降本增效成果显著，盈利能力持续提升。23H1 公司整体毛利率同比提升2.44pp 至69.19%，销售费用率同比下滑3.74pp 至42.10%、管理费用率同比提升0.36pp 至8.78%、研发费用率同比提升0.57pp 至4.30%，净利润率同比提升6.76pp 至12.40%，盈利能力不断提升。Core ideas:
The company released its mid-2023 report: 2023H1 achieved an income of 855 million yuan (- 2.07%), a net profit of 107 million yuan (+ 68.86%), and a non-return net profit of 87 million yuan (+ 118.90%). The decline in revenue to a certain extent is mainly due to the fact that Baijun Medical and Hengxing Pharmaceuticals are no longer included in the scope of the consolidated statement. 22H1 merged Bojun Medical's operating income of 144 million yuan and return to its mother net profit of-17 million yuan. Excluding the related effects, 23H1 revenue increased by 17.28% year-on-year, and home net profit increased by 33.78% year-on-year. The profit-end growth rate is significantly faster than the income-side growth rate is mainly due to the decline in the volume of high-margin varieties and sales expenses of 23H1.
Adhere to the "balance of creation and imitation, taking into account the two wings", 338 product cluster to achieve rapid growth. The company formulates the development idea of "balance of creation and imitation, taking into account both wings". On the one hand, it tries its best to create innovative product pipelines and find profit growth points; on the other hand, it reviews and imitates pharmaceuticals to take national collection as an opportunity to drive sales, and finally achieve steady growth in the pharmaceutical sector. A number of products in 2023H1 "338 product cluster" achieved rapid volume, and the sales revenue of Qiangli loquat paste (honey refinement), Qiangli loquat dew, lysine vitamin B12 granules, Pudilan anti-inflammatory tablets and new Shenqi pilose antler oral liquid all increased by more than 50% compared with the same period last year. At the same time, the company commented that the market performance of pharmaceutical products was good, including irbesartan hydrochlorothiazide tablets, omeprazole enteric-coated tablets and montmorillonite powder sales increased by more than 70% compared with the same period last year.
Significant achievements have been made in reducing costs and increasing efficiency, and profitability has continued to improve. 23H1's overall gross profit margin increased to 69.19% year-on-year, sales expense rate fell 3.74pp to 42.10%, management expense rate increased 0.36pp to 8.78%, R & D expense rate increased 0.57pp to 4.30%, net profit margin increased 6.76pp to 12.40% year-on-year, and profitability continued to improve.
Profit forecast and investment advice. It is estimated that the EPS of the company from 2023 to 2025 will be 0.40,0.56,0.73 yuan per share respectively, and the company will be given a "buy" rating of 40 times PE for 23 years, corresponding to a reasonable value of 16.06yuan per share.
Risk hint. Industry policy risk; market development is not as expected; product volume is not as expected; R & D progress is not as expected risk; sales price decline risk; raw material price fluctuation risk.
