Shanghai Haohai Biological Technology Co.Ltd(688366) (688366)
Event: on December 29, 2021, the company announced the 2021 A-share restricted stock incentive plan (Draft).
Equity incentive grants a wide range of objects, encouraging core executives and technicians. The number of restricted shares to be granted in this equity incentive plan is 1.8 million, accounting for 1.02% of the total share capital of the company. Among them, 1.45 million shares were granted for the first time, accounting for 0.82% of the total share capital of the company; 350000 shares are reserved, accounting for 0.20% of the total share capital of the company. The grant price of the first granted shares and the reserved shares of the incentive plan is 95 yuan / share. There are 206 incentive objects granted for the first time in the incentive plan, mainly including directors, senior managers and core technicians of the group company and subsidiaries.
The performance goal of equity incentive is clear, and the company’s performance is expected to grow steadily and rapidly. The restricted shares granted and reserved for the first time in the incentive plan shall be vested in two phases after 12 months from the date of grant, and the proportion of each phase shall be 50% and 50% respectively. According to the setting of performance indicators of the incentive plan, the target values of the company’s operating revenue in 2022 and 2023 are RMB 2.5 billion and RMB 2.9 billion respectively, and the trigger values of operating revenue in 2022 and 2023 are RMB 2 billion and RMB 2.3 billion respectively; The target value of net profit in 2022 and 2023 is 560 million yuan and 650 million yuan respectively; The trigger value of net profit in 2022 and 2023 is RMB 450 million and RMB 510 million respectively. Based on our profit forecast of RMB 440 million in 2021, the compound growth rate of the target value of net profit from 2021 to 2023 exceeds 20%.
The business layout is becoming more and more perfect, and equity incentive shows the company’s confidence in development. The company’s business involves four business segments: Ophthalmology, medical beauty, orthopedics and surgery. It has been expanding in the two golden tracks of Ophthalmology and medical beauty. Ophthalmology has formed a whole industry chain and category layout outside China. Medical beauty now has a full product line of “hyaluronic acid + botulinum toxin + photoelectric equipment”. Through independent R & D + extension M & A, the company has gradually improved the product lines of the four business segments. As of the 2021 semi annual report, there are 25 projects under research, and the self-developed third-generation high-end hyaluronic acid “Haimei” has been listed and sold since the second half of 2020. In addition, the company has obtained the exclusive distributor right of two OK mirrors from Taiwan Hengtai in 2021, and will form a high, medium and low-end product layout with self-developed products. This equity incentive will help fully motivate the directors, executives, core R & D and sales personnel of the group company and its subsidiaries, vigorously promote the R & D and listing sales of new products, promote the steady and rapid growth of the company’s performance, and highlight the company’s development confidence.
Profit forecast and investment rating: considering the slight impact of the epidemic in the fourth quarter and other factors, we adjusted the net profit attributable to the parent company from 2021 to 2023 to RMB 456 / 607 / 776 million, to RMB 440 / 583 / 727 million, EPS to RMB 2.50/3.31/4.14 respectively, and PE corresponding to the current stock price to 47x / 36x / 28x respectively. Maintain the “buy” rating.
Risk warning: the market promotion of new products may be lower than expected; R & D progress or less than expected; The pharmaceutical industry has the risk of policy uncertainty and repeated epidemic.
