BofA Securities has issued a research report indicating that SKB BIO (06990) recorded a 2.9% year-on-year increase in first-half revenue, with pharmaceutical sales revenue more than doubling during the period. The company achieved a net profit of RMB 388 million in the interim, marking a return to profitability, although this was primarily driven by other income sources such as settlement revenue.

Operating cash flow turned positive to RMB 339 million, while cash and financial assets stood at approximately RMB 4.78 billion, providing a solid financial foundation for pipeline development and commercialization. The target price has been raised from HK$581 to HK$644.4, with the "Buy" rating maintained.

The firm stated that, based on the promising development progress of the core product sac-TMT and other ADC pipeline candidates, it has raised the success rate forecasts for related treatments and indications. Revenue projections for 2027 and 2028 have been increased by 0.2% and 0.5%, respectively. After incorporating the settlement revenue into the forecasts, the firm now expects net profit to reach RMB 184 million in 2026.