MGI(SH:688114) EBSCN·2024-11-03 03:13Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The company experienced significant pressure on its performance in Q3 2024, with a 13.22% year-on-year decline in revenue and an increased net loss of 1.65 billion yuan [2][3] - Despite the challenging macroeconomic environment, geopolitical factors, and market competition, the company is expanding its strategic partnerships across various fields, which may support its future growth [3] Summary by Sections Financial Performance - For the first three quarters of 2024, the company reported revenues of 1.869 billion yuan, a decrease of 15.19% year-on-year, and a net loss of 463 million yuan, worsening from previous losses [1] - In Q3 2024, the company achieved revenues of 660 million yuan, down 13.22% year-on-year, with a net loss of 165 million yuan [1][2] Cost and Expenses - The gross margin for Q3 2024 was 58.38%, a decline of 4.66 percentage points year-on-year, while the selling expense ratio increased by 6.92 percentage points to 33.99% [2] - R&D expenses slightly decreased to 201 million yuan in Q3 2024, accounting for 30.49% of revenue [2] Strategic Developments - The company has formed strategic partnerships with several organizations, enhancing its capabilities in immunology research and synthetic biology [3] - New product launches in Q3 2024 included a range of innovative technologies and instruments, indicating ongoing investment in R&D despite financial pressures [2] Earnings Forecast and Valuation - The profit forecasts for 2024 and 2025 have been revised downwards to net losses of 294 million yuan and a profit of 69 million yuan, respectively, with a new forecast for 2026 projecting a net profit of 167 million yuan [3]