PONY(300887) Soochow Securities·2024-08-31 03:04Investment Rating - The report maintains an "Accumulate" rating for the company [1] Core Views - The company is experiencing short-term pressure on performance due to strategic adjustments and a weak downstream market in biomedicine, with expectations for profit recovery in the future [2][3] - The company has shifted its focus towards enterprise clients, impacting new order acquisition, and is currently undergoing a strategic transformation [2] - The company is investing in new laboratory facilities across multiple regions to enhance its comprehensive testing capabilities [3] Financial Performance Summary - In the first half of 2024, the company achieved total revenue of 730 million yuan, a year-on-year decrease of 39%, and a net profit attributable to shareholders of -170 million yuan, a year-on-year decline of 284% [2] - The gross profit margin for the first half of 2024 was 28.8%, down 15.7 percentage points year-on-year, while the net profit margin was -23.6%, down 31.5 percentage points year-on-year [3] - The company has adjusted its earnings forecasts for 2024-2026 to 0.08 billion yuan (previously 3.0 billion), 1.7 billion yuan (previously 3.8 billion), and 2.7 billion yuan (previously 4.6 billion), respectively [3] Business Segment Performance - Revenue from the life sciences and environmental health segment was 500 million yuan, a decrease of 45% year-on-year, while revenue from the automotive and other consumer goods segment was 130 million yuan, an increase of 4% year-on-year [2] - The company is currently facing challenges in its traditional business client structure and is experiencing losses due to fixed costs from newly established laboratories [2][3] Market Data - The company's closing price is 6.46 yuan, with a market capitalization of approximately 3.53 billion yuan [4] - The price-to-earnings ratio (P/E) based on the latest diluted earnings per share is projected to be 433.85 for 2024 [3][12]