\u3000\u30 Beijing Telesound Electronics Co.Ltd(003004) 82 Guangzhou Wondfo Biotech Co.Ltd(300482) )
Event: on April 24, 2022, the company released the annual report performance of 2021 and the performance of the first quarter of 2022: in 2021, the company realized an operating revenue of 3.361 billion yuan, a year-on-year increase of 19.57%; The net profit attributable to the parent company was 634 million yuan, a year-on-year increase of 0.04%; The net profit deducted from non parent company was 551 million yuan, a year-on-year decrease of 6.74%. In the first quarter of 2022, the company realized an operating revenue of 2.625 billion yuan, a year-on-year increase of 276.87%, and the net profit attributable to the parent company was 904 million yuan, a year-on-year increase of 481.32%.
Q1 performance in 2021 and 2022 met expectations, and conventional business continued to grow steadily
In 2021, the company achieved a revenue of 3.361 billion yuan, of which the revenue of covid-19 detection kit was 1.145 billion yuan, a year-on-year increase of 9.61%, mainly due to the contribution of covid-19 antigen detection products. Germany accounted for the largest proportion, covering more than 100 countries and regions such as Europe, Asia and the Middle East. The sales revenue of conventional business (non covid-19 business) was 1.916 billion yuan, with a year-on-year increase of 38.18%, of which the revenue of chronic disease management and detection was 916 million yuan, with a year-on-year increase of 60.72%. China and overseas markets achieved rapid growth, and the installed capacity of immunofluorescence overseas markets increased significantly. The revenue from infectious diseases business was 523 million yuan, a year-on-year increase of 27.95%, the revenue from eugenics and child care testing was 207 million yuan, a year-on-year increase of 23.86%, and the revenue from drug testing was 270 million yuan, a year-on-year increase of 12.16%. In the first quarter of 2022, the company achieved a revenue of 2.625 billion yuan, mainly due to the significant growth of covid-19 antigen detection, and the products are mainly supplied to Hong Kong and mainland markets.
The global marketing system has been gradually established to promote the construction of overseas localization
Driven by the export of covid-19 testing products, the company's overseas business has improved its brand awareness and is gradually deepening its overseas market. At present, its sales cover more than 140 countries and regions. In 2021, the company's European market revenue was 929 million yuan, a year-on-year increase of 135.48%, and the American market was 395 million yuan, a year-on-year decrease of 34.18%. In terms of international cooperation, the company has reached strategic cooperation with find and UNITAID to promote the access and commercialization of covid-19 antigen detection reagent overseas. In terms of opportunistic sales, the company is promoting the purchase orders of who AIDS testing products in Africa and Asia. In terms of overseas team configuration, the company established a localization team to gradually cover the POCT market in key countries. In terms of qualification certification, the company has preliminarily completed the construction of EU ivdr regulatory system.
Three strategic technology platforms to achieve breakthroughs and improve Wanfu ecosystem
In 2021, the company invested 459 million yuan in R & D, with a year-on-year increase of 43.73%, completed 65 new product R & D in total, and made breakthroughs in the three sectors of chemiluminescence, molecular diagnosis and case business - 1) chemiluminescence. At present, the company has obtained more than 30 reagent projects in total. In December 2021, the company acquired Shenzhen Tianshen medical, and the "single copy" products further enriched the product series. 2) In the molecular diagnosis section, the company's self-developed youbosi U-box system can realize the whole test process of extraction, amplification and analysis, and has been approved to be listed in China in March 2022. In addition, the company has carried out strategic cooperation with AstraZeneca on accurate diagnosis and treatment of tumors. 3) In pathology, the company's automatic immunohistochemical staining machine pa3600 and secondary antibody system have been put on trial in many top three benchmark hospitals in China.
The company has formed an ecosystem of initial scale and reached strategic cooperation with a number of medical giants in 2021, including cooperation with AstraZeneca in early screening and early diagnosis of prostate cancer; Conduct in-depth cooperation with Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) in smart laboratory and district inspection center; Cooperate with Merck to promote the accessibility of grass-roots thyroid function testing.
Profit forecast: the company is the leading enterprise of POCT. The demand for covid-19 antigen detection will grow rapidly in 2022, raising the revenue in 2022 from 4.640 billion yuan to 5.610 billion yuan. It is estimated that the revenue in 20232024 will be 5.053 billion yuan and 5.719 billion yuan. It is estimated that the net profit of the company from 2022 to 2024 will be 1.149, 1.092 and 1.258 billion yuan. The current share price corresponds to PE of 18.12, 19.06 and 16.53 from 2021 to 2023, maintaining the "buy" rating.
Risk tips: covid-19 epidemic progress is uncertain, R & D is not as expected, market competition intensifies, and exchange rate changes.
