Goldman Sachs released a research report adjusting its profit forecasts for TIGERMED (03347), lowering the 2025 estimate by 29% while raising the 2026 and 2027 forecasts by 2% each. The investment bank slightly increased the target price for TIGERMED's H-shares from HK$63.4 to HK$66.4 and raised the target price for its A-shares (300347.SZ) from 78.7 yuan to 82.5 yuan, maintaining a "Buy" rating on both.

TIGERMED issued a profit alert, projecting 2025 revenue to be between 6.66 billion and 7.68 billion yuan, which exceeds the bank's and market expectations. However, its recurring net profit is forecasted to be in the range of 330 million to 490 million yuan, falling short of expectations, primarily due to higher-than-anticipated impairment provisions.

Net profit for the period is estimated to be between 830 million and 1.23 billion yuan, also below the bank's and market forecasts, potentially reflecting timing differences in fair value changes and investment income, some of which may be recognized in the first quarter of 2026.

The bank continues to view the company as a primary beneficiary of the structural growth opportunities in China's clinical CRO industry. It anticipates a recovery in business development activities and financing conditions starting from 2025, which will drive domestic clinical demand. Potential increases in proof-of-concept clinical trials by multinational pharmaceutical companies in China offer further upside, with significant contract conversions likely to become apparent from the first half of 2026.