SINO BIOPHARM (01177) continues its strong rally, rising over 6% again. As of press time, the stock was up 5.44% to HK$8.14, with trading volume reaching HK$1.077 billion.

On the news front, SINO BIOPHARM announced that its selective HER2 tyrosine kinase inhibitor zonartinib has once again received Breakthrough Therapy Designation from China's National Medical Products Administration Center for Drug Evaluation (CDE). The designation applies to first-line treatment of adult patients with unresectable or metastatic non-small cell lung cancer (NSCLC) harboring HER2 tyrosine kinase domain (TKD) activating mutations. This breakthrough therapy designation is based on data from the BeamionLUNG-1 clinical trial.

Citi released a research report stating that SINO BIOPHARM's first-half net profit reached RMB 3.4 billion, up 140% year-on-year, while revenue was RMB 17.6 billion, up 10.2% year-on-year. Both profit and revenue figures exceeded market consensus and Citi's expectations. SINO BIOPHARM's management expressed confidence in the licensing potential of innovative drug candidates, including TQC3721 (PDE3/4).

CICC expects that the company's innovative product approval progress over the next three years will likely accelerate, driving more revenue growth for the company.