SANXING(SH:601567) Tai Ping Yang·2024-05-07 10:15Investment Rating - The report assigns a "Buy" rating for the company, indicating an expected relative increase of over 15% compared to the CSI 300 index in the next six months [8]. Core Views - The company is expected to achieve rapid growth driven by its dual business segments: power distribution and medical services. Revenue projections for 2024-2026 are estimated at 145.67 billion, 177.96 billion, and 209.33 billion yuan, with year-on-year growth rates of 27.09%, 22.16%, and 17.63% respectively [4][5]. - The net profit attributable to shareholders is forecasted to be 23.06 billion, 28.06 billion, and 33.34 billion yuan for the same period, with growth rates of 21.13%, 21.68%, and 18.83% respectively [4][5]. Financial Performance Summary - In 2023, the company reported a revenue of 114.63 billion yuan, a year-on-year increase of 25.99%. The net profit attributable to shareholders was 19.04 billion yuan, reflecting a significant year-on-year growth of 100.79% [2][5]. - For Q1 2024, the company achieved a revenue of 30.25 billion yuan, up 34.53% year-on-year, with a net profit of 3.64 billion yuan, marking a 35.15% increase [2][5]. - The gross profit margin for 2023 was 33.99%, an increase of 5.11 percentage points year-on-year, while the net profit margin was 16.76%, up 6.15 percentage points [2][5]. Business Segment Performance - The smart power distribution segment generated a revenue of 84.36 billion yuan in 2023, a year-on-year increase of 23.90%, with a gross margin of 34.12% [2][5]. - The medical services segment reported a revenue of 27.83 billion yuan, up 34.73% year-on-year, with rehabilitation services contributing 13.11 billion yuan, a growth of 64.80% [2][5]. - The company has expanded its hospital network to 28 facilities, including 22 rehabilitation hospitals, increasing total bed capacity to approximately 8,868 [2][5].