HWHG(600079)2024-10-31 08:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1][3]. Core Insights - The company has shown steady revenue growth, with a notable performance in its core anesthesia business. For the first three quarters of 2024, the company reported revenue of 19.143 billion yuan, a year-on-year increase of 5.70%. However, the net profit attributable to shareholders decreased by 10.12% to 1.590 billion yuan, while the net profit excluding non-recurring items increased by 1.21% to 1.521 billion yuan. The gross margin for this period was 46.76%, up by 0.90 percentage points, and the net margin was 11.01%, down by 1.60 percentage points [3][4]. Financial Performance Summary - For the first three quarters of 2024, the company achieved: - Revenue: 191.43 billion yuan (YoY +5.70%) - Net profit attributable to shareholders: 15.90 billion yuan (YoY -10.12%) - Net profit excluding non-recurring items: 15.21 billion yuan (YoY +1.21%) - Gross margin: 46.76% (YoY +0.90 percentage points) - Net margin: 11.01% (YoY -1.60 percentage points) [3][4]. Business Segment Performance - The company is actively promoting its "core focus" strategy, enhancing the core competitiveness of its subsidiaries. For instance, Yichang Renfu achieved revenue of 6.77 billion yuan in the first three quarters of 2024, a 13% increase YoY, with a net profit of 1.74 billion yuan, up 20% YoY. The sales revenue from the central nervous system pharmaceuticals reached approximately 5.65 billion yuan, growing about 12% YoY [4][5]. Anesthesia Business Outlook - The demand for outpatient anesthesia is increasing, and the anesthesia business is expected to continue its upward trend. Key products such as sufentanil and remifentanil have shown significant sales growth, with revenues of over 1.5 billion yuan (YoY +18%) and approximately 2.17 billion yuan (YoY +8%), respectively. The company is also expanding the application of anesthetics in ICU settings and promoting them for painless procedures in gastroenterology, obstetrics, and interventional treatments [5][6]. Financial Forecast - The company maintains its profit forecasts for 2024-2026, expecting net profits attributable to shareholders to be 2.460 billion yuan, 3.046 billion yuan, and 3.627 billion yuan, respectively. The earnings per share (EPS) are projected to be 1.51 yuan, 1.87 yuan, and 2.22 yuan per share, with corresponding price-to-earnings (P/E) ratios of 12.9, 10.4, and 8.7 times [3][6].