Xin Lang Cai Jing·2025-12-19 06:29Core Viewpoint - The company is actively expanding its presence in the East China commercial market through strategic acquisitions and internationalization efforts [2][3]. Group 1: Acquisition of Zhejiang Medical Industry - The company announced that its subsidiary, Guangzhou Pharmaceutical, plans to acquire 100% equity of Zhejiang Medical Industry from Haizheng Pharmaceutical for a total consideration of 501 million yuan [1]. - Zhejiang Medical Industry is ranked among the top six pharmaceutical distribution companies in Zhejiang Province, with projected revenues of 4.245 billion yuan for 2024 and 2.920 billion yuan for the first quarter of 2025 [2]. - This acquisition is expected to enhance Guangzhou Pharmaceutical's customer network in Zhejiang and surrounding areas, optimizing its industrial layout in East China and improving market coverage [2]. Group 2: Investment in Nanjing Pharmaceutical - The company announced an investment in Nanjing Pharmaceutical through its subsidiary, Guangyao Phase II Fund, to acquire a portion of its shares by September 2025 [2]. - This investment aims to strengthen business cooperation with Nanjing Pharmaceutical, enhancing collaboration in capital, distribution channels, and traditional Chinese medicine, thereby optimizing the industrial layout in East China [2]. Group 3: Internationalization of Health Sector - In 2025, the company plans to accelerate the internationalization of its health sector, launching four international flavors in a global event in Shanghai [3]. - The international flavors have been gradually launched in countries like Singapore and Malaysia since November, and a local production cooperation framework has been signed with partners in Malaysia [3]. - The company is transitioning from product export to industry chain export and brand export, indicating a significant upgrade in its international strategy [3]. Group 4: Profit Forecast and Valuation - The company maintains its net profit forecasts for 2025 and 2026 at 3.12 billion yuan and 3.431 billion yuan, respectively [3]. - The current A-share price corresponds to a price-to-earnings ratio of 13.4 and 12.2 for 2025 and 2026, while the H-share price corresponds to 8.8 and 7.9 [3]. - The company maintains a target price of 34.0 yuan for A-shares and 23.0 HKD for H-shares, indicating potential upside of 32.5% and 24.7%, respectively [3].