\u3000\u3 Guocheng Mining Co.Ltd(000688) 687 Beijing Kawin Technology Share-Holding Co.Ltd(688687) )
Performance review
On April 20, the company released its annual report for 2021. In 2021, the company achieved a revenue of 1.144 billion yuan, a year-on-year increase of 32.75%; The net profit attributable to the parent company was 107million yuan, a year-on-year increase of 41.98%.
On the same day, the company released the first quarterly report of 2022. In the first quarter of 2022, the company achieved a revenue of 172 million yuan, a year-on-year decrease of 0.02%; The net profit attributable to the parent company was 25 million yuan, a year-on-year increase of 18.77%.
Business analysis
Mature product jinshuxi continued to grow strongly: in 2021, the company's interferon vaginal effervescent tablet product jinshuxi continued to grow strongly, with an annual sales volume of about 6 million boxes, a year-on-year increase of 51.15%. The company's sales volume of interferon injection products Kaiyin prebiotics increased by 7.40% year-on-year, and continued to maintain a leading market share in the subdivided fields.
Kailiwei, a new hepatitis C drug, has gradually achieved large-scale production: kailiwei, the company's key product, is the first domestic all oral and pan genotype hepatitis C cure drug, which has been reimbursed by medical insurance since March 2021. In 2021, the company realized the establishment of a commercial self-supporting team, which has covered nearly 400 designated medical institutions. In 2021, the annual sales volume was about 20000 boxes, with a year-on-year increase of 432.17%. It is expected that kailiwei will further expand the scope of medical insurance indications by the end of 2022, and is expected to achieve long-term growth under the influence of the health commission's action plan for eliminating public health hazards of hepatitis C.
R & D investment has been increasing continuously, enriching the layout of hepatitis B pipeline: in 2021, the company invested 83 million yuan in research and development, an increase of 22.58% over the same period, accounting for 6.76% of revenue. In the first quarter of 2022, the company invested 22 million yuan in R & D, a year-on-year increase of 105.52%, accounting for 12.56% of revenue. The company focuses on the direction of hepatitis B functional recovery, and has developed a variety of drug combinations through independent research and development and around the various mechanisms including antiviral, immune reconstitution, hepatitis B surface antigen suppression, and so on. Among them, interferon α- The phase III clinical trial of 2 injection in the treatment of low replication chronic HBV infection has been completed, and the first subject has been enrolled. It is expected that the company will continue to invest in R & D and promote more products in the early R & D stage.
Profit expectation and investment suggestions
We estimate that the net profit attributable to the parent company from 2022 to 2024 will be 130 / 154 / 174 million yuan respectively, with a year-on-year increase of 23% / 15% / 13% respectively, and the corresponding PE will be 23 / 20 / 17 times respectively, maintaining the "buy" rating.
Risk tips
Hepatitis C market competition intensifies the risk, the risk of volume procurement, the risk that the data and progress of new drug research and development are less than expected, and the risk of medical insurance negotiation is less than expected.
