\u3000\u30 Beijing Jingyeda Technology Co.Ltd(003005) 58 Betta Pharmaceuticals Co.Ltd(300558) )
Event:
According to the annual report released by the company, in 2021, the company realized revenue of 2.246 billion (year-on-year + 20.08%), net profit attributable to parent company of 383 million (year-on-year - 36.83%), net profit deducted from non attributable to parent company of 346 million (year-on-year + 3.52%), and the performance was in line with expectations. The company plans to pay 2.5 yuan for every 10 shares.
Comments:
Ektinib expands the scope of adaptation, and the new Enza continues to be sold in large quantities
The company's revenue increased by 20% year-on-year in 2021. First, the old variety ektinib was approved as a new indication for postoperative adjuvant treatment in June 21, expanding the scope of use to early and medium-term treatment; Second, enzatinib, as the first domestic ALK targeted lung cancer drug, will continue to be in high volume after it is listed at the end of 2020. The revenue growth was due to the higher investment income from the sale of assets in the same period of 20 years, and the increase in R & D expenses in 21 years, which increased by 200 million year-on-year, driving down profits.
R & D investment increased significantly to support long-term growth
In the past 21 years, the company's R & D expenditure was 570 million, and the R & D expenditure rate increased by 5.8 percentage points. The price reduction of ektinib affects the income, but the approved indications of postoperative adjuvant therapy take a relatively long time and have a large space to offset the impact of price reduction; The third generation EGFR targeted drug d-0316 is expected to be approved this year to enrich the EGFR target array. The indications for first-line treatment of ensatinib were approved in March this year. The indications for postoperative adjuvant treatment were accepted in China. The US application for first-line indications is being prepared, and the growth space is further opened.
Maintain the "overweight" rating
The company has established mature sales channels in the field of lung cancer, and the target expansion and indications extend from the late stage to the early and medium term. The overseas application of ensatinib and the third-generation EGFR-TKI are expected to bring increment, which is optimistic about the long-term development of the company. Taking into account the newly listed products of the company, the performance evaluation conditions of equity incentive and the expiration of the price reduction / core patent of ektinib, we expect the revenue of 22 / 23 years to be 2.847403 billion yuan (original value of 2.734/3.603 billion yuan) and the net profit attributable to the parent company to be 485 / 657 million yuan (original value of 553 / 739 million yuan) respectively. At the same time, we also increase the 24-year profit forecast revenue of 5.241 billion yuan, the net profit of 793 million yuan and EPS to be 1.17/1.58/1.91 yuan / share respectively, The corresponding PE is 46 / 34 / 28 times respectively. Maintain the "overweight" rating.
Risk tips
R & D is not as expected; The sales of ensatinib were lower than expected; Risk of expiration of ektinib patent
