BOJI CRO(300404)2024-08-28 01:28Group 1: Company Overview - Boji Pharmaceutical Technology Co., Ltd. is actively engaging with various securities firms for investor relations activities [2] - The company is led by Chairman and General Manager Wang Tingchun and Deputy General Manager and Board Secretary Wei Fangqun [2] Group 2: Market Demand and Performance - The clinical CRO market demand is stable, with large pharmaceutical companies showing increased enthusiasm for R&D [2] - In the first half of 2024, the company signed new clinical research service contracts worth 719 million yuan, a year-on-year increase of 60.99% [2] Group 3: Order Structure - In the first half of 2024, new orders were primarily from clinical research services, accounting for approximately 87%; preclinical research services accounted for about 10%, and other consulting services made up around 3% [3] - Chemical and biological drugs represented over 60% of the product categories, with the remainder being traditional Chinese medicine and medical devices [3] Group 4: Client Structure - The company has a diverse client base, primarily consisting of large pharmaceutical enterprises, with most revenue coming from domestic clients [3] - Future plans include assisting domestic companies in conducting clinical trials in the U.S. and serving local U.S. enterprises [3] Group 5: Profitability and Margins - The gross margin decreased in the first half of 2024 due to intensified market competition and rising clinical trial requirements, but the gross margin for core clinical research services remains stable, accounting for about 80% of total revenue [3] - The company anticipates that gross margins will stabilize as business volume increases and cost control measures are enhanced [3] Group 6: Strategic Partnerships - A strategic cooperation agreement was signed with Boao Jingfang to collaborate on innovative Chinese medicine projects, focusing on AI-driven drug development [4] - The partnership aims to establish a joint venture for rapid screening of traditional Chinese medicine formulations [4] Group 7: Revenue and Growth Projections - As of the end of June 2024, the company had signed contracts worth approximately 2.516 billion yuan, with an expected revenue recognition of about 412 million yuan in the second half of 2024 [4] - The company aims for a contract value increase of over 47.52% compared to 2023 [5] Group 8: Future Development Plans - The company plans to maintain its focus on clinical research services while expanding preclinical pharmaceutical research and drug evaluation services [5] - There is an emphasis on enhancing self-innovation capabilities and developing proprietary products [5] - The company is also exploring mergers and acquisitions to strengthen its market position [5]