HitGen(688222)2024-05-16 10:54Financial Performance - 2023 revenue: 3.71 billion RMB, a 12.64% year-on-year increase [15] - 2023 net profit: 407.185 million RMB, a 61.16% year-on-year increase [15] - 2023 gross margin: 49.28%, up 1.61 percentage points [15] - 2023 operating cash flow: 1.25 billion RMB, a 137.42% year-on-year increase [15] - Q1 2024 revenue: 1.07 billion RMB, a 54.35% year-on-year increase [16] - Q1 2024 net profit: 139.4 million RMB, turning from negative to positive [16] Platform Performance - DEL platform revenue in 2023: 1.835815 billion RMB, a 25.45% year-on-year increase [15] - FBDD/SBDD platform revenue in 2023: 917.783 million RMB, an 11.13% year-on-year decrease [15] - STO platform revenue in 2023: 343.778 million RMB, a 10.62% year-on-year decrease (excluding self-developed pipeline transfers, service revenue increased by 60.16%) [16] - TPD platform revenue in 2023: 185.25 million RMB, a 111.85% year-on-year increase [16] DEL Technology - DEL screening success rate: nearly 80% over the past three years, higher than the industry average for HTS [7][12] - Number of target types screened: over 53 categories, including protein-protein interactions, transcription factors, and more [7][12] - Number of compound IP transfers: 86 projects (>800 compound entities) completed by the end of 2023 [13] - Published over 30 original scientific papers in the DEL field [6] - Awarded "CAS REGISTRY ® INNOVATOR" certificate twice, with 91 novel compounds receiving unique CAS Registry Numbers [7] AI Integration - DEL+AI platform leverages DEL's massive data output and AI's processing capabilities to predict compound activity and druggability [14] - Over 53 target types and hundreds of DEL screening projects provide unique, high-quality experimental data for AI training [14] - AI integration aims to accelerate lead compound discovery and optimization, particularly for challenging targets [14] International Operations - UK subsidiary Vernalis (R&D) Limited focuses on FBDD/SBDD technology, with a gross margin of around 20% [10] - Vernalis' FTE pricing and costs are higher than domestic operations, aligning with European industry averages [10] - Efforts to enhance collaboration between domestic and UK teams to improve project success rates and milestone revenues [10] Market Trends and Competitiveness - Global DEL technology adoption is accelerating, with Chengdu Lead being a pioneer in China and a leader in the field [6] - Collaborations with major international pharmaceutical companies such as Pfizer, Johnson & Johnson, and Merck [6] - Focus on emerging mechanisms like protein degradation and GPCRs through specialized DEL For series [8] Risk Management - Foreign currency deposits primarily in USD, GBP, and EUR, with measures to mitigate exchange rate fluctuations [11]