Citi has released a research report noting that the interim analysis from AKESO's (09926) HARMONi-2 trial demonstrates a meaningful overall survival benefit for ivonescimab as a first-line monotherapy in PD-L1-positive non-small cell lung cancer, compared with pembrolizumab. This outcome reinforces the drug's differentiated positioning, with the global readout remaining a pivotal factor.

The firm maintains a "Buy" rating on AKESO with an unchanged target price of HK$171. In the HARMONi-2 study, based on 234 overall survival events, ivonescimab achieved a median overall survival of 30.75 months versus 22.57 months for pembrolizumab, corresponding to a hazard ratio of 0.73. The survival benefit was more pronounced in the PD-L1 TPS > 50% subgroup, with a hazard ratio of 0.58, and in the squamous non-small cell lung cancer population, where the hazard ratio stood at 0.65. Overall, the most significant survival advantage was observed across these groups, while the safety profile remained broadly comparable.

Citi holds a positive outlook on the global HARMONi-7 trial in the PD-L1 high-expression population as well as the global squamous non-small cell lung cancer cohort, and is optimistic about the company's transition of future trials from China to the global stage. Key near-term catalysts in the second half include the Prescription Drug User Fee Act (PDUFA) decision and the HARMONi-3 readout.