DEEJ(000423) 信达证券·2025-03-19 08:00Investment Rating - The report assigns a "Buy" rating for Dong'e Ejiao (000423) based on its strong performance and growth potential [1]. Core Views - Dong'e Ejiao's revenue for 2024 reached 5.921 billion yuan, a year-on-year increase of 25.57%, with a net profit attributable to shareholders of 1.557 billion yuan, up 35.29% year-on-year [1][2]. - The company maintains a dual-driven growth model focusing on both pharmaceutical products and health consumer goods, which are expected to continue driving revenue growth [3]. Summary by Sections Financial Performance - In 2024, the pharmaceutical segment generated 5.780 billion yuan in revenue, a 27% increase year-on-year, with the core product, Dong'e Ejiao (block), showing stable operational trends [2]. - The gross margin for the pharmaceutical segment was 73.46%, an increase of 1.15 percentage points year-on-year, while the net profit margin rose to 26.30%, up 1.87 percentage points [2]. Strategic Development - The company adheres to the "1238" development strategy, which includes a focus on traditional Chinese medicine, a dual-driven business model, and integration across various sectors [3]. - Key products such as Dong'e Ejiao (block), Compound Ejiao Syrup, and new products are expected to contribute significantly to growth in 2025 [3]. Shareholder Returns - Dong'e Ejiao has a strong commitment to shareholder returns, with a total dividend payout of approximately 15.55 billion yuan for 2024, representing nearly 100% of the net profit attributable to shareholders [5]. - The dividend yield is estimated to be around 4.1%, indicating the company's status as a high-dividend core asset [5]. Financial Projections - Revenue projections for 2025-2027 are 6.815 billion yuan, 7.849 billion yuan, and 9.045 billion yuan, respectively, with net profits expected to reach 1.842 billion yuan, 2.152 billion yuan, and 2.516 billion yuan [7]. - The estimated EPS for the same period is projected to be 2.86 yuan, 3.34 yuan, and 3.91 yuan, with corresponding P/E ratios of 20.37, 17.43, and 14.91 [7].