CSPC PHARMA (01093) surged nearly 6%, climbing 5.9% to HK$9.69 by the time of writing, with a trading turnover of HK$1.173 billion. On the news front, CLSA released a research report forecasting that the company's business development transactions will begin converting into recurring revenue starting in 2026. The agreements signed with AstraZeneca and Madrigal Pharmaceuticals are anticipated to bring CSPC PHARMA approximately $10.2 billion in upfront and research milestone payments in the near term, significantly boosting its fiscal 2025 to 2027 earnings to 6.3 billion, 10.2 billion, and 10.9 billion yuan, respectively. CMB International also noted that CSPC has inked six business development agreements since the end of 2024 and has built a pipeline containing multiple late-stage or differentiated drug candidates, assets that possess substantial out-licensing potential. Concurrently, the company's sales showed a slight recovery in the third quarter of last year, with core revenue excluding licensing income returning to growth, increasing 4.2% quarter-over-quarter, while key products also demonstrated modest quarterly improvement; drug sales are expected to stabilize this year. The institution believes that BD transactions will serve as a persistent driver for the company's profit growth and will support dividend payments.