WONDFO BIOTECH(SZ:300482)2024-04-23 23:30Investment Rating - The report maintains a "Recommended" rating for the company [10]. Core Views - The company reported a significant decline in revenue and net profit for 2023, with operating income of 2.765 billion yuan (down 51.33%) and net profit attributable to shareholders of 488 million yuan (down 59.26%) [10][11]. - Despite the apparent decline in performance, the gross margin improved significantly, reaching 62.61% in 2023 (up 10.79 percentage points) and 66.30% in Q1 2024 (up 1.0 percentage point) [10]. - The company has seen a recovery in its regular business, with revenue from chronic disease management increasing by 19.11% in 2023 [10]. - The FDA EUA approval for the company's respiratory triad test is expected to contribute positively to future revenue growth in the U.S. market [10]. Financial Summary - For 2023, the company achieved operating income of 2,764.91 million yuan, with a projected increase to 3,090.50 million yuan in 2024, reflecting a growth rate of 11.78% [11]. - The net profit attributable to shareholders is expected to rise from 487.62 million yuan in 2023 to 655.46 million yuan in 2024, indicating a growth rate of 34.42% [11]. - The gross margin is projected to improve from 62.61% in 2023 to 67.51% in 2024 [11]. - The earnings per share (EPS) is forecasted to increase from 1.03 yuan in 2023 to 1.39 yuan in 2024 [11].