\u3000\u30003 Anhui Fengyuan Pharmaceutical Co.Ltd(000153) 00015)
Event: the company released the annual report of 2021 and the first quarterly report of 2022. In 2021, the company achieved a total operating revenue of 15 billion yuan, a year-on-year increase of 25.93%; The net profit attributable to the parent company was 2.323 billion yuan, a year-on-year increase of 34.78%; The non net profit deducted was 2.783 billion yuan, a year-on-year increase of 30.59%. In the first quarter of 2022, the company achieved total operating revenue and net profit attributable to the parent company of 4.169 billion yuan and 611 million yuan respectively, with a year-on-year increase of 18.72% and 26.15% respectively; The non net profit deducted was 623 million yuan, a year-on-year increase of 22.49%. The performance is in line with expectations.
Comments:
The growth rate of refraction and optometry business is relatively higher than that of other businesses. The company achieved 101961 million outpatient visits in 2021, with a year-on-year increase of 35.07%; The number of operations was 817300, a year-on-year increase of 17.64%; Refractive project, cataract project, anterior segment project, posterior segment project and optometry service project achieved revenue of 5.52 billion yuan, 2.19 billion yuan, 1.46 billion yuan, 995 million yuan and 3.38 billion yuan respectively, with a year-on-year increase of 26.92%, 11.72%, 21.29%, 21.69% and 37.68% respectively.
The core region maintained steady growth. In 2021, central China, East China, Southwest China, South China, Northeast China, North China and Northwest China achieved revenue of 4.731 billion yuan, 2.081 billion yuan, 1.956 billion yuan, 1.106 billion yuan, 1.064 billion yuan and 490 million yuan respectively, with a year-on-year increase of 22.3%, 31%, 21.6%, 27.8%, 20.7%, 34% and 38.4% respectively; Hong Kong, Macao, Taiwan and overseas regions achieved revenue of 1.712 billion yuan, a year-on-year increase of 29.1%.
Revenue growth in the first quarter of 2022 was adversely affected by China’s sporadic epidemic. The company’s revenue increased steadily from January to February 2022, but in March, the serious epidemic in some areas led to the suspension or flow restriction of local hospitals, which had an adverse impact on the revenue growth in the first quarter. However, compared with the fourth quarter of last year, the company’s revenue growth picked up month on month. In the future, as the sporadic epidemic in Shanghai and other regions is gradually controlled, the growth rate of the company’s performance is expected to pick up.
Investment suggestion: the company’s performance is affected by the scattered epidemic in China in the short term, but the company maintains expansion, continuously improves the regional market layout, continuously deepens the hierarchical chain system, and continuously consolidates its leading position in the industry. It is estimated that the company’s earnings per share from 2022 to 2023 will be 0.57 yuan and 0.74 yuan respectively, and the current share price corresponding to PE will be 59 times and 45 times respectively, maintaining the “recommended” rating of the company.
Risk tips: industry policy risk, covid-19 epidemic continued and repeated, medical accidents, brain drain, expansion less than expected and other risks.
