Overview

On behalf of the management team, I am pleased to present Bora Pharmaceuticals’ 2025 Annual Report and share an overview of the Group’s operating performance and strategic direction.

The past year was marked by significant shifts in the global economic and supply chain landscape, driven by evolving U.S. policy dynamics, rapid advances in artificial intelligence, and heightened geopolitical uncertainty. Across industries, companies strengthened their resilience to navigate this volatility and protect their long-term competitiveness

For Bora, these external forces coincided with an important phase in our development as an emerging CDMO platform integrating multiple acquisitions. We faced immediate challenges from currency fluctuations, tariff changes, and shifts in U.S. pharmaceutical pricing policies. Despite these headwinds, we remained firmly committed to our dual-engine strategy — CDMO and Pharma Sales (operated by Upsher-Smith)– and delivered close to NT$20 billion in revenue with sustained profitability. Importantly, without undertaking any new financing activities, we significantly improved operating cash flow and maintained a healthy cash position, reinforcing the strength of our strategic direction.

While the road ahead remains challenging, we will continue to execute with rigor, agility, and speed, steadily advancing our financial and operational objectives and demonstrating to the market the resilience and growth potential of our dual-engine model.

Advancing Value Transformation

Our core philosophy remains the creation of long-term value through disciplined transformation. In 2025, we advanced this commitment by refining our portfolio and strengthening the strategic focus of our key business units to better serve patients, partners, and the communities we touch.

We repositioned Upsher-Smith’s generics business toward U.S. specialty distribution channels and rare disease therapies, with early traction in building a pediatric neurology portfolio. This move goes beyond financial optimization; it marks a deliberate yet thoughtful evolution of a century-old brand as it continues to grow with the market and expand into areas of greater clinical impact.

In parallel, and in response to the U.S. manufacturing reshoring trend, we separated the Maple Grove facility from Upsher-Smith to operate as an independent CDMO site. This clearer supply-chain specialization strengthens our ability to collaborate with multinational pharmaceutical partners. These efforts have already yielded results: earlier this year, Bora secured a five-year CDMO contract renewal with GSK, expanding supply beyond the original Canada site to multiple Bora sites across different dosage forms. This milestone underscores Bora’s growing capability as a global partner supporting cross-regional supply-chain resilience and marks a new chapter in our expanding collaboration with GSK.

Execution as Competitive Advantage

Reflecting on 2025, Bora has solidified its position as a trusted outsourcing partner in pharmaceutical commercialization, recognized internationally for consistent execution discipline and uncompromising quality.

Our cross-disciplinary adoption of new technologies has reinforced a clear conclusion: in the next era of biopharmaceutical manufacturing, competitive advantage will depend not only on innovation, but on the reliability of execution. In the coming year, we will strategically invest in AI initiatives, leveraging our accumulated operational data to optimize manufacturing efficiency and proactively predict quality deviations. Our goal is to deliver lower-risk, higher-value outcomes for our partners and strengthen Bora’s role as a dependable global CDMO platform with the courage to innovate and the discipline to deliver.

Strengthening Global Capital Market Presence and ESG Commitment

In the capital markets, Bora achieved a significant milestone by becoming the first Taiwanese company to launch a U.S. Level 1 ADR program. This accomplishment reflects our commitment to financial transparency and positions Bora more prominently within global capital markets. Beyond enhancing shareholder liquidity and information disclosure, the ADR program represents a critical step toward becoming a truly global pharmaceutical group with a broader, more engaged investor base.

We also advanced our sustainability agenda across Environmental (E), Social (S), and Governance (G) dimensions. In 2025, all manufacturing sites established net-zero targets for the first time, and selected sites initiated plans to adopt Science Based Targets initiative (SBTi) standards.

On the social front, we continued to invest in community engagement and advocacy. Upsher-Smith supported the TSC Alliance to raise awareness of pediatric neurological diseases. The Bora Wei-En Sheng Foundation launched mental health and educational programs for adolescents, and our long-standing partnership with Red Nose Doctors continued to bring emotional support to children with rare diseases and their families.

We believe that medicine is only the beginning. Even when treatment meets patients’ medical needs, patients and families still face emotional, social, and practical challenges that require understanding and support. Through the collective strength of our global workforce, we are committed to contributing meaningfully to global health and to standing with the communities we serve

Looking Ahead

Geopolitical forces continue to reshape regional economic structures, creating a “new normal” defined by persistent volatility. While these fluctuations will continue to influence the biopharmaceutical industry, we expect downstream demand to gradually stabilize and for more favorable industry conditions will emerge over time.

Throughout 2025, Bora pursued a disciplined integration and transformation strategy to establish a solid foundation for sustainable growth. As we move forward, we will continue to rely on the unity, dedication, and professionalism of our global team as we advance toward becoming a globally recognized CDMO platform and deliver long-term value for our shareholders with confidence, purpose, and momentum.

On behalf of the Board and management team, I thank you for your continued trust and support.