JIANMIN GROUP(SH:600976) Xinda Securities·2024-03-18 16:00Investment Rating - The report maintains a "Buy" rating for Jianmin Group, with expected revenue growth from 48.29 billion to 64.14 billion CNY from 2024 to 2026, and corresponding net profits increasing from 6.19 billion to 9.16 billion CNY during the same period [2][17]. Core Insights - Jianmin Group achieved a revenue of 4.213 billion CNY in 2023, representing a year-on-year growth of 15.72%, and a net profit of 521 million CNY, up 27.78% year-on-year [17]. - The growth in net profit is attributed to the strong performance of key products such as Longmu and investment income from Jianmin Dapeng [17]. - The company is actively advancing its R&D in traditional Chinese medicine, with several new drug approvals and ongoing projects aimed at enhancing its product offerings [17]. Financial Performance Summary - Total revenue (in million CNY) for the years 2022A to 2026E is projected as follows: 3,641 (2022), 4,213 (2023), 4,829 (2024), 5,564 (2025), and 6,414 (2026), with growth rates of 10.3%, 15.7%, 14.6%, 15.2%, and 15.3% respectively [3]. - Net profit attributable to the parent company (in million CNY) is forecasted to be: 408 (2022), 521 (2023), 619 (2024), 746 (2025), and 916 (2026), with year-on-year growth rates of 33.7%, 27.8%, 18.7%, 20.6%, and 22.8% respectively [3]. - The gross profit margin is expected to remain stable, with figures of 43.3% (2022), 46.0% (2023), 45.5% (2024), 46.3% (2025), and 47.3% (2026) [3]. - Earnings per share (EPS) is projected to increase from 2.66 CNY in 2022 to 5.97 CNY in 2026 [3]. R&D and Product Development - The company is focusing on the development of new traditional Chinese medicine products, with 27 ongoing R&D projects and 7 new product approvals in 2023 [17]. - Jianmin Group plans to implement differentiated marketing strategies for its two major product lines in 2024, aiming to enhance market coverage and brand recognition [17].