Investment Rating - The report does not specify a clear investment rating for the company [1]. Core Insights - The company reported a significant profit increase, with net profit reaching $2.961 billion in 2024, primarily due to the gain from the demerger of its cell therapy business [7][8]. - The revenue for 2024 was $594.49 million, reflecting a decrease of 29.19% year-on-year, but is expected to rebound with a projected revenue of $937.21 million in 2025, representing a growth of 57.65% [2][8]. - The company is focusing on enhancing its life sciences services and products, with a projected revenue growth of 15% to 20% from 2025 to 2027 [8]. Financial Performance Summary - **Revenue**: - 2024: $594.49 million - 2025E: $937.21 million (growth of 57.65%) - 2026E: $829.90 million (decline of 11.45%) - 2027E: $981.93 million (growth of 18.32%) [2][9] - **Net Profit**: - 2024: $2.961 billion - 2025E: $309.95 million (decline of 89.54%) - 2026E: $130.72 million (decline of 57.82%) - 2027E: $208.01 million (growth of 59.12%) [2][9] - **Earnings Per Share (EPS)**: - 2024: $1.37 - 2025E: $0.14 - 2026E: $0.06 - 2027E: $0.10 [2][9] - **Return on Equity (ROE)**: - 2024: 68.54% - 2025E: 6.69% - 2026E: 2.75% - 2027E: 4.19% [2][9] Business Segment Performance - **Life Sciences Services and Products**: - 2024 revenue: $455 million (growth of 16%) - Expected to maintain stable pricing with projected growth rates of 15% to 20% from 2025 to 2027 [8][9]. - **Biologics Development Services**: - 2024 revenue: $95 million (decline of 13.2%) - Expected to recover with growth rates of 20% in 2025 and 10% in subsequent years [8][9]. - **Industrial Synthetic Biology Products**: - 2024 revenue: $53.7 million (growth of 25%) - Projected growth rates of 25% in 2025 and 18% in the following years [8][9]. Strategic Development - The company aims to invest in R&D for antibody drug development and AI drug development, enhancing operational efficiency and expanding global production capacity [7][8]. - It plans to strengthen its market presence in North America and Europe, focusing on customer relationships and expanding production capacity [7][8].

Investment Rating - The report does not specify a clear investment rating for the company [1] Core Views - Kingsray Biotechnology (1548.HK) reported a significant profit increase, with net profit reaching $2.961 billion in 2024, primarily due to the gain from the demerger of its cell therapy business [7][8] - The company’s revenue for 2024 was $594.49 million, reflecting a decrease of 29.19% year-on-year, but is expected to rebound with a projected revenue of $937.21 million in 2025, representing a growth of 57.65% [2][8] - The life sciences segment showed steady growth, with external revenue of approximately $450 million in 2024, up 10.2% year-on-year, driven by platform upgrades and operational efficiency improvements [7][8] Summary by Sections Financial Performance - In 2024, the company achieved a gross profit of $270 million, with a gross margin of 45.77% [10] - The projected net profit for 2025 is $309.95 million, with a significant drop in profitability expected in 2026 [2][8] - The earnings per share (EPS) for 2024 was $1.37, but is expected to decline to $0.14 in 2025 [2][8] Revenue Breakdown - Life Sciences Services and Products: Expected revenue growth of 15% in 2025, reaching $523.2 million [9] - Biologics Development Services: Anticipated revenue of $114 million in 2025, with a recovery expected after a decline in 2024 [9] - Industrial Synthetic Biology Products: Projected revenue growth of 25% in 2025, reaching $65 million [9] Strategic Development - The company plans to invest in R&D for antibody drug development and AI drug development, aiming to enhance product reliability and cost-effectiveness [7][8] - Expansion of production capacity in North America and Europe is a key focus to meet customer demands and mitigate supply chain risks [7][8] Market Position - The company’s market capitalization is approximately $27.69 billion, with a 52-week price range of HKD 8.23 to HKD 16.74 [5] - The stock has shown a relative performance against the Hang Seng Index, with fluctuations noted over the past year [4]

Investment Rating - The report maintains a "Buy" rating for the company [4] Core Insights - The company reported a revenue of $594 million for 2024, reflecting a year-over-year increase of 6.1%, and a significant net profit of approximately $2.96 billion, primarily due to the deconsolidation of its cell therapy business, which contributed $3.2 billion in earnings [1] - The life sciences segment achieved a revenue of $455 million in 2024, growing by 10.2% year-over-year, with an adjusted operating profit of $90 million, up 15.5% [2] - The CDMO business saw a revenue decline of 13.2% to $95 million in 2024, with an adjusted operating loss of $43 million, attributed to unfavorable market conditions and increased competition [3] - The synthetic biology segment experienced a revenue increase of 24.6% to $54 million, with adjusted operating profit remaining stable at approximately $2.1 million [3] - The company expects a revenue growth of 15%-20% in the CDMO business for 2025, driven by new project acquisitions and anticipated upfront payments from partners [3] Summary by Sections Financial Performance - The company achieved a total revenue of $594 million in 2024, with a significant turnaround in net profit to $2.96 billion from a loss of $95 million in 2023 [5] - The projected net profits for 2025 and 2026 are $248 million and $235 million, respectively, with an expected EPS of $0.12 and $0.11 [4][5] Business Segments - Life Sciences: Revenue of $455 million in 2024, with a focus on innovation and automation leading to improved operational efficiency [2] - CDMO: Revenue of $95 million in 2024, with a forecasted recovery in 2025 due to new project acquisitions [3] - Synthetic Biology: Revenue growth of 24.6% in 2024, driven by expanding customer base and market penetration [3] Valuation Metrics - The company’s current valuation is considered low, with projected PE ratios of 14, 15, and 7 for 2025, 2026, and 2027, respectively [4]

Investment Rating - The report maintains a "Buy" rating for the company [4] Core Insights - The company reported a revenue of $594 million for 2024, reflecting a year-over-year increase of 6.1%, and a significant net profit of approximately $2.96 billion, primarily due to the deconsolidation of its cell therapy business, which contributed $3.2 billion in gains [1][4] - The life sciences segment achieved a revenue of $455 million in 2024, up 10.2% year-over-year, with an adjusted operating profit of $90 million, marking a 15.5% increase [2] - The CDMO business saw a revenue decline of 13.2% to $95 million in 2024, with an adjusted operating loss of $43 million, attributed to unfavorable market conditions and increased competition [3] - The synthetic biology segment experienced a revenue growth of 24.6% to $54 million, with a stable adjusted operating profit of $2.1 million [3] - The company expects a revenue growth of 15%-20% in the CDMO business for 2025, driven by new project acquisitions and anticipated upfront payments from partners [3] Financial Forecasts and Valuation - The updated net profit forecasts for 2025 and 2026 are $248 million and $235 million, respectively, with a new estimate for 2027 at $505 million, reflecting the expected ramp-up in production capacity [4] - The earnings per share (EPS) estimates for 2025, 2026, and 2027 are $0.12, $0.11, and $0.23, respectively, with corresponding price-to-earnings (PE) ratios of 14, 15, and 7 [4][5]

Investment Rating - The report maintains a "Buy" rating for the company [8]. Core Views - The company has turned a profit in 2024, with a net profit of $3 billion, compared to a loss of $95 million in 2023, primarily due to a one-time gain from the deconsolidation of Legend Biotech, amounting to approximately $3.2 billion [1][4]. - The company is expected to continue its profitability into 2025, with projected revenue growth across its business segments [3]. Summary by Sections Financial Performance - In 2024, the company achieved revenue of $594.49 million, a 6.1% increase year-over-year, and an adjusted net profit of $60 million, reflecting a 2.9% increase year-over-year [1]. - The life sciences segment saw revenue and adjusted operating profit increase by 10.2% and 15.5%, respectively, reaching $455 million and $90 million [2]. - The CDMO segment experienced a revenue decline of 13.2% to $95 million, with an adjusted operating loss of $43 million, although signs of recovery are noted in the second half of the year [2]. - The synthetic biology segment reported a 24.6% increase in revenue to $54 million, with stable adjusted operating profit [2]. Future Projections - For 2025, the company anticipates continued profitability, with life sciences revenue growth projected at 10-15% and CDMO revenue growth of 15-20% [3]. - The synthetic biology segment is expected to grow by 20-25% in RMB terms, with an adjusted gross margin improvement to approximately 45% [3]. Valuation and Estimates - The company’s estimated net profits for 2025, 2026, and 2027 are projected to be $176 million, $264 million, and $501 million, respectively, with corresponding EPS of $0.08, $0.12, and $0.24 [5][23]. - The report assigns a target market capitalization of HKD 42.06 billion, with a target price of HKD 19.59, reflecting adjustments based on comparable company valuations [5][14].

Investment Rating - The report maintains an "Outperform" rating for Genscript Biotech [2][4][6] Core Insights - The deconsolidation of Legend Biotech has led to a significant profit improvement for Genscript, with a profit from discontinued operations of approximately $3 billion, compared to a loss of about $518 million in the same period in 2023 [7][17] - The company expects a positive trend for its continuing business segments in 2025, with projected revenues of $938 million, representing a year-on-year growth of 58% [2][8] - The total equity valuation of Genscript is estimated at $6.296 billion, translating to a target price of HK$22.78 per share [6][17] Summary by Segment Life Sciences Segment - Expected revenue for 2025 is $523 million, with a year-on-year growth rate of 15% and an adjusted operating profit of $104 million [13][14] - The segment's revenue in 2024 was approximately $454.9 million, up by 10.2% year-on-year, with an adjusted gross profit of about $237.7 million [14][17] Biologics Development Services Segment - Projected Fee-for-Service revenue for 2025 is $113 million, up by 19% year-on-year [14][15] - The segment's revenue in 2024 was about $95 million, down by 13.2% year-on-year, but showed signs of recovery in the second half of 2024 [14][17] Industrial Synthetic Biology Products Segment - Expected revenue for 2025 is $67 million, with a year-on-year growth rate of 25% [15][16] - The segment's revenue in 2024 was approximately $53.7 million, up by 24.6% year-on-year [14][17] Legend Biotech - After the deconsolidation, the market capitalization of Legend Biotech was $6.8 billion, with Genscript holding a 47.51% stake valued at approximately $3.231 billion [16][17]

Investment Rating - The report maintains an "Outperform" rating for Genscript Biotech [2][4][6] Core Insights - The deconsolidation of Legend Biotech has led to a significant profit improvement for Genscript, with a profit from discontinued operations of approximately $3 billion, compared to a loss of about $518 million in the same period last year [7][17] - The company expects a positive trend for its continuing business segments in 2025, with projected revenues of $938 million, representing a year-on-year growth of 58% [2][8] - The total equity valuation of Genscript is estimated at $6.296 billion, translating to a target price of HK$22.78 per share [6][17] Summary by Segment Life Sciences Segment - Expected revenue for 2025 is $523 million, with a year-on-year growth rate of 15% and an adjusted operating profit of $104 million, also growing by 15% [13][14] - The segment's revenue in 2024 was approximately $454.9 million, up by 10.2% year-on-year, with an adjusted gross profit of about $237.7 million [14][17] Biologics Development Services Segment - Projected Fee-for-Service revenue for 2025 is $113 million, up by 19% year-on-year [14][17] - The segment's revenue in 2024 was about $95 million, down by 13.2% year-on-year, but showed signs of recovery in the second half of 2024 [14][17] Industrial Synthetic Biology Products Segment - Expected revenue for 2025 is $67 million, with a year-on-year growth rate of 25% [15][17] - The segment's revenue in 2024 was approximately $53.7 million, up by 24.6% year-on-year [14][17] Legend Biotech - Following the deconsolidation, the market capitalization of Legend Biotech was approximately $6.8 billion, with Genscript holding a 47.51% stake valued at about $3.231 billion [16][17]

Investment Rating - The report maintains an "Outperform" rating for Genscript Biotech [2][4][6] Core Insights - The deconsolidation of Legend Biotech has led to a significant profit improvement for Genscript, with a profit from discontinued operations of approximately $3 billion, compared to a loss of about $518 million in the same period last year [7][17] - The continuing business segments are expected to show positive trends in 2025, with revenue from continuing operations projected at approximately $594.5 million, representing a year-on-year increase of 6.1% [3][14] - The total equity valuation of Genscript is estimated at $6.296 billion, translating to a target price of HK$22.78 per share [6][17] Summary by Segment Life Sciences Segment - Expected revenue for 2025 is $523 million, with a year-on-year growth rate of 15% and an adjusted operating profit of $104 million, also growing by 15% [13][14] - The segment's revenue in 2024 was approximately $454.9 million, up by 10.2% year-on-year, with an adjusted gross profit of about $237.7 million [3][14] Biologics Development Services Segment - Projected Fee-for-Service revenue for 2025 is $113 million, up by 19% year-on-year [14] - The segment's revenue in 2024 was about $95 million, down by 13.2% year-on-year, but showed a recovery with a growth rate of about 38% in the second half of 2024 [3][14] Industrial Synthetic Biology Products Segment - Expected revenue for 2025 is $67 million, with a year-on-year growth rate of 25% [14] - The segment's revenue in 2024 was approximately $53.7 million, up by 24.6% year-on-year, with an adjusted gross profit of about $22.6 million [3][14] Legend Biotech - Following the deconsolidation, the market capitalization of Legend Biotech was approximately $6.8 billion, with Genscript holding a 47.51% stake valued at about $3.231 billion [5][16]

Investment Rating - The report maintains a "Buy" rating for King’s Ray Biotechnology [3][9]. Core Views - The company is experiencing positive development across its three main segments, with an expected improvement in profitability. The joint venture Legend Biotech is ramping up production, which is anticipated to contribute profits to the parent company in 2026 [3][9]. Financial Summary - Revenue for 2024 is projected at $595 million, reflecting a 6.1% increase. The group net profit is expected to reach approximately $2.96 billion, marking a significant turnaround from losses, primarily due to a one-time investment gain from the merger with Legend Biotech [9]. - The adjusted net profit from continuing operations is stable at about $59.8 million, up by 2.9% [9]. - Revenue breakdown includes: - Life Sciences segment: $455 million (+10.2%), with an adjusted gross margin of 52% (+5.9 percentage points) [9]. - CDMO segment: $95 million (-13.2%), with an adjusted gross margin of $14 million [9]. - Baisjie segment: $54 million (+24.6%), with an adjusted gross margin of 36.1% (+2.8 percentage points) [9]. - The CAR-T therapy sales are projected to reach nearly $1 billion, with significant new capacity coming online [9]. Growth Catalysts - The CAR-T therapy is expected to exceed sales expectations, and a recovery in investment and financing is anticipated [9]. - The approval of the second-line MM in the U.S. is expected to drive sales growth, with CARVYKTI projected to generate $963 million in revenue for 2024, a 92.6% increase [9].

| 52周高位 (港元) | 17.28 | | --- | --- | | 52周低位 (港元) | 8.23 | | 市值 (百万港元) | 27,121.66 | | 日均成交量 (百万) | 28.89 | | 年初至今变化 (%) | 30.08 | | 200天平均价 (港元) | 11.38 | | 资料来源 : FactSet | | 丁政宁 交银国际研究 财务模型更新 | 医药 | 收盘价 | | 目标价 | 潜在涨幅 | 2025 年 3 月 13 日 | | --- | --- | --- | --- | --- | --- | | 港元 | | 12.80 | 港元 28.75 | +124.6% | | | 金斯瑞生物 (1548 HK) | | | | | | 2H24 核心业务板块增速复苏，新业务将迎增长拐点，维持买入 剔除传奇生物（LEGN US/买入）脱表影响后的 2024 全年收入和经调整净利润 基本符合业绩预告或我们的预期，生命科学和 CDMO 业务在 2H24 迎来增速反 弹，2025 年蓬勃生物和百斯杰有望迎来关键增长拐点。维持买入评级和 28.75 港元目标价。 1 ...