XJZY(002332) ZHONGTAI SECURITIES·2024-09-02 08:31Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company reported a revenue of 2.138 billion yuan for H1 2024, a year-on-year increase of 0.93%, and a net profit of 340 million yuan, up 12.56% year-on-year [2][6] - Profit growth accelerated on a quarter-on-quarter basis, indicating a positive operational trend [2][6] - The company is expected to see revenue growth of 4.38%, 11.15%, and 14.01% for 2024, 2025, and 2026, respectively, with net profit growth of 20.49%, 21.05%, and 22.47% for the same years [2][6] Financial Performance Summary - Revenue Forecasts: - 2022A: 4.38 billion yuan - 2023A: 4.12 billion yuan - 2024E: 4.30 billion yuan - 2025E: 4.78 billion yuan - 2026E: 5.45 billion yuan - Year-on-year growth rates: 0.52%, -5.85%, 4.38%, 11.15%, 14.01% [1] - Net Profit Forecasts: - 2022A: 749.41 million yuan - 2023A: 563.08 million yuan - 2024E: 678.44 million yuan - 2025E: 821.28 million yuan - 2026E: 1.01 billion yuan - Year-on-year growth rates: 21.00%, -24.86%, 20.49%, 21.05%, 22.47% [1] - Earnings Per Share: - 2022A: 0.76 yuan - 2023A: 0.57 yuan - 2024E: 0.69 yuan - 2025E: 0.83 yuan - 2026E: 1.02 yuan [1] - Cash Flow and Return Ratios: - Cash flow per share: 0.62 yuan in 2022A, expected to rise to 1.12 yuan by 2026E - Return on equity: 13.73% in 2022A, projected to reach 13.37% by 2026E [1] Business Segment Analysis - Formulations: - H1 2024 formulation revenue reached 1.215 billion yuan, a 10.6% increase year-on-year, with significant growth in respiratory and anesthetic products [2][11] - Active Pharmaceutical Ingredients (APIs): - H1 2024 API revenue was 910 million yuan, a 9% decrease, primarily due to inventory destocking in overseas markets [2][12] Cost and Profitability Metrics - Profit Margins: - H1 2024 gross margin was 54.84%, up 3.16 percentage points year-on-year, while net margin was 16.26%, up 2.05 percentage points [2][14] - Research and Development: - R&D expenses for H1 2024 were 125 million yuan, representing a 33.79% increase, accounting for 5.84% of total revenue [2][14]