Core Insights - The report emphasizes the significant role of phosphoramidite monomers in the small nucleic acid industry chain, highlighting their impact on the development of small nucleic acid drugs, which are considered promising candidates for treating various diseases due to their unique molecular structures and therapeutic mechanisms [1][6][10] - The report predicts robust growth in the demand for phosphoramidite monomers, with multinational pharmaceutical companies likely to benefit from this trend, as the global nucleotide market is projected to reach USD 730 million in 2023, with China being the largest production market [10][11] Section Summaries Phosphoramidite Monomer's Role - Phosphoramidite monomers are crucial raw materials for synthesizing small nucleic acid drugs, enhancing their stability and biological activity, and driving innovation in drug development [6][9] - The solid-phase phosphoramidite method is the mainstream technique for synthesizing oligonucleotides, which are a major cost component in nucleic acid drug production [9] Market Dynamics - The report notes that 90% of global nucleotides are used for nucleic acid drug production, with only about 10% allocated to health foods and agriculture [10] - The small nucleic acid drug market is primarily dependent on major multinational pharmaceutical companies, indicating potential benefits for companies within their supply chains [11] Investment Recommendations - The report suggests focusing on innovative drug companies such as Furuya Co., OncoOne, and others, as well as raw material suppliers like WuXi AppTec and others, indicating a diverse range of investment opportunities in the sector [10]

Investment Rating - The report maintains a "Buy" investment rating for the company, with a target price of 50 RMB per share [1][3][8]. Core Insights - The company achieved a revenue of 32.66 billion RMB in Q1-Q3 2025, representing a year-over-year increase of 3.8%. The net profit attributable to shareholders was 2.75 billion RMB, up 7.2% year-over-year, indicating that the company's performance met expectations [4][6]. - The core pharmaceutical segment showed strong growth, with the subsidiary achieving a revenue of 11.05 billion RMB in Q1-Q3 2025, a year-over-year increase of 11.1%. The sales of innovative products surged by 62% year-over-year [6]. - The company is advancing its innovative drug pipeline, with several new products expected to launch soon, including a new drug for non-small cell lung cancer [6][8]. Financial Performance Summary - For Q3 2025, the company reported a revenue of 10.99 billion RMB, a year-over-year increase of 4.5%, and a net profit of 930 million RMB, up 7.7% year-over-year [6]. - The overall gross margin improved to 32.8%, an increase of 0.5 percentage points year-over-year, driven by high-margin innovative products [6]. - The company forecasts net profits of 3.88 billion RMB, 4.54 billion RMB, and 5.28 billion RMB for 2025, 2026, and 2027, respectively, with corresponding year-over-year growth rates of 10.4%, 17.0%, and 16.5% [8][9]. Product Development and Pipeline - The company has established a product pipeline with several innovative drugs set to launch, including a new monoclonal antibody and an ADC drug currently in late-stage clinical trials [6][8]. - The company is also advancing its clinical trials for various indications, including a first-in-class GLP-1 receptor agonist and a drug for autoimmune diseases [6].