According to the Zhitong Finance App, BeiGene (06160) announced its annual results for the year ended December 31, 2023. The group achieved total revenue of US$2,459 billion during the period, an increase of 73.65%; gross profit of US$2,079 billion, an increase of 84.06%; and R&D expenses of US$1,779 billion, an increase of 8.42% over the previous year.

According to the announcement, with the continued success of Baiyueze's global listing, particularly in the US and European markets, the group has consolidated its leading position in the field of hematologic oncology. The Group's cost-effective R&D and production has enabled the Group to establish one of the largest and most exciting oncology pipelines in the industry. The Group looks forward to a transformative year for BeiGene to continue to achieve operational excellence driven by significant revenue growth in new and existing regions.

The increase in total revenue was mainly due to the increase in sales of the Group's self-developed products Baiyue Ze and Baizean, as well as the increase in sales of licensed products. Among them, the most notable increases were Amgen products and Prbeche. Additionally, as remaining deferred revenue associated with the Novartis partnership was recognized at the end of the agreement with Novartis, partnership revenue increased.

For the year ended December 31, 2023, Baiyuze's global sales totaled US$1.3 billion, up 128.5% year on year; for the year ended December 31, 2023, Baiyuze's total sales in the US were US$945.6 million, up 142.6% year over year. Sales in the US continued to grow during this period, thanks to the approval of Baiyuezer's indications for CLL and SLL adult patients. For the year ended December 31, 2023, Baiyueze's sales in China totaled US$193.8 million, up 28.9% year-on-year, thanks to sales growth for all approved indications. For the year ended December 31, 2023, Baiyuezer's sales in the EU and the rest of the world were US$122.2 million and US$28.8 million respectively, up 722.3% and 194.8% year-on-year respectively, thanks to significant increases in sales for all approved indications, particularly CLL, SLL and WM.

For the year ended December 31, 2023, Baizean's sales in China totaled US$536.6 million, an increase of 26.9% over the previous year. For the year ended December 31, 2023, demand for new patients brought about by the expansion of the reimbursement scope of the national medical insurance catalogue, further expanded sales teams, and the increase in the number of drugs admitted to hospitals continued to drive the increase in Baizean's market penetration rate and market share. Baizean's sales for the full year of 2023 include two negative adjustments totaling 13.2 million US dollars, mainly due to inclusion in the national health insurance catalogue in March 2023 and January 2024 to compensate dealer channel inventory.

The increase in external R&D expenses for the year ended December 31, 2023 was mainly due to increased external clinical trial costs (due to procurement of control drugs), increased Sonrotoclax (BGB-11417) clinical trials, and increased clinical supply and pre-clinical trial costs for several other pipeline assets in the Group's product portfolio. However, due to the completion of several trials of bazeam (tirelizumab) and osperizumab, the cost of external clinical trials was reduced, prepaid licensing fees were reduced under the cooperation agreement, and the costs confirmed in Amgen's co-development costs were offset to a certain extent.

Internal R&D expenses increased from US$1 billion to US$123.7 million (or 12.3%) to US$1.1 billion for the year ended December 31, 2022, mainly due to the expansion of the Group's global R&D facilities, increased clinical and pre-clinical drug candidates, and continued investment in internal research and clinical development activities.