DRTG(SH:600329) Huaan Securities·2024-08-15 08:09Investment Rating - The investment rating for the company is "Buy" (maintained) [1][2] Core Views - The company has maintained stable growth in the industrial sector despite a high base in the first half of the year, with Q2 performance facing short-term pressure [1] - The company reported a revenue of 3.965 billion yuan for the first half of 2024, a year-on-year decrease of 3.02%, and a net profit attributable to shareholders of 658 million yuan, down 8.97% year-on-year [1] - The company is expected to achieve revenues of 9.12 billion, 10.18 billion, and 11.38 billion yuan for 2024, 2025, and 2026 respectively, with corresponding year-on-year growth rates of 11%, 12%, and 12% [2][3] Financial Performance Summary - In Q2 2024, the company achieved a revenue of 2.70 billion yuan, a year-on-year decrease of 15.95%, and a net profit of 258 million yuan, down 18.68% year-on-year [1] - The overall gross margin for the first half of 2024 was 49.93%, an increase of 3.07 percentage points year-on-year [1] - The operating cash flow net amount was 555 million yuan, a significant increase of 353.48% year-on-year [1] Revenue and Profit Forecast - The forecast for net profit attributable to shareholders is 1.15 billion, 1.39 billion, and 1.70 billion yuan for 2024, 2025, and 2026 respectively, with year-on-year growth rates of 17%, 21%, and 23% [2][3] - The company’s P/E ratios are projected to be 22X, 18X, and 15X for 2024, 2025, and 2026 respectively [2] Market and Product Development - The company has seen significant growth in key markets such as Guangdong and Jiangsu, with its core product, "速效救心丸," expanding its presence in over 600 medical terminals [1] - The company is advancing its innovation in traditional Chinese medicine and has initiated the construction of a self-research platform for classic formulas [1]