Kingmed Diagnostics(603882) 华创证券·2024-11-13 05:49Investment Rating - The report maintains a "Recommended" rating for the company with a target price of 44 yuan, while the current price is 34.72 yuan [1]. Core Insights - The company's revenue for the first three quarters of 2024 is 56.19 billion yuan, a decrease of 10.95% year-on-year, with a net profit attributable to shareholders of 0.94 billion yuan, down 83.71% [1]. - The accounts receivable collection has improved significantly, with a total impairment provision for accounts receivable of 4.20 billion yuan for the first three quarters of 2024, indicating a reduction in potential risks from COVID-related receivables [2]. - The company's conventional business is under pressure in the short term, with a 13.15% year-on-year decline in revenue for Q3 2024, primarily due to slower-than-expected growth in routine testing demand [2]. - Long-term core capability development is progressing steadily, with significant advancements in partnerships and operational management [2]. Financial Summary - Total revenue for 2023 is projected at 8.54 billion yuan, with a year-on-year decline of 44.8%. The forecast for 2024 is 7.62 billion yuan, a further decline of 10.8% [3]. - The net profit attributable to shareholders is expected to drop to 0.24 billion yuan in 2024, a decrease of 62.8% from 2023 [3]. - The company’s price-to-earnings (P/E) ratio is projected to be 68 in 2024, decreasing to 18 by 2026 [3].