\u3000\u3 Guocheng Mining Co.Ltd(000688) 366 Shanghai Haohai Biological Technology Co.Ltd(688366) )
Performance review
On March 28, 2022, the company issued an annual report. In 2021, the revenue, net profit attributable to the parent company and non deduction were RMB 1.77/3.5/330 billion respectively, with a year-on-year increase of 33% / 53% / 59% respectively; In the fourth quarter, the revenue, net profit attributable to the parent company and non deduction were RMB 492 / 42 / 35 million respectively, with a year-on-year increase of 12% / – 64% / – 69% respectively. The impact of the epidemic and ouhuameike combined factors in the fourth quarter, and the performance was lower than expected.
Comments
The revenue growth of the four major sectors of the main industry stabilized, and the M & A of Ouhua meikela had low profits. The impact of the epidemic has passed. The revenue of the company’s Ophthalmology, medical beauty, orthopedics and surgery increased by 19%, 91%, 21% and 12% respectively year-on-year, and the growth rate stabilized. Affected by the consolidated accounting treatment of ouhuameike in the fourth quarter, the gross profit margin of the company was reduced by about 1.26%. The overall gross profit margin of the company is 72.1%.
High value products emerge one after another, supplemented by the impact of the decline in the price of some models of intraocular lens. On the one hand, the company lowered the prices of some middle and low-end products in intraocular lens and hyaluronic acid; On the other hand, the company promotes the layout of medium and high-end products. The listing of new high value-added products such as the newly listed third-generation hyaluronic acid “Sea Charm”, the mirror suspended crystalline posterior chamber refractive crystal PRL and high oxygen permeability OK mirror will ensure the growth of the company’s future performance.
R & D investment continues to increase, with abundant pipelines and sustainable growth. The company not only has an international layout in the whole industrial chain of medical beauty and Ophthalmology, but also continues to invest in R & D. in 2021, the R & D investment was 167 million yuan, a year-on-year increase of 32.51%. The company’s orthokeratology lens, hydrophobic temsector aspheric intraocular lens, retinal hole sealing biological gel, hydrophobic mode astigmatism correction aspheric intraocular lens and organic cross-linked hyaluronic acid have entered the clinical stage, and ophthalmic research and development expenditure increased by 16.32% over the same period last year. Innovative preassembled intraocular lens and heparin surface modified aspherical coated intraocular lens have been in the stage of application and registration; Lidocaine hydrochloride ophthalmic gel has been declared in the production stage.
Profit forecast and investment suggestions
After adjusting the structure of new products to RMB 1.367 billion and RMB 2.267 billion, the net profit of the parent company was reduced from RMB 1.306 billion to RMB 2.607 billion and RMB 2.607 billion respectively. We believe that the company has a comprehensive layout and established a performance inflection point, which is located in the valuation depression of the same industry; The company’s current share price corresponds to 36xpe for 22 years, maintaining the “buy” rating.
Risk tips
The risk of the impact of the epidemic on income, the failure of the commercialization of new products to meet expectations, and the impact of the lifting of the ban on restricted shares on the stock price.
