Core Insights - Guichuang Tongqiao Medical Technology Co., Ltd. has received approval from the Hong Kong Stock Exchange to remove the "B" designation from its stock code, marking it as the first 18A high-value consumable medical device company to achieve this milestone in the Hong Kong market [1][2] - The removal of the "B" designation signifies the company's recognition by the capital market for its sustained growth and scalable profitability, enhancing its influence in the capital market [1] - In 2024, the company achieved a revenue of 780 million yuan, representing a year-on-year growth of 48.3%, and net profit exceeded 100 million yuan, marking its first annual profit [1] Revenue and Profitability - The company announced its first cash dividend post-listing, with a total cash dividend of 32.47 million yuan (before tax), while also increasing the maximum amount for its H-share repurchase plan to 650 million HKD [1] - Since its listing in 2021, the company has accelerated its product pipeline and commercialization efforts, establishing 66 product lines, with 47 products approved for market by NMPA [2] - The company has successfully participated in multiple rounds of provincial and national centralized procurement in 2024, with key products winning bids [2] Global Expansion - The company's overseas business has shown rapid growth, achieving revenue of 22.58 million yuan in 2024, with a compound annual growth rate of 87% over the past four years [2] - Currently, 20 products have been commercialized in 24 countries and regions, including Germany, Italy, Argentina, Brazil, and the UAE [2] Leadership Vision - The Chairman and CEO, Dr. Zhao Zhong, emphasized that the successful removal of the "B" designation is a milestone for the company, which will continue to innovate and leverage its competitive advantages in product innovation and operational efficiency [2]

Group 1 - The company, Guichuang Tongqiao-B (02190), has received approval from the Hong Kong Stock Exchange to exempt from certain listing rules, effective from May 9, 2025 [1] - The company's English and Chinese stock names will change to "ZYLOXTB" and "归创通桥" respectively, while the stock code will remain "2190" [1] - As of May 6, 2025, the company's market capitalization is approximately HKD 6.3 billion, exceeding the HKD 4 billion requirement set by the listing rules [1] Group 2 - For the fiscal year ending December 31, 2024, the company's total revenue is approximately RMB 782.5 million (around HKD 842.3 million), surpassing the HKD 500 million threshold required by the listing rules [2] - The company meets the criteria for listing under rule 8.05(3) due to its financial performance and operational history [2]

Group 1 - The article reports on share buybacks conducted by various companies on April 30, 2025, highlighting the total amounts and quantities repurchased [1][2][3] - AIA Group (01299) had the largest buyback amount, repurchasing 3.7736 million shares for a total of 217 million [1][2] - China Merchants Industry Holdings (01919) and China Hongqiao Group (01378) also had significant buybacks, with 12.9715 million shares for 151 million and 4.6665 million shares for approximately 64.83 million respectively [2][3] Group 2 - The cumulative buyback amounts for the year show that AIA Group has repurchased a total of 584 million shares, representing 5.198% of its total share capital [2] - China Merchants Industry Holdings has repurchased 241 million shares, accounting for 7.530% of its total share capital [2] - Other notable companies include Times Electric (03898) with 8.016% of its total shares repurchased and Swire Properties (01972) with 1.530% [2][3] Group 3 - The buyback activities reflect a trend among companies to return capital to shareholders, with varying percentages of total share capital being repurchased across different firms [1][2] - Companies like FOSUN Pharma (02196) and Jitu Express (01519) have lower buyback percentages, at 1.800% and 0.645% respectively, indicating a more conservative approach [2][3] - The data suggests a strategic move by companies to enhance shareholder value amidst market conditions [1][2]

Financial Performance - In 2024, the company achieved a sales revenue of RMB 782.5 million, representing a significant growth of 48.3% compared to 2023[9]. - The company recorded a net profit of RMB 100.3 million for the first time, marking a milestone in revenue growth and operational efficiency[9]. - The gross profit for 2024 was RMB 559,895,000, up from RMB 384,988,000 in 2023, indicating a significant improvement in profitability[18]. - The company reported a pre-tax profit of RMB 100,256,000 in 2024, compared to a loss of RMB 78,734,000 in 2023, marking its first year of profitability[18]. - The company achieved revenue of RMB 782.5 million for the reporting period, a 48.3% increase from RMB 527.8 million in 2023[88]. - Revenue from neurovascular intervention products accounted for 67.7% of total revenue, while peripheral vascular intervention products contributed 32.3%[88]. - The company reported a non-IFRS adjusted net profit of RMB 124.0 million for 2024, with a net profit attributable to equity holders of RMB 100.3 million[29]. - The company achieved a revenue of RMB 782,476,000, representing a 48% increase from RMB 527,754,000 in 2023[18]. - The company has established a comprehensive product portfolio with 66 products and candidates, including 47 commercialized in China[41]. Product Development and Innovation - In 2024, the company launched ten new products, enhancing patient care and expanding market share[10]. - Upcoming innovative products include a plaque excision device for peripheral vascular disease and an intracranial stent aimed at reducing stroke risk[12]. - The company launched ten high-quality products in 2024, showcasing its commitment to innovation in the vascular care sector[16]. - The company is committed to continuous product innovation, having launched 40 medical device products in China since early 2021, averaging five new products every six months[37]. - The company has successfully launched several innovative products to meet unmet clinical needs, including the CRD thrombectomy stent and ZYLOX Penguin venous stent system[124]. - The company has launched six products in the field of intracranial ischemic stroke treatment, including the Dragon CRD and Silver Snake BGC, promoting the BADDASS thrombectomy technique[51]. Market Expansion and Strategy - The company is expanding into strategic regions such as Southeast Asia, South America, and North Asia, aiming to enhance its global product portfolio[15]. - The company is actively seeking partnerships with established firms in Europe to accelerate its market expansion efforts[15]. - The company aims to diversify its product line to reduce reliance on a limited number of commercialized products, enhancing business resilience[25]. - The company is focused on expanding its distribution network and increasing hospital penetration to drive future growth[89]. - The company plans to continue expanding in both domestic and international markets, leveraging internal development and acquisitions[120]. Operational Efficiency - The company is focused on optimizing supply chains and streamlining production to reduce unit costs while maintaining rigorous R&D methods[13]. - The continuous revenue growth and efficiency improvements are believed to mark the beginning of long-term profitability for the company[14]. - The gross margin remained stable at 71.6% in 2024, attributed to continuous optimization of production and supply chain[40]. - Sales and distribution expenses as a percentage of total revenue decreased from 31.0% in 2023 to 22.3% in 2024[40]. - Administrative expenses decreased from RMB 114.1 million in 2023 to RMB 91.0 million in 2024 due to improved operational efficiency[40]. Leadership and Governance - The company has a strong leadership team with extensive experience in the medical device industry, including previous roles at major firms like Medtronic and Goldman Sachs[131][132]. - The board of directors includes 3 executive directors, 3 non-executive directors, and 4 independent non-executive directors, ensuring a diverse governance structure[157]. - The leadership team includes independent directors with significant academic and industry experience, contributing to corporate governance and strategic decision-making[134][137]. - The company is committed to maintaining high standards of corporate governance and transparency in its operations[137]. - The board retains full discretion over the management of the employee incentive plan[191]. Shareholder Structure and Incentives - As of December 31, 2024, the total issued H shares is 322,400,744, with 7,781,257 domestic shares[174]. - The employee incentive plans aim to enhance competitiveness in the labor market and attract future senior management[187]. - The employee incentive plans include core employees and senior management as eligible participants[192]. - The total number of shares granted to the top five highest-paid individuals is 140,785, with 126,707 being H shares and 14,078 being domestic shares[195]. - The company has established action agreements among major shareholders to unify decision-making processes[176]. Risks and Challenges - The company has faced significant risks and uncertainties, which are discussed in the management discussion and analysis section of the report[153]. - There is uncertainty regarding the successful development and commercialization of the peripheral point stent system and the balloon-expandable stent system[82][86].

根据《证券期货投资者适当性管理办法》及配套指引，本资料仅面向华创证券客户中的金融机构专业投资者，请勿对本资料进行任何形式的转发。若您不是华创证券客户中的金融机构专业投资者，请勿订 阅、接收或使用本资料中的信息。 本资料难以设置访问权限，若给您造成不便，敬请谅解。感谢您的理解与配合。 摘要 神经+外周介入双引擎驱动，受益集采，布局海外。 公司在神经介入、外周介入产品线布局全面，截止2025/3/20，公司共战略布局66款产品及候选产 品，已在国内商业化产品共计47款。公司抓住集采机遇，推动产品放量，实现收入的强劲增长，2021-2024年收入CAGR达到131%，并在2024年实现扭 亏为盈，全年净利润为1亿元，截至2024年底，账上资金总额达到25亿元，充裕现金流为产品管线自研/并购、商业化拓展提供支持。2024年海外收入 2258万元，同比增长58.2%，海外拓展已初具规模，有望为公司贡献长期业绩增量。 神经 介入：渗透率、国产化率双 低赛道，公司以丰富产品组合拥抱集采 。 1）行业：渗透率、国产化率双低的高潜力赛道。 国内神介手术受众群体大，近些年手术渗透率快速提升，神经介入耗材市场规模同步快速增长，20 ...

Core Viewpoint - The company is leveraging dual engines of neuro and peripheral intervention, benefiting from centralized procurement and expanding overseas, with a projected revenue CAGR of 131% from 2021 to 2024, and a turnaround to profitability in 2024 with a net profit of 100 million yuan [2][15]. Group 1: Company Overview - The company, established in 2012, focuses on innovative research, manufacturing, and sales of medical devices in neuro and peripheral vascular intervention [3]. - It has developed a comprehensive product line covering all five categories of neurovascular intervention and a full range of peripheral vascular intervention products, positioning itself in the top tier of the domestic market [5]. Group 2: Market Potential and Growth - The neuro intervention market in China has low penetration and localization rates, with a 2023 penetration rate of 13.8% for hemorrhagic neuro intervention surgeries, compared to 65.3% in the US, indicating significant growth potential [30][39]. - The domestic neuro intervention consumables market has grown rapidly, with a CAGR of 16% from 2017 to 2022, reaching 6.68 billion yuan [37]. Group 3: Centralized Procurement Impact - Since 2021, centralized procurement has expanded in the neuro intervention sector, benefiting leading domestic manufacturers by increasing market penetration and localization rates [43]. - The average price reduction from centralized procurement has stimulated demand, leading to increased sales volumes that offset some of the negative impacts of price drops [45]. Group 4: Financial Performance - The company achieved a revenue of 783 million yuan in 2024, with a year-on-year growth of 48%, and a net profit of 100 million yuan, marking a return to profitability [15]. - The gross margin has remained relatively stable at 71.6% despite some price reductions due to centralized procurement, supported by improved operational efficiency and a decrease in expense ratios [18]. Group 5: Overseas Expansion - In 2024, the company generated 22.58 million yuan in overseas revenue, a 58.2% increase, with plans to expand into Europe and emerging markets in Asia, Africa, and Latin America [24]. - The company has already commercialized 20 products in 24 overseas countries, with 8 products receiving CE marks in Europe [29]. Group 6: Product Pipeline and Innovation - The company has a robust product pipeline with 66 strategic products and candidates, of which 47 are already commercialized, and expects 17 more to be approved between 2025 and 2027 [5][49]. - Upcoming products include a flow-directed stent and a drug-eluting self-expanding intracranial stent, which are anticipated to significantly contribute to revenue growth [52][53].

中信证券 创新药和集采政策趋势 20250330 摘要 Q&A 当前医药板块在政策方面有哪些重要变化？ 近期，医药板块在政策方面出现了显著变化，尤其是集采政策的优化和商保的 快速落地。首先，关于集采政策，上周业内流传的相关内容显示，第十批集采 相关舆情之后，医保监管部门进行了相应调整。在两会期间，总理报告中提到 要"优化集采"和"完善药品价格形成机制"，这表明未来将更多体现市场化 竞争机制。这一变化缓解了过去对行业估值压制的担忧。 具体而言，此次调整 可能使得更多差异化和品牌类型产品能够进入市场，从而重新评估市场模型。 • 集采政策优化及医保支付标准调整：两会期间强调"优化集采"和"完善 药品价格形成机制"，预示着市场化竞争机制的回归，缓解了行业估值压 制，利好差异化和品牌类型产品，降低非医保支付品类的价格干预风险。 • 多元化支付体系加速构建：商业健康险目录的推出，特别是城市定制型商 业医疗保险如上海"全药保"，覆盖更多创新药和进口原料药，为临床刚 需创新药提供新的支付契机，预计商业保险市场规模将超万亿。 • 创新药企迎来发展机遇：恒瑞医药、百济神州、信达生物等企业预计实现 首次或持续盈利，并可能推出重磅产 ...

Core Viewpoint - The medical health industry faces significant uncertainties in 2024, yet outstanding companies like Guichuang Tongqiao have emerged successfully, achieving over 100 million yuan in net profit and turning profitable for the first time, demonstrating resilience in a challenging environment [1][24]. Company Performance - Guichuang Tongqiao reported a revenue of 782 million yuan in 2024, a substantial increase of 48.3% year-on-year, with a compound annual growth rate (CAGR) of 64% from 2021 to 2024 [9][12]. - The company achieved a net profit of 100.3 million yuan in 2024, marking its first annual profit, with a significant year-on-year growth of 1,663% when adjusted for non-IFRS measures [12][13]. - The revenue from neurovascular intervention products reached 529 million yuan, accounting for 67.7% of total revenue, with a year-on-year growth of 38.4% [9][12]. - The revenue from peripheral vascular intervention products surged by 74.5% to 252 million yuan, representing 32.3% of total revenue [9][12]. Market Dynamics - The high-value medical consumables market in China has grown from 104.6 billion yuan in 2018 to 156.1 billion yuan in 2023, with vascular intervention being the largest segment at 55.9 billion yuan in 2023, showing a year-on-year growth of 13.77% [4][5]. - The penetration rate of vascular intervention products in China remains low compared to developed countries, indicating significant growth potential in this segment [7][20]. Competitive Landscape - Guichuang Tongqiao has successfully navigated the challenges posed by centralized procurement policies, achieving rapid growth through effective product quality and sales capabilities [15][20]. - The company has participated in multiple rounds of centralized procurement, with 36 out of 47 approved products successfully selected [15][16]. - The competitive landscape is shifting towards a focus on innovation and operational efficiency, with leading players needing to excel in procurement, operational excellence, and continuous innovation [7][24]. International Expansion - Guichuang Tongqiao has expanded its overseas business, generating 22.58 million yuan in 2024, a year-on-year increase of 58.2%, with a CAGR of 87% over the past four years [20][21]. - The company plans to introduce 14 new products in 2025, targeting 11 countries and regions, with expectations of doubling overseas revenue by 2025 [21][22]. Future Outlook - The company is positioned for sustainable growth with a robust product pipeline, having received approvals for over 40 products since 2021, and plans for 17 additional products to be launched between 2025 and 2027 [22][23]. - Guichuang Tongqiao's valuation is expected to recover significantly, with potential inclusion in major stock indices, which could attract substantial capital inflows [25][26].

Financial Performance - For the fiscal year ending December 31, 2024, the company reported revenue of RMB 782.5 million, a 48.3% increase from RMB 527.8 million in 2023[4] - Gross profit for the same period was RMB 559.9 million, up 45.4% from RMB 385.0 million in the previous year, with a gross margin of 71.6%[4] - The company achieved a net profit of RMB 100.3 million, a significant turnaround from a loss of RMB 78.7 million in 2023, representing a 227.3% increase[4] - The company’s non-IFRS adjusted net profit reached RMB 124.0 million, reflecting a substantial increase of 1,663.0% from RMB 7.0 million in the previous year[4] - The company reported a profit before tax of RMB 100,256,000 for the year ended December 31, 2024, compared to a loss of RMB 78,734,000 in 2023[46] - The net profit attributable to equity holders for 2024 was RMB 100.3 million, compared to a loss of RMB 78.7 million in 2023[51] - The basic earnings per share for 2024 was RMB 0.3101, a significant improvement from a loss of RMB 0.24 per share in 2023[51] - The company recorded a net loss of RMB 43.6 million for the reporting period, compared to a net loss of RMB 15.8 million for the year ended December 31, 2023, primarily due to fair value changes of investments[148] Revenue Breakdown - Revenue from neurovascular intervention products accounted for 67.7% of total revenue, with a 38.4% increase in sales compared to 2023, driven by key products like the Silver Snake intracranial support catheter[5] - Revenue from peripheral vascular intervention products surged by 74.5%, attributed to expanded market access and increased hospital penetration[6] - The geographical revenue breakdown shows that revenue from China was RMB 759,899,000, a 48.1% increase from RMB 513,482,000 in 2023[39] - Revenue from neurovascular intervention devices reached RMB 528,511,000, up 38.6% from RMB 381,799,000 in 2023[33] - Revenue from peripheral vascular intervention devices increased by 74.8% to RMB 252,419,000 from RMB 144,653,000 in 2023[33] Product Development and Launches - The company launched 47 products in the Chinese market, establishing a distribution network covering over 3,000 hospitals and clinical use of over 800,000 medical devices[8] - The company introduced several key products in 2024, including the ZYLOX Penguin venous stent system and the ZYLOX Unicorn vascular suturing device[17] - The company launched 40 medical device products in the Chinese market since early 2021, averaging five new products every six months[14] - The company has a comprehensive product portfolio with 66 products and candidates strategically positioned, of which 47 are commercially available in China[83] - The company has successfully launched several innovative products to meet unmet clinical needs, including the CRD thrombectomy stent and ZYLOX Penguin venous stent system[173] Research and Development - R&D expenses decreased by 10.6% to RMB 233.2 million in 2024, compared to RMB 261.0 million in 2023, due to more products entering the market[18] - Research and development expenses decreased by 10.6% from RMB 261.0 million for the year ended December 31, 2023, to RMB 233.2 million for the year ended December 31, 2024, primarily due to a reduction in employee benefits expenses[140] - The company anticipates additional six neurovascular intervention products to be approved by the National Medical Products Administration by the end of 2027[89] - The company is actively promoting the BADDASS thrombectomy technique, which stands for Balloon guide with large bore Distal access catheter with Dual Aspiration with Stent-retriever as Standard approach[91] Operational Efficiency - Sales and distribution expenses as a percentage of total revenue decreased from 31.0% in 2023 to 22.3% in 2024[18] - Administrative expenses decreased from RMB 114.1 million in 2023 to RMB 91.0 million in 2024, indicating improved operational efficiency[82] - The company continues to focus on enhancing operational efficiency while driving organic revenue growth[70] - The company aims to enhance operational efficiency and profitability in response to industry dynamics, including volume-based procurement and diagnosis-related group payment standards[174] International Business - International business revenue reached RMB 22.6 million, a 58.2% increase from the previous year, primarily from Europe and Asia[12] - The company is committed to long-term international growth by allocating resources to R&D, regulatory affairs, and production, and establishing logistics facilities in Europe[13] - The company is actively participating in international academic conferences to enhance brand recognition and showcase its quality products[12] - The company's international business generated revenue of RMB 226 million in 2024, representing a 58.2% increase compared to the same period in 2023, primarily from Europe and Asia[76] Financial Position - The company’s cash and cash equivalents decreased to RMB 418.1 million in 2024 from RMB 1,086.6 million in 2023[21] - The total assets increased to RMB 3,452.6 million in 2024 from RMB 3,375.7 million in 2023[22] - The company’s total equity increased to RMB 3,101.0 million in 2024 from RMB 3,047.4 million in 2023[22] - The total available financial resources decreased from RMB 2,577.1 million as of December 31, 2023, to RMB 2,509.6 million as of December 31, 2024, with cash and cash equivalents dropping by 61.5%[155] - The company's borrowings amounted to RMB 87.0 million, an increase from RMB 50.0 million as of December 31, 2023[158] Market Trends and Future Outlook - The company is expanding its product offerings in the peripheral vascular intervention market with new drug-coated balloon catheters expected to be launched in the coming years[86] - The company anticipates that the auxiliary embolization stent will be launched by 2025, with positive feedback from clinical trials[99] - The company has eight products that have received CE marking in the European Economic Area[83] - The company has five products approved in the UAE region, with multiple products also approved in countries including Germany and the UK[83] Corporate Governance - The company has adopted corporate governance practices in accordance with the Corporate Governance Code, ensuring compliance with applicable rules and principles[180] - The audit committee, consisting of three independent non-executive directors, has reviewed the annual financial performance for the year ending December 31, 2024, confirming compliance with relevant accounting standards[184] - The auditor, PwC, has confirmed that the figures in the announcement align with the audited consolidated financial statements for the year ending December 31, 2024[185]

Investment Rating - The report gives a "Buy" rating for the company, with a target price of HKD 17.78 per share based on a 5x PS valuation for 2025 [1][20] Core Views - The company's future blockbuster products are expected to become new growth engines [1] - The company has achieved significant cost reduction measures, with sales expense ratio dropping to 21.9% (YoY -10.7pp), management expense ratio to 11.9% (YoY -10.0pp), and R&D expense ratio to 28.2% (YoY -28.7pp) [1][20] - The company's neurovascular and peripheral vascular interventional products are expected to drive rapid revenue growth, with projected revenues of RMB 782 million, RMB 1.092 billion, and RMB 1.529 billion for 2024-2026, representing growth rates of 48%, 40%, and 40% respectively [20][107][110] Company Overview - The company is a leader in neurovascular and peripheral vascular interventional devices, with a rich product portfolio and continuous new product launches [59][64] - The company has 44 products in the domestic market, covering over 3,000 hospitals, with more than 600,000 devices used clinically [64] - The company has strategically positioned 63 products and candidates, gradually enriching its interventional product portfolio [64] Neurovascular Interventional Products - The company has 23 approved neurovascular interventional products in China, covering five major clinical areas [65] - Key products include the JiaoLong Intracranial Thrombectomy Stent, YinShe Intracranial Support Catheter, and DaYu Balloon Guide Catheter, which provide a complete three-piece solution [172] - The company is promoting the BADDASS thrombectomy technique and R-DAS transradial access technology to enhance the clinical application of its products [196][198] Peripheral Vascular Interventional Products - The company has 21 approved peripheral vascular interventional products in China, covering arterial, venous, dialysis access, and peripheral embolization [66] - Key products include the UltraFree® Drug-Eluting PTA Balloon Catheter and ZENFLOW® PTA Balloon Catheter, which have achieved significant market penetration [20] - The company has partnered with Avinger to develop OCT-guided peripheral vascular plaque excision products, expected to launch in 2025 [66][105] Financial Performance - The company achieved revenue of RMB 366.0 million in H1 2024, a YoY increase of 58.2%, with net profit of RMB 68.9 million, turning profitable [20] - Neurovascular interventional products contributed RMB 243.5 million in revenue (YoY +46.7%), while peripheral vascular interventional products contributed RMB 120.6 million (YoY +88.2%) [20] - The company's gross margin was 71.3% in H1 2024, slightly down by 2.9pp YoY due to product price reductions from centralized procurement [143] Market Outlook - The number of neurointerventional procedures in China is expected to grow from 161,400 in 2020 to 740,500 in 2026, with a CAGR of 28.9% [166] - The market size for acute ischemic stroke neurointerventional devices in China is projected to grow from RMB 4.75 billion in 2020 to RMB 34.61 billion in 2026, with a CAGR of 39.2% [168][195] - The intracranial aneurysm market in China is expected to reach RMB 8.4 billion by 2026, with a CAGR of 14.2% from 2020 [172] Competitive Landscape - The company has participated in multiple centralized procurement programs, rapidly expanding its hospital coverage [178] - In the Guangdong neurointerventional coil procurement, the company's market share increased to 4.1%, up from 1.9% in previous rounds [178][179] - The company's coil products accounted for approximately 10% of the domestic market in 2023 [178]