CITIC Securities: Maintains "Outperform" rating on HANSOH PHARMA (03692) with a target price lowered to HK$40.

CICC Leasing released a research report stating that HANSOH PHARMA (03692) is expected to have strong performance in the second half of 2025, exceeding market expectations. Based on valuation benchmark replacement, CICC Leasing maintains a "outperform" rating on HANSOH PHARMA, but has reduced the target price from HK$43.1 to HK$40, a decrease of 7.2%. The bank pointed out that the company is expected to achieve double-digit growth in product sales and collaboration project revenues. Looking ahead, it is expected that the growth in innovative drugs and licensing revenue will continue to be the main drivers of the company's growth in 2026. The bank believes that this year will be a "harvest year" for the company, with significant data from multiple clinical trials expected to be announced, and several new drug applications expected to accelerate the transformation from pipeline value to profit prospects. The bank has lowered its net profit forecast for the company in 2026-28 by 6% to 12% to reflect the stabilization of licensing revenue and increased research and development expenses, as the company will initiate more Phase III clinical trials during the same period. The bank predicts that the company's revenue growth in 2026, 2027, and 2028 will be 14%, 10%, and 14% respectively, with net profit growth of 9%, 12%, and 16% respectively.