Investment Rating - The report maintains a "Recommended" rating for the company with a target price of 55 HKD, while the current price is 38.8 HKD [1]. Core Insights - The company's H1 2024 performance is strong, with revenue reaching 1.365 billion HKD (+38.4%) and net profit of 107 million HKD (+15.1%). Adjusted net profit is 148 million HKD (+45.3%) after accounting for equity-settled share-based payments [1][2]. - The core offline business shows robust growth, with healthcare solutions revenue at 1.345 billion HKD (+39.3%) and offline medical institutions generating 1.231 billion HKD (+43.7%). Online healthcare platform revenue increased to 134 million HKD (+3.6%) [2]. - Patient visits increased to 2.383 million (+31.9%), with a customer retention rate of 69.5% (+2.2 percentage points). The average spending per visit rose to 573 HKD, reflecting a higher proportion of self-paid outpatient income [2]. - The gross profit margin improved to 29.4% (+0.7 percentage points), attributed to a higher proportion of revenue from in-house doctors, which reduced the cost of sales [2]. - The company is expected to achieve adjusted net profits of 412 million, 558 million, and 753 million HKD for 2024-2026, representing year-on-year growth of 35.2%, 35.4%, and 35.0% respectively [2]. Financial Summary - Total revenue for 2024E is projected at 3.039 billion HKD, with a year-on-year growth rate of 30.6%. The net profit for 2024E is estimated at 334 million HKD (+32.5%) [3]. - The price-to-earnings (P/E) ratio is expected to decrease from 35.0 in 2023A to 26.2 in 2024E, and further down to 12.0 by 2026E [3][7]. - The company’s total assets are projected to grow from 3.379 billion HKD in 2023A to 5.851 billion HKD in 2026E [7].
固生堂：2024年中报点评：24年中报表现亮眼，扩张持续加速