Company: HMDCF
Filing Date: 2025-03-19
Form Type: 20-F
Source: 0001410578-25-000377
Chunk: 304

Company: HUTCHMED (China) Ltd
Filing Date: 2025-03-19
Form: 20-F
Item: Item 1
Chunk 304
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 was utilized from the fixed asset loan facility.

In October 2024, our Distribution Business renewed a short-term unsecured working capital loan facility with Bank of China Limited in the amount of RMB300.0 million ($40.8 million) with an annual interest rate at the 1-year China Loan Prime Rate less 0.82%. This credit facility includes certain financial covenant requirements. As of December 31, 2024, RMB163.1 million ($22.2 million) was utilized from the loan facility.

Our non-consolidated joint venture Shanghai Hutchison Pharmaceuticals had no bank borrowings outstanding as of December 31, 2024.

Table of Contents

Gearing Ratio

The gearing ratio of our group, which was calculated by dividing total interest-bearing loans by total equity, was 10.7% as of December 31, 2024 and December 31, 2023.

Capital Expenditures

We had capital expenditures of $36.7 million, $32.6 million and $17.9 million for the years ended December 31, 2022, 2023 and 2024, respectively. Our capital expenditures during these periods were primarily used for the purchases of plant and equipment for a new large-scale manufacturing facility for innovative drugs in Shanghai, China. Our capital expenditures have been primarily funded by cash flows from operations, bank borrowings and proceeds from our initial public and follow-on offerings in Hong Kong and the United States and other equity offerings, as well as from upfront and milestone payments from partners, and dividends from joint ventures.

As of December 31, 2024, we had commitments for capital expenditures of approximately $3.1 million, primarily for the renovation of our new manufacturing facility in Shanghai, which is in the final stages of completion. We expect to fund these capital expenditures through cash flows from operations, bank borrowings and existing cash resources.

Our non-consolidated joint venture Shanghai Hutchison Pharmaceuticals had capital expenditures of $2.3 million, $6.5 million and $4.5 million for the years ended December 31, 2022, 2023 and 2024, respectively. These capital expenditures were primarily related to the renovation of new office and improvements to its production facilities in Shanghai. These capital expenditures were primarily funded through cash flows from operations of Shanghai Hutchison Pharmaceuticals.

C. Research and Development, Patents and Licenses, etc.

Full details of our research and development activities and expenditures are given in the “ Business” and “