PHARMARON(SZ:300759) AVIC Securities·2025-04-04 00:55Investment Rating - The investment rating for the company is "Buy," indicating an expected return exceeding 10% relative to the CSI 300 index over the next six months [8][18]. Core Insights - In 2024, the company achieved operating revenue of 12.276 billion yuan, a year-on-year increase of 6.39%, with a net profit attributable to shareholders of 1.793 billion yuan, up 12.01% year-on-year [1][14]. - The company added over 900 new clients, including major global pharmaceutical companies, contributing 655 million yuan to revenue, which accounts for 5.34% of total revenue [3][14]. - The company operates an integrated platform that enhances collaboration across its service segments, leading to improved operational efficiency and revenue growth [10][14]. Summary by Sections Financial Performance - The company reported quarterly revenue growth throughout 2024, with Q4 revenue reaching 3.459 billion yuan, a year-on-year increase of 16.1% [2]. - Non-IFRS adjusted net profit for 2024 was 1.607 billion yuan, a decrease of 15.6% year-on-year [1][2]. Client Base and Revenue Sources - The company served over 3,000 global clients, with 74.84% of revenue coming from clients using multiple service segments [3]. - Revenue from the top 20 global pharmaceutical clients was 2.189 billion yuan, a 26.9% increase year-on-year [3]. Business Segments - Laboratory services generated 7.047 billion yuan in revenue, a 5.81% increase year-on-year, driven by a recovery in the biopharmaceutical sector [10]. - CMC services achieved 2.989 billion yuan in revenue, up 10.24% year-on-year, with a gross margin of 33.62% [10][11]. - Clinical research services reported revenue of 1.826 billion yuan, a 5.12% increase year-on-year, despite facing margin pressures [11][12]. - The large molecule and cell and gene therapy services generated 408 million yuan, with a gross margin of -50.07%, indicating ongoing investment in this segment [13]. Future Projections - The company expects EPS of 0.98 yuan, 1.17 yuan, and 1.41 yuan for 2025, 2026, and 2027, respectively, with corresponding dynamic P/E ratios of 27.44, 23.07, and 19.10 [14][16]. - The overall strategy focuses on an integrated, international, and multi-therapy approach, positioning the company to benefit from increasing global R&D investments in pharmaceuticals [14].