Hansoh Pharma (03692.HK) Surges Over 4% in Afternoon Trade as Company Completes Transition to Innovative Drug Developer; Generics to Provide Stable Cash Flow

According to the Zhitong Finance APP, Hansoh Pharma (03692) rose over 4% in the afternoon session. As of press time, it was up 4.29%, trading at HK$17.98, with a turnover of HK$48.9651 million.

CMB International released a research report stating that Hansoh Pharma has successfully transformed from a traditional generic drug company into an innovative drug company. In recent years, the sales of the company's innovative drugs have achieved significant growth, reaching RMB 6.87 billion in 2023 (a year-on-year increase of 37.1%), accounting for 68% of the company's total revenue, significantly higher than 18% in 2020.

The bank pointed out that looking ahead, the company's major innovative products, such as Ameitinib, Aimitinovir, Pemostim, and Fluoromatinib, are expected to continue driving sales growth. Benefiting from the sales volume increase driven by the inclusion of first-line indications in the National Reimbursement Drug List (NRDL) in March 2023, along with stable pricing in 2024, the bank forecasts a 23% year-over-year growth for Ameitinib in 2024. Additionally, the company’s main generic drugs have been included in the national centralized procurement program. The bank believes that the company’s generic drugs have passed through the most challenging period and will contribute stable cash flow in the future.