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ZYBT

Zhengye Biotechnology Holding Limited

ZYBT

Zhengye Biotechnology Holding Limited • NASDAQ
$2.09 ▼ -2.79% (-0.06)
Market Cap $99.05 M
52w High $14.30
52w Low $1.40
Dividend Yield 0%
P/E 69.67
Volume 12.54K
Outstanding Shares 47.39M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2024 $20.037M ▲ $493.247M ▲ $140.707M ▲ $283.959M ▲
Q2-2024 $8.517M ▼ $487.614M ▼ $137.819M ▼ $281.659M ▲
Q4-2023 $16.297M ▼ $499.888M ▼ $160.616M ▼ $272.85M ▲
Q2-2023 $23.534M ▲ $513.83M ▼ $187.997M ▲ $261.574M ▼
Q4-2022 $9.746M $519.674M $162.807M $296.497M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow

Five-Year Company Overview

Income Statement

Income Statement The business has been consistently profitable over the past few years, but growth has been uneven. Revenue climbed for a while and then slipped back in the most recent year, so the top line is not yet on a clear upward path. Profit margins are respectable for a small specialty manufacturer, but earnings have trended down alongside revenue, showing that weaker sales are starting to weigh on the bottom line. Overall, the income statement reflects a company that can make money, but is currently in a slower phase and relying on future products and new markets to reignite growth.

Balance Sheet

Balance Sheet The balance sheet looks relatively steady, with total assets and shareholders’ equity moving in a narrow range over the period. Debt has increased compared with earlier years, so leverage is higher than before, but not extreme. Cash on hand has historically been quite limited, meaning the company did not have a large liquidity cushion before its Nasdaq listing. The IPO proceeds, which are not yet visible in these historical figures, should ease some of that pressure, but the business still appears to be operating with a fairly lean financial buffer and needs to manage debt carefully.

Cash Flow

Cash Flow Cash flow from day‑to‑day operations has been reliably positive, which is a key strength for a smaller company. Free cash flow has been positive in most years, with a brief dip when investment spending was heavier. Capital spending has been steady rather than aggressive, suggesting a focus on maintaining and gradually improving production capacity rather than large expansions. Overall, the company is generating cash from its core activities and funding most of its investment needs internally, but does not yet throw off large surplus cash.

Competitive Edge

Competitive Edge Zhengye operates in a niche corner of animal health, where regulatory approvals, product quality, and distribution reach matter more than sheer size. Its key advantages include exclusive rights for certain new vaccines in China for a limited period, broad geographic coverage across many provinces, and a diversified lineup of livestock vaccines that reduces dependence on any single animal species. It has also built some presence in export markets, which adds another layer of diversification. On the other hand, the company is still relatively small in a highly regulated, competitive industry and is managing a strategic shift away from swine vaccines, which can create temporary revenue headwinds as it rebalances its product mix.

Innovation and R&D

Innovation and R&D Innovation is clearly a central part of Zhengye’s strategy. The company has kept R&D spending steady even in a weaker year, signaling long‑term commitment over short‑term profit optimization. It has secured high‑value regulatory certificates in China that provide time‑limited exclusivity for certain vaccines, which is a strong validation of its scientific and regulatory capabilities. A wide range of existing vaccines and multiple GMP‑certified production lines support its ability to develop and scale new products. The push into pet vaccines, with clinical trials already completed for cat and dog products, is a notable next step that targets a faster‑growing, higher‑margin segment, though success will depend on regulatory approvals, market acceptance, and execution against more established global competitors.

Summary

Zhengye Biotechnology combines a modest but profitable financial base with a strategy that leans heavily on R&D and product diversification. Historically, it has shown stable assets, reliable operating cash flow, and consistent, if not rapid, reinvestment in its facilities and pipeline. The main financial watchpoints are softening revenue and earnings in the latest year, a relatively small cash cushion prior to the IPO, and a higher debt load than in the past. Strategically, the company’s strengths lie in its regulatory wins, broad vaccine portfolio, extensive distribution across China, and early moves into both export markets and the growing pet health segment. Future performance will largely hinge on how effectively it converts its research pipeline—especially pet vaccines—into sustained, higher‑margin growth while maintaining financial discipline in a competitive and tightly regulated environment.