YILING PHARMACEUTICAL(002603) 海通证券·2024-05-14 08:02Investment Rating - The investment rating for the company is "Outperform the Market" [1] Core Views - The company reported a revenue of 10.318 billion yuan in 2023, a decrease of 17.67% year-on-year, and a net profit of 1.352 billion yuan, down 42.76% [4][6] - The decline in revenue is attributed to decreased market demand for respiratory products due to high inventory levels and a high base from the previous year [4] - Despite the decline in respiratory products, other patented products, particularly in cardiovascular and other categories, showed stable growth [5][6] - The company has invested 935 million yuan in R&D, focusing on new drug development and secondary development of existing products [5][6] Financial Summary - Revenue for 2023 was 10.318 billion yuan, with a projected increase to 10.923 billion yuan in 2024, representing a year-on-year growth of 5.9% [6][9] - Net profit is expected to recover to 1.512 billion yuan in 2024, reflecting an 11.8% increase from 2023 [6][9] - The company’s gross margin for 2023 was 57.3%, with a slight decrease projected to 56.9% in 2024 [6][9] Product Performance - Revenue from respiratory products in 2023 was 3.305 billion yuan, a significant decline of 51.90% [5][6] - Cardiovascular products generated 4.709 billion yuan in revenue, marking a growth of 12.71% [5][6] - Other patented products saw a revenue increase of 69.72%, totaling 1.869 billion yuan [5][6] R&D and Future Prospects - The company has multiple new drugs in various stages of clinical trials, with significant focus on traditional Chinese medicine [5][6] - The forecast for net profit from 2024 to 2026 is 1.512 billion yuan, 1.796 billion yuan, and 2.130 billion yuan, respectively, indicating a positive growth trajectory [6][9] - The company is expected to maintain a unique product layout in the cardiovascular and respiratory fields, supported by ongoing R&D efforts [5][6]