\u3000\u3 Guocheng Mining Co.Ltd(000688) 202 Shanghai Medicilon Inc(688202) )
Event: the company released the annual report of 2021, and achieved an operating revenue of 1.17 billion yuan in 2021, with a year-on-year increase of 75.3%; The net profit attributable to the parent company was 280 million yuan, a year-on-year increase of 118.1%; The net profit deducted from non parent company was 270 million yuan, with a year-on-year increase of 119.5%.
The two sectors kept pace, and new orders continued to increase. In 2021, the company signed 2.45 billion yuan of new orders, an increase of 87.67% year-on-year; In 2021, 362 new customers were added, providing drug R & D services to more than 1460 customers outside China. 1) Drug discovery and pharmaceutical research: in 2021, the revenue of drug discovery and pharmaceutical research was 610 million, an increase of 72.7% at the same time; Newly signed orders amounted to 1.04 billion yuan, a year-on-year increase of 69.1%. 2) Preclinical research: in 2021, the revenue of preclinical research was 550 million, an increase of 78.2% at the same time; Newly signed orders amounted to 1.41 billion yuan, a year-on-year increase of 104.2%. The company has many customer resources of well-known pharmaceutical enterprises and scientific research institutions at home and abroad. With integrated comprehensive service ability, the company has strong customer stickiness and strong order growth momentum.
Accelerate the release of new production capacity and lay the foundation for performance growth. The company has about 74000 square meters of R & D laboratories (52000 square meters in Nanhui, 20000 square meters in Chuansha and 14000 square meters in Zhangjiang), of which the laboratory area that has been put into use is 67000 square meters, an increase of 29000 square meters year-on-year. In February 2022, the company plans to raise 1.57 billion yuan through non-public offering of shares for the construction of a new experimental base in Baoshan and 190 million yuan for the expansion of laboratory capacity in Nanhui. At present, the company continues to expand production and actively promote the construction of new laboratories. The scale effect is becoming increasingly prominent and the performance growth momentum is sufficient.
R & D efforts continued to increase, and the expansion of professional R & D teams accelerated. In 2021, the total number of employees of the company was 2440, with a year-on-year increase of 48.6%. Among them, the number of R & D personnel reached 2117, accounting for 86.8% of the total number of the company, with a year-on-year increase of 54.3%. By sector, in 2021, there were 1067, 326 and 724 R & D personnel in drug discovery, pharmaceutical research and preclinical research respectively, with a year-on-year increase of 58.3% / 29.4% / 62.3%. The company gives full play to the advantages of professional and technical talents, increases R & D investment and promotes the progress of project R & D. In 2021, the company participated in the research and development of 85 new drug projects, which were approved by nmpa for clinical trials, with a year-on-year increase of 107.3%; 15 of them have been approved by FDA and TGA in Australia for clinical trials. It is expected that the expansion of talents will maintain a high growth rate in 2022, driving the rapid growth of performance.
Profit forecast and rating. We expect that the EPS from 2022 to 2024 will be 7.24 yuan, 11.53 yuan and 17.72 yuan respectively, corresponding to the current stock price valuation of 58 times, 36 times and 24 times respectively, maintaining the “hold” rating.
Risk tips: orders are less than expected, industry competition intensifies risks, etc.
