Shanghai Pharma(SH:601607) Huafu Securities·2024-08-28 03:11Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 20% relative to the market benchmark index within the next six months [6][17]. Core Views - The company reported a revenue of 139.4 billion yuan for the first half of 2024, representing a year-on-year growth of 5.1%, with a net profit attributable to shareholders of 2.94 billion yuan, up 12.7% [1]. - The commercial segment showed steady growth, with Q2 revenue reaching 63.5 billion yuan, a 6.7% increase, and a notable performance in the CSO business, which saw a revenue surge of 217% [2]. - The industrial segment faced revenue pressure, with Q2 income down 16.1% to 5.79 billion yuan, primarily due to a decline in a subsidiary's performance, yet profitability improved with a net profit of 640 million yuan, up 2.9% [3]. Financial Analysis - The company achieved a gross margin of 11.75% and a net margin of 2.5% in Q2, with operational efficiency indicators showing an increase in accounts receivable turnover days to 99.3 days, while inventory turnover days decreased to 52.5 days [4]. - The forecast for revenue from 2024 to 2026 is projected at 289.8 billion yuan, 320.5 billion yuan, and 351.3 billion yuan respectively, with corresponding net profits of 5.24 billion yuan, 5.84 billion yuan, and 6.54 billion yuan, indicating strong growth potential [5][14].