Shenzhen YHLO Biotech (SH:688575) Haitong Securities·2024-04-29 08:32Investment Rating - The investment rating for the company is "Outperform the Market" [5] Core Insights - The company has shown a significant recovery in Q1 2024, with a notable narrowing of profit decline compared to revenue, indicating a gradual exit from the impact of COVID-19 [3] - In Q1 2024, the company installed 418 units of its self-produced chemiluminescence instruments, with 271 units installed domestically and 147 units installed overseas, bringing the total installations to over 9,240 units [3] - The company reported a domestic revenue of 1.174 billion yuan in 2023, a year-on-year increase of 47.80%, and overseas revenue of 152 million yuan, a year-on-year increase of 38.00% [7] - The forecast for 2024 indicates an expected EPS of 0.82 yuan, with a projected net profit growth rate of 31.4% [23] Financial Performance Summary - In 2023, the company's total revenue was 2.053 billion yuan, a year-on-year decrease of 48.42%, with a net profit of 355 million yuan, down 64.92% [22] - For Q1 2024, the company reported a revenue of 431 million yuan, a year-on-year decrease of 34.65%, and a net profit of 66 million yuan, down 18.72% [22] - The projected revenue for 2024 is 2.161 billion yuan, with a growth rate of 5.3% compared to 2023 [24] Business Segmentation - The company's self-operated business is expected to generate revenues of 1.667 billion yuan in 2024, with a growth forecast of 5% [9] - The agency and entrusted business is projected to generate 350.8 million yuan in 2024, with a growth forecast of 10% [9] Valuation Metrics - The company is assigned a PE ratio of 27-35 times for 2024, corresponding to a reasonable value range of 22.16-28.72 yuan [23] - The average PE for comparable companies is around 31 for 2023, indicating a competitive valuation [25]