JINGXIN(SZ:002020) Bank of China Securities·2025-09-08 05:38Investment Rating - The report maintains a "Buy" rating for the company [1][5] Core Views - The company reported a significant improvement in Q2 performance, with the innovative drug Didasinib entering a rapid growth phase [3][8] - Despite a year-on-year decline in revenue and net profit for the first half of 2025, the company showed a positive trend in its core business and R&D efforts [3][8] - The report emphasizes the potential for Didasinib's commercialization and the company's ongoing R&D investments as key drivers for future growth [5][8] Financial Summary - For the first half of 2025, the company achieved revenue of 2.017 billion RMB, a year-on-year decrease of 6.20%, while net profit was 388 million RMB, down 3.54% [3][8] - The company forecasts net profits of 843 million RMB for 2025, 965 million RMB for 2026, and 1.058 billion RMB for 2027, with corresponding EPS of 0.98, 1.12, and 1.23 RMB respectively [5][7] - The report projects a revenue growth rate of 9.1% for 2025 and 11.9% for 2026, with EBITDA expected to reach 1.215 billion RMB in 2025 [7][9] Business Performance - In Q2 2025, the company recorded a revenue of 1.060 billion RMB, a 10.92% increase from Q1, while net profit for the quarter was 225 million RMB, reflecting a 37.54% quarter-on-quarter growth [8] - The company’s core product, Didasinib, generated 55 million RMB in revenue during the first half of 2025, with over 1,500 hospitals now covered under its network [8] R&D and Pipeline - The company increased its R&D expenditure to 185 million RMB in the first half of 2025, focusing on key therapeutic areas such as mental health, cardiovascular, and digestive diseases [8] - Significant progress has been made in clinical trials for several innovative drugs, including JX11502 for schizophrenia and new treatments for cardiovascular diseases [8]