Tiantan Biological (600161): Performance slightly exceeded expectations and continued steady growth

Tiantan Biological (600161): Performance slightly exceeded expectations and continued steady growth

Event Tiantan Bio released the first three quarters of 2019 report, and the first three quarters of 2019 achieved revenue of 25.

1.9 billion, an annual increase of 22.

50%, net profit attributable to mother 4.

6.7 billion, an increase of 17 in ten years.

72%, deducting non-net profit 4.

6.6 billion, an increase of 18 in ten years.

26%, EPS0.

45 yuan, net operating cash flow is 6.

97 ppm, an increase of 18 years.


In the third quarter, the operating income was 9 in a single quarter.

5.9 billion, an increase of 14 in ten years.

68%, net profit attributable to mother 1.

7.3 billion, an increase of 10 in ten years.

82%, deducting non-net profit1.

7.3 billion, an increase of 10 in ten years.


A brief comment on the overall steady growth, the performance 杭州夜网 of Q3 under a high base is slightly higher than expected, the company ‘s Q3 performance in 2018Q3 deducts non-profit growth 62.

Under the background of a high base of 12%, it continued to achieve growth of more than 10%, exceeding market expectations.

The revenue growth rate decreased from the previous quarter, which is expected to be mainly due to the decrease in the issuance of blood product batches. The company’s 19Q2 and Q3 albumin batches decreased.

7% and 8.

08%, Jing Cing issued 19Q2 reduction of -9.

38%, 19Q3 increased by 19.

53%, the exemption of the exemption products that accounted for about 5% of revenue contributed a significant increase in the third quarter.

At the profit side, Q3’s single-quarter profit growth rate basically matched the revenue growth rate. Tiantan’s own operations continued to improve. Since the reorganization in January 2018, Chengdu Rongsheng has exported technology and management experience to the three major firms.The rate and operating performance continue to improve, and the overall profit growth of Tiantan is expected to be faster than the industry average.

The whole batch of Q3 albumin in the blood products industry was issued.

4%, the supply continues to be tight, it is expected that the final albumin price is still expected to continue to pick up; while the issuance of Jing Bing increased by 21.

3%, mainly because terminal sales are picking up, and operating system companies have increased their production enthusiasm, and prices are expected to remain stable.

Taking into account the low base of 18Q4 performance, we expect Tiantan’s expected performance growth to pick up rapidly and achieve a net profit of 900 million from the group announced by the company’s board of directors in May.

25 ppm (22 years increase.


The financial indicators remain stable and the operating cash flow is excellent. The company’s gross profit margin for the first three quarters of 201949.

12%, an increase of 0.

For 85 units, it is expected that the budget will be a rebound in the price of the product, which will replace the three major improvements, and the unit cost of the product will decrease.

The cost rate during the period is 15.

75%, an increase of 2.

04 units: of which the sales expense ratio is 6.

69%, an increase of 1.The 13 budgets are expected to be mainly for the company to strengthen the academic promotion of Jing Bing’s terminal this year; the R & D + management expense ratio is 9.

69%, an increase of 1.

The 31 single products are mainly in phase III clinical trials, and the R & D expansion has increased; the financial expense ratio is -0.

64%, a decrease of 0.

39 units.

Net operating cash flow was 6.

97 ppm, an increase of 18 years.

78%, significantly exceeding the company’s net profit attributable to the parent, reflecting the high cash content of the company’s profit.

The leader in the blood products industry, long-term growth prospects are determined, and the company holding the rating to maintain an overweight rating is the company with the clearest planned capacity in the current blood product industry. Considering that Chengdu Yongan Base will be put into production in the first half of 2021 and the upcoming construction of the central Yunnan base in Yunnan, the company will-In 5 years, it is expected to reach 3500-4000 tons of plasma processing capacity, catching up with the scale of international first-line blood products companies; meanwhile, the capacity of pulp extraction has steadily increased, and the newly established pulp station fully relies on the advantages of Sinopharm Group.Highest identified among similar companies.

At present, the company’s ton pulp income, profit and market value are significantly lower than those of comparable companies in the industry. It is expected that after the completion of the Chengdu Yongan and Yunnan bases, the number of blood products will increase and the production process will bring significant performance flexibility.

We maintain our profit forecast for 2019-2021 as 6.

21, 7.

48 and 9.

46 ppm, an increase of 21 in ten years.

9%, 20.

5% and 26.

4%, the budget EPS is currently expected to correspond to 2019-2021 at 46, 38, and 30 times PE, respectively, maintain the overweight rating, investors are recommended to actively allocate.

Risk Warning 1.

Safety issues of blood products and supervision risks of apheresis stations; 2.

Risks that the construction progress of Chengdu Yongan Base and Yunnan Central Yunnan Base is not up to expectations; 3.

The progress of new product development and launch is not up to expectations; 4.

Mining defects plus the risk of underutilization of a large amount of capacity.