Profits maintained a high growth in the third quarter, and hyaluronic acid products continued to increase. Company 1-3Q23 realized revenue of 1.982 billion yuan / + 25.21%, and net profit of 327 million yuan / + 101.85%. Among them, 2023Q3 achieved revenue of 669 million yuan / + 8.78%, and net profit of 122 million yuan / + 34.07%. The profit maintained a high growth rate, mainly due to the gradual return to normal in the pharmaceutical terminal market, especially the good sales of hyaluronic acid products. 2023Q3 hyaluronic acid revenue increased by more than 50% compared with the same period last year.
In the first three quarters, the increase of net interest rate was greater than that of gross profit margin, and management expenses fell sharply. The gross profit margin of 1-3Q23 company is 71.65%/+1.59pct, the net profit rate is 16.5%, the gross profit margin of 5.99pctMagne23Q3 is 72.84%/+2.43pct, and the net profit rate is 17.68%/+2.69pct. The sales expense rate of 1-3Q23 company is 31.57%/+0.12pct, the management expense rate is 23.60%/-4.55pct, and the R & D expense rate is 7.78%. The sales expense rate of the company is 30.61%/+0.64pct, and the management expense rate is 25.03%/+0.08pct.
The ophthalmology industry chain covers cataract, myopia prevention and control and refractive correction, ocular surface and fundus diseases and optometry materials. In the cataract field, the company has IOL, ophthalmic viscoelastic and other products, has a complete IOL industry chain, and is the largest ophthalmic viscoelastic manufacturer in China. In the field of myopia prevention and control and refractive correction, the company has keratoplasty lens, PRL and other products, of which keratoplasty products "Tongshang" and PRL products are independently developed by the company. In the field of ocular surface and fundus diseases, the company has products such as eye Shukangrun eye drops, moxifloxacin hydrochloride eye drops and so on. In the field of optometry materials, its subsidiary Contamac is one of the world's largest independent manufacturers of optometry materials, supplying raw materials for optometry products such as intraocular lenses and keratoplasties to customers in more than 70 countries and regions around the world.
The business matrix of the medical and beauty plate is perfect, which can meet the demand of medical and beauty consumption in all aspects. The company's medical and beauty plate covers hyaluronic acid, radio frequency and laser equipment, Botox, external human epidermal growth factor and other products, through the medical beauty, life beauty and household beauty three major application scenarios. In the field of hyaluronic acid, the company has the ability of independent research and development, and has constructed a product portfolio of hyaluronic acid, which is widely recognized by the market. In the field of radio frequency and laser equipment, EndyMed Pro, Pure professional radio frequency beauty instrument, Newa home beauty instrument and other products have been listed in China, and the company is promoting more laser skin beauty, picosecond laser and other products to be registered and listed in China. In the field of botulinum toxin, the company reached an equity investment and product licensing agreement with Eirion of the United States to obtain the exclusive R & D, sales and commercialization of ET-01, AI-09 and ET-02 products in China, Hong Kong, Macao and Taiwan. In the field of wound care, the company is the second largest manufacturer of external human epidermal growth factor in China.
Profit forecast and investment advice: in view of the company's continued high performance in the third quarter, we raise our profit forecast for the company. It is estimated that the 23-25 operating income of the company will be 26.71max 32.66 / 3.938 billion yuan (the previous value is 26.62pm 32.54 / 3.922 billion yuan), and the net profit of the parent will be 4.53max 5.77 / 668 million yuan (the previous value is 4.42max 5.63 / 651 million yuan). Maintain Haohai Shengke's PE of 42 times in 2023, corresponding to a market value of 19.035 billion yuan (the previous value is 18.534 billion yuan), a target price of 111.10 yuan per share (the previous value is 108.2 yuan per share), and maintain a "buy" rating.
Risk tips: intensified market competition; product R & D and listing schedule is not as expected; market medical accident risk; agency product supply instability risk.