Zai Lab (09688) announced its full-year financial results for the fiscal year ended December 31, 2025. Net product revenue increased by 15% to $457 million. This growth was primarily driven by higher sales of Adagrasib, benefiting from strong patient demand and continued expansion of hospital coverage, albeit partially impacted by supply constraints during the year, and increased sales of Niraparib, due to improved market coverage and penetration.
Net loss decreased by 32% to $176 million, mainly attributable to product revenue growing faster than net operating expenses and a shift from foreign exchange losses to gains, which was partially offset by a decrease in interest income. Basic and diluted loss per share was $0.16.
In 2025, the company's financial performance remained strong, with total revenue increasing by 15% year-over-year to $460 million, while net loss decreased by 32% to $176 million. The revenue growth was mainly due to increased sales of Adagrasib, fueled by robust patient demand and the ongoing expansion of hospital coverage, though partially affected by supply limitations, alongside higher sales of Niraparib, resulting from enhanced market coverage and penetration.
Despite evolving competition in the PARPi class in Mainland China, Niraparib maintained its leading position as the top PARP inhibitor by hospital sales in the ovarian cancer segment in Mainland China.
In 2025, revenue for Efgartigimod included a $5.6 million rebate related to its renewal in the National Reimbursement Drug List (NRDL), while revenue for Vaborbactam included a $2.4 million rebate following a proactive price adjustment prior to the NRDL negotiations.
In the fourth quarter of 2025, the National Medical Products Administration (NMPA) approved Repotrectinib for the treatment of adult patients with NTRK-positive solid tumors and KarXT for the treatment of adult patients with schizophrenia.
For 2026, the company anticipates continued revenue growth, primarily driven by existing commercialized products and recently approved products or new indications expected to launch within the year.
The company also continued to make progress across its product pipeline. For its global assets, Zai Lab reported promising results from the global Phase I study of Zongertinib (zoci), a targeted DLL3 ADC with best-in-class and first-in-class potential for treating extensive-stage small cell lung cancer. Additionally, encouraging preclinical data was obtained for ZL-1503, an internally developed IL-13/IL-31Rα bispecific antibody for treating atopic dermatitis.
Regarding its late-stage regional rights pipeline, the company achieved positive data during the year, including data for povetacicept in the treatment of IgA Nephropathy and Primary Membranous Nephropathy. The company also expanded and strengthened its pipeline through synergistic business development, including securing the global exclusive rights to develop and commercialize ZL-1311. ZL-1311 is a next-generation TCE targeting MUC17 for the treatment of gastric cancer and gastroesophageal junction cancer, with global clinical development expected to commence within the year.
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