RINGPU(300119) 西南证券·2024-08-27 06:06Investment Rating - Buy (Maintained) [1] Core Views - Revenue growth driven by pet sector, but veterinary drug profits under pressure [1] - H1 2024 revenue reached 1.099 billion yuan, up 10.56% YoY, while net profit attributable to shareholders decreased by 10.73% YoY to 159 million yuan [1] - Q2 2024 revenue was 566 million yuan, up 2.63% YoY, with net profit attributable to shareholders dropping 26.56% YoY to 72 million yuan [1] - Gross margin declined by 3.46 percentage points due to weak breeding market conditions and intense competition [1] - R&D investment increased to 96.71 million yuan, accounting for 8.80% of revenue, driving product innovation and market expansion [1] Business Performance - Poultry biological products sales reached 490 million yuan, up 14.88% YoY [1] - Pharmaceutical and API business revenue was 480 million yuan, up 2.29% YoY [1] - Pet sector revenue surged over 100% YoY to 34 million yuan, with strong sales of new cat triple vaccine (Rui Miao Shu) exceeding 1 million doses [2] - Expanded distribution channels with over 40 new partners and coverage of more than 5,700 hospital stores, including over 500 Ruipai pet hospitals [2] Financial Forecasts - EPS projected at 1.10, 1.35, and 1.61 yuan for 2024, 2025, and 2026, respectively [2] - Dynamic PE ratios estimated at 11x, 9x, and 7x for 2024, 2025, and 2026 [2] - Revenue growth rates forecasted at 24.02%, 21.89%, and 19.49% for 2024, 2025, and 2026 [3] - Net profit growth rates expected at 12.85%, 23.39%, and 18.88% for the same periods [3] R&D and Product Development - Obtained 8 new veterinary drug certificates, including vaccines and oral solutions [1] - Continued high R&D investment to enhance product quality and expand market share [1] - Future product pipeline includes rabies vaccine, cat quadruple mRNA vaccine, and oral deworming medications [2] Market and Industry Outlook - Pet healthcare market remains a blue ocean with significant growth potential [2] - Industry rating: In-line with the market, expected to perform within -5% to 5% of the relevant market index over the next 6 months [7]