NASDAQ$ZLAB

Zai Lab Limited-ADR · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported strong revenue growth and pipeline advancements.

Zai Lab reported a strong third quarter with a 47% year-over-year increase in net product revenue, driven by VYVGART sales. The company also saw positive results from the China bridging study of KarXT and expects regulatory submissions in early 2025. Additionally, Zai Lab anticipates three product launches in mainland China by the end of 2024.

  • Net product revenue increased by 47% year-over-year, reaching $101.8 million.
  • VYVGART sales were a primary driver of revenue growth.
  • Positive results from the China bridging study of KarXT for schizophrenia were achieved, with regulatory submission expected in early 2025.
  • Global Phase 1 data of ZL-1310 suggests best-in-class potential in extensive-stage SCLC.

Headline financials

Total Revenue

$102M

Previous: $69.2M+47.7%
EPS

-$0.04

Previous: -$0.71+94.4%
Capital Expenditures

-$3.06M

Previous: -$6.99M+56.3%
Free Cash Flow

-$44.7M

Previous: -$76.1M+41.3%
Net Income

-$41.7M

Previous: -$69.2M+39.7%
Operating Income

-$67.9M

Previous: -$83.6M+18.8%
Gross Profit

$65.7M

Previous: $43.7M+50.2%
Cash & Equivalents

$616M

Previous: $789M-21.9%
Total Assets

$985M

Previous: $1.04B-5.6%
R&D Expense

$66M

Previous: $58.8M+12.3%
Stock-Based Comp

$16.8M

Previous: $22M-23.6%

Revenue & EPS history

Zai Lab · Revenue · Quarterly

$102M

Q3 2024+47.7%vs Q3 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Zai Lab · $52M total across 3 segments · Q3 2023

  • ZEJULA
    $41.6M+6.1%
  • NUZYRA
    $5.5M+266.7%
  • VYVGART franchise
    $4.9M

Forward guidance

Zai Lab anticipates continued commercial launches and regulatory submissions, supported by ongoing clinical development programs.

Tailwinds

  • Expected commercial launches of XACDURO, VYVGART Hytrulo, and AUGTYRO in China by the end of 2024.
  • Potential NMPA submission for KarXT in schizophrenia in early 2025.
  • Potential NMPA submission for TTFields in second-line+ NSCLC.
  • Potential BLA submission for Tisotumab Vedotin in recurrent or metastatic cervical cancer.
  • Potential supplementary NDA submission for Repotrectinib in NTRK+ solid tumors.

Headwinds

  • Risks related to commercializing approved products.
  • Risks associated with obtaining funding for operations and business initiatives.
  • Uncertainties in clinical and pre-clinical development of product candidates.
  • Potential delays or adverse decisions by regulatory authorities.
  • Risks related to doing business in China.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-0.1%

Avg return

Earnings day

+0.3%

Avg return

5 days after

-0.5%

Avg return

30 days after

45%

13 / 29 earnings

Positive

+26.0%

Q1 2024

Best reaction

-11.2%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.9%-7.0%-20.9%
Q4 2025+1.7%-8.6%-7.2%
Q3 2025-6.4%-11.3%-21.4%
Q1 2025+2.5%+0.9%+34.4%
Q4 2024-2.0%-3.1%+6.3%
Q3 2024-3.7%-13.0%-14.1%
Q2 2024-5.6%-7.8%+11.3%
Q1 2024+26.0%+29.0%+19.9%
Q4 2023-0.9%+0.5%-23.7%
Q3 2023+7.4%+0.9%-1.5%
Q2 2023-11.2%-5.4%+3.5%
Q1 2023+1.4%-9.3%-24.2%
Q4 2022-0.6%+7.3%-10.5%
Q3 2022+1.9%+23.9%+18.7%
Q2 2022-5.0%-6.2%-8.0%
Q1 2022-2.1%+30.0%+5.6%
Q4 2021-4.0%-26.0%-19.6%
Q3 2021+0.7%-2.3%-22.3%
Q2 2021+0.6%+0.9%+0.4%
Q1 2021-5.1%-3.3%+8.3%
Q4 2020+0.3%-7.0%-9.6%
Q4 2019-1.4%-2.7%+17.0%
Q1 2020-8.7%+3.1%+18.3%
Q2 2019+4.3%+4.1%-4.0%
Q1 2019+3.7%+6.7%-9.7%
Q4 2018+10.4%+10.4%+1.6%
Q3 2018+6.7%+13.6%+13.1%
Q4 2017-5.3%-8.8%+22.8%
Q3 2017-2.2%-0.6%+0.3%
Q2 2017
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016

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