Zhende Medical(603301) KAIYUAN SECURITIES·2025-01-22 07:05Investment Rating - The investment rating for the company is "Buy" (maintained) [1][4][16] Core Views - The company's performance in 2024 is expected to meet forecasts, with a continued recovery in core business operations [4][5] - Revenue for 2024 is projected to be between 4.2 billion to 4.3 billion yuan, representing a year-over-year increase of 1.77% to 4.19% [4] - The net profit attributable to shareholders is expected to be between 373 million to 393 million yuan, showing a significant year-over-year growth of 88% to 98% [4] - The company has adjusted its profit forecasts for 2024-2026 due to ongoing compliance work in the domestic medical sector, with net profit estimates of 383 million, 450 million, and 530 million yuan for the respective years [4][5] Financial Performance Summary - The company anticipates a revenue of 40.5 billion to 41.3 billion yuan for 2024, excluding isolation protective products, which indicates a year-over-year growth of 14.28% to 16.54% [5] - The gross margin for 2024 is expected to be between 33.58% and 34.38%, reflecting an increase of 0.82 to 1.62 percentage points year-over-year [5] - The company has achieved a significant recovery in its core business, with a notable increase in revenue and profitability after excluding the impact of isolation protective products [5][6] Market Position and Brand Strength - The company has strengthened its market position with over 98% coverage in top chain pharmacies and more than 200,000 stores as of the first half of 2024 [6] - The company has also established a strong online presence with 15 e-commerce stores and over 9.15 million followers across platforms [6] - Recognition as a top home medical device brand in the 2024 Health Industry Brand List and winning the Xipu Gold Award further enhances its brand influence [6]