Vazyme(SH:688105) Orient Securities·2024-03-28 16:00Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected return that is stronger than the market benchmark by over 15% [21][24]. Core Views - The company has experienced a significant decline in revenue due to a sharp drop in demand for diagnostic testing materials and reagents, with a projected revenue of 1.281 billion yuan in 2023, representing a 64.1% decrease year-on-year [21][36]. - Despite the short-term pressure on performance, the company has successfully launched new products and seen significant growth in its overseas business, particularly in the life sciences sector [36]. - The company achieved profitability in the third quarter, with a net profit of 4.7044 million yuan, attributed to improved cost control and efficiency in research and development [36]. Financial Summary - The company's revenue for 2021 was 1.869 billion yuan, which increased to 3.569 billion yuan in 2022, but is expected to drop to 1.281 billion yuan in 2023 [23]. - The net profit attributable to the parent company was 678 million yuan in 2021, decreasing to 594 million yuan in 2022, and projected to be -70 million yuan in 2023 [23]. - The earnings per share (EPS) are forecasted to be -0.17 yuan in 2023, with a recovery expected to 0.30 yuan in 2024 and 0.85 yuan in 2025 [21][23].