Zai Lab (NASDAQ:ZLAB) Posts Earnings Results, Beats Estimates By $0.07 EPS

Zai Lab (NASDAQ:ZLAB) announced its quarterly earnings results on Thursday. The company reported ($0.46) EPS for the quarter, beating analysts’ consensus estimates of ($0.53) by $0.07, Zacks reports. The company had revenue of $99.61 million during the quarter, compared to analysts’ expectations of $108.43 million. Zai Lab had a negative return on equity of 23.57% and a negative net margin of 39.29%.

Here are the key takeaways from Zai Lab’s conference call:

• At 1.6 mg/kg, zoci showed a confirmed intracranial ORR of 62.5% (best intracranial response ~69% including 4 CRs) with ~16% grade ?3 treatment?related AEs; the Phase III DLLEVATE study is on track to finish enrollment H1 2027 with an interim analysis/possible accelerated approval next year and a planned first global BLA submission in late 2027.
• Zai announced global collaborations with Amgen and Boehringer Ingelheim to explore zoci combined with DLL3 T?cell engagers (and combinations with PD?L1/chemo), with an Amgen triplet cohort already enrolling to potentially deepen and extend responses.
• Q1 total product revenue fell 6% YoY to $99.6M (driven by lower ZEJULA sales and class/generic pressures) and loss from operations widened 23% to $69.4M; management expects full?year 2026 product revenue pressure with a return to growth in 2027.
• Zai ended the quarter with a strong cash position of $761.3M and a commercially profitable regional business, while planning AI?driven efficiency measures and local XACDURO manufacturing in 2027 to ease supply constraints and improve margins.
• Other pipeline moves include ZL?1503 (IL?13/IL?31 bispecific) with encouraging preclinical data and expected healthy?volunteer/AD Phase I data in H2 2026, ZL?1311 entering clinic by year?end, ZL?6201 in clinic, and regional submissions for Tumor Treating Fields and TIVDAK.

Zai Lab Stock Down 5.9%

NASDAQ:ZLAB opened at $18.60 on Friday. The company has a fifty day moving average of $20.23 and a 200 day moving average of $20.12. Zai Lab has a 52 week low of $15.96 and a 52 week high of $44.34. The firm has a market capitalization of $2.11 billion, a P/E ratio of -11.48 and a beta of 0.85.

Insider Buying and Selling at Zai Lab

In other Zai Lab news, CFO Yajing Chen sold 5,199 shares of the company’s stock in a transaction that occurred on Thursday, April 2nd. The stock was sold at an average price of $20.39, for a total transaction of $106,007.61. Following the completion of the transaction, the chief financial officer owned 32,558 shares of the company’s stock, valued at $663,857.62. This represents a 13.77% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Ying Du sold 5,576 shares of the company’s stock in a transaction that occurred on Thursday, April 2nd. The shares were sold at an average price of $20.39, for a total value of $113,694.64. Following the transaction, the chief executive officer directly owned 1,125,279 shares of the company’s stock, valued at $22,944,438.81. The trade was a 0.49% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 46,187 shares of company stock worth $930,647 over the last three months. 4.96% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

An institutional investor recently raised its position in Zai Lab stock. Royal Bank of Canada increased its holdings in Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB) by 214.3% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 13,771 shares of the company’s stock after acquiring an additional 9,390 shares during the quarter. Royal Bank of Canada’s holdings in Zai Lab were worth $498,000 as of its most recent filing with the Securities and Exchange Commission (SEC). Institutional investors and hedge funds own 41.65% of the company’s stock.

Analyst Ratings Changes

Several research analysts have issued reports on ZLAB shares. Weiss Ratings upgraded shares of Zai Lab from a “sell (e+)” rating to a “sell (d-)” rating in a report on Friday, April 24th. Citigroup cut their target price on shares of Zai Lab from $47.00 to $44.00 and set a “buy” rating for the company in a research report on Friday. Zacks Research lowered Zai Lab from a “hold” rating to a “strong sell” rating in a report on Friday, January 23rd. JPMorgan Chase & Co. dropped their target price on shares of Zai Lab from $39.00 to $32.00 and set an “overweight” rating for the company in a research report on Wednesday, March 18th. Finally, Jefferies Financial Group upgraded shares of Zai Lab to a “strong-buy” rating in a research report on Monday, January 19th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have issued a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $45.83.

Zai Lab Company Profile

Zai Lab Ltd (NASDAQ: ZLAB) is a biopharmaceutical company focused on the research, development, manufacturing and commercialization of innovative therapies. Headquartered in Shanghai, China, Zai Lab operates R&D centers in Asia and the United States and maintains commercial offices across Greater China, North America, Europe and Australia. The company’s end-to-end platform encompasses discovery biology, translational development, clinical research and global supply chain management.

The company’s marketed portfolio is anchored by Brukinsa (zanubrutinib), a next-generation Bruton’s tyrosine kinase inhibitor approved for several B-cell malignancies.