It's rare to come across an Aim-listed biotech company making good money at the same time as it pushes proprietary drugs through trials, but Hutchison China Meditech (HCM) is doing just that. The strong drugs pipeline is supported by joint ventures with western pharma companies including AstraZeneca (AZN) and Eli Lilly (US: LLY), from which it earns cash in the form of upfront and milestone payments. Hutchison also has a commercial platform through which it sells drugs in China.
Despite spending $64m (£46m) on research and development last year, the group reported a net income attributable to the company of $8m, compared with a $7.3m loss in 2014. Turnover from joint ventures and subsidiaries grew in line with the group's strategy, helped by a 40 per cent increase in prescription drug sales, more than offsetting a decline in its consumer health business.