HAIER BIOMEDICAL(SH:688139) KAIYUAN SECURITIES·2024-03-31 16:00Investment Rating - The report maintains a "Buy" rating for Haier Biomedical (688139.SH) [5][26]. Core Views - The company faced pressure on its overall performance in 2023, with revenue declining by 20.36% year-on-year to 2.281 billion yuan. However, core business revenue slightly increased when excluding public health control-related income [5]. - The introduction of a new round of equity incentives is expected to stimulate growth, with ambitious revenue targets set for 2024-2026 [27]. - The company is focusing on expanding its non-storage business and enhancing synergies from acquisitions, despite the storage business still being in a recovery phase [5]. Financial Summary - 2023 Financial Performance: - Revenue: 2.281 billion yuan (yoy -20.36%) - Net Profit: 406 million yuan (yoy -32.41%) - Core Net Profit: 331 million yuan (yoy -37.83%) - Gross Margin: 50.61% (+2.53 percentage points) - Operating Cash Flow: 249 million yuan [5][7]. - Revenue Breakdown: - Non-storage products: 867 million yuan (38% of total revenue, yoy +30%) - Medical innovation: 1.24 billion yuan (yoy -22.93%) - Life sciences: 1.03 billion yuan (yoy -17.23%) [5]. - Geographical Breakdown: - Domestic Sales: 1.49 billion yuan (yoy -18.44%) - International Sales: 780 million yuan (yoy -6.09%), with overseas sales accounting for over 34% of total revenue [5]. - Future Profit Forecasts: - Expected net profits for 2024-2026 are projected at 512 million yuan, 643 million yuan, and 807 million yuan respectively, with corresponding EPS of 1.61 yuan, 2.02 yuan, and 2.54 yuan [5][7]. Growth Drivers - The company is leveraging both organic growth and high-quality acquisitions to enhance its strategic positioning and business synergies. The life sciences segment is expected to see accelerated growth through automation and digital upgrades in pharmaceutical processes [6][27]. - The medical innovation segment is actively participating in new healthcare infrastructure projects, aiming to replicate successful models across various healthcare settings [6].