2024Q2 公司实现毛利率36.13%，同比+5.25pct，环比+1.71pct；归母净利率24.74%，同比+5.97pct，环比+1.59pct；销售、管理、研发、财务费用率分别为0.46%/同比+0.11pct/环比+0.21pct、2.13%/同比-0.69pct/环比-0.94pct、0.72%/同比-0.13pct/环比-0.37pct 、0.90%/同比+0.46pct/+0.07pct，整体期间费用率4.22%，同比-0.25pct，环比-1.03pct，实现进一步优化。Event: The company released its 2024 mid-year report, and its performance continues to grow rapidly.
2024H1 achieved operating income of 3.195 billion yuan/ +32.20%, of which erythromycin thiocyanate accounted for 29.15% of revenue, cephalosporin intermediates accounted for 23.48%, revenue from penicillin intermediates accounted for 40.72%, and revenue from other products accounted for 1.01%; net profit to mother of 0.766 billion yuan/ +96.05%, after deducting non-net profit of 0.766 billion yuan/ +95.02%. Looking at Q2 alone, the company achieved revenue of 1.672 billion yuan/ +45.73%; net profit to mother was 0.414 billion yuan, up 92.04% year-on-year and 17.32% month-on-month. The company's continued outstanding performance was mainly due to (1) the sharp rise in volume and price of the company's main products due to market demand for antimicrobials, and (2) process optimization promoted an increase in production while saving energy and consumption, and effectively reducing production costs.
Q2 Gross margin and net margin increased significantly, and expense ratios were further optimized.
2024Q2 achieved gross profit margin of 36.13%, +5.25pct year over year, +1.71 pct month on month; net profit margin of 24.74%, +5.97pct year on year, +1.59pct month on month; sales, management, R&D, and financial expense ratios were 0.46% /year over year +0.11pct/month +0.21pct, 2.13% /y -0.69 pct, 0.90% /y + 0.46pct/+0.07pct, the overall cost rate for the period was 4.22%, -0.25pct year-on-year, and -1.03pct month-on-month, achieving further optimization.
Antibiotic intermediates maintain their popularity, and process optimization continues to increase.
We believe that the reason for the continued high growth in the company's performance is not only due to the continued boom in the antibiotic market, but also because the company has continued to improve biological manufacturing processes through technological reform in recent years, superimposing resource advantages, continuously reducing costs and increasing efficiency, and optimizing profit margins. Specific evidence is that in recent years, based on the historical production data of the three major products of erythromycin thiocyanate, cephalosporin intermediates and penicillin intermediates, the company has formulated a number of ironing fluctuation improvement plans, including screening high-yield strains, formulation optimization, and fine process control, etc., and the yield and yield of various products have improved markedly.
Synthetic biology projects are rich in reserves, and some varieties have been industrialized.
The company's synthetic biology project continues to advance. As of the 2024 mid-year report, the Shanghai Research Institute has delivered bisabolol, 5-hydroxytryptophan, ergothione, inositol, squalane, ecdoine and other products to Channing Biotech. Among them, bisabolol has been successfully tested and has entered the sales stage, 5-hydroxytryptophan has been tested, ergothione has entered the pilot phase, and inositol has already been tested. Furthermore, the PHA project of the joint venture Weining Biotech has entered the pilot phase, and equipment installation is progressing steadily.
Investment advice:
Buy-A investment rating, 6-month target price of 12.73 yuan. We expect the company's revenue growth rates from 2024 to 2026 to be 24.3%, 13.0%, and 7.9%, respectively, and net profit growth rates of 50.4%, 20.3%, and 13.1%, respectively. Maintaining the buy-A investment rating, the target price for 6 months is 12.73 yuan, which is equivalent to the dynamic price-earnings ratio of 2024 to 20.
Risk warning: Risk of price fluctuations of antibiotic intermediates; process optimization falls short of expectations; synthetic biology projects fall short of expectations.
