Valuation Update With 7 Day Price Move • Aug 07
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to CN¥70.21, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 19x in the Pharmaceuticals industry in China. Total returns to shareholders of 55% over the past three years. Annuncio • Jul 09
Betta Pharmaceuticals Publishes Study of Ensartinib as Postoperative Adjuvant Therapy in the New England Journal of Medicine Betta Pharmaceuticals had the study of ensartinib as postoperative adjuvant therapy for patients with stage IB–IIIB (T3N2M0) ALK-positive non-small cell lung cancer (NSCLC), known as the ELEVATE study, published online in full in The New England Journal of Medicine. The study provides important evidence for adjuvant therapy of ALK-positive NSCLC worldwide and has the potential to change current clinical practice. Lung cancer is the most common and deadliest malignancy both globally and in China. According to the statistical report issued by the National Cancer Center, in 2022, there were an estimated 1,060,000 new cases of lung cancer and 733,300 related deaths in China. Of patients with lung cancer, NSCLC accounts for up to 85%. Approximately 5-7% of patients with NSCLC have ALK-positive disease. Although some patients with ALK-positive NSCLC are diagnosed at an early or intermediate stage amenable to surgical resection, they still face high risks of recurrence and death, and traditional postoperative adjuvant chemotherapy offers modest benefits. Therefore, reducing the risk of recurrence and prolonging survival after surgery remains an urgent unmet clinical need. The ELEVATE study directly addresses this unmet need. In the ELEVATE study, a total of 274 patients from 56 medical centers across China were randomly assigned at a 1:1 ratio to receive oral ensartinib or placebo following complete surgical resection and any planned adjuvant chemotherapy. It is a phase 3, multicenter, randomized, placebo-controlled, double-blind registration study in the field of ALK-TKI adjuvant therapy for ALK-positive lung cancer. The results showed a 2-year disease-free survival rate of 86.4% in the ensartinib group compared with 53.5% in the placebo group, with a hazard ratio of 0.20 (95% CI: 0.11 to 0.38) in patients with stage II to IIIB NSCLC. This means that two years of adjuvant treatment with ensartinib reduces the risk of disease recurrence or death by 80%. A significant reduction in this risk was also observed in stage IB to IIIB population, with a hazard ratio of 0.20 (95% CI: 0.10 to 0.37). It is known that ensartinib is a novel, potent, and highly selective next-generation ALK inhibitor. It is an innovative drug developed independently and wholly owned by Betta Pharmaceuticals and its subsidiary Xcovery. Its first-line and second-line indications have already been approved in China, offering good accessibility and a favorable safety profile, and it has received the First Prize for Scientific and Technological Progress in Zhejiang Province. In December 2024, ensartinib was approved for marketing in the United States and subsequently included in the NCCN Guidelines for Non-Small Cell Lung Cancer. Marketing authorization applications in other overseas markets, including the European Union, are progressing. New Risk • Jul 07
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 9.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Annuncio • Jun 30
Betta Pharmaceuticals Co., Ltd. to Report First Half, 2026 Results on Aug 21, 2026 Betta Pharmaceuticals Co., Ltd. announced that they will report first half, 2026 results on Aug 21, 2026 Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to CN¥58.35, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 16x in the Pharmaceuticals industry in China. Total returns to shareholders of 24% over the past three years. Declared Dividend • Jun 04
Dividend reduced to CN¥0.15 Dividend of CN¥0.15 is 25% lower than last year. Ex-date: 9th June 2026 Payment date: 9th June 2026 Dividend yield will be 0.3%, which is lower than the industry average of 1.9%. Sustainability & Growth Dividend is covered by both earnings (14% earnings payout ratio) and cash flows (62% cash payout ratio). The dividend has decreased over the past 96 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 155% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Apr 23
First quarter 2026 earnings released: EPS: CN¥0.56 (vs CN¥0.24 in 1Q 2025) First quarter 2026 results: EPS: CN¥0.56 (up from CN¥0.24 in 1Q 2025). Revenue: CN¥1.04b (up 13% from 1Q 2025). Net income: CN¥235.9m (up 136% from 1Q 2025). Profit margin: 23% (up from 11% in 1Q 2025). The increase in margin was primarily driven by higher revenue. Revenue is forecast to grow 17% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Annuncio • Apr 23
Betta Pharmaceuticals Co., Ltd., Annual General Meeting, May 15, 2026 Betta Pharmaceuticals Co., Ltd., Annual General Meeting, May 15, 2026, at 14:30 China Standard Time. Location: Executive Building. No. 355, Xingzhong Road, Economic and Technological Development Zone, Linping District, Hangzhou, Zhejiang China Price Target Changed • Apr 07
Price target decreased by 29% to CN¥44.58 Down from CN¥63.16, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of CN¥44.48. Stock is down 15% over the past year. The company is forecast to post earnings per share of CN¥1.36 for next year compared to CN¥0.96 last year. Annuncio • Mar 31
Betta Pharmaceuticals Co., Ltd. to Report Q1, 2026 Results on Apr 23, 2026 Betta Pharmaceuticals Co., Ltd. announced that they will report Q1, 2026 results on Apr 23, 2026 Annuncio • Dec 31
Betta Pharmaceuticals Co., Ltd. to Report Fiscal Year 2025 Results on Apr 23, 2026 Betta Pharmaceuticals Co., Ltd. announced that they will report fiscal year 2025 results on Apr 23, 2026 New Risk • Dec 26
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. Cash payout ratio: 178% Dividend yield: 0.4% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by cash flows (178% cash payout ratio). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (9.3% net profit margin). Major Estimate Revision • Nov 11
Consensus EPS estimates fall by 12%, revenue upgraded The consensus outlook for fiscal year 2025 has been updated. 2025 revenue forecast increased from CN¥3.56b to CN¥3.71b. EPS estimate fell from CN¥1.49 to CN¥1.30 per share. Net income forecast to grow 160% next year vs 31% growth forecast for Pharmaceuticals industry in China. Consensus price target of CN¥63.79 unchanged from last update. Share price fell 3.4% to CN¥53.99 over the past week. Reported Earnings • Oct 28
Third quarter 2025 earnings: EPS and revenues exceed analyst expectations Third quarter 2025 results: EPS: CN¥0.44 (down from CN¥0.45 in 3Q 2024). Revenue: CN¥985.9m (up 17% from 3Q 2024). Net income: CN¥177.0m (down 7.9% from 3Q 2024). Profit margin: 18% (down from 23% in 3Q 2024). Revenue exceeded analyst estimates by 14%. Earnings per share (EPS) also surpassed analyst estimates by 68%. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Oct 17
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to CN¥56.34, the stock trades at a forward P/E ratio of 32x. Average forward P/E is 21x in the Pharmaceuticals industry in China. Total returns to shareholders of 3.4% over the past three years. Annuncio • Sep 30
Betta Pharmaceuticals Co., Ltd. to Report Q3, 2025 Results on Oct 23, 2025 Betta Pharmaceuticals Co., Ltd. announced that they will report Q3, 2025 results on Oct 23, 2025 Reported Earnings • Aug 20
Second quarter 2025 earnings: EPS and revenues miss analyst expectations Second quarter 2025 results: EPS: CN¥0.092 (down from CN¥0.31 in 2Q 2024). Revenue: CN¥813.9m (up 6.4% from 2Q 2024). Net income: CN¥39.8m (down 68% from 2Q 2024). Profit margin: 4.9% (down from 16% in 2Q 2024). Revenue missed analyst estimates by 12%. Earnings per share (EPS) also missed analyst estimates by 77%. Revenue is forecast to grow 19% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Price Target Changed • Jul 23
Price target decreased by 9.7% to CN¥51.66 Down from CN¥57.19, the current price target is an average from 2 analysts. New target price is 18% below last closing price of CN¥62.72. Stock is up 99% over the past year. The company is forecast to post earnings per share of CN¥1.69 for next year compared to CN¥0.96 last year. Annuncio • Jul 02
Betta Pharmaceuticals Co., Ltd. to Report First Half, 2025 Results on Aug 20, 2025 Betta Pharmaceuticals Co., Ltd. announced that they will report first half, 2025 results on Aug 20, 2025 Declared Dividend • Jun 12
Dividend increased to CN¥0.20 Dividend of CN¥0.20 is 17% higher than last year. Ex-date: 17th June 2025 Payment date: 17th June 2025 Dividend yield will be 0.3%, which is lower than the industry average of 1.9%. Sustainability & Growth Dividend is well covered by both earnings (21% earnings payout ratio) and cash flows (33% cash payout ratio). The dividend has increased by an average of 1.3% per year over the past 8 years. However, payments have been volatile during that time. EPS is expected to grow by 132% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Price Target Changed • Apr 28
Price target increased by 12% to CN¥64.54 Up from CN¥57.88, the current price target is an average from 2 analysts. New target price is 26% above last closing price of CN¥51.16. Stock is up 23% over the past year. The company is forecast to post earnings per share of CN¥1.86 for next year compared to CN¥0.96 last year. New Risk • Apr 25
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 23% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. This is currently the only risk that has been identified for the company. Reported Earnings • Apr 18
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: CN¥0.96 (up from CN¥0.83 in FY 2023). Revenue: CN¥2.89b (up 18% from FY 2023). Net income: CN¥402.6m (up 16% from FY 2023). Profit margin: 14% (in line with FY 2023). Revenue missed analyst estimates by 6.0%. Earnings per share (EPS) also missed analyst estimates by 23%. Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Annuncio • Apr 18
Betta Pharmaceuticals Co., Ltd., Annual General Meeting, May 08, 2025 Betta Pharmaceuticals Co., Ltd., Annual General Meeting, May 08, 2025, at 14:30 China Standard Time. Location: 1F, Executive Building. No. 355, Xingzhong Road, Economic and Technological Development Zone, Linping District, Hangzhou, Zhejiang China Annuncio • Mar 31
Betta Pharmaceuticals Co., Ltd. to Report Q1, 2025 Results on Apr 25, 2025 Betta Pharmaceuticals Co., Ltd. announced that they will report Q1, 2025 results on Apr 25, 2025 Annuncio • Dec 31
Betta Pharmaceuticals Co., Ltd. to Report Fiscal Year 2024 Results on Apr 18, 2025 Betta Pharmaceuticals Co., Ltd. announced that they will report fiscal year 2024 results on Apr 18, 2025 Price Target Changed • Nov 30
Price target increased by 13% to CN¥56.83 Up from CN¥50.10, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of CN¥55.35. Stock is down 1.8% over the past year. The company is forecast to post earnings per share of CN¥1.26 for next year compared to CN¥0.83 last year. Major Estimate Revision • Nov 04
Consensus EPS estimates increase by 24% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has improved. 2024 revenue forecast increased from CN¥3.02b to CN¥3.16b. EPS estimate increased from CN¥1.16 to CN¥1.44 per share. Net income forecast to grow 39% next year vs 34% growth forecast for Pharmaceuticals industry in China. Consensus price target broadly unchanged at CN¥50.70. Share price fell 4.8% to CN¥45.66 over the past week. Reported Earnings • Oct 29
Third quarter 2024 earnings: EPS and revenues exceed analyst expectations Third quarter 2024 results: EPS: CN¥0.45 (up from CN¥0.36 in 3Q 2023). Revenue: CN¥843.9m (up 16% from 3Q 2023). Net income: CN¥192.3m (up 23% from 3Q 2023). Profit margin: 23% (up from 21% in 3Q 2023). Revenue exceeded analyst estimates by 10%. Earnings per share (EPS) also surpassed analyst estimates by 44%. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to CN¥44.03, the stock trades at a forward P/E ratio of 33x. Average forward P/E is 19x in the Pharmaceuticals industry in China. Total loss to shareholders of 49% over the past three years. Annuncio • Sep 30
Betta Pharmaceuticals Co., Ltd. to Report Q3, 2024 Results on Oct 29, 2024 Betta Pharmaceuticals Co., Ltd. announced that they will report Q3, 2024 results on Oct 29, 2024 Valuation Update With 7 Day Price Move • Sep 30
Investor sentiment improves as stock rises 33% After last week's 33% share price gain to CN¥45.97, the stock trades at a forward P/E ratio of 34x. Average forward P/E is 18x in the Pharmaceuticals industry in China. Total loss to shareholders of 50% over the past three years. New Risk • Sep 27
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 6.7% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (6.7% average weekly change). Large one-off items impacting financial results. Major Estimate Revision • Aug 12
Consensus EPS estimates increase by 15%, revenue downgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast fell from CN¥3.05b to CN¥3.01b. EPS estimate rose from CN¥1.08 to CN¥1.25. Net income forecast to grow 35% next year vs 27% growth forecast for Pharmaceuticals industry in China. Consensus price target broadly unchanged at CN¥50.10. Share price rose 2.9% to CN¥35.43 over the past week. New Risk • Aug 07
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 27% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. This is currently the only risk that has been identified for the company. Reported Earnings • Aug 06
Second quarter 2024 earnings: EPS exceeds analyst expectations Second quarter 2024 results: EPS: CN¥0.31 (up from CN¥0.24 in 2Q 2023). Revenue: CN¥765.0m (down 2.2% from 2Q 2023). Net income: CN¥125.8m (up 30% from 2Q 2023). Profit margin: 16% (up from 12% in 2Q 2023). The increase in margin was driven by lower expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 63%. Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has fallen by 27% per year, which means it is performing significantly worse than earnings. Annuncio • Jun 29
Betta Pharmaceuticals Co., Ltd. to Report First Half, 2024 Results on Aug 06, 2024 Betta Pharmaceuticals Co., Ltd. announced that they will report first half, 2024 results on Aug 06, 2024 Declared Dividend • Jun 01
Dividend increased to CN¥0.17 Dividend of CN¥0.17 is 143% higher than last year. Ex-date: 6th June 2024 Payment date: 6th June 2024 Dividend yield will be 0.4%, which is lower than the industry average of 1.9%. Sustainability & Growth Dividend is covered by earnings (18% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 76 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 78% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Annuncio • May 31
Betta Pharmaceuticals Co., Ltd. Announces Final Profit Distribution Plan to Be Implemented on A Shares as Cash Dividend (Tax Included) for the Year 2023, Payable on 06 June 2024 Betta Pharmaceuticals Co., Ltd. announced final profit distribution plan to be implemented on A shares as cash dividend per ten shares (tax included) of CNY 1.70000000 per 10 shares for the year 2023, payable on 06 June 2024. Record date is 05 June 2024. Ex-date is 06 June 2024. Major Estimate Revision • Apr 30
Consensus EPS estimates fall by 17% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from CN¥3.40b to CN¥3.07b. EPS estimate also fell from CN¥1.43 per share to CN¥1.19 per share. Net income forecast to grow 33% next year vs 26% growth forecast for Pharmaceuticals industry in China. Consensus price target down from CN¥54.14 to CN¥50.98. Share price rose 8.0% to CN¥41.73 over the past week. Price Target Changed • Apr 28
Price target decreased by 9.5% to CN¥51.64 Down from CN¥57.03, the current price target is an average from 2 analysts. New target price is 27% above last closing price of CN¥40.54. Stock is down 41% over the past year. The company is forecast to post earnings per share of CN¥1.28 for next year compared to CN¥0.83 last year. Major Estimate Revision • Apr 25
Consensus EPS estimates increase by 20%, revenue downgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast fell from CN¥3.47b to CN¥3.40b. EPS estimate rose from CN¥1.19 to CN¥1.43. Net income forecast to grow 54% next year vs 26% growth forecast for Pharmaceuticals industry in China. Consensus price target down from CN¥57.03 to CN¥54.14. Share price rose 7.4% to CN¥39.11 over the past week. Price Target Changed • Apr 22
Price target increased by 12% to CN¥65.00 Up from CN¥58.25, the current price target is an average from 2 analysts. New target price is 70% above last closing price of CN¥38.30. Stock is down 43% over the past year. The company is forecast to post earnings per share of CN¥1.43 for next year compared to CN¥0.83 last year. Annuncio • Apr 21
Betta Pharmaceuticals Co., Ltd., Annual General Meeting, May 15, 2024 Betta Pharmaceuticals Co., Ltd., Annual General Meeting, May 15, 2024, at 14:30 China Standard Time. Location: The Company's Meeting Room, Hangzhou, Zhejiang China Reported Earnings • Apr 20
First quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2024 results: EPS: CN¥0.23 (up from CN¥0.12 in 1Q 2023). Revenue: CN¥735.8m (up 38% from 1Q 2023). Net income: CN¥98.1m (up 91% from 1Q 2023). Profit margin: 13% (up from 9.7% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 5.1%. Earnings per share (EPS) missed analyst estimates by 6.1%. Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has fallen by 30% per year whereas the company’s share price has fallen by 29% per year. Annuncio • Mar 30
Betta Pharmaceuticals Co., Ltd. to Report Q1, 2024 Results on Apr 26, 2024 Betta Pharmaceuticals Co., Ltd. announced that they will report Q1, 2024 results on Apr 26, 2024 Valuation Update With 7 Day Price Move • Mar 15
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to CN¥47.52, the stock trades at a forward P/E ratio of 44x. Average forward P/E is 18x in the Pharmaceuticals industry in China. Total loss to shareholders of 54% over the past three years. Valuation Update With 7 Day Price Move • Feb 09
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to CN¥42.62, the stock trades at a forward P/E ratio of 36x. Average forward P/E is 17x in the Pharmaceuticals industry in China. Total loss to shareholders of 70% over the past three years. Annuncio • Dec 29
Betta Pharmaceuticals Co., Ltd. to Report Fiscal Year 2023 Results on Apr 20, 2024 Betta Pharmaceuticals Co., Ltd. announced that they will report fiscal year 2023 results on Apr 20, 2024 Major Estimate Revision • Oct 31
Consensus EPS estimates increase by 12%, revenue downgraded The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from CN¥2.77b to CN¥2.74b. EPS estimate rose from CN¥0.797 to CN¥0.89. Net income forecast to grow 49% next year vs 29% growth forecast for Pharmaceuticals industry in China. Consensus price target broadly unchanged at CN¥58.25. Share price rose 12% to CN¥60.89 over the past week. Reported Earnings • Oct 25
Third quarter 2023 earnings: EPS and revenues exceed analyst expectations Third quarter 2023 results: EPS: CN¥0.36 (up from CN¥0.02 in 3Q 2022). Revenue: CN¥729.7m (up 78% from 3Q 2022). Net income: CN¥156.4m (up CN¥148.3m from 3Q 2022). Profit margin: 21% (up from 2.0% in 3Q 2022). Revenue exceeded analyst estimates by 12%. Earnings per share (EPS) also surpassed analyst estimates. Revenue is forecast to grow 22% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Annuncio • Sep 30
Betta Pharmaceuticals Co., Ltd. to Report Q3, 2023 Results on Oct 25, 2023 Betta Pharmaceuticals Co., Ltd. announced that they will report Q3, 2023 results on Oct 25, 2023 Major Estimate Revision • Sep 01
Consensus EPS estimates fall by 13% The consensus outlook for earnings per share (EPS) in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from CN¥2.92b to CN¥2.72b. EPS estimate also fell from CN¥0.783 per share to CN¥0.685 per share. Net income forecast to grow 100% next year vs 28% growth forecast for Pharmaceuticals industry in China. Consensus price target down from CN¥67.80 to CN¥57.04. Share price rose 9.8% to CN¥49.66 over the past week. Price Target Changed • Aug 31
Price target decreased by 16% to CN¥57.04 Down from CN¥67.80, the current price target is an average from 2 analysts. New target price is 15% above last closing price of CN¥49.43. Stock is up 9.1% over the past year. The company is forecast to post earnings per share of CN¥0.69 for next year compared to CN¥0.35 last year. Reported Earnings • Aug 26
Second quarter 2023 earnings: EPS and revenues exceed analyst expectations Second quarter 2023 results: EPS: CN¥0.24 (up from CN¥0.027 in 2Q 2022). Revenue: CN¥782.3m (up 17% from 2Q 2022). Net income: CN¥96.9m (up CN¥85.9m from 2Q 2022). Profit margin: 12% (up from 1.7% in 2Q 2022). Revenue exceeded analyst estimates by 12%. Earnings per share (EPS) also surpassed analyst estimates. Revenue is forecast to grow 23% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has fallen by 43% per year but the company’s share price has only fallen by 30% per year, which means it has not declined as severely as earnings. New Risk • Aug 03
New major risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Chinese stocks, typically moving 8.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (8.3% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (4.9% net profit margin). Annuncio • Jun 09
Betta Pharmaceuticals Co., Ltd. Announces Final Profit Distribution Plan to Be Implemented on A Shares for the Year 2022, Payable on 15 June 2023 Betta Pharmaceuticals Co., Ltd. announced final profit distribution plan to be implemented on A shares as cash dividend per ten shares (tax included) of CNY 0.70000000 for the year 2022, payable on 15 June 2023. Record date is 14 June 2023. Ex-date is 15 June 2023. Annuncio • May 19
Betta Pharmaceuticals Co., Ltd. Approves Cash Dividend for the Year of 2022 Betta Pharmaceuticals Co., Ltd. at its Annual General Meeting of 2022 held on 15 May 2023 approved: Cash dividend/10 shares (tax included) of CNY 0.70000000 per ten shares for 2022. Price Target Changed • Apr 29
Price target increased by 13% to CN¥50.59 Up from CN¥44.66, the current price target is provided by 1 analyst. New target price is 26% below last closing price of CN¥68.14. Stock is up 58% over the past year. The company is forecast to post earnings per share of CN¥0.77 for next year compared to CN¥0.35 last year. Reported Earnings • Apr 24
Full year 2022 earnings: EPS in line with analyst expectations despite revenue beat Full year 2022 results: EPS: CN¥0.35 (down from CN¥0.92 in FY 2021). Revenue: CN¥2.38b (up 5.8% from FY 2021). Net income: CN¥145.4m (down 62% from FY 2021). Profit margin: 6.1% (down from 17% in FY 2021). Revenue is forecast to grow 27% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has fallen by 17% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. Annuncio • Dec 29
Betta Pharmaceuticals Co., Ltd. Approves Board Elections Betta Pharmaceuticals Co., Ltd. at its EGM held on December 27, 2022 approved election of TIAN XU as non-independent director, Huang Xinqi and Xiao Jiajia as independent directors and Wang Rong as shareholder supervisors. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 12 experienced directors. No highly experienced directors. Non- Independent Director Yi Shi was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Major Estimate Revision • Nov 04
Consensus revenue estimates fall by 14% The consensus outlook for revenues in 2022 has deteriorated. 2022 revenue forecast decreased from CN¥2.60b to CN¥2.25b. EPS estimate fell from CN¥0.56 to CN¥0.35 per share. Net income forecast to grow 236% next year vs 36% growth forecast for Pharmaceuticals industry in China. Consensus price target broadly unchanged at CN¥44.66. Share price was steady at CN¥47.50 over the past week. Reported Earnings • Oct 30
Third quarter 2022 earnings: EPS and revenues miss analyst expectations Third quarter 2022 results: EPS: CN¥0.02 (down from CN¥0.32 in 3Q 2021). Revenue: CN¥409.4m (down 28% from 3Q 2021). Net income: CN¥8.09m (down 94% from 3Q 2021). Profit margin: 2.0% (down from 23% in 3Q 2021). Revenue missed analyst estimates by 41%. Earnings per share (EPS) also missed analyst estimates by 88%. Revenue is forecast to grow 37% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has fallen by 2% per year whereas the company’s share price has fallen by 5% per year. Major Estimate Revision • Aug 31
Consensus revenue estimates fall by 11% The consensus outlook for revenues in 2022 has deteriorated. 2022 revenue forecast decreased from CN¥2.92b to CN¥2.60b. EPS estimate fell from CN¥1.11 to CN¥0.56 per share. Net income forecast to grow 66% next year vs 30% growth forecast for Pharmaceuticals industry in China. Consensus price target down from CN¥85.80 to CN¥57.39. Share price fell 2.3% to CN¥45.39 over the past week. Price Target Changed • Aug 30
Price target decreased to CN¥57.39 Down from CN¥85.80, the current price target is an average from 4 analysts. New target price is 28% above last closing price of CN¥44.80. Stock is down 39% over the past year. The company is forecast to post earnings per share of CN¥1.06 for next year compared to CN¥0.92 last year. Reported Earnings • Aug 26
Second quarter 2022 earnings: EPS and revenues miss analyst expectations Second quarter 2022 results: EPS: CN¥0.027 (down from CN¥0.16 in 2Q 2021). Revenue: CN¥668.6m (up 25% from 2Q 2021). Net income: CN¥11.0m (down 84% from 2Q 2021). Profit margin: 1.7% (down from 13% in 2Q 2021). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 1.7%. Earnings per share (EPS) also missed analyst estimates by 85%. Over the next year, revenue is forecast to grow 47%, compared to a 23% growth forecast for the Pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Annuncio • Jun 15
Betta Pharmaceuticals Co., Ltd. announced that it expects to receive CNY 999.999991 million in funding Betta Pharmaceuticals Co., Ltd. announced a private placement by signing subscription agreement of no more than 25,967,281 shares at an issue price of CNY 38.51 per share for gross proceeds of no more than CNY 1000 million on June 13, 2022. The transaction will include participation from returning investor Ding Lieming. The issue price is not lower than 80% of the company's average stock trading price in the 20 trading days before the pricing benchmark date for this issuance. The number of share to be issued not exceeding 30% of the company's total share capital before the issuance. The transaction has been reviewed and approved at the 33rd meeting of the third board of directors of the company, and still needs to be approved by the company's general meeting of shareholders, reviewed and approved by the Shenzhen Stock Exchange and approved by the China Securities Regulatory Commission. The share to be issued shall not be transferred within 18 months from the date of the end of the issuance. The issuance resolution is valid for 12 months from the date when the company's general meeting of shareholders considers and approves the resolution related to the issuance of shares to specific objects. Valuation Update With 7 Day Price Move • Jun 08
Investor sentiment improved over the past week After last week's 19% share price gain to CN¥54.67, the stock trades at a forward P/E ratio of 44x. Average forward P/E is 21x in the Pharmaceuticals industry in China. Total returns to shareholders of 49% over the past three years. Annuncio • May 24
Betta Pharmaceuticals Co., Ltd. Announces Cash Dividend for 2021, Payable on 30 May 2022 Betta Pharmaceuticals Co., Ltd. announced 2021 final profit distribution plan to be implemented (A shares) of cash dividend/10 shares (tax included): CNY 2.50000000. Record date is 27 May 2022. Ex-date is 30 May 2022. Payment date is 30 May 2022. Board Change • Apr 27
High number of new and inexperienced directors There are 8 new directors who have joined the board in the last 3 years. The company's board is composed of: 8 new directors. 4 experienced directors. No highly experienced directors. Senior Director, Head of Hangzhou R&D Center and Supervisor Hao Wu is the most experienced director on the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Annuncio • Apr 09
Betta Pharmaceuticals Co., Ltd., Annual General Meeting, Apr 28, 2022 Betta Pharmaceuticals Co., Ltd., Annual General Meeting, Apr 28, 2022, at 14:30 China Standard Time. Agenda: To consider 2021 work report of the board of directors; to consider 2021 work report of the supervisory committee; and to discuss other matters. Annuncio • Apr 08
Betta Pharmaceuticals Co., Ltd. Proposes Final Cash Dividend for 2021 Betta Pharmaceuticals Co., Ltd. proposed final cash dividend of CNY 2.50000000 per 10 shares (tax included) for 2021. Reported Earnings • Apr 08
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: CN¥0.92 (down from CN¥1.50 in FY 2020). Revenue: CN¥2.25b (up 20% from FY 2020). Net income: CN¥383.1m (down 37% from FY 2020). Profit margin: 17% (down from 32% in FY 2020). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 5.5%. Earnings per share (EPS) also missed analyst estimates by 14%. Over the next year, revenue is forecast to grow 44%, compared to a 28% growth forecast for the pharmaceuticals industry in China. Over the last 3 years on average, earnings per share has increased by 39% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Apr 07
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 EPS estimate fell from CN¥1.42 to CN¥1.26 per share. Revenue forecast steady at CN¥3.23b. Net income forecast to grow 14% next year vs 29% growth forecast for Pharmaceuticals industry in China. Consensus price target down from CN¥89.40 to CN¥85.80. Share price fell 3.5% to CN¥53.94 over the past week. Price Target Changed • Jan 28
Price target decreased to CN¥117 Down from CN¥139, the current price target is an average from 4 analysts. New target price is 88% above last closing price of CN¥62.30. Stock is down 52% over the past year. The company is forecast to post earnings per share of CN¥1.18 for next year compared to CN¥1.50 last year. Reported Earnings • Oct 28
Third quarter 2021 earnings released: EPS CN¥0.32 (vs CN¥0.92 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: CN¥569.3m (up 2.4% from 3Q 2020). Net income: CN¥131.8m (down 64% from 3Q 2020). Profit margin: 23% (down from 67% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 46% per year but the company’s share price has only increased by 32% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Sep 07
Investor sentiment improved over the past week After last week's 17% share price gain to CN¥86.10, the stock trades at a forward P/E ratio of 58x. Average forward P/E is 21x in the Pharmaceuticals industry in China. Total returns to shareholders of 118% over the past three years. Reported Earnings • Aug 10
Second quarter 2021 earnings released: EPS CN¥0.16 (vs CN¥0.033 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: CN¥536.6m (up 76% from 2Q 2020). Net income: CN¥67.3m (up 405% from 2Q 2020). Profit margin: 13% (up from 4.4% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 52% per year but the company’s share price has only increased by 27% per year, which means it is significantly lagging earnings growth. Reported Earnings • Apr 30
First quarter 2021 earnings released: EPS CN¥0.36 (vs CN¥0.33 in 1Q 2020) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2021 results: Revenue: CN¥618.6m (down 4.4% from 1Q 2020). Net income: CN¥147.7m (up 13% from 1Q 2020). Profit margin: 24% (up from 20% in 1Q 2020). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 47% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Reported Earnings • Mar 26
Full year 2020 earnings released: EPS CN¥1.50 (vs CN¥0.58 in FY 2019) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CN¥1.87b (up 20% from FY 2019). Net income: CN¥606.4m (up 163% from FY 2019). Profit margin: 32% (up from 15% in FY 2019). The increase in margin was primarily driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 36% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Is New 90 Day High Low • Mar 15
New 90-day low: CN¥95.46 The company is down 4.0% from a price of CN¥99.58 on 15 December 2020. Underperformed the Chinese market, which is flat over the last 90 days. Price trend is similar to the Pharmaceuticals industry, which is also down 4.0% over the same period. Simply Wall St's valuation model estimates the intrinsic value at CN¥134 per share. Valuation Update With 7 Day Price Move • Mar 10
Investor sentiment deteriorated over the past week After last week's 18% share price decline to CN¥99.85, the stock is trading at a trailing P/E ratio of 73.4x, down from the previous P/E ratio of 89.3x. This compares to an average P/E of 29x in the Pharmaceuticals industry in China. Total returns to shareholders over the past three years are 69%. Annuncio • Feb 24
Betta Pharmaceuticals Co., Ltd. to Report Fiscal Year 2020 Results on Mar 26, 2021 Betta Pharmaceuticals Co., Ltd. announced that they will report fiscal year 2020 results on Mar 26, 2021