Hengrui Pharma(SH:600276) EBSCN·2025-04-01 10:13Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The company achieved a revenue of 27.985 billion yuan in 2024, representing a year-over-year increase of 22.63%, and a net profit attributable to shareholders of 6.337 billion yuan, up 47.28% year-over-year, aligning with expectations [1] - Innovative drugs are the main growth driver, with revenue from innovative drugs reaching 13.892 billion yuan, a 30.6% increase year-over-year, accounting for over 50% of total revenue [2] - The company continues to increase its R&D investment, totaling 8.228 billion yuan in 2024, a 33.8% increase year-over-year, with 6.583 billion yuan of that being capitalized R&D expenses [2] - The company has successfully licensed multiple products to overseas companies, contributing to revenue growth, including a total of 1.1 billion USD from Kailera Therapeutics and 75 million USD from IDEAYA Biosciences [3] - The company is recognized as a leader in China's innovative drug sector, with ongoing investments in R&D and a forecasted net profit of 6.79 billion yuan for 2025, reflecting a 7.22% growth [3] Summary by Sections Financial Performance - In 2024, the company reported total revenue of 27.985 billion yuan, with a net profit of 6.337 billion yuan, and a non-recurring net profit of 6.178 billion yuan, showing significant growth compared to 2023 [1] - The revenue growth rate for 2024 was 22.63%, while the net profit growth rate was 47.28% [4] R&D and Innovation - The company has launched 17 first-class innovative drugs and 4 second-class innovative drugs in China by the end of 2024, indicating successful transformation in the innovative drug sector [2] - R&D expenses accounted for 23.52% of total revenue in 2024, reflecting the company's commitment to innovation [13] International Expansion - The company has engaged in international clinical trials and received fast-track designation from the FDA for three ADC products, showcasing its global ambitions [3] - The licensing agreements with international firms validate the clinical value of the company's products [3] Profitability and Valuation - The company is projected to have a P/E ratio of 46 for 2025, 39 for 2026, and 34 for 2027, indicating a strong valuation outlook [4] - The report forecasts a steady increase in net profit, with expectations of 9.156 billion yuan by 2027 [4]