\u3000\u3 China Vanke Co.Ltd(000002) 821 Asymchem Laboratories (Tianjin) Co.Ltd(002821) )
Events
On March 13, Asymchem Laboratories (Tianjin) Co.Ltd(002821) announced that the scale of orders on hand and the growth of revenue from January to February reached a record high, and the revenue increased by more than 130% year-on-year. The company expects the revenue of 2022q1 to increase by more than 150% year-on-year, with an amount of more than 2 billion yuan.
Brief comment
The scale and performance of orders increased brightly from January to February Asymchem Laboratories (Tianjin) Co.Ltd(002821) as a leader in China’s cdmo industry, a number of newly signed orders continued to exceed expectations, further verifying the ability and high growth of the industry leader. According to the announcement, the company’s business performance was brilliant from January to February 2022, and the scale of orders on hand and revenue growth reached a record high, of which the revenue increased by more than 130% year-on-year. In addition, the company expects the revenue of 2022q1 to increase by more than 150% year-on-year, with an amount of more than 2 billion yuan.
Multi business one-stop collaborative development creates an integrated cdmo leader Asymchem Laboratories (Tianjin) Co.Ltd(002821) has laid out multiple business areas and formed a one-stop collaborative development. While continuing to undertake large orders, the businesses of other sectors have shown a momentum of accelerated growth. In the field of small molecule cdmo, clinical projects are constantly enriched and commercial projects continue to expand. The revenue of new business areas continued to grow at a high speed, and the preparation business grew rapidly, gradually forming a one-stop collaboration; In the clinical field, in 2021q3, yipukono was acquired to layout the digital system business and improve the comprehensive service capacity of clinical cro; In the field of macromolecules, the orders of chemical synthetic macromolecules and biological macromolecules have increased rapidly. The company has actively arranged the CGT field at the same time, coordinated the development of multiple business segments, and accelerated the building of an integrated cdmo leader.
High prosperity of the industry + abundant orders on hand, full of driving force for future development. We believe that the CXO industry has a high boom and strong certainty of future performance. The main driving factors are: 1) the transfer and upgrading of the global industrial chain and the strong demand for overseas pharmaceutical innovation services; 2) China’s local pharmaceutical innovation has entered a high-quality development stage, and CXO industry is expected to maintain a high boom in the future Asymchem Laboratories (Tianjin) Co.Ltd(002821) as the leader of cdmo in the industry, the newly signed and on-hand orders are full, and the future performance is uncertain. We are optimistic about the future development potential of the company.
Investment advice
We expect the net profit attributable to the parent company from 2021 to 2023 to be RMB 1.061/25.18/2.561 billion, corresponding to 82 / 35 / 34 times of PE respectively, maintaining the “buy” rating.
Risk tips
The contract performance is less than expected, the sales of downstream new drug products are less than expected, the price rise of upstream raw materials, exchange rate fluctuations, environmental protection and safety production, the expansion of new business is less than expected, and the loss of core technology (business) personnel.
