Investment Rating - Buy rating maintained for Kangnong Seed (837403 BJ) [1] Core Views - Short-term performance pressure observed with 2024H1 revenue at 471 389 million yuan (-0 2%) and net profit attributable to parent company at 77 427 million yuan (-27 23%) [1] - 2024-2026 net profit forecast adjusted to 0 63 0 69 0 78 billion yuan with EPS of 0 89 0 97 1 09 yuan/share [1] - PE ratios for 2024-2026 estimated at 9 1x 8 3x 7 3x [1] - Hybrid corn seed business remains promising [1] Financial Performance - 2024H1 hybrid corn seed revenue increased by 2 13% to 450 362 million yuan [2] - Revenue from konjac seeds and Chinese herbal medicine seedlings dropped significantly to 7 35 million yuan and 1 97 million yuan respectively [2] - Regional revenue growth: East China +370 21% North China +152 83% Central China +17 96% [2] - R&D expenses increased by 58 29% to 55 817 million yuan in 2024H1 [2] - 17 national and 11 provincial approved varieties reported [2] Market Expansion - Accelerated market development in Huang-Huai-Hai region [2] - Increased hybrid seed production and R&D land area in Gansu Ningxia and Hubei Changyang [2] Policy Impact - Policy support for agricultural technology and seed industry development [3] - Implementation of Food Security Law and Green Sword Action to purify seed market [3] - Favorable environment for seed enterprises with integrated breeding and promotion systems [3] Financial Forecasts - 2024-2026 revenue forecast: 3 76 4 32 5 53 billion yuan [4] - 2024-2026 net profit forecast: 0 63 0 69 0 78 billion yuan [4] - 2024-2026 gross margin: 28 0% 27 1% 25 6% [4] - 2024-2026 ROE: 19 3% 17 8% 17 2% [4] Valuation Metrics - Current price: 8 02 yuan [5] - Market cap: 569 million yuan [5] - 3-month turnover rate: 157 11% [5]
康农种业：北交所信息更新：黄淮海市场开拓初有成效，2024H1玉米种子营收+2.13%