Placco (603566): Performance is in line with expectations

Placco (603566): Performance is in line with expectations

In the first three quarters, the company’s net profit attributable to the parent is extended every 20 years.

17%, the performance is in line with expectations. The company announced the third quarter report of 2019. In the first three quarters, the company achieved revenue4.

710,000 yuan, + 9.

28%, net profit attributable to mother 0.

950,000 yuan, an increase of 20.

17%, the company’s performance is in line with expectations.

In a single quarter, 19Q3 companies achieved revenue1.

510,000 yuan, + 3.

91%, net profit attributable to mother 0.

30 thousand yuan, 29 compared with the same period last year.

68%.

We expect the company’s net profit to be 1 in 2019-21.

08 thousand yuan, 1.

7 billion, 2.

33 trillion, corresponding to EPS 0.

34 yuan, 0.

54 yuan, 0.

74 yuan, maintain “Buy” rating.

The growth of poultry vaccines and chemical drugs is high, and the pressure of pig seedlings is divided into products. 1) Poultry vaccines. Due to the high prosperity of the poultry industry, the company’s poultry vaccines and antibodies business has grown rapidly. In the first three quarters of 2019, the company’s business achievedClose 2.

110 thousand yuan, +38 compared with the same period of last year.

17%; 2) Chemicals, benefiting from the demand for disinfectants brought about by the swine fever epidemic. In the first three quarters of 2019, the company achieved revenue1.

590,000 yuan, a year-on-year increase of +32.

44%; 3) Swine vaccine: Affected by the swine fever epidemic, there is a large deviation in the number of pigs in stock, and the market demand for swine vaccines has declined.

750,000 yuan, 46.

93%.

The boom of the bird chain continues, and the marginal improvement of the pig vaccine business can increase production by more than 10% per night.

In terms of vaccines for pigs, the current domestic pig inventory is at a historically low level. We believe that there is not much room for the continued arrangement of pig throughput, the frequency of outbreaks caused by the decline in conversion farming density is reduced, and the replenishment of some farms driven by high profitabilityIn our opinion, there is a contradiction in the probability of marginal improvement of pig production capacity in the future. The rebound in production capacity will drive the increase in demand for pig vaccines. Correspondingly, there is room for marginal improvement in the company’s pig vaccine sector.

R & D expectations are gradually fulfilled, and new products are gradually launched. The company ‘s high expectations for R & D are gradually fulfilled as new product releases.

In the third quarter of 2019, the company successfully registered 4 veterinary drugs, and successively obtained the approval number of the Ministry of Agriculture to start production.

The latest approved Porcine Circovirus Type 2 and Haemophilus parasuis inactivated vaccine at the end of August is the first domestic double vaccine product of this type. The common vaccine products listed in the clinic can greatly improve the efficiency of immune work andSecurity, market prospects are promising.

In addition, the 天津夜网 company actively participated in the joint R & D project of African swine fever vaccine, and gave full play to the company’s technical advantages in the growth of genetically engineered subunit vaccine proteins.

High research and development barriers + forward-looking layout, maintaining the “buy” rating. Under the background of large-scale breeding and the emergence of new pathogens, research and development capabilities are the core competitiveness of long-term development of veterinary vaccine companies.

The company focuses on technological innovation, has a rich and complete product reserve, and formulates flexible sales strategies based on the characteristics of the industry’s development stage.

We are optimistic about the company’s medium and long-term development potential. It is expected that the company’s net profit will be 1 in 2019-21.

7.2 billion, 1.

8.6 billion, 2.

110,000 yuan, corresponding to EPS 0.

54 yuan, 0.58 yuan and 0.

66 yuan.

With reference to the PE level of the comparable company 30X in 2020, as well as the company’s R & D advantages and forward-looking layout, the company will be given an estimated PE level of 43-45 times in 2020, corresponding to a target price of 24.

49-26.

10 yuan, maintain “Buy” rating.

Risk reminder: The risk of avian influenza epidemic, market promotion is less than expected, and livestock breeding production is less than expected.

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