Deeply involved in the self-immunity circuit for nearly 20 years, the core self-immunity products have entered the advanced clinical stage. The company is one of the first innovative biomedical companies in China to focus on antibody drug development. Currently, 3 monoclonal antibody products have been approved for the market, and 4 core products under development have entered phase III clinical trials. In 2023, the company authorized the ophthalmology and oncology pipeline to Shenyang Sansheng to further focus on the field of self-protection. In the short term, sales of the core listed product, Yisaipu, rebounded steadily, and the overall performance grew steadily. From a medium- to long-term perspective, all 4 self-exempt products have entered phase III clinical trials, with excellent efficacy leading progress, and are expected to be launched one after another in the next few years.
With nearly 20 years of intensive cultivation at the free circuit, it is expected to expand rapidly after developing a free pipeline online, contributing new momentum to the company's future performance growth. We are optimistic about the long-term development of the company. We expect revenue of 2024-2026 to be 12.08/13.40/1,707 billion yuan, up 19.14%/10.89%/19.99% year on year, EPS is 0.46/0.39/0.59, and the current stock price corresponds to PS 11.2/10.1/8.4 times, covering for the first time, giving it a “buy” rating.
Sales of Yisaipu have rebounded steadily, and the rapid expansion of Ceptin/Gennippe is driving steady growth in performance. Currently, the company has a total of 3 listed products: Exaipu, Ceptin, and Gennippe. With strong commercialization and promotion capabilities, they all have good market performance. Listed in 2005, Yisaipu is the first tumor necrosis factor inhibitor marketed in the field of rheumatism in China, and its market share is leading in China; in 2023, sales increased steadily, and domestic sales increased by about 10.5% over the same period last year. The rapid release of Ceptin and Gennippe resulted in sales of about 23/44 million yuan in 2023, an increase of 41.8%/59.4% year-on-year, driving steady growth in the company's performance.
The 4 core self-immunity products have all entered phase III clinical trials. The company, which has great potential for release, is laying out the various fields of self-immunity. The 4 core products have all entered phase III clinical trials in the research and pipeline, with excellent overall efficacy and leading clinical progress. SSGJ-608 (IL-17A) has reached the main clinical end of phase III for plaque psoriasis in December 2023, and is expected to become the third domestically produced IL-17A targeted drug to be marketed. SSGJ-611 (IL-4R) entered phase III clinical trials for adults with moderate to severe AD in December 2023, and phase II clinical trials for crSWnP and COPD. At the same time, the company has differentiated two major pipelines, SSGJ-610 (IL-5) and SSGJ-613 (IL-Iβ). The indications for eosinophilic asthma and acute gout arthritis have entered phase III clinical trials. The competitive pattern is good, and there is great potential for future release.
Risk warning: Drug clinical development failure, drug safety risk, loss of core members, etc.