Innovent Earnings: On Track for Profitability in 2026; Tyvyt Sales Remain Strong
Following Innovent’s decent interim results, we lift our fair value estimate to HKD 54.00 per share from HKD 50.80. Innovent is fairly valued, and we prefer to wait for a cheaper entry. We raise our 2024-25 revenue forecasts by 8%-9% and see narrower net losses in 2024-25 on the back of strong Tyvyt sales. While we account for the positive performance, we still only expect Innovent to become bottom-line profitable in 2026, driven by portfolio expansion. This is in line with management guidance that the company will achieve positive EBITDA (earnings before interest, tax, depreciation, and amortization) in 2025.
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