BTBP(SH:600161)2024-07-16 11:00Investment Rating - The report maintains a "Buy" rating for the company Tian Tan Biological Products [1] Core Views - The company reported a total revenue of 2.841 billion yuan for the first half of 2024, representing a 6% year-on-year increase, while the net profit attributable to shareholders reached 726 million yuan, up 28% year-on-year [1] - In Q2 2024, the company achieved revenue of 1.619 billion yuan, a 16% year-on-year growth, and a net profit of 409 million yuan, reflecting a 34% year-on-year increase [1] - The company continues to lead in the number of plasma collection stations and processing capacity, with 76 operational stations and a collection volume of 2,415 tons, which is a 19% increase year-on-year [1] - The launch of new products, including the fourth-generation high-purity immunoglobulin and recombinant human coagulation factor VIII, is expected to contribute significantly to revenue growth [1] - The company has set ambitious operational targets for 2024, forecasting revenues of 6.126 billion yuan and net profits of 1.791 billion yuan, indicating a growth rate of 18% and 19% respectively [1] Financial Summary - The company’s revenue is projected to grow from 5.180 billion yuan in 2023 to 6.999 billion yuan in 2025, with a compound annual growth rate (CAGR) of approximately 16% [2] - The net profit attributable to shareholders is expected to increase from 1.110 billion yuan in 2023 to 1.812 billion yuan in 2026, with a CAGR of around 17% [2] - The gross margin is anticipated to improve from 50.76% in 2023 to 53.03% in 2026 [2] - The price-to-earnings (P/E) ratio is projected to decrease from 41.69 in 2023 to 25.54 in 2026, indicating a more attractive valuation over time [2] Operational Highlights - The company has a total of 102 plasma collection stations across 16 provinces, with plans to increase processing capacity to 4,000-5,000 tons [1] - The research pipeline includes over ten products in development, focusing on rare diseases and immune deficiencies, with several products in advanced clinical trial stages [1] - The company’s operational efficiency is expected to improve due to effective cost control and pricing strategies [1]