\u3000\u3 Bohai Water Industry Co.Ltd(000605) 369 Zhejiang Gongdong Medical Technology Co.Ltd(605369) )
Event: in 2021, the company realized operating revenue of 1.194 billion, a year-on-year increase of 43.95%, net profit attributable to parent company of 311 million, a year-on-year increase of 37.68%, deduction of non net profit of 296 million, a year-on-year increase of 37.68%, operating revenue of 348 million, a year-on-year increase of 32.71%, net profit attributable to parent company of 95 million, a year-on-year increase of 19.77%, deduction of non net profit of 93 million, a year-on-year increase of 32.84%.
In 2021, the performance continued a high growth trend, and 2022q1 still achieved high growth in the high base: the demand for epidemic prevention and anti epidemic materials increased greatly. In 2020, the company's revenue end and parent net profit end achieved high growth of 50% and 99% respectively. In 2021, on the basis of the high base in 2020, the company's revenue and net profit continued a high growth trend of about 40%, including the growth of conventional products by 57.63%, medical isolation masks Virus sampling tubes and other epidemic prevention products fell by 20.59% year-on-year. In addition, in 2021, the company's operating cash flow was 373 million, with a year-on-year increase of 54%, showing a bright performance. In the first quarter of 2022, despite the negative factors such as the Spring Festival holiday and insufficient production capacity, the performance of 2022q1 still achieved high growth, deducting non net profit of 93 million, a year-on-year increase of 32.8%.
IVD customization performed prominently in 2021, and overseas businesses were greatly affected by the epidemic: according to products, the laboratory testing business in 2021 was 490 million, with a year-on-year increase of 65.2%, of which the revenue of domestic direct IVD customization was 380 million, with a year-on-year increase of 169.2%; The revenue of body fluid collection business was 400 million, with a year-on-year increase of 119.3%, mainly due to the significant increase of virus sampling tubes; The revenue of vacuum blood collection was 230 million, with a year-on-year increase of 25.2%; Affected by the epidemic, the drug package business realized a revenue of 33 million, a year-on-year decrease of 2.4%, and it is expected to resume growth in 2022. In terms of subregions, the domestic business in 2021 was 770 million, with a year-on-year increase of 85.3%. The overseas business was generally affected by the epidemic and logistics, with a revenue of 420 million, with a year-on-year increase of 3.54%. It is expected to resume rapid growth in 2022.
The company has abundant pipelines in research projects, and the release of production capacity in 2022 has laid the foundation for high growth in the next three years: in 2021, the company invested 58.29 million yuan in R & D, with a year-on-year increase of 57.6%. The key R & D projects are IVD customized products, cell culture series products and Research on manufacturing process of high-capacity and high-precision molds. The specific products include high-precision sampling device of crystal solution for ophthalmic precision medicine For prenatal screening and diagnosis of fetal genetic diseases, plasma non-invasive free DNA collection and preservation tube, non heat source torticollis cell culture bottle, non heat source cell culture porous sector, high-efficiency cell culture bottle for covid-19 vaccine, etc. In terms of production capacity, the company's raised investment plant has been gradually put into operation and is expected to be completed by the end of 2022, which will lay a foundation for the company's subsequent business growth.
Profit forecast and investment suggestion: the company's IVD customized consumables are in a rapid and large-scale stage, and the new business expansion is progressing smoothly. It is estimated that the operating revenue from 2022 to 2024 will be 1.4 billion / 1.85 billion / 2.42 billion, and the net profit attributable to the parent company will be 415 million / 541 million / 707 million respectively, maintaining the "buy" rating.
Risk warning: the expansion of new customers is less than expected; The price reduction of centralized purchase exceeds the expectation; The volume of new products is less than expected;
