Lyon: Maintaining China Resources Pharmaceuticals' (03320) “Outperform the Market” rating, the target price was lowered to HK$6.5

The Zhitong Finance App learned that Lyon released a research report stating that it maintained China Resources Pharmaceuticals (03320)'s “outperforming the market” rating and lowered the 2026-2028 revenue forecast by 3.4%, 7% and 9.7%, respectively. Among them, the pharmaceutical business sales forecast was lowered by 7.8%, 14.3% and 19.6% respectively, and the net profit forecast was lowered by 6.4%, 10.8% and 20.1%, and the target price was lowered from HK$7.2 to HK$6.5.

China Resources Pharmaceuticals's mid-term revenue increased 2% year on year, and net profit increased 5.3% year on year, which is generally in line with market expectations. Gross margin and operating profit margin fell 0.3 and 0.4 percentage points respectively during the period, mainly due to pressure on profit margins in the distribution business. Sales in the pharmaceutical business fell 1.5% year over year, hampered by the weakening contribution of Tasly integration, the decline in sales of influenza-related products, and the decline in sales of blood products. This was partly offset by a 2.7% increase in API sales and a 17.6% increase in nutraceutical product sales.