share_log

海正药业(600267):经营效率+盈利能力持续改善 老牌药企焕发新机

Haizheng Pharmaceutical (600267): Continued Improvement of Operating Efficiency+Profitability, Revitalizing New Opportunities for Established Pharmaceutical Companies

德邦證券 ·  Dec 1, 2023 12:52

Operating efficiency continues to improve, and established pharmaceutical companies have seen new opportunities: Haizheng Pharmaceutical is a comprehensive pharmaceutical company integrating “research, production and marketing”. Since 2019, it has continued to implement the “slimming optimization+management reform” strategy. Operating efficiency has continued to improve, and financial indicators have been continuously improved. In addition, an equity incentive plan has been introduced during this period to enhance the company's overall operating motivation. With the improvement of the level of corporate governance, Haizheng Pharmaceutical recovered its net profit from non-return to the mother in 2020, achieved net profit of 3.1 billion yuan after deducting the mother's net profit in 2022, and 23H1's net sales interest rate reached 7.1%, reaching a new high. It is optimistic that the company's profitability will continue to improve in the future.

Hanhui Pharmaceutical has contributed to stable cash flow, and many large single products are expected to drive performance growth: Hanhui Pharmaceutical is the only successful real development case in China. As the leading CSO platform in China, Hanhui Pharmaceutical has the advantages of rich pipelines, outstanding sales capacity (especially in the fields of anti-infection, cardiovascular, etc.) + strong product strength. Hanhui Pharmaceutical's net profit has continued to grow for many years, from 350 million yuan in 2016 to 840 million yuan in 2022 (CAGR: 15.5%). Currently, related product collection has been implemented. As new products are gradually launched, Hanhui Pharmaceutical's future Hanhui There is a strong degree of certainty about the subsequent performance of pharmaceuticals. Among them, Pfizer's original research products have a stable market share. Currently, there are batches of commercialization of products such as One, Meiman, and Jiaqianglong, which is expected to contribute to stable cash flow in the future. In terms of new products, the market space and pattern of the self-developed lipid-lowering product, hypermeb, is good, and it is expected that it will be released in the future when it enters the medical insurance catalogue. With the introduction of products such as omacycline, siglitazone, and the “Sanrun” series, it is expected that the company's original CSO business advantages will achieve rapid growth.

The utilization rate of API production capacity has begun to rise, depreciation and amortization are expected to improve, and a rebound in business revenue can be expected: the API business is the company's traditional business, rich in strategic resource reserves, and has three major bases in Taizhou, Fuyang, and Nantong. It has various approvals, and obvious technical advantages in the fermentation business. API revenue in '22 is 1.15 billion yuan. Currently, due to the low utilization rate of API production capacity and the high depreciation and amortization costs of idle equipment, the company has started from the three major business lines of overseas, domestic, and CMO, and is actively expanding the company's business. Considering the smooth progress of EU reform, accelerated development of overseas customers, and active expansion of external cooperation, the profitability of the company's API business is expected to improve.

The launch of the emerging business - “Haizheng Animal Protection+Borui Biotech” is expected: (1) Haizheng Animal Insurance's business lays out the four major fields of pigs, anti-bacteria, pets, and vaccines, and has now developed into the number one domestic pet drug brand, achieving revenue of 420 million yuan and net profit of 500 million yuan in 2022. Relying on the high level of prosperity in the industry, Helemiao became the first domestically produced insect repellent with sales exceeding 100 million yuan, and Mo Aijia became the single product with the fastest sales exceeding 10 million yuan in the company's history. (2) Vrui Biotech focuses on the fields of self-immunity and oncology. Up to now, it has launched the “Lu'an” series product line, and related products are expected to accelerate. According to the company announcement, vPro Biotech's pre-investment valuation is about 13 billion yuan (Haizheng holds about 40.32% of shares).

Profit forecast: Considering the continuous improvement in the level of corporate governance and profitability, the high certainty of Hanhui Pharmaceutical's performance, and the continuous improvement of the API business, combined with the high growth of the animal insurance business and vPro biological products, we expect the company's net profit from 23-25 million yuan/810 million yuan/980 million yuan respectively, corresponding to the current PE valuation of 19X/15X/13X, covering the first time, giving it a “buy” rating.

Risk warning: risk of increased market competition; risk of related product sales falling short of expectations; risk of new drug development; risk of collection falling short of expectations; risk of industry policy changes.

The translation is provided by third-party software.


The above content is for informational or educational purposes only and does not constitute any investment advice related to Futu. Although we strive to ensure the truthfulness, accuracy, and originality of all such content, we cannot guarantee it.
Comment Comment · Views 410

Recommended

Write a comment

Statement

This page is machine-translated. Futubull tries to improve but does not guarantee the accuracy and reliability of the translation, and will not be liable for any loss or damage caused by any inaccuracy or omission of the translation.