Core Viewpoint - Junshi Bioscience reported a strong revenue growth of 31.46% year-on-year for Q1 2025, driven by its core product, Toripalimab, which achieved a sales revenue of 447 million yuan, reflecting a 45.72% increase year-on-year [2] Group 1: Financial Performance - The company achieved a total revenue of 500 million yuan in Q1 2025, with a net loss of 235 million yuan, which is a reduction in loss compared to the previous year [2] - Cash and cash equivalents, along with trading financial assets, totaled 3 billion yuan as of March 31, 2025 [2] - Sales expenses increased by 17.79% year-on-year to 226 million yuan, accounting for 45% of total revenue, a decrease of 5 percentage points from Q1 2024 [2] Group 2: Product Development and Regulatory Approvals - Toripalimab has received approval for 12 indications in China, with 10 included in the national medical insurance directory, four of which are exclusive indications [3] - The company has made progress in international expansion, with Toripalimab approved in multiple countries including the US, EU, and Australia, and has established commercial partnerships in over 80 countries [3] - Two early-stage pipelines, JS212 and JS213, have received clinical trial approvals from the National Medical Products Administration [3] Group 3: Future Catalysts - Key catalysts for 2025 include data readouts for Toripalimab combined with Lenvatinib for first-line HCC, early clinical data for JS107, and early clinical data for JS015 targeting gastrointestinal tumors [4] - The company plans to submit for market approval for JS005 for psoriasis treatment by the end of 2025 [4] Group 4: Investment Recommendation - The target market value is estimated at 47.4 billion yuan, corresponding to a target price of 48.10 yuan per share, maintaining a "buy" rating [5] - Recent analyst coverage indicates a consensus target price of 48.1 yuan, with two institutions giving a buy rating [7]

Investment Rating - The report maintains a "Buy" rating for Junshi Bioscience (688180) with a target price of 48.10 RMB, compared to the last closing price of 30.45 RMB [1][7]. Core Insights - Junshi Bioscience's revenue from Tuoyi has shown a significant year-on-year growth of 46%. The company is focusing on early data for DKK1 in gastrointestinal tumors [1][10]. - In Q1 2025, the company reported a revenue of 500 million RMB, representing a year-on-year increase of 31.46%. The core product, Toripalimab, achieved sales of 447 million RMB in the domestic market, up 45.72% year-on-year [4][10]. - The company has 30 billion RMB in cash on hand and has implemented a "quality improvement and efficiency return" action plan to enhance sales efficiency and focus resources on more promising R&D projects [4][5]. Financial Performance - The sales expenses for Q1 2025 were 226 million RMB, a year-on-year increase of 17.79%, accounting for 45% of total revenue, which is a decrease of 5 percentage points compared to Q1 2024. R&D expenses were 351 million RMB, up 26.89% year-on-year, while management expenses decreased by 21.32% to 97 million RMB [4]. - The net loss attributable to shareholders for Q1 2025 was 235 million RMB, with a non-recurring net profit loss of 239 million RMB, narrowing the loss by 48 million and 68 million RMB year-on-year [4]. Product Pipeline and International Expansion - Tuoyi has received approval for 12 indications in China, with 10 included in the national medical insurance catalog, four of which are exclusive indications [5]. - The company has made progress in international expansion, with Toripalimab approved in multiple countries including the USA, EU, India, UK, and Australia, and has established commercial partnerships in over 80 countries [5]. - Two early-stage pipelines, JS212 and JS213, have received clinical trial approvals, and VV116 has transitioned from conditional approval to regular approval for treating COVID-19 [5][6]. Future Projections - The report projects revenue growth for Junshi Bioscience, estimating revenues of 2.595 billion RMB in 2025, with a growth rate of 33.17% [10]. - The company is expected to narrow its net loss to 674 million RMB in 2025, with a projected diluted earnings per share of -0.68 RMB [10].