Innovent Biologics sales jump 32% in February, BofAS holds Buy

Innovent Biologics (01801.HK) saw its total sample drug sales climb 32 percent year-over-year in February, prompting Bank of America Securities to reaffirm its "Buy" rating on the company.

A BofAS report said the bank's research highlighted strong performance across several key products and maintained a price target of HKD 116.8 for the Hong Kong-listed pharmaceutical firm.

The February sales data showed total revenue reaching RMB 487.3 million. Growth was driven by a massive 1,766.9 percent YoY surge in sales for the tafolecimab injection, which brought in RMB 50.2 million. Sales of bevacizumab also rose 31.7 percent to RMB 150.5 million, though sintilimab sales edged down 2.7 percent to RMB 181.4 million.

The robust sales figures, particularly from newer drugs, underscore the company's expanding product portfolio and market penetration. The reaffirmed Buy rating and high price target suggest BofAS sees significant upside potential driven by this commercial momentum.

Detailed Drug Performance

Beyond the main drivers, other products also showed solid growth. Sales of rituximab increased 12.3 percent year-over-year to RMB 57.8 million.

Notably, the weight-loss drug Mazdutide recorded monthly sales of RMB 8.2 million, a 5.1 percent increase month-over-month. BofAS noted it was one of the few products to maintain sales momentum through the Chinese New Year holiday period, indicating strong underlying demand.

The strong performance of tafolecimab and the steady growth of Mazdutide are crucial for Innovent's strategy to diversify its revenue streams beyond its established drugs like sintilimab.

This sales report provides an early positive signal for the company's first-quarter performance. Investors will be watching the official Q1 earnings release to see if this momentum translates into a sustained trend and impacts full-year guidance.

This article is for informational purposes only and does not constitute investment advice.