坏账计提影响业绩，期待养殖景气度回升

Investment Rating - The investment rating for the company is "Accumulate" [8]. Core Views - The company achieved a revenue of 1.064 billion yuan in 2023, representing a year-on-year growth of 6.3%. The net profit attributable to the parent company was 396 million yuan, down 3.3% year-on-year [2][8]. - The report highlights that the company is expected to benefit from a recovery in the breeding industry, with projected net profits for 2024, 2025, and 2026 being 518 million, 655 million, and 749 million yuan respectively [8]. - The report indicates that the company has made significant progress in its R&D pipeline across various segments, including vaccines for pigs and poultry [8]. Financial Summary - Revenue and Profitability: - Revenue for 2023 is projected at 1.064 billion yuan, with a growth forecast of 25.0% for 2024 and 17.9% for 2025 [2]. - The gross profit margin is expected to remain stable around 72.1% to 72.9% over the forecast period [2]. - The net profit margin for 2023 is 37.21%, with a slight decrease from the previous year [8]. - Earnings Per Share (EPS): - The EPS is projected to increase from 0.85 yuan in 2023 to 1.61 yuan by 2026, reflecting a positive growth trajectory [2][8]. - Return on Equity (ROE): - ROE is expected to improve from 10.3% in 2023 to 14.5% in 2026, indicating enhanced profitability and efficiency [2]. - Valuation Metrics: - The price-to-earnings (PE) ratio is projected to decrease from 22.8 in 2023 to 12.0 by 2026, suggesting that the stock may become more attractive over time [2][8]. - Cash Flow: - The company is expected to generate positive cash flows from operating activities, with projections of 538 million yuan in 2023 and increasing thereafter [2]. Market Data - The closing price of the stock was 19.34 yuan, with a total share capital of approximately 466.17 million shares [8]. - The report notes a significant decline in revenue and profit in the fourth quarter of 2023, indicating potential short-term challenges [8]. Investment Outlook - The report maintains a positive outlook on the company's future performance, driven by expected recovery in the breeding sector and ongoing advancements in product development [8].