Xin Lang Cai Jing·2025-08-28 05:17Core Viewpoint - The company is experiencing a phase of performance pressure due to industry cyclicality, but there are signs of order growth and potential improvement in financial results in the future [3]. Financial Performance - In the first half of 2025, the company achieved operating revenue of 669 million yuan, a year-on-year decline of 21.29%. The net profit attributable to the parent company was 61 million yuan, marking a return to profitability, while the net profit excluding non-recurring items was 23 million yuan, also indicating a return to profitability [1]. - In Q2 2025, the company reported operating revenue of 381 million yuan, a year-on-year decline of 27.32%. The net profit attributable to the parent company was 20 million yuan, down 80.67%, and the net profit excluding non-recurring items was -2.61 million yuan [1]. - The company's non-clinical drug research services generated revenue of 639 million yuan in H1 2025, down 21.07% year-on-year, while clinical services generated 29 million yuan, down 26.82% [2]. Profitability Analysis - The laboratory services segment faced significant profit pressure, contributing a net loss of approximately 970 million yuan in H1 2025, a decline of 537.54% year-on-year, primarily due to increased competition leading to a drop in gross margin (24.03%, down 6.34 percentage points) [2]. - The company’s financial management income contributed approximately 320 million yuan to net profit, while the fair value changes of biological assets contributed about 880 million yuan, likely due to a slight increase in the price of experimental monkeys [2]. Order Trends - The total order amount on hand for the company in H1 2025 was approximately 2.3 billion yuan, showing a recovery from about 2.2 billion yuan in Q1 2025. New orders signed in H1 2025 amounted to approximately 1.02 billion yuan, a significant increase from about 900 million yuan in H1 2024 [2]. International Strategy - The company is focusing on expanding its overseas market, achieving operating revenue of 252 million yuan from international operations in H1 2025, a year-on-year increase of 7.13%, with overseas revenue accounting for 37.69% of total revenue [4]. - Over the past two and a half years, the company has signed nearly 500 foreign application projects, with over 90% being dual submissions in China and the U.S. The company has obtained various international industry qualifications to support its international business [4]. Profit Forecast - The company forecasts operating revenues of 1.812 billion yuan, 2.087 billion yuan, and 2.406 billion yuan for 2025, 2026, and 2027, respectively. The net profits attributable to the parent company are expected to be 230 million yuan, 296 million yuan, and 367 million yuan for the same years, with corresponding diluted EPS of 0.31 yuan, 0.40 yuan, and 0.49 yuan [5].