Event: the company announces 2023H1 results. The company's 2023H1 realized total operating income of 233 million yuan (+ 0.21%), net profit of 28.5461 million yuan (- 8.04%), and non-return net profit of 20.0948 million yuan (- 22.74%). Among them, 2023Q2 realized total operating income of 166 million yuan (- 7.17%), net profit of 24.6924 million yuan (- 34.76%), and non-return net profit of 17.1558 million yuan (- 47.81%).
The income is basically flat, and the quality of the rebate is improved. The company's 2023H1 income increased slightly by 0.21% over the same period, mainly due to no increase in the number of vaccinated children; the net operating cash flow was-20.9713 million yuan, significantly narrowing the outflow compared with the same period last year. The company's 2023H1 achieved sales gross profit margin of 93.04%, year-on-year increase of 0.54pp, net sales profit rate of 11.34%, year-on-year decline of 2.00pp, mainly due to increased investment in research and development; overall slightly increase in expense rate, sales expense rate of 43.86%, down 0.53 ppm; management expense rate of 14.20%, up 0.68 ppm; R & D expense rate of 17.83%, an increase of 4.27pp over the same period last year The rate of financial expenses is 0.68%, which is higher than that of the same period last year.
A substantial increase in R & D investment affects profits. The total R & D investment of 2023H1 increased by 64.95% compared with the same period last year, mainly because the company's expended R & D investment and capitalized R & D investment increased significantly compared with the previous period. Affected by this, the company's 2023Q2 profit declined. The company spent 41.5693 million yuan on R & D during the reporting period, an increase of 31.76% over the same period last year, mainly due to the related R & D expenses incurred with the advance of the company's tetravalent influenza virus split vaccine (MDCK cell) project. There was no such R & D project in the same period last year. During the reporting period, the company capitalized R & D investment of 18.496 million yuan, an increase of 280.08% over the same period last year, mainly with the acceleration of Ⅲ phase clinical trials of recombinant staphylococcus aureus vaccine.
Investment suggestion: the company's tetanus vaccine is promoted smoothly and has broad room to improve its permeability. the upcoming triple vaccine and Staphylococcus aureus vaccine in clinical Ⅲ phase are expected to become exclusive blockbuster varieties.
We forecast that the net profit of homing from 2023 to 2025 will be 0.61 billion yuan, 127.64% and 62.53% respectively, an increase of 129.56%, 127.64% and 62.53% respectively over the same period last year, corresponding to EPS 0.15 pm 0.34 RMB 0.56 yuan, corresponding to PE 0.56 times that of 107-47-29, maintaining the cautious recommendation rating.
Risk hints: the risk of failure in the development of new vaccine products, the risk of lower-than-expected increase in permeability, the risk of a higher-than-expected decline in the number of newborns, and so on.