Key Takeaways
CICC maintained its “Outperform” rating for RemeGen (09995.HK) and raised its target price by 26.8 percent to 133.7 Hong Kong dollars, implying 21.1 percent upside.
The investment bank cited RemeGen’s 2025 results that “exceeded our expectations” due to rapid product sales and progress in its licensing partnerships, according to the April 3 report.
The upgrade was driven by a surge in 2025 revenue to 3.24 billion yuan, an 89.55 percent year-over-year increase, and a swing to a 710 million yuan net profit. CICC massively raised its 2026 net profit forecast for RemeGen from 34 million yuan to 4.24 billion yuan.
The bullish revision underscores growing confidence in the biotech firm’s commercialization strategy and pipeline value. Investors will watch for NMPA approval of new indications for its core products, which could further accelerate sales growth.
RemeGen's commercial success was broad-based. The company's domestic commercial revenue hit 2.27 billion yuan in 2025, a 34 percent increase from the prior year. Profitability also improved, with commercial product gross margin expanding by 3.7 percentage points to 84.3 percent, the company said in its annual report.
CICC highlighted the rapid progress in global development for RC148, an antibody-drug conjugate, in partnership with AbbVie Inc. The US FDA has already approved Phase III and Phase II trials for lung cancer and solid tumors, respectively. The bank believes the partnership with AbbVie will accelerate RC148's development and significantly raise its value ceiling.
Looking ahead, RemeGen is building a pipeline of next-generation molecules, including dual/tri-specific antibodies and new antibody-drug conjugates (ADCs). The company is expected to release data for its novel PR-ADC platform at the 2026 American Association for Cancer Research (AACR) conference, which could further solidify its long-term growth prospects.
This article is for informational purposes only and does not constitute investment advice.
