ZLABZai Lab Limited

$24.04-17% 1Y

Is the business good?

Good

Margins widening. That is the only one of 4 checks this filer's data supports, so take it as a single data point rather than a settled answer.

1 good, 3 without data
Margin direction, 3 years+95.4 ptsderived

Operating margin has widened over the past few years, the business is getting more profitable per dollar of sales.

Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.

How good a business is ZLAB?

Zai Lab Limited earns −92% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.

−92%

Return on invested capital · cost of capital 9.0% · 101 points below what the capital costs: growth destroys value

Operating margin
−59%

Operating margin · Biotechnology median −82% · 12 months to Q2 2026

Share count, year on year
+2.3%

Share count, year on year · shareholders own a smaller slice than a year ago

R&D as % of revenue
53%

R&D as % of revenue

Operating margin by fiscal year
YearOperating margin
FY2020−616%
FY2021−485%
FY2022−188%
FY2023−137%
FY2024−71%
FY2025−50%
Details›
Gross margin12 months to Q2 2026
57%
Operating margin12 months to Q2 2026
−59%
Net margin12 months to Q2 2026
−42%
Free cash flow margin
−31%
R&D as % of revenue
53%
Revenue, trailing twelve months
$450M
Free cash flow, trailing twelve months
−$140M
Net income, trailing twelve months
−$188M
Return on invested capitaloperating profit after tax ÷ debt + equity − cash
−92%

Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.

Customers and suppliers

Who buys from ZLAB and who it buys from, as the companies report it.

17%of revenue comes from one customer
Customerswho buys
  • One customer
    17%

    Share of revenue · FY2025 10-K

  • Five largest customers
    33%

    Combined share of revenue · FY2025 10-K

Supplierswho it buys from

None disclosed.

A company has to disclose every customer behind 10% or more of its revenue. Each share comes from the latest annual report of the company that states it and shows on both companies’ pages; ZLAB’s own figures are from its FY2025 10-K. Smaller customers and suppliers go unreported.