China Shineway Pharmaceutical (2877 HK)
1H22: Earnings Growth Missed; Expect Better Revenue Growth In 2H22 Shineway’s 1H22 revenue grew 16.8% to Rmb1,815m and net earnings increased 7.3% yoy to Rmb331m. The earnings were lower than our and market estimates. We expect revenue to grow steadily by 18% yoy in 2022, supported by a steady business environment and strong TCM granule business expansion. Maintain BUY with a lower target price of HK$8.00.
