Core Insights - The company maintains a "buy" rating, with revenue for Q1-Q3 2025 at 4.16 billion yuan (up 4.92% year-on-year) and net profit attributable to shareholders at 748 million yuan (up 18.51% year-on-year) [2] - The company is expanding its CDMO business and enhancing its presence in emerging fields, with a steady increase in orders and projects [3] - The improvement in profitability is attributed to stabilized prices in the raw material drug sector and the continued growth of the high-margin CDMO segment [2][3] Financial Performance - For Q3 2025, revenue reached 1.29 billion yuan (up 7.37% year-on-year) and net profit attributable to shareholders was 222 million yuan (up 42.30% year-on-year) [2] - The gross margin for Q1-Q3 2025 was 37.55% (up 2.80 percentage points year-on-year), and the net profit margin was 17.97% (up 2.06 percentage points year-on-year) [2] - The company has adjusted its EPS forecasts for 2025-2027 to 1.09, 1.28, and 1.48 yuan, respectively, and raised the target price to 28.16 yuan based on a PE of 22X for 2026 [2] Business Development - As of H1 2025, the company has undertaken 38 projects in the raw material CDMO sector, covering various therapeutic areas including oncology and cardiovascular diseases [3] - The company has successfully provided services to over 80 clients in the formulation CDMO business, covering more than 100 active formulation projects [3] - The company has introduced over 20 new clients in the peptide and conjugate business, with a focus on diabetes and cancer treatments, and has seen rapid growth in overseas orders [3] Catalysts - The improvement in raw material drug prices has exceeded expectations, and the terminal demand for new businesses has also surpassed forecasts [4]