TAIJI GROUP(600129) 国海证券·2024-08-27 14:04Investment Rating - The report maintains a "Buy" rating for the company [1] Core Viewpoints - The company's 2024H1 performance is under short-term pressure due to high base effects from the previous year, but the report remains optimistic about the medium to long-term growth potential of its product portfolio [2][3] - The company has been optimizing its marketing system, focusing on product clusters, sales management, new retail platforms, brand communication, and digital platforms, which are expected to drive stable growth in the medium to long term [2] - Despite a decline in revenue and net profit in 2024H1, the company's health products segment showed strong growth, increasing by 79.63% YoY [3][4] Financial Performance Summary - In 2024H1, the company reported revenue of 7.817 billion yuan, a YoY decrease of 13.64%, and net profit attributable to shareholders of 495 million yuan, a YoY decrease of 12.51% [3] - The pharmaceutical industry segment saw a revenue decline of 19.77% YoY, while the pharmaceutical commerce segment declined by 10.96% YoY [4] - The respiratory system drugs segment achieved a revenue growth of 4.25% YoY, despite a high base from the previous year [4] Product Portfolio Performance - The digestive and metabolic drugs segment revenue decreased by 26.34% YoY, mainly due to a decline in sales of Huoxiang Zhengqi Oral Liquid [4] - The anti-infective drugs segment revenue dropped by 37.53% YoY, primarily due to a decline in sales of Yibaoshiling [4] - The health products segment revenue increased by 79.63% YoY, showing strong growth potential [4] Forecast and Valuation - The report forecasts revenue for 2024-2026 to be 15.763 billion yuan, 17.979 billion yuan, and 20.676 billion yuan, respectively, with net profit attributable to shareholders expected to be 1.024 billion yuan, 1.337 billion yuan, and 1.650 billion yuan [5] - The company's PE ratio for 2024-2026 is projected to be 11.58x, 8.87x, and 7.19x, respectively, indicating attractive valuation levels [5] - The report highlights the company's rich product portfolio and market development potential, supported by optimized marketing systems and improved cost control [5]