NASDAQ$ZLAB

Zai Lab Limited-ADR · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Zai Lab reported financial results for the second half and full year of 2020 and provided corporate updates.

Zai Lab reported full-year 2020 revenues of $49.0 million, driven by sales of ZEJULA and Optune. The company highlighted key achievements including the inclusion of ZEJULA in the NRDL and progress in clinical development with multiple product candidates.

  • ZEJULA was successfully launched for both second-line and first-line ovarian cancer and Optune for glioblastoma in China.
  • NDAs were submitted and granted priority reviews by China’s NMPA for QINLOCK and NUZYRA.
  • The company expanded its pipeline through new strategic partnerships, increasing the total product candidates to 21.
  • ZEJULA for second-line ovarian cancer has been included in the National Reimbursement Drug List (NRDL).

Headline financials

Total Revenue

$49M

Previous: $4.65M+954.0%
EPS (adj)

-$0.04

Previous: -$0.68+94.9%
Capital Expenditures

$5.3M

No prior period
Free Cash Flow

-$49.6M

No prior period
Net Income

-$269M

Previous: -$46.4M-479.2%
Operating Income

-$302M

Previous: -$52M-479.8%
Gross Profit

$42.1M

Previous: $3.07M+1272.5%
Cash & Equivalents

$442M

No prior period
Total Assets

$1.3B

No prior period
Stock-Based Comp

$4.43M

No prior period

Revenue & EPS history

Zai Lab · Revenue · Quarterly

$49M

Q4 2020+954%vs Q4 2019
Beat estimate in 8 of 11 quarters(73%)
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 expects to receive approval for and launch QINLOCK and NUZYRA in China in 2021 and plans to submit regulatory filings for Tumor Treating Fields in mesothelioma and for MARGENZA in HER2-positive breast cancer in China.

Tailwinds

  • Potential approval and launch of QINLOCK in China.
  • Potential approval and launch of NUZYRA in China.
  • ZEJULA included in the National Reimbursement Drug List (NRDL) will drive strong volume growth.
  • Submission of regulatory filings for Tumor Treating Fields in mesothelioma in China.
  • Submission of regulatory filings for MARGENZA in HER2-positive breast cancer 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 Q4 2020

Historical avgQ4 2020

-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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