NASDAQ$ZLAB

Zai Lab Limited-ADR · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Zai Lab reported a revenue increase driven by product sales and pipeline advancements.

Zai Lab Limited announced its full-year 2022 financial results, showcasing a 49.0% increase in total revenue compared to 2021, reaching $215.0 million. The company's marketed products, including ZEJULA, Optune, QINLOCK, and NUZYRA, experienced substantial sales growth. Zai Lab is preparing to launch at least 8 additional products and achieve overall corporate profitability by the end of 2025.

  • Total revenue increased by 41.7% to $62.6 million compared to Q4 2021.
  • ZEJULA achieved 55.2% year-over-year growth in product revenues.
  • Company expects to achieve commercial profitability this year.
  • Cash position of $1.0 billion as of December 31, 2022.

Headline financials

Total Revenue

$62.6M

Previous: $44.2M+41.7%
EPS (adj)

-$0.65

Previous: -$2.24+71.0%
Capital Expenditures

$4.41M

Previous: $6.38M-30.8%
Free Cash Flow

-$114M

Previous: -$159M+28.7%
Net Income

-$443M

Previous: -$704M+37.1%
Operating Income

-$404M

Previous: -$700M+42.2%
Gross Profit

$41.7M

Previous: $22.5M+85.5%
Cash & Equivalents

$1.01B

Previous: $964M+4.6%
Total Assets

$1.22B

Previous: $1.61B-24.2%
Stock-Based Comp

$15.6M

Previous: $12.6M+23.4%

Revenue & EPS history

Zai Lab · Revenue · Quarterly

$62.6M

Q4 2022+41.7%vs Q4 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Zai Lab · $150M total across 2 segments · Q4 2022

  • ZEJULA
    $145M
  • NUZYRA
    $5.2M

Forward guidance

Zai Lab will focus on regulatory advancements, commercial expansion, and clinical development milestones in 2023.

Tailwinds

  • BLA approval and commercial launch for efgartigimod alfa injection for gMG.
  • NDA submission to the NMPA for repotrectinib for ROS1+ advanced NSCLC.
  • BLA submission to the NMPA for subcutaneous efgartigimod for gMG in mid-2023.
  • ZEJULA becoming the leader in PARP inhibitors sales for ovarian cancer in China.
  • Significant increase in sales of QINLOCK and NUZYRA following their inclusion on the NRDL.

Headwinds

  • Potential delays or rejections in regulatory approvals.
  • Uncertainties in clinical trial outcomes.
  • Market competition affecting product sales.
  • Impact of the COVID-19 pandemic on business operations.
  • Risks associated with operating 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 2022

Historical avgQ4 2022

-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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