Investment Rating - The investment rating for the company is upgraded to "Buy" [1] Core Views - The company experienced a steady growth in its conventional business, but increased investments have put pressure on profit margins [4] - In 2024, the company achieved a revenue of 614 million yuan, a year-on-year decrease of 5.06%, while the net profit attributable to the parent company was 122 million yuan, down 53.13% year-on-year [4] - The conventional business generated a revenue of 533 million yuan in 2024, reflecting a year-on-year growth of 10.54% [4] - The company has adjusted its profit forecasts for 2025-2026 and added a forecast for 2027, expecting net profits of 156 million yuan, 183 million yuan, and 209 million yuan respectively [4] Financial Summary - In 2024, the company’s revenue from the recombinant protein business was 273 million yuan, a year-on-year increase of 6.87% [5] - The antibody business saw a revenue decline to 106 million yuan, down 41.20% year-on-year [5] - The CRO service business generated 169 million yuan in revenue, marking a year-on-year growth of 9.40% [5] - The company’s overseas revenue reached 354 million yuan in 2024, accounting for 57.74% of total revenue [6] - The projected earnings per share (EPS) for 2025, 2026, and 2027 are 1.28 yuan, 1.50 yuan, and 1.72 yuan respectively [4] Valuation Metrics - The current price-to-earnings (P/E) ratios for 2025, 2026, and 2027 are projected to be 47.4, 40.4, and 35.3 respectively [8] - The gross margin for 2024 is reported at 73.3%, with a net margin of 19.9% [8] - The return on equity (ROE) for 2024 is 2.1% [8]
义翘神州（301047）：公司信息更新报告：常规业务稳健增长，投入增加致利润端承压