30 Mar 2022
In-Depth Analysis: Broncus (2216 HK, BUY): FY21 revenue above consensus by 13%
- FY21 net loss of US$236m larger than consensus of US$34m due to one-off expenses of US$199m.
- FY21 revenue grew by 234% to US$11m driven by China sales increasing 375% y-o-y following easing of COVID-19.
- Valuation now extremely attractive as the stock is trading below net cash value.
- Two catalysts in 2022: (1) Sales ramp-up in China following core product approval in March 2022; (2) Clinical trial results of core product in 2H22.
- We currently have a BUY rating with TP HK$13.5.