Transformational Acquisitions Expected to Contribute to Long Term Growth Starting 2Q26

HONG KONG SAR - Media OutReach Newswire – 13 May 2026 – Bora Pharmaceuticals ("Bora"; TWSE: 6472; OTCQX: BORAY) today announced its financial results and operational highlights for 1Q2026 and provides full year outlook. 1Q26 Business and Financial Highlights

• The Company reported 1Q26 revenues of NT$4,001 million, down 17.68% sequentially, with basic EPS of NT$0.21. Gross margin stabilized quarter-over-quarter. The quarter reflected temporary slowdown across both businesses: pricing and demand variability in the generics market through January and February left Upsher-Smith's 1Q26 revenue 18.63% below the trailing four-quarter run rate, while the scheduled annual maintenance of 6 weeks of our Maryland fill-finish facility limited fixed-cost absorption during the quarter, weighed on earnings quality.
• March saw a rebound in both businesses as conditions improved for both the top and bottom lines with steady demand. During the quarter, the Company advanced Maple Grove site ramp-up significantly, with several multi-year CDMO agreements signed or progressing across pharma clients of various sizes. Additionally, the Company continues to win new CDMO business as 12-month rolling backlog arrived at US$315 million. With a healthy order book at North American sites entering the second quarter, we expect fixed-cost leverage to resume, driving profit improvement as utilization builds across the installed asset base. Meanwhile, Upsher-Smith has successfully defended market share and is deploying lifecycle management initiatives that reinforce our ability to set the cadence of sales in a dynamic competitive environment.
• Non-operating loss primarily reflected a wider equity loss from affiliate Tanvex Biopharma, together with higher tax expense driven by annual 1Q recognition of tax from undistributed earnings of the previous year.
• Disciplined OPEX control has driven expenses down 14.87% quarter-over-quarter and 14.41% year-over-year. This signals that resources have settled in as we begin to see advantages in scale; The Company expects ROA and ROIC to trend gradually upward, albeit with some quarter-to-quarter variability as operating leverage builds.
• Board of Directors approved the acquisition of the CDMO business of MacroGenics Inc. (NASDAQ: MGNX), for total consideration of US$122.5 million, leading to a total 12-month rolling backlog upon closing to approximately US$375 million.
• Sunway Biotech's Board approved the 100% acquisition of Weider Global Nutrition ("WGN"), an iconic Phoenix-based American sports nutrition brand with a strategic Costco U.S. supplier relationship, commercial presence in 60+ countries, and established positions on Amazon and Walmart. The transaction completes Bora Group's three-platform architecture, namely CDMO, pharma sales, and nutraceuticals operated under our "dual engine" strategy.
• Share capital increased 0.04% during the quarter from employee stock option exercise.

Mr. Bobby Sheng, Chairman of Bora Group, stated, "The beginning of 2026 was eventful and challenging both in the world and at Bora. We have seen supply chain disruptions, inflation from wars, and continuous geopolitical tensions. Yet through it all, Bora Group's disciplined approach to growth-oriented investment remained unwavering. Our CDMO business CAPEX-to-revenue ratio reached an all-time high of over 10% in 2025, marking another year of upward progression and bringing the Company to a level comparable with established global CDMO peers. This marked a deliberate shift in where we direct investments from capacity-led expansion that defined our earlier growth chapters to a sharper focus on capability demands and modality, anchored in innovation and technology. Over the past 18 months, we have pursued an ambitious growth trajectory against a dynamic macroeconomic backdrop - recalibrating expectations, sharpening our strategy, and reaffirming long-term plans. The underlying demand environment supports our conviction: global pharma is growing at 5-8% per year, biologics CDMO outsourcing demand at 15%+ and small-molecule outsourcing demand at 8-10%. With our investment foundation now in place, we believe our CDMO business is positioned to compound organically at 13-23% annually. In the first quarter, we executed a series of organizational adjustments, each aligned to a specific dimension of customer demand. We established the MSAT (Manufacturing, Science and Technology) function within the CDMO business, the R&D backbone of the platform, to deepen scientific and technical capability across our entire client base, an increasingly critical asset as small and mid-sized biotech and pharma clients rethink their supply chain. In parallel, we repurposed the Strategic Enterprise Account Management team into a networked model to serve clients for whom customer proximity is paramount....