WONDFO BIOTECH(SZ:300482) GF SECURITIES·2024-04-22 13:02Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 26.73 CNY per share, compared to the current price of 22.10 CNY [10]. Core Insights - The company's revenue for 2023 was 2.765 billion CNY, reflecting a year-over-year decline of 51.33%. However, the gross margin improved to 62.61%, up by 10.79 percentage points. The net profit attributable to shareholders was 488 million CNY, down 59.26% year-over-year, primarily due to a decline in unconventional business, while conventional business showed strong growth [7][8]. - In Q1 2024, the company reported revenue of 861 million CNY, a year-over-year increase of 3.54%, and a net profit of 218 million CNY, up 7.2% year-over-year, with a gross margin of 66.3% [7]. - The company achieved strategic breakthroughs in two major areas: (1) In the chemiluminescence field, it launched the high-speed FC-9000 series and the desktop FC-2000 fully automated chemiluminescence immunoassay analyzers, covering routine and specialty testing categories. (2) In the molecular diagnostics field, it developed an automated nucleic acid amplification analysis system and launched various testing kits [7]. Financial Summary - The company's financial performance shows a significant drop in revenue from 5.681 billion CNY in 2022 to 2.765 billion CNY in 2023, with a projected recovery to 3.484 billion CNY in 2024, representing a growth rate of 26.0% [9]. - The net profit is expected to recover from 488 million CNY in 2023 to 631 million CNY in 2024, with a growth rate of 29.4% [9]. - The earnings per share (EPS) is projected to increase from 1.10 CNY in 2023 to 1.34 CNY in 2024, with a price-to-earnings (P/E) ratio of 20 times for the 2024 estimate [8][9].