\u3000\u3 Jiangsu Eastern Shenghong Co.Ltd(000301) 080 Acrobiosystems Co.Ltd(301080) )
[matters]
The company released the performance forecast for 2021. It is estimated that the operating revenue in 2021 will be 382402 million yuan, with a year-on-year increase of 55% – 63%; The net profit attributable to the parent company was 170187 million yuan, with a year-on-year increase of 47% – 61%; The net profit deducted from non profits was 163 million yuan to 180 million yuan, with a year-on-year increase of 40% – 54%
[comments]
The routine business of non covid-19 virus epidemic prevention maintained high growth. In terms of business, the revenue of non covid-19 virus epidemic prevention related products of the company was 295305 million yuan, with a year-on-year increase of 70% – 76%; The sales revenue of covid-19 virus epidemic prevention related products was 87-97 million yuan, with a year-on-year increase of 20% – 33%. The main reason for the rapid growth of routine business is that the company has strengthened its close contact with the market and provided satisfactory products to customers through perfect product system and strict quality control.
Strengthen the research and development of product system and keep up with the hot spots of market research. In 2021, the company will strengthen research and development, closely contact with academia and industry, actively grasp and follow the research hotspots, improve the product system and meet the latest needs of the market and customers. With the improvement of the company’s scientific research ability and product quality, the company’s market competitiveness is continuously enhanced, and the company’s conventional business is expected to maintain high growth in the future. In the aspect of covid-19 business research and development, the company accelerated the response speed to covid-19 virus mutant strain and developed high-standard and high-quality antibodies, antigens, kits and other related products in a short time. In the case of repeated covid-19 epidemic, the research of relevant mutant strain has driven the reagent demand of scientific research and industrial customers.
The net interest rate attributable to the parent company is basically the same as that in 2020. The net interest rate attributable to the parent company in 2021 is 42.29% – 48.95%, which is basically the same as that in 2020. With the continuous promotion of the company’s R & D and the expansion of markets at home and abroad, it is expected to maintain a high profit level in the future.
The company is deeply engaged in the field of recombinant protein, antibody and other biological reagents, with about 2000 products, and has strong competitiveness in product brand, quality and variety. The company attaches importance to the new product R & D opportunities brought by new technologies in the field of biomedicine. There is a strong demand for biomedical research and development outside China, which is expected to continue to drive the rapid growth of the upstream recombinant protein biological reagent market. We estimate that the company’s revenue from 2021 to 2023 will be 391 / 590 / 814 million yuan, and the net profit attributable to the parent company will be 179 / 278 / 391 million yuan, corresponding to 105 / 68 / 48 times of PE, giving the company a “overweight” rating.
[risk tips]
Intensified market competition;
Risk of new product R & D failure;
Import substitution is less than expected risk;
