Hefei Lifeon Pharmaceutical (SZ:003020) Guotou Securities·2024-08-31 09:38Investment Rating - The report maintains a "Buy-A" investment rating for the company with a 6-month target price of 20.80 CNY per share, while the current stock price is 17.84 CNY [1][5]. Core Insights - The company's revenue for H1 2024 was 769 million CNY, a year-on-year decrease of 39.32%, with a net profit of 73 million CNY, down 33.01% year-on-year [2][3]. - The company experienced a significant improvement in Q2 2024, with a net profit of 45 million CNY, representing a 58.19% increase from Q1 2024, driven by strong sales of key products [3][4]. - The company is actively expanding its portfolio in controlled-release formulations and traditional Chinese medicine, with several core products expected to see rapid growth [4]. Financial Performance - The company’s revenue breakdown for H1 2024 shows that the pharmaceutical industry generated 701 million CNY (+17.53%), while retail sales were 57 million CNY (-22.56%) [3]. - The projected net profits for 2024 to 2026 are estimated at 198 million CNY, 245 million CNY, and 305 million CNY respectively, with an expected EPS of 1.04 CNY for 2024 [5][8]. - The report forecasts a revenue growth rate of 24.4% in 2025 and 23.3% in 2026, indicating a recovery trend after the decline in 2023 [8].