Healthcare (SH:603313) EBSCN·2025-04-30 06:14Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's performance in North America has stabilized, while European operations continue to grow, with Q1 results exceeding expectations [1][5] - In 2024, the company achieved revenue of 8.45 billion yuan, a year-on-year increase of 5.9%, with a net profit attributable to shareholders of -151 million yuan [5][15] - The company is expected to see profit recovery, with projections for 2025-2027 indicating a gradual increase in revenue and net profit [15] Revenue Performance - In Q1 2025, the company reported revenue of 2.04 billion yuan, a year-on-year increase of 12.3%, and a net profit of 58.72 million yuan, up 196.2% [5][15] - Domestic and overseas sales for 2024 were 1.48 billion yuan and 6.75 billion yuan, respectively, with year-on-year growth of 3.5% and 6.7% [6] - The company's self-owned brand achieved revenue of 1.13 billion yuan domestically, reflecting a 3.6% increase [6] Profitability Analysis - The overall gross margin for 2024 was 36.9%, a decrease of 1.5 percentage points year-on-year [10] - In Q1 2025, the gross margin improved to 39.4%, an increase of 0.8 percentage points year-on-year [12] - The gross margin for the company's self-owned brand in 2024 was 46.0%, down 0.7 percentage points [10] Cost Structure - The company's expense ratio for 2024 was 35.0%, an increase of 0.7 percentage points year-on-year [13] - In Q1 2025, the expense ratio decreased to 34.8%, down 0.7 percentage points year-on-year [13] Future Outlook - The report highlights the potential for profit elasticity due to the return of manufacturing to the U.S. and domestic demand stimulation [14] - Revenue forecasts for 2025-2027 are maintained, with 2027 revenue projected at 12.73 billion yuan [15] - The company is expected to benefit from reduced reliance on major clients, with the top five clients accounting for 16.2% of revenue in 2024, down 5.7 percentage points year-on-year [14]