CICC: BeiGene reversed quarterly losses for the first time and maintained a “outperforming industry” rating

According to the CICC research report, BeiGene (6160.HK)'s 1Q25 revenue was 1.117 billion US dollars, up 49% year on year. Among them, product revenue was 1.109 billion US dollars, up 48% year on year, and GAAP net profit was 1.27 million US dollars. Revenue was in line with our expectations, and the loss correction progress exceeded our expectations, mainly because the revenue growth rate was significantly higher than the increase in operating expenses. According to the company's guidelines, it is expected to achieve revenue of 4.9-5.3 billion US dollars in 25, an increase of 29%-39% over the previous year, GAAP operating expenses of 4.1-4.4 billion US dollars, and a positive GAAP operating profit in 25 years. Thanks to increased gross margin and cost control, the company achieved GAAP net profit of $1.27 million in 1Q25, and is optimistic that the company will successfully complete its full-year guidance this year. Maintain the “outperform the industry” rating and maintain the target price of A/H/US shares of 280 yuan/198 HKD/332 dollars (15.0%/41.0%/43.1% upside) based on the DCF model.