Main points of investment
The performance increased steadily in the first half of the year, and the rate of R & D expenditure increased rapidly. In the first half of 2022, the company achieved a total revenue of 994 million yuan (RMB, the same below), an increase of 12.1% over the same period last year, mainly due to the steady growth of the nephrology plate. The gross profit margin reached 74.3%, a slight decrease of 0.3 pct compared with the same period in 2021. The sales expense rate reached 33.0%, an increase of 1.8pct over the same period in 2021, mainly due to the company's increased marketing and academic activities; based on the company's continuous R & D investment, the R & D expense rate reached 4.9%, an increase of 1.0pct over the same period in 2021. In the first half of 2022, the company achieved a net profit of 297 million yuan, an increase of 18.4 percent over the same period last year, and the corresponding net interest rate was 29.9 percent, an increase of 1.6pct over the same period in 2021, mainly due to a sharp drop in the income tax rate.
Deep ploughing the field of nephrology, imaging, women and children, Yulin all-round development. At present, the company has created a "1x 6" comprehensive product line, with nephrology as its flagship, comprehensively promoting the development of imaging, women and children, bone injuries, skin, liver and gallbladder, digestive products. 1) the income of the nephrology sector was 701 million yuan, an increase of 14.0% over the same period last year, which is still the main growth driving force of the group, of which the income of Yishen Huashi granule increased by 15% over the same period last year, mainly based on its lifting of health insurance restrictions and sustained academic promotion efforts. 2) the income of the image plate was 70.4 million yuan, an increase of 12.8% over the same period last year, mainly benefiting from the increase in market share of meglumine gadolinium injection and ioopamol injection. 3) the drug income for women and children was 85.98 million yuan, an increase of 1.3% over the same period last year, and the core product Yuanlikang (iron dextran oral solution) is carrying out specification switching from 25mg to 50mg. 4) the revenue of Yulin Pharmaceutical was 131 million yuan, an increase of 11% over the same period last year, mainly due to the company's marketing investment in Internet e-commerce and OTC channels.
The R & D pipeline is progressing smoothly: two new projects were established in the first half of 2022, and the number of products under research reached 16, including 8 varieties of nephrology and 8 varieties of imaging. Based on the current R & D progress, it is estimated that 3-4 varieties will complete production verification in 2022 to support the company's medium-and long-term performance growth.
Our view: we believe that Nephrology and Imaging are expected to become the two pillars of the company, the company is expected to continue to dig into the existing product market and promote the launch of new products, and the market share is expected to continue to increase in the future.
Risk tips: research and development progress is not as expected, product sales are not up to expectations, policy risk.
