Adopted shares (301122)
Event:
On April 26, the company released the first quarterly report of 2022. In the first quarter, the company achieved an operating revenue of 142 million yuan, a year-on-year increase of 39.46%; The net profit attributable to the parent company was 393244 million yuan, a year-on-year increase of 6.4%; The net profit attributable to the parent company after non deduction was 387904 million yuan, with a year-on-year increase of 5.21%. The operating revenue and net profit of the company in the first quarter reached a new high in the same period.
Comments:
Medical and veterinary sectors grew rapidly, and orders were delivered smoothly
In the first quarter of 2022, the company achieved an operating revenue of 142 million yuan, a new high in the same period. Its main businesses include: ① high growth in revenue in the medical sector and rich product lines. The company cooperated smoothly with Medline / gbuk / McKesson and other core customers. The products sold to Europe and the United States mainly include disposable sterile syringes Conventional products such as nutrition feeding syringes and a number of high value-added products such as safe insulin syringes; ② The veterinary sector continues to grow rapidly. The company’s series of veterinary products “discoverable veterinary injection needle”, “disposable aluminum-plastic inlaid injection needle” and “veterinary sheath syringe” have strong market competitiveness. The company has always led China’s veterinary syringe / needle Market; ③ The cooperation between laboratory consumables and Thermo Fisher, the main customer, is stable.
The gross profit margin decreased slightly and the management fee rate increased mainly due to the impact of listing expenses
In the first quarter of 2022, the company’s gross profit margin was 43.37%, a year-on-year decrease of 8.24pcts; The net interest rate was 27.77%, a year-on-year decrease of 8.63 PCTs; The sales expense ratio was 0.52%, with a year-on-year increase of 0.17pcts, mainly due to the expansion of sales scale in this period and the increase of corresponding sales expenses; The management expense ratio was 5.33%, up 1.55 PCTs year-on-year, mainly due to the increase of various activity expenses and business entertainment expenses during the listing of the company in the current period; The decrease in net cash flow from Q1 operating activities was mainly due to the increase in sales scale in the current period, the outstanding payment of some customers at the end of the period, and the year-on-year increase in the payment amount for raw material procurement.
R & D investment is stable and has a number of registration certificates outside China
In the first quarter of 2022, the company’s R & D expense rate was 3.45%, a year-on-year decrease of 0.58pcts. At present, the company has 21 self owned products registered with fda510k in the United States, which is in a leading position in the same industry, and 28 products have obtained CE certification, 3 class I medical device filing certificates and 4 Chinese medical device registration certificates.
Profit forecast and investment rating: we expect the company’s operating revenue from 2022 to 2024 to be RMB 679 / 1034 / 1529 million respectively, and the net profit attributable to the parent company to be RMB 199 / 305 / 414 million respectively. Maintain the “buy” rating.
Risk tips: project implementation risk of raised funds, price fluctuation risk of raw materials, brain drain risk of core technology, customer concentration risk and product quality control risk
