\u3000\u3000 Asymchem Laboratories (Tianjin) Co.Ltd(002821) (002821)
Event overview
On February 20, 2022, Asymchem Laboratories (Tianjin) Co.Ltd(002821) announced the signing of major contracts for daily operation: Recently, Jilin Asymchem Laboratories (Tianjin) Co.Ltd(002821) Pharmaceutical Chemistry Co., Ltd., a wholly-owned subsidiary of the company, signed a new batch of supply contracts for related products with customers. The contract amount is equivalent to about 3.542 billion yuan, and the contract supply time is 2022.
Then sign large new orders to highlight the hard power of cdmo, the first tier in the world
Within three months, Asymchem Laboratories (Tianjin) Co.Ltd(002821) signed three major orders, all of which were small molecule chemical innovative drug cdmo. On November 16, 2021, the company announced the signing of an order with a contract amount of 481 million US dollars (about 3.07 billion yuan); On November 28, 2021, it was announced that a new order of 2.72 billion yuan was signed. With this order of 3.542 billion yuan, the total contract amount of the three times was as high as 9.2 billion yuan. According to the agreement, the execution period of the contract is 2021-2022, and most of them will be delivered and completed in 2022. The company expects to achieve a revenue of 4.505-4.664 billion yuan in 2021. With regard to the total amount of single orders on hand disclosed at present, the revenue doubled year-on-year in 2021. Superimposed with the revenue of other cdmo projects, the company is expected to achieve better than expected performance in 2022.
The delivery of new production capacity in the two production bases was started, and the release of production capacity was comprehensively accelerated
The company updated the progress of production capacity under construction on February 7, 2022. In the face of rapidly growing customer demand and order growth, the company strategically accelerated the construction of several small molecule R & D and production bases across the country, and fully realized the accelerated release of production capacity. In the second half of 2021, the new batch capacity exceeded 1700m3; In 2022, the company will further accelerate the speed of capacity construction, and strive to add four plants in Dunhua plant in the first half of the year, with a batch capacity of 1000m3. Throughout the year, Dunhua, Tianjin and the Yangtze River Delta achieved a batch capacity of more than 1700m3, more than doubled the batch capacity, and had the largest total capacity of 5870m3 in China’s small molecule cdmo.
Small molecules and emerging businesses drive high growth in two rounds, while adding weight to overseas strategic layout
The company maintains the global leading position of small molecule cdmo, and the growth trend of orders and production capacity is strong; At the same time, it is also rapidly promoting the development of emerging business sectors such as chemical macromolecules, biological macromolecules cdmo, preparations and clinical cro. In addition, on February 11, 2022, the company announced the acquisition of snapdragon chemistry in the United States for us $57.94 million (equivalent to about 367 million yuan), overweight continuous production and overseas strategic layout, and Asymchem Laboratories (Tianjin) Co.Ltd(002821) holds 100% equity of snapdragon after the acquisition. Snapdragon is an American chemical technology company that provides leading continuous reaction technology and early chemical process development services for companies in the pharmaceutical industry. This acquisition will strongly promote the further development of Asymchem Laboratories (Tianjin) Co.Ltd(002821) business in the United States.
Investment suggestion: Based on the signing of large order contracts, we raised the company’s performance expectations. It is estimated that the net profit attributable to the parent company from 2021 to 2023 will be 1.061 billion yuan, 2.680 billion yuan and 2.792 billion yuan respectively, corresponding to 70, 28 and 27 times of PE respectively, maintaining the “recommended” rating.
Risk warning: the risk of performance falling short of expectations, new business investment risk and fixed asset investment risk.
