Telix Pharmaceuticals (ASX:TLX) is poised for continued growth, driven by strong Illuccix sales, the launch of its higher-priced Gozellix diagnostic, and a promising pipeline, according to a Tuesday report by Jefferies.

Illuccix and Gozellix are diagnostic kits used for the preparation of gallium-68 gozetotide injection, a prostate cancer imaging agent.

Jefferies notes a 3% sequential increase in the company's US Illuccix sales in the fourth quarter of 2025, totaling around $156 million, driven by higher demand as doses delivered rose to 32,400 from 31,300 in the previous quarter.

Jefferies highlights Gozellix's potential as the company's higher-priced prostate cancer diagnostic, approved for favorable reimbursement by the Centers for Medicare & Medicaid Services, positioning the company to capture greater market share with a higher reimbursement rate than Illuccix.

The company reported total revenue of $208 million for the fourth quarter of 2025, with full-year revenue reaching $804 million, in line with guidance, maintaining strong growth despite some softness in RLS revenue.

Jefferies is awaiting safety and dosimetry data for part 1 of the ProstACT Global study on second-line metastatic castration-resistant prostate cancer treatment, with interim progression-free survival results expected by the end of the year.

The firm has a buy rating for Telix and lowered its price target to AU$24.50 from AU$27.10.