UBS: Lowering the target price of Nuocheng Jianhua to HK$23.6, maintaining a "buy" rating.

UBS released a research report stating that the third-quarter performance of Nuocheng Jianhua roughly met expectations, with revenue increasing by 38% year-on-year to 384 million yuan, similar to market expectations of 383 million yuan and the bank's forecast of 387 million yuan. The net loss for the period reached 34 million yuan, slightly worse than the market's expected loss of 27 million yuan. Sales of the core product, Osimertinib, in the third quarter increased by about 34% year-on-year to 369 million yuan, with strong growth maintained. The company maintains its guidance of annual sales growth of over 35% for Osimertinib by 2025, implying fourth-quarter sales of around 341 million yuan. UBS stated that with the incoming down payment from the collaboration with Zenas, Nuocheng Jianhua is expected to break even this year. Including the impact of the down payment from the collaboration with Zenas, the earnings per share forecast for this year has been raised to 0.05 yuan, while the forecast for next year has been lowered by 93% to 0.06 yuan. The target price has been lowered from 25.8 Hong Kong dollars to 23.6 Hong Kong dollars, with a "Buy" rating maintained.