The company released its semi-annual report of 2022: the income in 2022 was 381 million yuan, the net profit was 123 million yuan, and the non-return net profit was 117 million yuan, an increase of 33.51%, 48.78% and 43.97% respectively over the same period last year.
CRO/CDMO/CMO: the business is growing rapidly. 22H1's operating income reached 220 million yuan, an increase of 49.22% over the same period last year, accounting for 57.65% of the total revenue.
Customer + project continues to advance: the company has 13 CRO/CDMO projects and 6 CMO projects (11 API + 8 intermediates) in different stages (12 in clinical phase + 7 in commercial phase) The company provides the integrated business of "intermediates + characteristic APIs + preparations" and has reached cooperation with a number of multinational and innovative pharmaceutical companies, such as providing Eljian with important intermediates for two new migraine drugs (approved for market in the United States in December 2019 and September 2021, respectively), which has a broad market prospect in the future and is expected to drive the company to release volume.
Optimization of talent structure and acceleration of technology platform: the company has set up a research and analysis and development team of more than 200 people and hired a number of senior experts from large multinational corporations; it has platform advantages such as difficult drug chemical reaction route design, multi-center chiral synthesis reaction, continuous fluid chemical reaction technology and so on.
Characteristic APIs and intermediates: the integrated upgrading main line of "intermediates + characteristic APIs + preparations" remains unchanged, while the dominant products maintain a high market share and new product research and development is accelerated.
The combination of new and old products of API: on the one hand, superior products such as bicyclol, entecavir, citafloxacin, posaconazole, non-busta, nebiprolol, misoglitol, etc., maintain the forefront of international market share; on the other hand, the company continues to increase its R & D investment to ensure the progress of products under development.
Acceleration of API capacity construction: the progress of the seven workshops of the company's non-public offering project is as follows:
The construction of seven workshops has been completed, of which four workshops are in the process of equipment installation and one workshop has entered trial production.
Preparation: capacity expansion can be expected, and innovative drugs can be promoted as planned.
Capacity construction continues to advance: Zhejiang Qizheng Pharmaceutical Co., Ltd., a wholly-owned subsidiary, continues to promote the "internationalization project of high-end preparations". The main products are high-activity targeted antineoplastic tablets / capsules and ordinary oral solid tablets / capsules. At present, 12654 tons of highly active preparation workshop and 16809 tons of oral solid preparation workshop have completed plant construction and equipment installation, and entered the process verification stage.
Innovative drugs into the clinic: 1.1 new drugs brozopronate sodium II clinical progress smoothly, patients have been completed to enter the group, clinical data related to phase II are still being collated and analyzed.
Profit forecast and investment advice: the company's technology leads the development, and plans to raise no more than 485 million yuan in non-public offerings to further promote the construction of the project. We estimate a net profit of 2.28 million yuan in 2022-2024, corresponding to the PE 49-34-24 X, maintaining a "highly recommended" rating.
Risk hints: lower-than-expected capacity construction, policy changes, exchange rate fluctuations, production, epidemic and other risks