Core Viewpoint - The report from Cinda Securities initiates coverage on Aikang Medical (01789) with a "Buy" rating, highlighting its leadership in the domestic artificial joint market and potential for rapid growth in orthopedic implant business due to domestic procurement price increases and successful international brand expansion [1] Group 1: Domestic Market Dynamics - The company is leveraging the opportunities presented by domestic procurement, gradually replacing imported products, which is leading to increased hospital coverage and market share. In the 2024 procurement cycle, the company achieved price increases in its bids, which is expected to enhance profitability and support profit recovery [1] - The international strategy involves a dual-brand approach, utilizing the "JRI" brand to compete in the high-end markets of Europe and the U.S., while the "AK" brand focuses on production scale advantages to penetrate emerging markets. This strategy is anticipated to drive significant growth in foreign revenue [1] Group 2: Technological Advancements and Market Potential - The company is a pioneer in digital orthopedic solutions, having developed a comprehensive ecosystem that includes pre-surgical planning, intraoperative navigation, robotic precision, and personalized implant placement. The K3 knee surgery robot is set to launch in 2024, with competitive capabilities comparable to the Mako surgical robot, while also offering local responsiveness and cost advantages [2] - The market for robotic-assisted joint replacement surgeries in China is expected to grow significantly, with penetration rates projected to rise from 0.03% in 2020 to 3.05% by 2026, and the market size is forecasted to increase from $1.48 million in 2020 to $332 million by 2026, reflecting a compound annual growth rate of 45.6% [2]

Investment Rating - The investment rating for the company is "Buy" [2] Core Insights - The report highlights that the company, Aikang Medical, is a leading player in the domestic artificial joint market, benefiting from domestic centralized procurement and price increases, as well as successful international brand expansion. The orthopedic implant business is expected to maintain rapid growth. The company is also building a smart orthopedic ecosystem, with the K3 robot gradually commercializing, which is anticipated to support the strategic upgrade from a "manufacturer of implants" to a "provider of intelligent surgical solutions" [5][6][8] Summary by Sections 1. Company Overview - Aikang Medical is a leading enterprise in the domestic artificial joint sector, focusing on smart orthopedic surgical solutions. The company has developed a diversified business system covering hip and knee joint implants, as well as spinal and trauma implants [18][20] 2. Domestic Market Dynamics - The company is leveraging centralized procurement to increase market share and profitability. The domestic market is seeing a shift towards the replacement of imported products, with a significant increase in hospital coverage and market share. In the first half of 2025, the surgical volume in high-level hospitals increased by 33% [14][51] 3. International Market Strategy - The company employs a dual-brand strategy to capture international market growth. The "JRI" brand targets the high-end market in Europe, while the "AK" brand focuses on emerging markets, leading to a compound annual growth rate of 20.8% in overseas revenue from 2018 to 2024 [15][55] 4. Smart Solutions and Business Model - Aikang Medical is a pioneer in smart orthopedic solutions, establishing a comprehensive ecosystem for orthopedic surgery. The K3 robot is expected to enhance the company's ability to provide a new business model that integrates consumables, services, and equipment [7][17] 5. Financial Projections - The company is projected to achieve revenues of 1.548 billion yuan, 1.811 billion yuan, and 2.148 billion yuan for the years 2025, 2026, and 2027, respectively, with corresponding net profits of 322 million yuan, 370 million yuan, and 437 million yuan [8][9]

Core Viewpoint - The orthopedic consumables industry in China has shown signs of recovery after three years of collective procurement, with leading domestic companies reporting significant revenue and profit growth in Q3 2025, particularly driven by overseas market expansion [1][2]. Group 1: Company Performance - Major domestic orthopedic companies have reported strong financial results for Q3 2025, with many achieving both revenue and net profit growth, indicating a positive trend in the industry [1]. - Companies like Chuangli Medical, Dabo Medical, and Weigao Orthopedics have seen substantial stock price increases, with Chuangli Medical's stock rising over 90% year-to-date as of November 25 [1]. - Aikang Medical, despite being one of the first to recover from the procurement downturn, has lagged behind with a year-to-date stock increase of only 17.23% and faces risks of being removed from the Hong Kong Stock Connect list [1]. Group 2: Market Trends - The orthopedic consumables market is expected to grow significantly, with projections indicating a rise to $62.22 billion in 2024 and over $94 billion by 2032, reflecting a stable annual growth rate of 5.3% [3]. - Companies are increasingly focusing on overseas market expansion as a critical growth strategy, especially as the domestic market becomes saturated due to collective procurement [3][4]. Group 3: Stock Performance Analysis - Aikang Medical's stock experienced a steady rise in the first half of the year, reaching a peak of 7.24 HKD on July 30, with a cumulative increase of 53.72% [2]. - However, following the release of its mid-year performance, Aikang's stock fell sharply, indicating market volatility and investor sentiment not aligning with its revenue growth [2][3]. - The stock has been in a low volatility phase since mid-year, with a minimal price increase of 0.36% from August 29 to November 25, despite significant price fluctuations [7]. Group 4: Investment Considerations - Aikang Medical's average market capitalization during the review period is 6.349 billion HKD, slightly above the threshold for inclusion in the Hong Kong Stock Connect, necessitating stable market performance to avoid exclusion [11]. - The stock's current PE ratio has dropped to 19.51, below the industry average, suggesting potential for investment as the orthopedic consumables market continues to recover [14].

Group 1: Industry Overview - The orthopedic consumables industry has shown signs of recovery after three years of collective procurement, with leading domestic companies reporting a rebound in Q1 2025 and continued growth in subsequent quarters [1] - Many top domestic orthopedic companies have disclosed their Q3 2025 financial reports, showing both revenue and net profit growth, particularly driven by expansion into overseas markets [1][3] - The global orthopedic medical device market is projected to grow to $62.22 billion in 2024 and exceed $94 billion by 2032, with a stable annual growth rate of 5.3% [3] Group 2: Company Performance - Companies like Chuangli Medical, Dabo Medical, and Weigao Orthopedics have seen significant net profit growth rates of 76.69%, 44.85%, and 52.43% respectively in H1 2025, while Aikang Medical's net profit growth was only 15.34% [2] - Aikang Medical reported a 45% increase in revenue compared to the peak before collective procurement, outperforming competitors like Weigao Orthopedics and Sanyou Medical, which saw revenue declines of 64% and 52% respectively [3] - Aikang Medical's stock price has been relatively stagnant, with a year-to-date increase of only 17.23%, despite the overall industry recovery [1][2] Group 3: Market Dynamics - Investors are currently favoring companies that are accelerating their overseas market expansion, as evidenced by the stock performance of companies like Chuangli Medical, which has seen its overseas revenue reach 40% [4] - Aikang Medical's focus remains primarily on the domestic market, with only 18% of its revenue coming from overseas, indicating a significant gap compared to its peers [4] - The stock price of Aikang Medical has experienced high volatility, with a range of 23.10% during a recent three-month period, while maintaining a stable average cost around 6 HKD [7] Group 4: Technical Analysis - Following a significant drop in stock price on August 28, Aikang Medical's stock entered a period of low volatility and consolidation, with no substantial volume increase to support a breakout [6][7] - The Bollinger Bands indicator suggested a "false breakout," indicating that it may not be the optimal time for short-term investors to enter [6] - The stock has been trading within a narrow range, with a support level established above 5.52 HKD, indicating a concentrated accumulation of shares [7] Group 5: Market Position and Future Outlook - Aikang Medical's average market capitalization during the review period is 6.349 billion HKD, slightly above the threshold for inclusion in the Hong Kong Stock Connect [10] - The upcoming review period for the Hong Kong Stock Connect is critical, as Aikang Medical needs to maintain its market capitalization to avoid being removed from the list [10] - Recent buying activity from mainland investors suggests a positive outlook for Aikang Medical's stock price rebound, with its PE ratio now at 19.51, below the industry average [15]

Core Insights - The 24th Chinese Orthopaedic Association (COA) conference showcased significant advancements in orthopedic technology, emphasizing the integration of robotics, navigation, imaging, and biomaterials under the theme "Digital Intelligence in Orthopedics" [2] - The conference attracted 20,188 registered participants and received 37,222 submissions, indicating a strong interest in orthopedic innovations [2] Group 1: Robotics and Navigation Systems - Surgical robots and navigation systems are expanding across various orthopedic fields, moving beyond joint surgeries to include spine, trauma, and sports medicine, focusing on precision and standardization [4] - Companies like Stryker, Tianzhihang, and others are presenting comprehensive orthopedic platforms that integrate imaging, navigation, and robotic arms, forming a closed-loop system for enhanced surgical outcomes [4] - The Trinity system by Tuo Dao Medical demonstrates a unified platform for rapid switching between surgical procedures, showcasing advancements in AI planning and real-time navigation [19] Group 2: Biomaterials and Bone Repair - The competition in bone repair and biomaterials is intensifying, with companies offering innovative solutions such as absorbable screws and 3D-printed bioceramics, focusing on osteogenic activity and infection resistance [4] - Smartbone and other manufacturers are introducing advanced materials that not only fill defects but also promote bone regeneration and integration [4] Group 3: Domestic Innovations - Domestic companies are accelerating the development of high-end joint prosthetics and key materials, with a focus on integrating materials, prosthetic design, and manufacturing processes [4] - The collaboration between local firms and international companies is shifting from product showcases to establishing standards and ecosystems, enhancing the overall orthopedic landscape [4] Group 4: Key Product Launches - Stryker highlighted its latest products, including the Mako robotic system, which integrates multiple surgical techniques for hip and knee replacements, enhancing precision and efficiency [5][7] - Rosenboht signed a strategic partnership with the Chinese University of Hong Kong to advance intelligent surgical technologies, aiming for more precise and minimally invasive orthopedic procedures [12][14] - The launch of the "Panshi Self-Pressing 3D Partition Bone Trabecular Biological Knee Prosthesis" by Jiashite Medical showcases advancements in mechanical stability and biological fixation [40][42] Group 5: Technological Integration - Companies are increasingly focusing on integrating AI and imaging technologies to enhance surgical precision and safety, as seen in the solutions presented by Meiya Optical and other firms [46][50] - The introduction of AR navigation systems by Linyan Medical represents a significant technological advancement, improving the visibility and accuracy of spinal surgeries [53][55] Group 6: Comprehensive Solutions - The conference highlighted the importance of comprehensive solutions that encompass preoperative planning, intraoperative guidance, and postoperative evaluation, as demonstrated by various exhibitors [4][60] - Companies like Weigao and others are showcasing integrated solutions that leverage digital technologies to enhance the entire orthopedic treatment process [100][102]

Core Insights - Aikang Medical (01789) reported a 5.60% increase in revenue to 694 million yuan and a 15.3% rise in net profit to 161 million yuan for the first half of 2025, with a "Buy" rating assigned by the research report [1] - The company is expected to achieve revenues of 1.512 billion yuan, 1.751 billion yuan, and 2.027 billion yuan from 2025 to 2027, with net profits projected at 330 million yuan, 391 million yuan, and 463 million yuan respectively [1] Group 1 - The implementation of the joint procurement policy across all provinces in the first half of 2025 has allowed the company to maintain its leading position in procurement volumes among all brands, with a 10% increase compared to the first round of procurement [1] - The company has achieved over 90% coverage of high-level hospitals, with surgical volume from these hospitals increasing by 33% year-on-year in the first half of 2025, indicating a growing clinical recognition of its products [1] - Aikang Medical is restructuring its sales team to implement a tiered hospital coverage strategy, which is expected to further enhance its market share [1] Group 2 - The company has established a core framework for personalized orthopedic services through the iCOS digital orthopedic platform, integrating existing 3D printing, biomechanics, medical-engineering interaction, and imaging digital processing platforms for comprehensive lifecycle management of personalized implants [2] - From 2022 to 2024, the company has launched or received approval for several advanced surgical systems, including the VTS visualization intelligent navigation system and knee and hip joint surgical robots, with the K3 intelligent surgical robot approved for market in the first half of 2025 [2] - The company operates under a dual-brand strategy (JRI and AK) in overseas markets, registering new products in five and four countries in 2024 and the first half of 2025 respectively, and adding 12 and 5 new distributors in the same periods, indicating a strong push for digital orthopedic solutions abroad [2]

Core Viewpoint - The report from首创证券 indicates a positive outlook for 爱康医疗, projecting revenue and profit growth from 2025 to 2027, supported by strong performance in the orthopedic market and effective operational strategies [1][2]. Group 1: Financial Performance - In the first half of 2025, 爱康医疗 achieved revenue of 694 million yuan, representing a 5.60% increase, and a net profit attributable to shareholders of 161 million yuan, up 15.3% [1]. - The projected revenues for 2025, 2026, and 2027 are 1.512 billion yuan, 1.751 billion yuan, and 2.027 billion yuan, respectively, with net profits expected to be 330 million yuan, 391 million yuan, and 463 million yuan [1]. Group 2: Market Position and Strategy - The implementation of the joint procurement policy across all provinces has allowed 爱康医疗 to maintain a leading position in procurement volumes, with a 10% increase compared to the first round of procurement [1]. - The company has achieved over 90% coverage of high-level hospitals, with surgical volume from these hospitals increasing by 33% year-on-year in the first half of 2025 [1]. - 爱康医疗 is restructuring its sales team to implement a tiered hospital coverage strategy, which is expected to further enhance market share [1]. Group 3: Technological Advancements - The company has developed the iCOS digital orthopedic platform, which integrates personalized services and manages the entire lifecycle of personalized implants [2]. - From 2022 to 2024, 爱康医疗 has launched or received approval for several advanced surgical systems, including the VTS visualization system and knee and hip joint surgical robots, with the K3 intelligent surgical robot approved in the first half of 2025 [2]. - The integrated solution of preoperative planning, intraoperative navigation/robotic systems, and implants is expected to empower orthopedic clinical diagnosis and treatment, driving growth in implant sales [2]. Group 4: International Expansion - 爱康医疗 operates under a dual-brand strategy (JRI and AK) in overseas markets, allowing for complementary branding, product lines, and sales [2]. - The company registered new products in five countries in 2024 and four in the first half of 2025, along with adding 12 and 5 new distributors, respectively [2]. - The ongoing promotion of digital orthopedic solutions abroad is anticipated to enhance clinical service capabilities and become a new growth driver for the company's performance [2].

FF301 股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年10月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 愛康醫療控股有限公司 (於開曼群島註冊成立的有限責任公司) 呈交日期: 2025年11月5日 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 01789 | 說明 | 愛康醫療 | | | | | | | | 已發行股份（不包括庫存股份）數目 | | 庫存股份數目 | | 已發行股份總數 | | | 上月底結存 | | | 1,122,866,851 | | 0 | | 1,122,866,851 | | 增加 / 減少 (-) | | | 0 | | | | | | 本月底結存 | | | 1,122,866,851 | | 0 | | 1,122,866,851 | 第 2 頁 共 10 頁 v ...

Core Viewpoint - The stock of Aikang Medical (01789) has seen a significant increase, with a current rise of over 6%, attributed to positive forecasts regarding the orthopedic industry and the company's performance in the upcoming years [1] Industry Summary - The orthopedic industry is expected to stabilize its pricing system as the national policy for artificial joint procurement is fully implemented by the second half of 2025 [1] - There is an anticipated recovery in the volume of orthopedic surgeries, which, combined with a low revenue base from the previous year, suggests a trend of increasing performance for the company in the latter half of this year [1] Company Summary - Aikang Medical has successfully increased its bid prices for hip and knee joints in the current procurement round, indicating a potential for both volume and price growth [1] - The company is strategically positioned for long-term growth through its advancements in 3D printing, surgical robots, and a digital orthopedic ecosystem, which are expected to create strong technological barriers [1] - The overseas market is projected to become a significant growth driver for the company, supported by the deepening of the "JRI + Aikang" dual-brand strategy and ongoing product registrations [1]

Core Viewpoint - Aikang Medical (01789) is experiencing a stock price increase, attributed to positive industry outlook and company performance expectations for 2025 [1] Group 1: Company Performance - Aikang Medical's stock rose over 6%, currently trading at 6.25 HKD with a transaction volume of 32.26 million HKD [1] - The company is expected to see a significant performance improvement in the second half of the year, driven by a low revenue base from the previous year and anticipated recovery in surgical volumes [1] Group 2: Industry Outlook - The artificial joint centralized procurement policy is set to be fully implemented nationwide by the second half of 2025, leading to a more stable pricing system in the industry [1] - The company has successfully increased its bid prices for hip and knee joints in the current round of procurement, indicating a potential for both volume and price growth [1] Group 3: Long-term Growth Potential - Aikang Medical is strategically investing in innovative products such as 3D printing and surgical robots, which are expected to create strong technological barriers and open new growth avenues [1] - The overseas market is anticipated to become a significant growth engine for the company, supported by the deepening of the "JRI + Aikang" dual-brand strategy and ongoing product registrations [1]