GLONGHUI, April 7 | Dahuaji indicated that Zhongsheng Pharmaceutical's revenue and adjusted net profit increased by 0.7% and 1.5% year-on-year respectively last year, in line with the forecast. The bank expects that the introduction of new biosimilars will support the company's revenue growth of 9.7% this year, and the four innovative drugs to be launched this year will improve growth prospects from this year to 2026. The bank raised its target price for Zhongsheng Pharmaceuticals from HK$3 to HK$3.8, and the investment rating was raised to “buy”. According to the bank, management aims to accelerate revenue growth this year, and the bank expects five biosimilars to be the main driving force for growth. The management also expects to strengthen cost control of promotion and sales activities to further improve operating efficiency. Furthermore, the company will continue to increase investment in R&D, and R&D is expected to account for about 17% of revenue this year. The bank also said that the company has 46 innovative drugs under development, and is expected to launch 4 of them this year. One of them is expected to be an alternative to the anti-cancer drug anlotinib. Liraglutide has the potential to become a breakthrough drug in the next few years. The company expects innovative drugs to account for 43% and 47% of revenue this year and next, respectively.