VISHEE(688580) ZHESHANG SECURITIES·2025-05-16 07:08Investment Rating - The investment rating for the company is "Accumulate" [6] Core Views - The company is expected to experience significant growth in 2024, despite a challenging external environment and high base effects from the previous year. The launch of new products, including the MagNeuro ONE series and shockwave therapy devices, is anticipated to enhance the company's competitive edge in the rehabilitation and aesthetic medicine sectors [2][4] - The company's revenue and profit showed a notable improvement in Q1 2025, indicating a positive trend that is likely to continue throughout the year, driven by the increasing sales of aesthetic products [2] Financial Performance - In 2024, the company reported revenue of 400 million yuan, a year-over-year decrease of 13.5%, and a net profit attributable to shareholders of 101.97 million yuan, down 25.2%. The non-recurring net profit was 80 million yuan, reflecting a 31.7% decline [1][10] - For Q1 2025, the company achieved revenue of 95.91 million yuan, marking a year-over-year increase of 9.4%, and a net profit of 33.22 million yuan, up 52.7%. The non-recurring net profit was 30.54 million yuan, representing a 59.0% increase [1][10] Profitability Analysis - The gross margin for 2024 was 65.5%, a decrease of 6.3 percentage points year-over-year, while the net profit margin was 25.5%, down 4.0 percentage points. The decline in gross margin is attributed to increased competition in the rehabilitation sector and the initial phase of new product launches [3] - The operating cash flow for 2024 was 120 million yuan, a year-over-year decrease of 11.9%, with the cash flow net amount accounting for 160.1% of net operating income, showing significant improvement [3] Earnings Forecast and Valuation - The company is expected to see a gradual recovery in its core rehabilitation business and substantial contributions from new products in the aesthetic sector from 2025 to 2027. The projected earnings per share (EPS) for 2025, 2026, and 2027 are 1.37 yuan, 1.65 yuan, and 2.02 yuan, respectively. The current stock price corresponds to a price-to-earnings (P/E) ratio of 33.80 for 2025 [4][10]