build the mid- to long-term competitive advantage. The product portfolio selling mix shifting also impact our gross profit a little bit.

In the second half of 2025, the adjusted gross profit actually improved steadily from the second half of 2024 and the first half of 2025 continuously. Okay.

Our strategic investments will focus on differentiating technologies like next-generation gene synthesis and global protein smart manufacturing other than aggressive price wars. We also focus on cost optimization and operational efficiency improvement by adopting generative AI solution, manufacturing automation, which directly contributed to our margin performance against the competition.

By maintaining the market leadership, we are looking forward for efficiency gains. As for Bestzyme, gross margin declined due to the intensified market competition and a relatively lower mix of high-margin products and price pressure.

We will closely monitoring the pricing strategy execution and the commercialization progress of the new innovative product so as to restore the gross profit relentlessly.

Great. Thank you.

That's all.

Thank you.

Thanks for taking my questions. I'm Linda from HSBC.

Congrats on the solid growth of this year of last year. Actually, I have two questions.

One is to follow up the questions from Yang Huang. We've noticed that Life Sciences business have achieved a solid growth last year, and also with a slight decrease in the GP margin.

As we know that we've seen the recovering of the global bio funding, and also observed the CDMO's market share of China actually is increasing globally. My question is that, considering the current geopolitical uncertainties this year, what about the outlook of this business for the global market share this and next year?

Thank you.

Thank you, Linda, for the question. We hold a highly optimistic outlook on the long-term prospect of CRO and CDMO as a whole.

Currently, global biopharmaceutical investment and financing have rebounded. Moreover, we observe a thriving upward trend in global biotech R&D across both Europe and the Asia-Pacific region, benefiting from the growth of licensing-in activities by global pharmaceutical companies in the Chinese market in 2025.

China's CRO/CDMO capacity utilization has also shown substantial improvement. In 2025, geopolitical had a minor impact on biopharmaceutical production capacity.

I will invite our business leaders to add more color.

Thank you, Sherry. Thank you.

This is Ray and would like to further echo Sherry. With our platform leadership, the flywheel, and with our expansion of our ecosystems, and importantly, expanding to the in-house solutions as products, our scale and our margin will improve.

Also, that just echo Sherry, we are very confident for Life Science Group part, and that's why our guidance of the revenue growth is higher.

That sounds great. My second question is regarding the Legend.

We've seen that overseas sales of Legend is ramping for years, and also it has been transformed into a biopharmaceutical, achieving profitability. Could you please share the development strategy of Legend in the future?

Also apart from incubating the Legend, do the company have any investment or prepared early-stage pipelines that can deliver solid growth in the future? Thank you.

Legend is a great asset for us, and we could see the solid progress from Legend Biotech. We are not planning to set up new biotech company at this stage.

Rather, we have company like ProBio, where we can help biotech and biopharma to accelerate their drug discovery and development process. Now, I invite Allen further layout the strategy on ProBio.

Thank you, Sherry. Thank you for the question, Linda.

Generally speaking, I think within ProBio, leveraging our integrated discovery platform, actually, we do established some pipeline there, but the main business purpose is still to enable our clients to accelerate their R&D. On one hand, we are already have more than 30 pre-developed projects.

Far, majority of that are really early-stage binder or at early-stage pre-PCC stages. There are broad interest from industry for all those different kind of target, and there are ongoing discussions with different potential clients as well.

Generally speaking, those assets are at pretty early stage. Secondly, we developed a very innovative CD3 VHH platform which has a cyno cross activities.

With this CD3 VHH platform, actually, we also constructed quite a few TCE molecules, including traditional molecules, but also the next-generation TCE platform technologies as well. By saying that, I mean we are developing antibody masking technology and also costimulation technologies.

We believe those molecules will definitely have a higher potential for collaboration with biotech or biopharmas. In addition to those molecule assets, we are also stressing to develop some proprietary technology platforms.

First is about our in vivo CAR-T platform leveraging our CD3 VHH, right? We developed the CD3/CD7 dual-targeting lentivirus and also TTNP platforms.

We believe this is quite unique compared to most of the technologies in the industry right now. Also, we are also doing R&D for our traditional services.

For those part, there's a potential for user fee to use our technology. More importantly, the R&D part for those services are really to enable or empower our service part.

Thank you.

Thanks, that's really clear. Look forward to more innovative modalities and comprehensive collaborations of this green global strategy in the future.

Thank you. That's all from my side.

hi. Thanks for the opportunity.

I have two questions. My first question is, what is GenScript's plan for Legend from a holding perspective and from a strategic perspective?

I will take this question. We are pleased that Legend is making significant breakthroughs in 2025.

Legend announced that its CARVYKTI franchise achieved profitability for the full year 2025. Legend has brought hope to patients worldwide, with more than 10,000 multiple myeloma patients choosing CARVYKTI as their treatment.

Additionally, with the physical expansion of Raritan facility, Legend now has the installed capacity to support annual production of 10,000 doses across all manufacturing nodes. In its recent earnings report, Legend also mentioned that it expects to achieve company-wide operating profitability.

We believe Legend will benefit our financials in the long run. Our board will evaluate Legend's business and will always seek options to maximize shareholder value.

Thank you.

Thank you. My second question is, given increased regulatory scrutiny on genomics or gene therapy related companies by the US, for example, we saw the Pentagon military list, 1260H, I think GenScript was originally proposed by some lawmakers to be included at the end of last year, but in the list that was briefly released in February and withdrawn, I think GenScript was removed from that list.

My question is, what is the company's strategy to mitigate customer concerns given those type of geopolitics? Thanks.

Thank you. Firstly, I would clarify there's no removing from any list.

We provide raw materials to gene therapy companies, from regulatory perspective, we are not genomics and gene therapy related company. As a global company, we will further enhance our transparency and communication, as well as strengthen compliance through internal and external programs.

We have also enhanced data security and privacy measures, and will proactively engage with the regulators and advisors to address issues before they escalate. Thank you.

Hope it clear.

That's very clear. Thank you.