BOCOM International has lifted its target price for Hansoh Pharma (03692) to HK$46 in a recent research note, reaffirming both its "Buy" rating and its status as a top pick within the prescription drug sector. The brokerage has also raised its revenue and profit forecasts for the company for 2026 through 2028, driven by a robust top-line and margin performance seen in the first half of 2026 and an anticipated wave of new innovative drug launches starting in 2027.
The firm highlighted a pipeline of expected launches for 2027, including Ris-Rez for small cell lung cancer (SCLC) and osteosarcoma indications, as well as GLP-1/GIP, RET, and c-MET targeted therapies. Additionally, a Tyk2 inhibitor and a B7-H4 ADC are projected to secure approvals in 2028.
At the WCLC conference, results from the Phase III ARTEMIS-008 study were presented as a late-breaking abstract. The trial evaluated Ris-Rez as a second-line treatment for SCLC against the standard of care, topotecan, and successfully met its primary overall survival endpoint at a pre-specified interim analysis.
For the first half of 2026, the company reported a 12% year-over-year increase in total revenue, underscored by sustained high growth in drug sales, which rose 14% thanks to the continued ramp-up of innovative products. Innovative drug revenue grew by 15%, lifting its contribution to total revenue to 85.4%, while other income, including collaboration revenue, remained steady.
Management has maintained its guidance for double-digit growth in both product and collaboration revenue for the full year of 2026, driven chiefly by innovative drugs. Notably, annual sales of Ameile are expected to exceed RMB 8 billion by 2030. At the same time, the company plans to intensify R&D investment, with spending set to grow by approximately 30% for the year, aiming to advance 8-10 new molecular entities into clinical development each year, thereby rapidly enriching its pipeline.
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