KPC(SH:600422) China Post Securities·2025-12-11 09:48Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected relative increase in stock price of over 20% compared to the benchmark index within the next six months [7][9]. Core Insights - The company is experiencing temporary performance pressure due to delayed implementation of centralized procurement and internal channel restructuring. For the first three quarters of 2025, the company reported revenue of 4.751 billion yuan, a decrease of 18.08%, and a net profit attributable to shareholders of 269 million yuan, down 39.42% [3][4]. - The company is undergoing significant internal reforms, including channel restructuring and model transformation, which are expected to gradually improve business performance as new products are launched and centralized procurement progresses [3][5]. Financial Performance - For the first three quarters of 2025, the gross margin was 39.42%, down 4.40 percentage points, and the net profit margin was 5.67%, down 2.00 percentage points. The company’s operating cash flow net amount was 176 million yuan, a decrease of 52.43% [4]. - The company’s revenue projections for 2025-2027 are 8.247 billion yuan, 9.007 billion yuan, and 9.839 billion yuan, respectively, with net profits of 599 million yuan, 709 million yuan, and 851 million yuan, corresponding to price-to-earnings ratios of 16, 14, and 12 times [9][11]. Business Development - The company is enhancing its channel coverage through the integration of its 777 division with Huaren Shenghuo, focusing on the dual promotion of its blood circulation products. It is also expanding its overseas market presence, particularly in Indonesia, to leverage local clinical research and academic exchanges [5][6]. - Ongoing research projects include a new drug for treating ischemic stroke and several other drugs in various stages of clinical trials, indicating a robust pipeline for future growth [6].