Shanghai Pharmaceuticals Holding Co Ltd Class A
601607: XSHG (CHN)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
¥89.76 | Wwzycgg | Cjsnlqqk |
No Surprises for Shanghai Pharmaceuticals' Interim Results; Fair Value Unchanged
Narrow-moat Shanghai Pharmaceuticals Holding, or SPH, announced interim results that were in line with our expectations. Revenue was CNY 105 billion, or 21% year-on-year growth from last year’s low base, and profit margins were in line with our expectations. External revenue for production, distribution, and retail segments grew 8%, 24%, and negative 2% respectively, and gross profit margins were within expectations. Our fair value estimate is unchanged at HKD 20.30 per H-share, and the market price is a 23% discount to this.