BSBE(SZ:300406) ZHONGTAI SECURITIES·2024-04-01 16:00Investment Rating - The report maintains a "Buy" rating for the company, expecting a relative increase of over 15% in the next 6 to 12 months compared to the benchmark index [14]. Core Insights - The company has shown strong revenue growth, with a 15.27% increase in revenue for 2023, reaching 1,741.63 million yuan, and a net profit growth of 34.59%, amounting to 523.74 million yuan [30][24]. - The collaboration with China National Pharmaceutical Group (Sinopharm) is progressing well, with expectations for more synergies to materialize in 2024, enhancing the company's competitive position in the IVD market [5][23]. - The company has optimized its product structure and reduced operating expenses, leading to improved profitability, with a gross margin of 74.66% and a net margin of 29.98% in 2023 [19][30]. Financial Performance Summary - Revenue for 2023 was 1,741.63 million yuan, a 15.27% increase from 2022 [30]. - The net profit for 2023 was 523.74 million yuan, reflecting a 34.59% year-on-year growth [30]. - The company’s gross margin improved to 74.66%, while the net margin increased to 29.98% [19][30]. - The sales expense ratio decreased to 20.90%, management expense ratio to 8.07%, and financial expense ratio to 2.42% [19][30]. Business Segment Performance - The reagent business generated revenue of 1,634 million yuan, up 14.43% year-on-year, while instrument revenue reached approximately 91 million yuan, growing by 32.29% [23]. - The pathology business achieved revenue of 724 million yuan, a 12.21% increase, demonstrating resilience despite market challenges [23]. - Domestic revenue was 1,710 million yuan, reflecting a 15.42% growth, while overseas revenue was 32 million yuan, up 7.87% [23]. Future Outlook - The company is expected to continue benefiting from the recovery in domestic diagnostic demand, with projections for sustained growth in its biochemical and pathology segments [23][24]. - The financial forecasts indicate a revenue increase to 2,092 million yuan in 2024, with a projected growth rate of 20% [24].