佐力药业：乌灵系列持续高增，百令胶囊有望接力

Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [7][9]. Core Insights - The company is focused on the pharmaceutical sector of medicinal fungi, with the Wuling series being the main growth driver. The company has developed multiple proprietary traditional Chinese medicine products and aims to expand its product matrix [4][14]. - The three core products, Wuling Capsule, Bailing Tablet, and Lingze Tablet, have clear advantages in terms of efficacy and safety, supported by clinical evidence. They are included in the national essential drug list and various medical insurance directories, indicating broad clinical application [4][5][37]. - The company has shown strong revenue growth, with a projected increase in operating income and net profit for 2024-2026, reflecting a robust business model and market position [7][20]. Revenue Growth and Profitability - The company's total revenue grew from 730 million in 2018 to 1.942 billion in 2023, with a CAGR of 21.61%. For the first three quarters of 2024, revenue reached 2.045 billion, a year-on-year increase of 39.59% [20][21]. - The gross margin has remained stable, with a slight decline due to changes in revenue composition. The gross margin for the Wuling series is approximately 86%, while the gross margin for the traditional Chinese medicine segment is around 21% [22][25]. Product Matrix and Market Position - The company has established a comprehensive product matrix, including the Wuling series, Bailing series, traditional Chinese medicine pieces, and formula granules. The Wuling series contributes over 60% of total revenue, with significant growth in recent years [34][32]. - The Wuling Capsule is positioned to become a major product with a target scale of 2 billion. The company is also focusing on expanding its OTC market share and developing new indications for existing products [38][48]. Future Growth Drivers - The company plans to expand the Wuling series to include 10 products, with the recent approval of Lingxiang Tablet for chronic pelvic pain as a new growth point [36][34]. - The company is actively pursuing the development of new indications for the Wuling Capsule, particularly in the Alzheimer's disease space, which presents a significant market opportunity [52][52].