Lifotronic(SH:688389) Xinda Securities·2024-03-22 16:00Investment Rating - The investment rating for the company is "Buy" based on its performance relative to the benchmark index [7]. Core Insights - The company reported a revenue of 1.146 billion yuan, representing a year-on-year increase of 16.55%, and a net profit attributable to shareholders of 329 million yuan, reflecting a year-on-year growth of 30.66% [8][18]. - The company's core business focuses on in vitro diagnostics and treatment & rehabilitation, with significant growth in both segments [8]. - The in vitro diagnostics segment achieved a revenue of 829 million yuan, up 10.73% year-on-year, with a gross margin of 65.22%, driven by enhanced product competitiveness and increased clinical applications [8]. - The treatment and rehabilitation segment saw a revenue of 304 million yuan, a year-on-year increase of 33.79%, with a gross margin of 70.83%, primarily due to the growth of key clinical medical products [8]. - The overall gross margin for the company improved to 65.81%, an increase of 7.29 percentage points year-on-year, attributed to the optimization of product mix and higher sales of high-margin products [8]. Summary by Sections Financial Performance - In 2023, the company achieved a net profit margin of 28.68%, an increase of 3.10 percentage points year-on-year, despite higher asset impairment losses impacting the net profit growth [8]. - The company’s operating expenses ratio was 34.38%, with sales, management, R&D, and financial expense ratios at 16.99%, 5.33%, 14.82%, and -2.76% respectively [8]. Product Development - The company has been actively investing in R&D, with new product registrations in the in vitro diagnostics field and ongoing development in the treatment and rehabilitation sectors [8]. - The company is focusing on high-value medical aesthetics products, with a notable increase in the promotion of its flagship products [8].