REMEGEN(688331) 长江证券·2024-11-13 08:07Investment Rating - The investment rating for Rongchang Biologics is "Buy" and is maintained [8][6]. Core Views - The company reported a significant narrowing of losses, with Q3 2024 revenue reaching 4.67 billion yuan, a year-on-year increase of 34.6% and a quarter-on-quarter increase of 13.6%. The net profit attributable to the parent company was -2.91 billion yuan, compared to -3.27 billion yuan in Q3 of the previous year [4][5]. - For the first three quarters of 2024, the company achieved a total revenue of 12.09 billion yuan, reflecting a year-on-year growth of 57.1%, while the net profit attributable to the parent company was -10.71 billion yuan, slightly worse than -10.31 billion yuan in the same period last year [4][5]. - The company is making progress in its clinical trials, with RC18 for myasthenia gravis (MG) having its market application accepted and included in the priority review process, potentially leading to approval by the second half of 2025 [5][6]. Financial Performance - In Q3 2024, the company reported a sales expense of 623 million yuan, with a sales expense ratio of 51.5%, down from 52.5% in the first half of 2024. R&D expenses were 1.153 billion yuan, with a ratio of 95.4%, and management expenses were 235 million yuan, with a ratio of 19.4% [4][5]. - The company forecasts net profits for 2024-2026 to be -10.93 billion yuan, -4.58 billion yuan, and 8.19 billion yuan, respectively, with corresponding EPS of -2.01 yuan, -0.84 yuan, and 1.51 yuan [6][10].