Meihua International Medical(US:MHUA) Prnewswire·2024-09-20 21:30Core Viewpoint - Meihua International Medical Technologies Co., Ltd. reported its unaudited financial results for the first half of 2024, showing a revenue of approximately $45.3 million, reflecting a decrease due to economic challenges in China, while the company is focusing on transitioning to high-end medical devices and enhancing operational resilience [1][3][4]. Financial Performance - Revenues for the first half of 2024 were approximately $45.3 million, a decrease of about $2.9 million or 5.9% from approximately $48.2 million in the same period of 2023 [2][4]. - Gross profit was approximately $15.2 million, down by about $2.0 million or 11.6% from approximately $17.2 million in the same period of 2023, with a gross margin of 33.5% compared to 35.6% in the previous year [2][5][6]. - Income from operations was approximately $5.9 million, and net income was approximately $4.7 million for the six months ended June 30, 2024 [2][9]. Cost Analysis - Cost of revenues decreased by approximately $0.9 million or 2.8% to approximately $30.2 million, aligning with the revenue decline, although some fixed costs remained unchanged [4]. - Selling expenses increased slightly by approximately $40,000 or 1.2% to approximately $3.2 million, primarily due to increased market business development expenses [6][8]. - General and administrative expenses rose by approximately $50,000 or 1.5% to approximately $3.5 million, driven by increased service expenses [8]. Strategic Initiatives - The company is actively transitioning towards the high-end medical device industry, optimizing its product mix, and focusing on high-margin consumables [3]. - The construction of an integrated medical industrial park in Hainan is progressing well, expected to support long-term growth objectives [3]. - A $3 million share repurchase plan has been initiated, reflecting confidence in the company's long-term prospects and commitment to shareholder value [3][10]. Recent Developments - The company launched the Speed Fox warehouse management and logistics platform in May 2024 and participated in a significant remote robotic lobectomy in July 2024 [3]. - The company has received international certifications, including "CE" certification and ISO 13485, and has registered over 20 Class I products with the FDA [11].