Mindray(SZ:300760) Xin Lang Cai Jing·2025-05-26 10:36Core Viewpoint - The company is expected to face short-term impacts on domestic business due to local financial constraints and delays in regular bidding processes, but a turning point is anticipated in 2025 with improvements in local special bonds and bidding situations [1] Business Segmentation and Highlights - The Life Information and Support segment saw a revenue decrease of 11.1% in 2024, with minimally invasive surgery business growing over 30% and international life information and support business achieving double-digit growth [2] - The In Vitro Diagnostics segment experienced a revenue increase of 10.8%, surpassing the Life Information and Support segment for the first time, with international business growing over 30% [2] - The Medical Imaging segment reported a revenue growth of 6.6%, with international medical imaging business growing over 15% and the high-end ultrasound system Resona A20 generating over 400 million yuan in its first year [3] Profitability Analysis - The company's gross margin for 2024 was 63.1%, a decrease of 3.0 percentage points, while the net profit margin was 32.0%, down 1.2 percentage points [4] - Operating cash flow for 2024 was 12.4% higher year-on-year, amounting to 12.43 billion yuan, with a significant improvement in the ratio of operating cash flow to net income [4] - The company is expected to see a slight improvement in profitability and stable operating expense ratios from 2025 to 2027 due to the increasing share of high-end products and markets [4] Profit Forecast and Valuation - The company is projected to maintain stable growth from 2025 to 2027, driven by rapid demand for medical devices and expansion in overseas and high-end markets [5] - Expected EPS for 2025-2027 are 10.61, 12.10, and 13.97 yuan, with a current PE ratio of 21.86 for 2025, maintaining a "buy" rating [5]