HUADONG MEDICINE(000963)2024-10-28 09:00Investment Rating - The report maintains a "Recommended" rating for Huadong Medicine [1][6] Core Views - The company reported a revenue of 31.478 billion yuan for the first three quarters of 2024, representing a year-on-year growth of 3.56%. The net profit attributable to shareholders was 2.562 billion yuan, up 17.05% year-on-year [2] - The pharmaceutical industrial segment showed robust growth, with revenue reaching 9.941 billion yuan in the first three quarters, a 10.53% increase year-on-year [3] - The company is actively expanding its product pipeline, with over 70 innovative products in development, focusing on endocrine, autoimmune, and oncology fields [4] - The company is expected to achieve net profits of 3.342 billion yuan, 3.874 billion yuan, and 4.414 billion yuan for 2024, 2025, and 2026 respectively, with growth rates of 17.71%, 15.94%, and 13.93% [5][6] Financial Performance Summary - For the first three quarters of 2024, the company achieved a net profit of 2.562 billion yuan, with a quarterly net profit of 866 million yuan, reflecting a 14.71% increase year-on-year [2] - The pharmaceutical industrial segment's revenue for the third quarter was 3.243 billion yuan, a 10.32% increase year-on-year, with a net profit of 755 million yuan, up 20.44% [3] - The company’s R&D investment in the pharmaceutical industrial segment was 1.607 billion yuan, a 0.60% increase year-on-year, with direct R&D expenses accounting for 11.69% of the segment's revenue [4] - The projected revenue for 2024 is 43.665 billion yuan, with a growth rate of 7.49% [6]