INTCO MEDICAL(SZ:300677) Sou Hu Cai Jing·2025-10-28 22:50Core Insights - The company, Yingke Medical, reported a total revenue of 7.425 billion yuan for Q3 2025, reflecting a year-on-year increase of 4.6%, while the net profit attributable to shareholders reached 924 million yuan, up 34.47% year-on-year [1] - In Q3 alone, the total revenue was 2.511 billion yuan, showing a decline of 2.9% year-on-year, but the net profit for the quarter surged by 113.04% to 214 million yuan [1] - The company's expense ratio has increased significantly, with total financial, sales, and management expenses rising by 43.08% year-on-year, amounting to 818 million yuan, which represents 11.01% of total revenue [1] Financial Performance - Gross margin stood at 23.7%, an increase of 5.65% year-on-year, while net margin improved to 12.82%, up 30.01% year-on-year [1] - Earnings per share (EPS) reached 1.45 yuan, reflecting a year-on-year increase of 38.1% [1] - Operating cash flow per share was reported at 1.69 yuan, a significant increase of 121.26% year-on-year [1] Business Evaluation - The company's Return on Invested Capital (ROIC) for the previous year was 4.65%, indicating a relatively weak capital return, while the net profit margin was 15.66%, suggesting high added value in products or services [3] - Historical data shows a median ROIC of 11.49% since the company went public, with the worst year being 2023, where ROIC was only 1.01% [3] - The company has a healthy cash asset position, but its business model relies heavily on capital expenditures, necessitating careful monitoring of capital spending projects [3] Debt and Cash Flow - The average operating cash flow to current liabilities ratio over the past three years is only 4.87%, indicating potential liquidity concerns [3] - The interest-bearing asset liability ratio has reached 44.57%, and the ratio of interest-bearing debt to the average operating cash flow over the past three years is 20.19% [3] - Accounts receivable have reached 94.81% of profits, suggesting potential issues with cash collection [3] Fund Holdings - The company is held by two prominent fund managers who have recently increased their positions, with notable interest from Wang Bin of Huazheng Fund, who ranks among the top fifty fund managers in 2024 [4] - The largest fund holding in Yingke Medical is the Nord Value Advantage Mixed Fund, with a total scale of 2.481 billion yuan and a recent net value of 2.9899, which has increased by 41.77% over the past year [5]