TAIJI GROUP(SH:600129) KAIYUAN SECURITIES·2024-03-28 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company has shown stable improvement in operational quality and rapid profit growth, with a projected net profit of 1.09 billion yuan for 2024, reflecting a 33% year-on-year increase [5] - The company is focusing on market expansion for its core products and has adjusted profit forecasts for 2024-2026, with expected earnings per share (EPS) of 1.96, 2.33, and 2.69 yuan respectively [5][8] Financial Performance Summary - In 2023, the company achieved revenue of 15.623 billion yuan, a year-on-year increase of 10.58%, and a net profit of 822 million yuan, up 131.99% [5] - The gross margin for 2023 was 48.6%, an increase of 3.18 percentage points, while the net margin improved to 5.26%, up 2.76 percentage points [5] - The company’s revenue breakdown by segment includes 10.388 billion yuan from pharmaceutical manufacturing (up 19.4%), 7.726 billion yuan from pharmaceutical commerce (down 3.31%), and 1.017 billion yuan from traditional Chinese medicine resources (up 118.6%) [6] Industry and Strategic Developments - The company is advancing its digital transformation and integrating resources across its business segments to enhance operational efficiency [7] - The focus is on deepening brand value in retail and strengthening academic support to boost sales [7]