IMEIK(SZ:300896) Soochow Securities·2025-03-13 23:32Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company is acquiring 85% of REGEN Biotech for $190 million, enhancing its capabilities in regenerative aesthetics and international expansion [6] - REGEN Biotech is a leading South Korean company in medical aesthetics, known for its innovative products like AestheFill, which stimulates collagen regeneration [6] - The acquisition is expected to strengthen the company's market position in high-end regenerative aesthetics and facilitate international market entry [6] - The company forecasts a steady growth in revenue and net profit from 2024 to 2026, with net profit estimates of 20.84 billion, 23.51 billion, and 26.56 billion RMB respectively [1][6] Financial Projections - Total revenue is projected to grow from 2,869 million RMB in 2023 to 3,987 million RMB in 2026, reflecting a compound annual growth rate (CAGR) of approximately 12.35% [1][7] - Net profit is expected to increase from 1,858 million RMB in 2024 to 2,656 million RMB in 2026, with a CAGR of about 12.97% [1][7] - The earnings per share (EPS) is projected to rise from 6.14 RMB in 2024 to 8.78 RMB in 2026 [1][7] - The price-to-earnings (P/E) ratio is expected to decrease from 32.60 in 2024 to 22.81 in 2026, indicating potential valuation improvement [1][7]