Zai Lab Ltd (ZLAB) stock is soaring 5.01% in intraday trading on Thursday, following the release of its first-quarter 2025 financial results. The biopharmaceutical company reported a narrower-than-expected loss per share, despite missing revenue estimates.

For the quarter ended March 31, Zai Lab posted an adjusted loss of $0.45 per American depositary share, beating the Wall Street consensus estimate of a $0.55 loss. The company's revenue rose 22.2% year-over-year to $106.49 million, falling short of analysts' expectations of $113.15 million. Despite the revenue miss, investors appear encouraged by the improved bottom line and the company's maintained full-year guidance.

Zai Lab reiterated its full-year 2025 revenue guidance of $560 million to $590 million, in line with analysts' expectations of $565.4 million. The company's ability to narrow its losses while maintaining its revenue outlook seems to have boosted investor confidence, driving the stock's significant uptick. This positive momentum comes after a challenging period, as Zai Lab shares had fallen by 21.5% in the previous quarter.