REMEGEN(SH:688331) Donghai Securities·2024-06-19 10:00Investment Rating - The report maintains a "Buy" rating for the company [10]. Core Insights - The company is a leader in the domestic autoimmune and ADC fields, focusing on the discovery and development of innovative biopharmaceuticals. Its core products include Taitasip (RC18) and Vidisizumab (RC48), with significant market potential and ongoing clinical trials [9][10][17]. - Taitasip is the world's first BLYS/APRIL dual-target fusion protein, with expanding indications in the autoimmune disease market, including systemic lupus erythematosus (SLE) and rheumatoid arthritis (RA) [9][31]. - Vidisizumab is recognized as the first domestic ADC drug with dual breakthrough therapy designation from both the FDA and NMPA, showing strong competitive advantages in treating gastric cancer and urothelial carcinoma [10][14]. - The company has a rich pipeline of over 20 candidate drugs across various disease areas, with a significant increase in R&D investment from 216 million yuan in 2018 to 1.306 billion yuan in 2023 [10][28][24]. - Revenue projections for 2024-2026 are 1.586 billion yuan, 2.175 billion yuan, and 2.952 billion yuan, respectively, with net losses expected to decrease over the same period [10][11]. Summary by Sections Company Overview - Founded in 2008, the company went public in Hong Kong in 2020 and on the STAR Market in 2022, focusing on innovative biopharmaceuticals for autoimmune diseases, oncology, and ophthalmology [17][19]. - The management team has extensive experience in drug development and a stable shareholding structure [19][22]. Product Pipeline - Taitasip has received conditional approval for SLE and is progressing through clinical trials for multiple indications, including RA and IgA nephropathy [9][29]. - Vidisizumab has been approved for gastric cancer and urothelial carcinoma, with ongoing studies for combination therapies [10][14]. Financial Performance - The company reported revenues of 1.083 billion yuan in 2023, with both core products generating over 500 million yuan each [23][24]. - The gross margin has fluctuated, with 2023 showing a gross margin of 77.43% [24]. R&D and Commercialization - The company has established three core technology platforms for antibody and fusion protein development, ADCs, and bispecific antibodies, supporting a robust pipeline [27][28]. - The commercialization team has expanded significantly, with approximately 750 sales personnel for autoimmune products and nearly 600 for oncology, enhancing market access [26].