Xi'an Manareco(SH:688550) EBSCN·2025-10-31 08:25Investment Rating - The report maintains a "Buy" rating for the company [4][6]. Core Insights - The pharmaceutical sector continues to expand, significantly boosting the company's performance, with a revenue increase of 19.01% year-on-year to 1.301 billion yuan in the first three quarters of 2025 [1][2]. - The company's net profit attributable to shareholders rose by 51.54% year-on-year to 281 million yuan, driven by strong growth in both the pharmaceutical and electronic materials segments [1][2]. - The gross margin improved by 4.34 percentage points to 47.64% due to the high-margin pharmaceutical segment's revenue growth [2]. Summary by Sections Financial Performance - In Q3 2025, the company achieved a revenue of 495 million yuan, a year-on-year increase of 23.78% and a quarter-on-quarter increase of 7.11% [1]. - The net profit for Q3 2025 was 115 million yuan, reflecting a year-on-year growth of 27.52% but a quarter-on-quarter decrease of 4.74% [1]. Business Segments - The pharmaceutical segment's growth is attributed to the ramp-up of core and new products, while the electronic materials segment benefited from the production of semiconductor photoresist and packaging materials [2]. - The company has expanded its pharmaceutical pipeline to 300 projects as of June 2025, with 165 innovative drug projects and 36 generic drug projects [3]. Future Outlook - The OLED business is expected to grow further, with a strategic investment of 76.4 million yuan in a subsidiary, enhancing the company's position in the OLED materials market [3]. - The company has revised its profit forecasts for 2025-2027, expecting net profits of 349 million, 438 million, and 538 million yuan respectively [4].