SHINVA(SH:600587) Southwest Securities·2024-04-06 16:00Investment Rating - The report assigns a "Hold" rating for the company, indicating that the stock is expected to perform in line with the market over the next six months [17]. Core Insights - The company achieved a total revenue of 10.01 billion yuan in 2023, representing a year-on-year increase of 7.9%. The net profit attributable to shareholders was 650 million yuan, up 30.8% year-on-year [2][4]. - The company has increased its R&D investment, with R&D expenses reaching 443 million yuan in 2023. It applied for 419 patents, including 87 invention patents, and was recognized as a national intellectual property advantage enterprise [3]. - The international business segment saw significant growth, with revenue from international operations reaching 24.13 million yuan, a 55.36% increase compared to the previous year [3]. Financial Performance - The company's gross profit margin improved to 27.4% in 2023, an increase of 1.1 percentage points year-on-year. The gross profit margin for medical device manufacturing products was 40.82%, while for pharmaceutical equipment, it was 27.12% [6]. - The company’s revenue from medical device manufacturing reached 4.167 billion yuan, a year-on-year increase of 9.15%, with surgical instruments and experimental technology products growing by 14.47% and 28.7%, respectively [23]. - The pharmaceutical equipment segment generated 1.923 billion yuan in revenue, reflecting a year-on-year growth of 26.73% [23]. Future Projections - The company is expected to see its net profit attributable to shareholders reach 850 million yuan, 1.09 billion yuan, and 1.31 billion yuan in 2024, 2025, and 2026, respectively, with corresponding PE ratios of 13, 10, and 8 [24]. - The report anticipates that the gross profit margin for medical device manufacturing will continue to rise, reaching 43%, 44%, and 45% over the next three years [11][28].