GemPharmatech (SH:688046) Huafu Securities·2024-04-29 14:30Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 15.12 CNY based on a 2024 PE of 31 times [3][12][23]. Core Views - The company is expected to maintain steady growth, with projected net profits of 200 million, 248 million, and 301 million CNY for 2024, 2025, and 2026 respectively, reflecting year-on-year growth rates of 26%, 24%, and 21% [3][21]. - The company has successfully expanded overseas, achieving a revenue of 90 million CNY in 2023, a year-on-year increase of 39.9%, and 30 million CNY in Q1 2024, a year-on-year increase of 58.3% [15][21]. - The company is recognized as a leader in the experimental animal model sector, with strong innovation capabilities and a diverse product range [3][21]. Financial Summary - In 2023, the company reported a revenue of 622 million CNY, a 20.5% increase, and a net profit of 159 million CNY, a decrease of 3.5% [14][21]. - The revenue breakdown for 2023 includes: 370 million CNY from commercial mice (+13.6%), 130 million CNY from functional efficacy (+36.1%), 80 million CNY from breeding (+22.2%), and 40 million CNY from customized models (+49.4%) [21]. - The company’s operating income is projected to reach 772 million CNY in 2024, with a growth rate of 24% [16].