康德莱医械(01501) - 2024 - 中期业绩

Performance Highlights Financial Summary The company achieved strong H1 2024 growth, with revenue up 15.47% to RMB 392 million and profit up 23.19% to RMB 99.18 million, driven by increased sales and improved gross margin, with no interim dividend declared Key Financial Indicators for H1 2024 | Indicator | H1 2024 (RMB '000) | H1 2023 (RMB '000) | Change | | :--- | :--- | :--- | :--- | | Revenue | 392,322 | 339,764 | 15.47% | | Gross Profit | 246,768 | 200,350 | 23.17% | | Profit for the Period | 99,178 | 80,505 | 23.19% | | Basic Earnings Per Share (RMB) | 0.58 | 0.48 | 20.83% | | Diluted Earnings Per Share (RMB) | 0.58 | 0.47 | 23.40% | - Revenue growth was primarily driven by increased sales of interventional medical devices (revenue up 19.16% YoY) and medical standard parts (revenue up 31.14% YoY)[3] - Gross margin increased from 58.97% in the prior period to 62.90% in the reporting period, mainly due to increased sales of interventional medical devices[3] - The Board has resolved not to declare any interim dividend for the six months ended June 30, 2024[3] Consolidated Financial Statements (Unaudited) Consolidated Statement of Profit or Loss The company reported total revenue of RMB 392 million and gross profit of RMB 247 million, with operating profit reaching RMB 112 million, a 24.7% YoY increase, resulting in a profit for the period of RMB 99.18 million Consolidated Statement of Profit or Loss Summary | Item | H1 2024 (RMB '000) | H1 2023 (RMB '000) | | :--- | :--- | :--- | | Revenue | 392,322 | 339,764 | | Cost of Sales | (145,554) | (139,414) | | Gross Profit | 246,768 | 200,350 | | Other Income | 23,941 | 22,794 | | Distribution Costs | (33,607) | (33,021) | | Administrative Expenses | (55,219) | (36,389) | | Research and Development Expenses | (70,754) | (64,593) | | Operating Profit | 111,781 | 89,622 | | Profit Before Tax | 110,749 | 88,417 | | Profit for the Period | 99,178 | 80,505 | Consolidated Statement of Financial Position As of June 30, 2024, total assets were RMB 1.966 billion, total liabilities RMB 275 million, and net assets RMB 1.691 billion, with the current ratio improving from 2.29 to 2.70 and total equity increasing to RMB 1.691 billion Balance Sheet Summary | Item | June 30, 2024 (RMB '000) | December 31, 2023 (RMB '000) | | :--- | :--- | :--- | | Non-current Assets | 1,318,590 | 1,305,337 | | Current Assets | 647,232 | 724,289 | | Cash and Cash Equivalents | 330,640 | 423,668 | | Current Liabilities | 239,806 | 316,829 | | Non-current Liabilities | 34,910 | 34,419 | | Net Assets | 1,691,106 | 1,678,378 | | Total Equity | 1,691,106 | 1,678,378 | Notes to the Financial Statements (Selected) Revenue and Segment Reporting Revenue primarily derives from cardiovascular interventional business, with interventional medical device sales as the core at RMB 345 million (up 19.16% YoY), while mainland China remains the main market (71.3% of revenue) and overseas markets show significant growth Revenue by Product Category | Product Category | H1 2024 (RMB '000) | H1 2023 (RMB '000) | YoY Change | | :--- | :--- | :--- | :--- | | Sales of Interventional Medical Devices | 345,476 | 289,927 | +19.16% | | Sales of Medical Standard Parts | 26,743 | 20,387 | +31.14% | | Agency Business | 14,818 | 28,569 | -48.13% | | Molds and Others | 3,728 | 848 | +339.62% | | Total (from Contracts with Customers) | 390,765 | 339,731 | +15.02% | Revenue by Geographical Location | Region | H1 2024 (RMB '000) | H1 2023 (RMB '000) | YoY Change | | :--- | :--- | :--- | :--- | | Mainland China | 279,623 | 267,569 | +4.50% | | Europe | 28,248 | 18,240 | +54.87% | | United States | 21,157 | 15,964 | +32.53% | | Other Countries and Regions | 63,294 | 37,991 | +66.60% | | Total | 392,322 | 339,764 | +15.47% | - The company primarily operates one reportable segment: cardiovascular interventional business, which contributed RMB 344 million in external customer revenue and RMB 95.49 million in net profit[16][22] Share Capital, Reserves and Dividends The company issued 5 million new shares, increasing total share capital to 176 million shares, repurchased 800,000 H-shares, and paid a 2023 final dividend of RMB 0.27 per share totaling RMB 47.52 million, with no 2024 interim dividend declared - The company issued 5,000,000 new shares under a restricted share scheme, increasing total share capital to 176,000,000 shares[38] - In April 2024, the company repurchased 800,000 of its own shares on the Stock Exchange for a total consideration of approximately RMB 18.92 million[40] - The company paid a 2023 final dividend of RMB 0.27 per share, totaling RMB 47.52 million, and the Board resolved not to declare a 2024 interim dividend[42][66] Acquisition of Interests in Subsidiaries To optimize equity structure and achieve development strategies, the company increased its stakes in Shanghai Qimu, Shanghai Puhui, and Shanghai Hanling to 90.00%, 58.96%, and 61.36% respectively through equity transfers - The company increased its equity interests in three subsidiaries: Shanghai Qimu, Shanghai Puhui, and Shanghai Hanling[43] Changes in Subsidiary Equity Interests | Subsidiary | Post-Acquisition Equity Ratio | Pre-Acquisition Equity Ratio | | :--- | :--- | :--- | | Shanghai Qimu | 90.00% | 53.33% | | Shanghai Puhui | 58.96% | 54.26% | | Shanghai Hanling | 61.36% | 56.36% | Management Discussion and Analysis Business Overview and Outlook As a leading Chinese cardiovascular interventional device manufacturer, the company boasts a complete industry chain and strong R&D, actively expanding product registrations and global sales, with plans to further expand market share, increase R&D, and enhance automated production in H2 2024 - The company is a leading Chinese manufacturer of cardiovascular interventional devices, possessing a complete industry chain from design to sterilization[44] - As of June 30, 2024, the company held 364 registered patents and 199 pending patent applications, establishing an extensive distribution network covering 2,795 hospitals in China and 83 countries and regions overseas[46][47] - The company officially changed its name to "Shanghai INT Medical Instruments Co., Ltd." (上海瑛泰醫療器械股份有限公司) and its stock short name to "INT MEDICAL" (瑛泰醫療) in early 2024[49] - H2 2024 Outlook: (1) Expand market share, especially in overseas markets; (2) Increase R&D investment to advance core product pipelines; (3) Enhance automated and scaled production[52] Financial Review In H1 2024, revenue grew 15.47% to RMB 392 million, driven by sales growth and improved gross margin (58.97% to 62.90%), while administrative expenses surged 51.74%, profit for the period still increased 23.19% to RMB 99.18 million Key Financial Items Changes | Item | H1 2024 (RMB Million) | H1 2023 (RMB Million) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 392.32 | 339.76 | +15.47% | | Cost of Sales | 145.55 | 139.41 | +4.40% | | Gross Profit | 246.77 | 200.35 | +23.17% | | Distribution Costs | 33.61 | 33.02 | +1.79% | | Administrative Expenses | 55.22 | 36.39 | +51.74% | | R&D Expenses (Expensed) | 70.75 | 64.59 | +9.54% | | Profit for the Period | 99.18 | 80.51 | +23.19% | - Administrative expenses significantly increased by 51.74%, primarily due to depreciation, amortization, and additional taxes for the R&D center in Shanghai[59] - Total R&D expenses were approximately RMB 85.93 million, of which capitalized R&D expenses were RMB 15.18 million, a decrease from RMB 21.94 million in the prior period[60] Liquidity, Financial Resources and Capital Management The company maintains a robust financial position with RMB 331 million in cash and equivalents, an improved current ratio of 2.70, and a reduced gearing ratio of 4.00%, with remaining global offering proceeds planned for production expansion and industrial park construction by year-end 2024 - As of June 30, 2024, the Group's cash and cash equivalents were approximately RMB 331 million[63] - The current ratio improved from 2.29 at the end of 2023 to 2.70, and the gearing ratio decreased from 5.65% to 4.00%[63][64] - Approximately RMB 48.5 million of the net proceeds from the global offering remain unutilized and are expected to be fully utilized by December 2024[68] - The Group holds minority equity investments in four funds, classified as financial assets at fair value through profit or loss, with a total fair value of RMB 178 million at period-end[71][72] Other Information Corporate Governance The company largely complied with the Corporate Governance Code, with one deviation where the Chairman and CEO roles are combined, which the Board believes benefits management and ensures power balance, and the Audit Committee has reviewed the interim results - The company complied with the Corporate Governance Code, but deviated from Code Provision C.2.1, where the roles of Chairman and Chief Executive Officer are not segregated and are both held by Dr. Liang Dongke[79] - The Board believes that Dr. Liang's dual role, given his extensive experience, benefits group management, and the Board's composition with multiple non-executive and independent non-executive directors ensures a balance of power[79] - The Audit Committee has reviewed these interim results, which were also independently reviewed by the company's auditor, KPMG[80][81]