ZZPZH(SH:600436) EBSCN·2024-04-26 02:02Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company has shown steady revenue growth, with a reported revenue of 100.58 billion yuan in 2023, representing a year-on-year increase of 15.69% [6] - The gross margin for the pharmaceutical industry is under pressure, with the company's overall gross margin increasing by 1.12 percentage points to 46.76% despite rising costs of raw materials [7][9] - The company is focusing on innovation and project development, with plans to enhance its product offerings and expand its market presence [8] Summary by Sections Financial Performance - In 2023, the company achieved operating revenue, net profit attributable to shareholders, and net profit after deducting non-recurring gains and losses of 100.58 billion yuan, 27.97 billion yuan, and 28.54 billion yuan respectively, with year-on-year growth rates of 15.69%, 13.15%, and 15.26% [6] - For Q1 2024, the company reported operating revenue, net profit attributable to shareholders, and net profit after deducting non-recurring gains and losses of 31.71 billion yuan, 9.75 billion yuan, and 9.88 billion yuan respectively, with year-on-year growth rates of 20.58%, 26.61%, and 28.23% [6] Revenue Breakdown - The revenue from liver disease medications increased by 24.26% to 44.63 billion yuan, driven by channel expansion and product price increases [7] - Cardiovascular medication revenue grew by 60.57% to 2.66 billion yuan, attributed to the launch of a new product and strong market demand [7] - Cosmetic revenue rose by 11.42% to 7.07 billion yuan, indicating a recovery trend [7] Cost and Margin Analysis - The company's gross margin decreased by 1.04 percentage points to 47.26% in Q1 2024, with pharmaceutical manufacturing gross margin down by 5.84 percentage points [9] - The company has improved its expense management, with a decrease in the expense ratio by 2.32 percentage points to 10.52% in Q1 2024 [9] Future Outlook - The company has adjusted its profit forecasts for 2024 and 2025, now expecting net profits of 33.38 billion yuan and 37.76 billion yuan respectively, reflecting a downward adjustment of 11% and 13% [9] - The company is expected to maintain a price increase strategy for its products, which is anticipated to support long-term growth [9]