TC Medical(SH:600763) GUOTAI HAITONG SECURITIES·2025-09-09 09:06Investment Rating - The report maintains an "Accumulate" rating for the company [6][13]. Core Views - The company has entered a performance contribution phase with its local branch network, while exploring new expansion models through acquisitions and franchises outside the province. The impact of the dental implant procurement has passed, and the orthodontic business is stabilizing and recovering [2][13]. - The company achieved a revenue of 1.448 billion yuan in the first half of 2025, representing a year-on-year increase of 2.68%, and a net profit attributable to the parent company of 321 million yuan, up 3.67% year-on-year [13]. - The report adjusts the earnings per share (EPS) forecast for 2025-2027 to 1.20, 1.29, and 1.41 yuan, respectively, and sets a target price of 48.48 yuan based on a price-to-earnings (PE) ratio of 40.5X for 2025 [13]. Financial Summary - Total revenue is projected to grow from 2.847 billion yuan in 2023 to 3.363 billion yuan in 2027, with a compound annual growth rate (CAGR) of approximately 6.2% [4][14]. - Net profit attributable to the parent company is expected to increase from 500 million yuan in 2023 to 629 million yuan in 2027, reflecting a CAGR of about 8.8% [4][14]. - The company operates 89 medical institutions with 4,452 professional medical personnel and over 3100 dental treatment units, serving 1.7322 million outpatient visits in the first half of 2025 [13]. Business Performance - The revenue from the company's various business segments in the first half of 2025 includes: dental implants (255 million yuan), orthodontics (229 million yuan), pediatrics (236 million yuan), restoration (230 million yuan), and comprehensive services (394 million yuan), with year-on-year growth rates of 0.02%, 7.75%, -1.48%, 3.59%, and 2.44%, respectively [13]. - The company has established five regional groups in Zhejiang Province, enhancing its penetration and service capabilities through a "regional general hospital + branch" structure [13]. Technology and Innovation - The company utilizes AI technology through its self-developed MindHub platform, which supports clinical diagnosis, patient services, and operational management, enhancing efficiency and aiding in further expansion [13].