Investment Rating - The report maintains a "Buy" rating for the company and raises the target price for both the Hong Kong and A-share listings to HKD 27.0 and RMB 39.0 respectively [5][9]. Core Insights - The company reported a revenue of RMB 3.342 billion in Q2 2025, reflecting a year-on-year increase of 13.9% and a quarter-on-quarter increase of 7.9%, aligning closely with previous profit forecasts [1]. - The overall new order growth for the first half of 2025 continued at a rate of over 10% year-on-year, with the company maintaining its full-year revenue growth guidance of 10%-15% [4]. - The top 20 pharmaceutical companies showed strong revenue growth of 48% year-on-year in the first half of 2025, with expectations for continued growth in the second half [2]. Summary by Sections Financial Performance - In Q2 2025, the adjusted net profit attributable to the parent company was RMB 406 million, up 15.6% year-on-year and 16.3% quarter-on-quarter, slightly below expectations due to higher-than-expected losses from non-operating items [1]. - The gross margin for Q2 2025 was 33.7%, remaining stable year-on-year and quarter-on-quarter, while the adjusted net profit margin was 11.7%, showing a slight increase [1]. Revenue Breakdown - Laboratory services revenue grew by 15.2% year-on-year and 9.6% quarter-on-quarter, driven by strong growth in biological science services [3]. - CMC services revenue increased by 17.4% year-on-year and 0.5% quarter-on-quarter, primarily due to growth from top 20 pharmaceutical clients [3]. - Clinical research services revenue rose by 8.9% year-on-year and 10.0% quarter-on-quarter, although margins declined due to competitive pricing in the domestic market [3]. Market Outlook - The company expects continued revenue growth in the second half of 2025, although year-on-year growth may moderate due to a high base in the second half of 2024 [4]. - The report highlights that laboratory services and CMC will remain the main drivers of revenue growth, with profit margins expected to improve in the latter half of the year [4].
康龙化成（03759）：新签订单延续不错增速，维持全年收入指引