SHINVA(600587) 德邦证券·2024-09-02 08:41Investment Rating - The report maintains a "Buy" rating for Xinhua Medical [1] Core Views - In H1 2024, Xinhua Medical achieved operating revenue of 5.187 billion yuan (+2.24%) and a net profit attributable to shareholders of 484 million yuan (+5.57%), with a net profit margin of 9.6% (+0.19 percentage points) [1] - The company faced a decline in bidding for infection control products due to slow policy implementation, but expects recovery in H2 2024 as equipment update policies take effect [2] - The internationalization of pharmaceutical equipment is progressing, with significant growth in international trade contracts [2] - Cost control measures have significantly improved, with a reduction in sales and management expenses [2] Summary by Sections Financial Performance - In H1 2024, the company reported a revenue of 5.187 billion yuan, with a net profit of 484 million yuan and a non-recurring net profit of 474 million yuan [1] - For Q2 2024, revenue was 2.658 billion yuan (+0.91%) and net profit was 273 million yuan (+4.21%) [1] - The medical device segment generated revenue of 1.887 billion yuan (-2.55%) with a gross margin of 43.29% (+2.28 percentage points) [2] - The pharmaceutical equipment segment achieved revenue of 1.092 billion yuan (+4.38%) [2] Market Strategy - The company is focusing on major hospitals in the infection control sector and has achieved record high revenue in infection control consumables [2] - Continuous product upgrades and improvements in traditional surgical instruments have helped maintain market leadership [2] Cost Management - Sales expenses decreased by 6.94% to 409 million yuan, while management expenses fell by 17.41% to 198 million yuan [2] - R&D expenses increased by 3.75% to 18.53 million yuan, with several new products recognized for innovation [2] Profit Forecast - The report forecasts net profits of 818 million yuan, 950 million yuan, and 1.174 billion yuan for 2024, 2025, and 2026 respectively, with corresponding P/E ratios of 13, 11, and 9 times [2]