Core Viewpoint - CICC has downgraded the net profit forecast for China Resources Medical (01515) for 2025 by 20.8% to RMB 566 million, while introducing a net profit estimate of RMB 592 million for 2026, reflecting a 4.5% year-on-year increase. The firm maintains an outperform rating and a target price of HKD 5.0, indicating a potential upside of 23.2% based on 10.8x and 10.2x P/E ratios for 2025 and 2026 respectively [1]. Financial Performance - For 2024, the company reported revenue of RMB 9.855 billion, a year-on-year decline of 2.5%. The net profit attributable to shareholders was RMB 566 million, representing a significant year-on-year increase of 119.6%, with earnings per share of RMB 0.45, aligning with expectations [1]. - The hospital business generated revenue of RMB 9.185 billion in 2024, down 2.4% year-on-year. Outpatient visits increased by 1.3% and inpatient visits by 1.0%. Outpatient service revenue was RMB 3.665 billion, down 1.0%, while inpatient service revenue was RMB 5.294 billion, down 3.3% [3]. Operational Scale - As of the end of 2024, the company managed 105 medical institutions across 10 provinces and cities in China, including 13 tertiary hospitals, 22 secondary hospitals, and 41 primary hospitals and community centers. The total number of operational beds in self-owned hospitals was 18,567, with a bed occupancy rate of 82.9% [2]. Cost Structure - The administrative and other operating expense ratio for 2024 was 10.6%, an increase of 1.0 percentage points year-on-year, primarily due to new depreciation and amortization from hardware and software upgrades. The financial expense ratio decreased to 0.8%, down 0.5 percentage points year-on-year, attributed to an optimized financing structure and lower bank loan interest rates [4].
中金：维持华润医疗(01515)“跑赢行业”评级 目标价5港元