Zhi Tong Cai Jing·2026-03-24 07:25Core Viewpoint - UBS reports that China National Pharmaceutical Group (01099) is expected to have total revenue of 575.1 billion RMB in 2025, a year-on-year decrease of 1.6%, while net profit attributable to shareholders is projected to be 7.16 billion RMB, a year-on-year increase of 1.5%, both in line with expectations [2] Group 1: Financial Performance - The company is expected to experience a revenue decline due to ongoing industry policy headwinds affecting distribution income [2] - Despite the revenue decline, the company has managed to lower its operating expense ratio through cost control and business optimization [2] - UBS has raised its earnings per share forecast for 2026 to 2028 by 1% to 2% and maintained a "Buy" rating, increasing the target price from 24.2 HKD to 25.7 HKD [2] Group 2: Market Position and Growth - The company is anticipated to achieve revenue growth that outpaces the industry this year, primarily benefiting from an increase in market share, innovative drug distribution, and retail business [2] - There is an expectation of a slight expansion in net profit margin for the company [2]