Zai Lab Announces Second Quarter 2026 Financial Results and Recent Corporate Updates
Conference call and webcast today, August 6, 2026, at 8:00 a.m. ET (8:00 p.m. HKT)
Zai Lab Limited (NASDAQ: ZLAB; HKEX: 9688) today announced financial results for the second quarter of 2026, along with recent product highlights and corporate updates.
“Zai Lab is entering an exciting new chapter in our evolution,” said Dr. Samantha Du, Founder, Chairperson and Chief Executive Officer of Zai Lab. “Over the past several years, we have evolved from bringing innovative medicines to patients in China to becoming a global biopharmaceutical company developing our own differentiated medicines for patients around the world. Today, our innovation pipeline is rapidly maturing. We advanced zocilurtatug pelitecan (zoci), our potential best-in-class DLL3 antibody-drug conjugate (ADC), from Investigational New Drug (IND) to global Phase 3 in under two years, and our growing portfolio of internally developed medicines, including ZL-1503, gives us confidence that innovation will increasingly drive Zai Lab's next phase of growth. Meanwhile, we continue to strengthen our commercial business. This quarter, we sharpened our commercial focus, delivered sequential revenue growth, maintained commercial profitability, and laid the foundation for a return to meaningful growth in 2027. Together, these achievements position Zai Lab to create long-term value for patients and shareholders.”
“We are excited about the progress across our growing global pipeline, with three registrational studies expected to be underway by year end and the potential for our first U.S. regulatory submission next year,” said Rafael G. Amado, M.D., President, Head of Global Research and Development at Zai Lab. “Zoci has demonstrated a differentiated profile — strong systemic and intracranial activity with a favorable safety profile — that supports development across multiple treatment settings in small cell lung cancer (SCLC) and extrapulmonary neuroendocrine carcinomas (epNECs). In immunology, ZL-1503 has the potential to address both inflammation and itch through dual inhibition of IL-13 and IL-31. Combined with its extended half-life enabled by YTE modifications, we believe its differentiated profile has the potential to address significant unmet needs in one of the largest markets in immunology. We look forward to sharing important clinical updates for both programs in the second half of the year.”
Second Quarter 2026 Financial Results
Recent Pipeline Highlights
Below are key product candidate updates since our last earnings release:
Oncology Pipeline
Immunology, Neuroscience, and Infectious Disease Pipeline
Anticipated Major Milestones in 2026 and the First Half of 2027
Global Pipeline
Expected Clinical Developments and Data Readouts
Zocilurtatug Pelitecan (zoci, DLL3-Targeting ADC; formerly ZL-1310)
ZL-1503 (IL-13/IL-31Rα)
ZL-6201 (LRRC15 ADC)
ZL-1222 (PD-1/IL-12)
ZL-1311 (MUC17/CD3)
Regional Pipeline
Upcoming Potential NMPA Acceptance
Expected Clinical Developments and Data Readouts
Efgartigimod (FcRn)
Elegrobart (Anti-IGF-1R, subcutaneous)
Conference Call and Webcast Information
Zai Lab will host a live conference call and webcast today, August 6, 2026, at 8:00 a.m. ET (8:00 p.m. HKT). Listeners may access the live webcast by visiting the Company’s website at http://ir.zailaboratory.com. Participants must register in advance of the conference call.
Details are as follows:
All participants must use the link provided above to complete the online registration process in advance of the conference call. Dial-in details will be in the confirmation email which the participant will receive upon registering.
A replay will be available shortly after the call and can be accessed by visiting the Company’s website.
About Zai Lab
Zai Lab Limited (NASDAQ: ZLAB; HKEX: 9688) is an innovative, research-based, commercial-stage biopharmaceutical company based in China and the United States. We are focused on discovering, developing, and commercializing innovative products that address medical conditions with significant unmet needs in the areas of oncology, immunology, neuroscience, and infectious disease. Our goal is to leverage our competencies and resources to positively impact human health.
For additional information about Zai Lab, please visit www.zailaboratory.com or follow us at https://x.com/ZaiLab_Global.
Non-GAAP Measures
In addition to results presented in accordance with GAAP, we disclose growth rates that have been adjusted to exclude the impact of changes due to the translation of foreign currencies into U.S. dollars. We have also presented a measure of adjusted loss from operations that adjusts GAAP loss from operations to exclude the impact of certain non-cash expenses including depreciation, amortization, and share-based compensation, which we refer to as “profitability.” These adjusted growth rates and adjusted loss from operations are non-GAAP measures. We believe that these non-GAAP measures are important for an understanding of the performance of our business operations and financial results and provide investors with an additional perspective on operational trends and greater transparency into our historical and projected operating performance. Although we believe the non-GAAP financial measures enhance investors’ understanding of our business and performance, these non-GAAP financial measures should not be considered an exclusive alternative to accompanying GAAP financial measures.
Zai Lab Forward-Looking Statements
This press release contains certain forward-looking statements, including statements relating to our strategy and plans; potential of and expectations for our business, commercial products, and pipeline programs; our goals, objectives, and priorities and our expectations under our growth strategy (including our expectations regarding our commercial products and launches, clinical stage products, revenue growth, profitability, and cash flow); clinical development programs and related clinical trials; clinical trial data, data readouts, and presentations; risks and uncertainties associated with drug development and commercialization; regulatory discussions, submissions, filings, and approvals and the timing thereof; the potential benefits, safety, and efficacy of our products and product candidates and those of our collaboration partners; the anticipated benefits and potential of investments, collaborations, and business development activities; our profitability and timeline to profitability; our future financial and operating results; and financial guidance, including with respect to our capital allocation and investment strategy and our expected path to profitability. All statements, other than statements of historical fact, included in this press release are forward-looking statements, and can be identified by words such as “aim,” “anticipate,” “believe,” “could,” “estimate,” “expect,” “forecast,” “goal,” “intend,” “may,” “plan,” “poised,” “positioned,” “possible,” “potential,” “will,” “would,” and other similar expressions. Such statements constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees or assurances of future performance. Forward-looking statements are based on our expectations and assumptions as of the date of this press release and are subject to inherent uncertainties, risks, and changes in circumstances that may differ materially from those contemplated by the forward-looking statements. We may not actually achieve the plans, carry out the intentions, or meet the expectations or projections disclosed in our forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including but not limited to (1) our ability to successfully commercialize and generate revenue from our approved products; (2) our ability to obtain funding for our operations and business initiatives; (3) the results of our clinical and pre-clinical development of our product candidates; (4) the content and timing of decisions made by the relevant regulatory authorities regarding regulatory approvals of our product candidates; (5) risks related to doing business in China; and (6) other factors identified in our most recent annual and quarterly reports and in other reports we have filed with the U.S. Securities and Exchange Commission (SEC). We anticipate that subsequent events and developments will cause our expectations and assumptions to change, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by law. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
Our SEC filings can be found on our website at www.zailaboratory.com and on the SEC’s website at www.SEC.gov.
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Zai Lab Limited |
||||||
|
Unaudited Condensed Consolidated Balance Sheets |
||||||
|
(in thousands of U.S. dollars ($), except for number of shares and per share data) |
||||||
|
|
|
June 30,
|
|
December 31,
|
||
|
Assets |
|
|
|
|
||
|
Current assets |
|
|
|
|
||
|
Cash and cash equivalents |
|
607,522 |
|
|
679,573 |
|
|
Restricted cash, current |
|
100,000 |
|
|
100,000 |
|
|
Short-term investments |
|
10,000 |
|
|
10,000 |
|
|
Accounts receivable (net of allowance for credit losses of $20 and $31 as of June 30, 2026 and December 31, 2025, respectively) |
|
69,595 |
|
|
106,116 |
|
|
Notes receivable |
|
3,395 |
|
|
12,169 |
|
|
Inventories, net |
|
90,890 |
|
|
74,745 |
|
|
Prepayments and other current assets |
|
32,635 |
|
|
36,683 |
|
|
Total current assets |
|
914,037 |
|
|
1,019,286 |
|
|
Restricted cash, non-current |
|
1,118 |
|
|
1,116 |
|
|
Property and equipment, net |
|
46,431 |
|
|
47,389 |
|
|
Operating lease right-of-use assets |
|
16,159 |
|
|
19,152 |
|
|
Land use rights, net |
|
2,883 |
|
|
2,853 |
|
|
Intangible assets, net |
|
85,774 |
|
|
76,144 |
|
|
Deferred tax assets |
|
4,848 |
|
|
3,390 |
|
|
Other non-current assets |
|
3,543 |
|
|
3,054 |
|
|
Total assets |
|
1,074,793 |
|
|
1,172,384 |
|
|
Liabilities and shareholders’ equity |
|
|
|
|
||
|
Current liabilities |
|
|
|
|
||
|
Accounts payable |
|
136,692 |
|
|
141,608 |
|
|
Current operating lease liabilities |
|
5,025 |
|
|
6,344 |
|
|
Short-term debt |
|
238,104 |
|
|
204,530 |
|
|
Other current liabilities |
|
48,763 |
|
|
63,684 |
|
|
Total current liabilities |
|
428,584 |
|
|
416,166 |
|
|
Deferred income |
|
27,500 |
|
|
27,333 |
|
|
Non-current operating lease liabilities |
|
11,447 |
|
|
13,385 |
|
|
Other non-current liabilities |
|
225 |
|
|
— |
|
|
Total liabilities |
|
467,756 |
|
|
456,884 |
|
|
Commitments and contingencies |
|
|
|
|
||
|
Shareholders’ equity |
|
|
|
|
||
|
Ordinary shares (par value of $0.000006 per share; 5,000,000,000 shares authorized; 1,132,222,310 and 1,113,822,550 shares issued as of June 30, 2026 and December 31, 2025, respectively; 1,122,445,390 and 1,106,389,340 shares outstanding as of June 30, 2026 and December 31, 2025, respectively) |
|
7 |
|
|
7 |
|
|
Additional paid-in capital |
|
3,370,798 |
|
|
3,343,469 |
|
|
Accumulated deficit |
|
(2,730,461 |
) |
|
(2,628,620 |
) |
|
Accumulated other comprehensive income |
|
214 |
|
|
29,697 |
|
|
Treasury Stock (at cost, 9,776,920 and 7,433,210 shares as of June 30, 2026 and December 31, 2025, respectively) |
|
(33,521 |
) |
|
(29,053 |
) |
|
Total shareholders’ equity |
|
607,037 |
|
|
715,500 |
|
|
Total liabilities and shareholders’ equity |
|
1,074,793 |
|
|
1,172,384 |
|
|
Zai Lab Limited |
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Unaudited Condensed Consolidated Statements of Operations |
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(in thousands of $, except for number of shares and per share data) |
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|
|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||
|
|
|
2026 |
|
2025 |
|
2026 |
|
2025 |
||||
|
Revenues |
|
|
|
|
|
|
|
|
||||
|
Product revenue, net |
|
105,751 |
|
|
109,085 |
|
|
201,307 |
|
|
214,735 |
|
|
Collaboration revenue |
|
560 |
|
|
892 |
|
|
4,615 |
|
|
1,729 |
|
|
Total revenues |
|
106,311 |
|
|
109,977 |
|
|
205,922 |
|
|
216,464 |
|
|
Expenses |
|
|
|
|
|
|
|
|
||||
|
Cost of product revenue |
|
(48,162 |
) |
|
(43,003 |
) |
|
(86,477 |
) |
|
(81,455 |
) |
|
Cost of collaboration revenue |
|
— |
|
|
(217 |
) |
|
(20 |
) |
|
(412 |
) |
|
Research and development |
|
(61,766 |
) |
|
(50,614 |
) |
|
(127,357 |
) |
|
(111,343 |
) |
|
Selling, general, and administrative |
|
(72,872 |
) |
|
(71,038 |
) |
|
(137,942 |
) |
|
(134,460 |
) |
|
Loss from operations |
|
(76,489 |
) |
|
(54,895 |
) |
|
(145,874 |
) |
|
(111,206 |
) |
|
Interest income |
|
5,879 |
|
|
8,843 |
|
|
12,326 |
|
|
17,449 |
|
|
Interest expenses |
|
(1,587 |
) |
|
(1,262 |
) |
|
(3,224 |
) |
|
(2,449 |
) |
|
Foreign currency gains |
|
15,065 |
|
|
2,837 |
|
|
29,902 |
|
|
3,488 |
|
|
Other income, net |
|
5,285 |
|
|
3,750 |
|
|
5,447 |
|
|
3,553 |
|
|
Loss before income tax |
|
(51,847 |
) |
|
(40,727 |
) |
|
(101,423 |
) |
|
(89,165 |
) |
|
Income tax benefit (expense) |
|
1,022 |
|
|
— |
|
|
(418 |
) |
|
— |
|
|
Net loss |
|
(50,825 |
) |
|
(40,727 |
) |
|
(101,841 |
) |
|
(89,165 |
) |
|
Loss per share - basic and diluted |
|
(0.05 |
) |
|
(0.04 |
) |
|
(0.09 |
) |
|
(0.08 |
) |
|
Weighted-average shares used in calculating net loss per ordinary share - basic and diluted |
|
1,116,973,380 |
|
|
1,091,933,150 |
|
|
1,112,208,460 |
|
|
1,086,413,130 |
|
|
Zai Lab Limited |
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Unaudited Condensed Consolidated Statements of Comprehensive Loss |
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(in thousands of $) |
||||||||||||
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|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||
|
|
|
2026 |
|
2025 |
|
2026 |
|
2025 |
||||
|
Net loss |
|
(50,825 |
) |
|
(40,727 |
) |
|
(101,841 |
) |
|
(89,165 |
) |
|
Other comprehensive loss, net of tax of nil: |
|
|
|
|
|
|
|
|
||||
|
Foreign currency translation adjustments |
|
(14,891 |
) |
|
(2,955 |
) |
|
(29,483 |
) |
|
(4,167 |
) |
|
Comprehensive loss |
|
(65,716 |
) |
|
(43,682 |
) |
|
(131,324 |
) |
|
(93,332 |
) |
|
Zai Lab Limited |
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Non-GAAP Measures |
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(unaudited) |
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($ in thousands) |
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Growth on a Constant Exchange Rate (CER) Basis |
||||||||||||||||||||||||
|
|
|
Three Months Ended June 30, |
|
Year over Year % Growth |
|
Six Months Ended June 30, |
|
Year over Year % Growth |
||||||||||||||||
|
|
|
2026 |
|
2025 |
|
As reported |
|
At CER* |
|
2026 |
|
2025 |
|
As reported |
|
At CER* |
||||||||
|
Product revenue, net |
|
105,751 |
|
|
109,085 |
|
|
(3 |
)% |
|
(7 |
)% |
|
201,307 |
|
|
214,735 |
|
|
(6 |
)% |
|
(10 |
)% |
|
Loss from operations |
|
(76,489 |
) |
|
(54,895 |
) |
|
39 |
% |
|
36 |
% |
|
(145,874 |
) |
|
(111,206 |
) |
|
31 |
% |
|
29 |
% |
|
* The growth rates at CER were calculated assuming the same foreign currency exchange rates were in effect for the current and prior year period |
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|
Reconciliation of Loss from Operations (GAAP) to Adjusted Loss from Operations (Non-GAAP) |
||||||||||||
|
|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
||||||||
|
|
|
2026 |
|
2025 |
|
2026 |
|
2025 |
||||
|
GAAP loss from operations |
|
(76,489 |
) |
|
(54,895 |
) |
|
(145,874 |
) |
|
(111,206 |
) |
|
Plus: Depreciation and amortization expenses |
|
4,173 |
|
|
3,735 |
|
|
8,117 |
|
|
7,193 |
|
|
Plus: Share-based compensation |
|
11,941 |
|
|
16,973 |
|
|
25,465 |
|
|
32,773 |
|
|
Adjusted loss from operations |
|
(60,375 |
) |
|
(34,187 |
) |
|
(112,292 |
) |
|
(71,240 |
) |
View source version on businesswire.com: https://www.businesswire.com/news/home/20260806560438/en/
Investor Relations:
Christine Chiou / Cyan Liu
+1 (917) 886-6929 / +86 195 3130 8895
christine.chiou1@zailaboratory.com / cyan.liu@zailaboratory.com
Media:
Shaun Maccoun / Xiaoyu Chen
+1 (415) 317-7255 / +86 185 0015 5011
shaun.maccoun@zailaboratory.com / xiaoyu.chen@zailaboratory.com