SANXING(SH:601567) Soochow Securities·2024-04-28 14:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported better-than-expected performance in its 2023 annual report and 2024 Q1 report, with revenues of 11.463 billion and 3.03 billion respectively, representing year-on-year growth of 26% and 35%. The net profit attributable to the parent company was 1.903 billion and 360 million, showing a year-on-year increase of 101% and 35% [2][3] - The company is accelerating its overseas expansion in smart distribution and power supply, with a significant increase in orders, particularly from international markets [3] - The rehabilitation hospital segment is experiencing steady growth, with medical service revenue reaching 2.8 billion, a year-on-year increase of 35% [3] - The company has increased its expenses to expand market reach, but has a strong order backlog, which supports future growth [3] - The profit forecast for the company has been adjusted upwards, with expected net profits of 2.35 billion and 2.84 billion for 2024 and 2025 respectively, indicating continued strong growth [3] Financial Summary - Total revenue for 2023 is projected at 11.463 billion, with a year-on-year growth rate of 25.99% for 2023 and 26.48% for 2024 [2] - The net profit attributable to the parent company is expected to reach 1.903 billion in 2023, with a growth rate of 100.79% [2] - The latest diluted EPS is projected to be 1.35 for 2023, with a P/E ratio of 25.10 [2] - The company’s gross margin for 2023 is 34.0%, reflecting a year-on-year increase of 5.1 percentage points [2][3]