Main points of investment:
The performance of the semi-annual report is consistent, restraining first and then rising quarter by quarter.
In the semi-annual report, revenue, net profit and net profit after deduction were 3.336 billion, 416 million and 400 million, up 0.37%, 4.35% and 3.47% over the same period last year. The net operating cash flow, monetary funds, notes receivable + accounts, short-term loans and notes payable + accounts were 4.876 billion, 2.173 billion, 3.967 billion and 1.181 billion, up 42.88%, 13.41%, 15.20% and-17.52% over the same period last year. In 16 years, Q1 and Q2 revenue were 1.512 billion and 1.824 billion respectively, an increase of-0.13% and 0.79% over the same period last year, and net profits were 172 million and 243 million respectively, an increase of-894 million and 1.636 billion respectively. The net profit from January to September is expected to be 591 million-768 million, an increase of 0-30% over the same period last year. Q3 is expected to grow by 81.25% over the same period last year. We expect the growth of Q4 to increase significantly compared with the same period last year.
The basic business is stable and has become a cash cow business.
At present, the company's business is mainly focused on pharmaceutical preparations, pharmaceutical raw materials and agrochemical sectors (hang the new third board, reduce the load rate of consolidated statements and raise the valuation). The revenue of self-produced pharmaceutical preparations, pharmaceutical agents, APIs and agrochemical products reached 575 million, 235 million, 123 million and 2.258 billion in half a year, up 8.24%,-9.39%,-1.00% and-4.15% over the same period last year. The gross profit margin increased by 4.08%, 6.33%, 4.01% and 0.15%, respectively.
Medical service has become the bright spot of layout in recent years, and it is expected to change the property of stock price.
In recent years, the company has made great efforts to develop the "Great China Medical Alliance" strategy, through the acquisition of Chongqing Zi en, German Rheinland, Swiss Biology, Hebei Life Origin, and the investment in Huabang Huiyue, Huabang Medical 100 million, Huabang Medical Beauty. Layout has been carried out in the fields of rehabilitation medicine, stem cells, anti-tumor treatment, Internet medical platform, medical cosmetology and so on. Has injected new vitality into the development of the company, the company will gradually achieve "medicine" and "medical" dual-engine-driven situation, performance will also be further improved.
Valuation rating
The company's pharmaceutical preparation, API, agrochemical sector business is stable, the current development of medical services, is expected to change the company's stock price attribute, 16-18 years EPS is expected to be 0.46,0.53,0.59 yuan, corresponding to PE is 21 times, 18 times, 16 times, the target price of 14 yuan, given the buy rating.
Risk hint
The development of the company is not as expected