CCHT(000661) 海通证券·2024-03-10 16:00Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [1] Core Views - The company has launched a "Quality Return Dual Improvement" plan, demonstrating confidence in long-term development. This includes a commitment to core business areas, innovation-driven growth, enhanced information disclosure, improved governance, shareholder return planning, and a focus on social responsibility [4][5] - For the first three quarters of 2023, the company achieved revenue of 8.118 billion yuan (up 4%) and a net profit of 3.524 billion yuan (up 2%). The implementation of centralized procurement for growth hormone in certain provinces has been effective, and the risk from this procurement is considered manageable [4][5] - The company has a strong product pipeline, with several products in various clinical stages, including long-acting growth hormones, which saw a revenue increase of 30% in the first three quarters of 2023 [4][5] Financial Performance - The company is projected to achieve net profits of 4.646 billion yuan, 5.353 billion yuan, and 6.387 billion yuan for 2023, 2024, and 2025, respectively, representing year-on-year growth of 12.2%, 15.2%, and 19.3% [5][6] - The revenue forecast for the company is 13.597 billion yuan in 2023, 16.149 billion yuan in 2024, and 19.489 billion yuan in 2025, with corresponding growth rates of 7.7%, 18.8%, and 20.7% [6][9] - The gross profit margin is expected to improve from 90.4% in 2023 to 91.3% in 2025, indicating strong profitability [6][9] Valuation - The company is assigned a price-to-earnings (P/E) ratio of 12-15x for 2024, leading to a reasonable valuation range of 158.78 to 198.48 yuan per share [5][8] - The average P/E ratio of comparable companies is noted, with the company positioned favorably within this context [8]