INKON Life(SZ:300143) China Post Securities·2024-04-23 02:00Investment Rating - The report initiates coverage with a "Buy" rating for the company [5][13]. Core Views - The company has achieved rapid growth in revenue and profit, with a notable increase in profitability, indicating a high-quality development phase [3][4]. - The medical services and medical devices sectors have both performed well, showcasing a trend towards high-quality development [3][4]. - The company is focused on building a comprehensive ecosystem for cancer treatment, integrating medical services and medical devices to drive growth [5][18]. Financial Performance - In 2023, the company reported a revenue of 1.471 billion yuan, representing a year-on-year increase of 27.20%, and a net profit attributable to shareholders of 100.44 million yuan, up 116.85% [3][6]. - Quarterly revenue for 2023 showed consistent growth: Q1 at 361 million yuan (+35.09%), Q2 at 362 million yuan (+17.91%), Q3 at 380 million yuan (+31.64%), and Q4 at 367 million yuan (+25.40%) [3]. - The gross margin for 2023 was 28.57%, an increase of 2.04 percentage points, while the net margin stood at 6.74% [3][6]. Segment Performance - The medical services segment generated revenue of 1.149 billion yuan (+15.25%) in 2023, with a gross margin of 24.82% [3][4]. - The medical devices segment saw significant growth, achieving revenue of 322 million yuan (+101.69%) with a gross margin of 41.97% [3][4]. Future Projections - Revenue projections for 2024 to 2026 are estimated at 1.770 billion yuan, 2.129 billion yuan, and 2.564 billion yuan, respectively, with corresponding net profits of 125.92 million yuan, 176.80 million yuan, and 256.87 million yuan [5][6]. - The company is expected to maintain a strong growth trajectory, with a projected P/E ratio decreasing from 47.12 in 2023 to 18.43 by 2026 [6][19].