Novogene(688315) 中国银河·2024-08-18 11:00Investment Rating - The report maintains a "Recommended" rating for the company [4]. Core Views - The company has shown stable recovery in performance, with a revenue of 999.7 million yuan (+7.18%) and a net profit of 78 million yuan (+3.86%) for the first half of 2024. The second quarter of 2024 saw revenues of 528 million yuan (+7.94%) and a net profit of 51 million yuan (-3.66%) [2][3]. - The company is enhancing its global service capabilities and scale, with significant investments in new sequencing systems to meet the latest sequencing demands [2]. - The company is expanding its multi-omics service offerings, which is expected to improve profitability. R&D investment for the first half of 2024 was 47 million yuan, accounting for 4.68% of revenue [2][3]. Financial Performance Summary - For the first half of 2024, the company reported a revenue of 999.7 million yuan, with a breakdown of 496 million yuan from mainland China (+6.27%) and 501 million yuan from Hong Kong, Macau, Taiwan, and overseas (+8.09%) [2]. - The revenue structure shows that life sciences basic research services accounted for 34.44% of total revenue, while sequencing platform services made up 48.90% [2]. - The company’s gross margin slightly improved to 41.71% due to enhanced operational efficiency and automation [2][3]. Financial Forecasts - The revenue forecasts for 2024-2026 have been adjusted to 2.238 billion yuan, 2.662 billion yuan, and 3.165 billion yuan, respectively, with corresponding net profits of 205 million yuan, 256 million yuan, and 320 million yuan [3][8]. - The expected EPS for 2024, 2025, and 2026 are 0.49 yuan, 0.62 yuan, and 0.77 yuan, respectively, with PE ratios of 22, 17, and 14 times [3][8].