Shanghai Aladdin Biochemical Technology (SH:688179) KAIYUAN SECURITIES·2024-04-01 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's revenue for 2023 reached 403 million yuan, a year-on-year increase of 6.55%, while the net profit attributable to shareholders was 85.83 million yuan, a year-on-year decrease of 7.48%. The fourth quarter showed a revenue of 120 million yuan, a year-on-year increase of 6.79% and a quarter-on-quarter increase of 23.40% [1][2] - The company is focusing on independent research and development to expand its product line and strengthen channel construction, which is expected to open up future growth opportunities. The acquisition of Shanghai Yuanye Biotechnology for approximately 181 million yuan is anticipated to enrich the product line in biochemical reagents and enhance market influence [2][3] - The company has adjusted its profit forecasts for 2024-2025 due to a slowdown in downstream demand, now expecting net profits of 111 million yuan, 137 million yuan, and 165 million yuan for 2024, 2025, and 2026 respectively [1][3] Financial Summary - In 2023, the company invested approximately 51.25 million yuan in R&D, a year-on-year increase of 31.65%, with R&D personnel reaching 187, accounting for 33.04% of total employees [2] - The gross profit margin for 2023 was 60.2%, an increase of 3.62 percentage points year-on-year, while the net profit margin was 21.3%, an increase of 2.11 percentage points year-on-year [3] - The company's earnings per share (EPS) for 2024, 2025, and 2026 are projected to be 0.56 yuan, 0.69 yuan, and 0.83 yuan respectively, with corresponding P/E ratios of 27.3, 22.2, and 18.4 [1][3]