Genscript Biotech (SEHK:1548) Stock Near Doubles As Losses Deepen

Genscript Biotech stock has almost doubled over the past 3 months, yet today’s H1 print reminds you that the share price is racing ahead of a business still working through heavy losses. The headline is simple. Revenue sits at US$404.2m for the half while the company posted a net loss of US$129.3m and remains unprofitable on a trailing basis.

The real tension for investors is the valuation. At HK$26.08, Genscript Biotech trades on an 8.6x P/S multiple with a discounted cash flow reference level that is far lower. The rest of this earnings rundown explains why that gap matters.

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H1 2026 Earnings Summary

• Revenue (H1 2026 vs H1 2025): US$404.2m vs. US$518.8m (revenue declined 22.1%)
• Net Loss (H1 2026 vs H1 2025): US$129.3m loss vs. US$25.5m loss (loss widened by 407.9%)
• Basic EPS (H1 2026 vs H1 2025): US$0.0592 loss per share vs. US$0.0118 loss per share (loss per share increased 401.3%)
• Trailing 12 Month Net Loss (H1 2026 TTM vs H1 2025 TTM): US$636.7m loss vs. US$4.6m profit (moved from a small profit to a very large loss)

Prefer clean charts instead of another wall of earnings numbers and footnotes? See Genscript Biotech’s full financial picture with a clear valuation breakdown in the visual company report for Genscript Biotech.

GenScript bull story leans on platform scale

Bulls argue GenScript is building a higher value global platform where AI enabled design, new products and a key therapy launch gradually repair margins. Recent news around the Tamarind Bio partnership fits that script. It shows the company can plug external AI molecular design into its wet lab network and reinforces the idea of a connected discovery engine. However, the H1 2026 numbers indicate that scale is not yet translating into financial improvement. Revenue for the half sits at US$404.2m, while the group still reports a sizeable net loss of US$129.3m and a trailing 12 month loss of US$636.7m. Strong CARVYKTI sales at Legend Biotech highlight commercial traction at the associate, yet group equity income has not been enough to offset heavier losses. The core platform and therapy milestones are visible, but the profit and margin milestones remain clearly missed.

Bear case on losses and concentration gains support

The bear argument is that GenScript is committing heavy capital to automation, CDMO capacity and high growth subsidiaries without clear earnings payback, while depending heavily on a single therapy and a few platforms. The latest H1 print strengthens that view. Revenue has fallen compared with H1 2025, and the net loss has widened sharply from US$25.5m to US$129.3m. The move from a small trailing profit a year ago to a trailing loss of US$636.7m underlines pressure on earnings quality as R&D and expansion spending run ahead of revenue. Strong CARVYKTI sales at Legend signal opportunity, yet management itself flags development, regulatory and long term performance risks around that product, which reinforces the concentration concern. The recent near doubling of the share price over 90 days, alongside deeper losses, means the warning that execution risk is high and margins are not yet repairing appears well supported by the latest figures.

After heavy spending and a volatile share price, you might ask whether these issues are isolated. Review our structured risk analysis for Genscript Biotech which shows 2 important warning signs

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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