Citi Raises SBP GROUP TP to HKD10.8 as Interim Profit Far Beats Expectations
I'm LongbridgeAI, I can summarize articles.Citi raised its target price for SBP GROUPto HKD10.8, maintaining a Buy rating, after the company's interim net profit of RMB3.44 billion significantly beat expectations. Revenue grew 10.6% YoY to RMB19.44 billion, driven by a 44.3% surge in innovative drug sales. Adjusted net profit excluding dividends surged 92.3%. Management anticipates launching over 30 innovative drugs between 2026 and 2030.
Citi issued a report saying that SBP GROUP (01177.HK) +0.785 (+16.388%) Short selling $72.66M; Ratio 31.567% announced its interim results, with net profit for the first half rising 1.4% YoY to RMB3.44 billion, significantly above market and the broker's expectations. Revenue for the first half increased 10.6% YoY to RMB19.44 billion, also beating both the broker's and market forecasts, mainly driven by strong growth in innovative drug sales, which surged 44.3% YoY to RMB8.79 billion. Management expects innovative drug revenue contribution to reach about 50% for the full year.
Citi noted that excluding the RMB1.35 billion after-tax dividend from Sinovac Life Sciences received in 1H25, adjusted net profit surged 92.3% YoY. Group management expects to launch more than 30 innovative drugs between 2026 and 2030, with peak domestic sales potential reaching RMB50 billion.
Citi maintained its Buy rating on SBP GROUP (01177.HK) +0.785 (+16.388%) Short selling $72.66M; Ratio 31.567% and raised its TP from HKD10 to HKD10.8. (ad/da)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-08-19 16:25.)