Lepu Medical(300003) 兴业证券·2024-05-21 05:01Investment Rating - The investment rating for the company is "Add" [1][8] Core Views - The company's performance in 2023 and Q1 2024 was under pressure due to high base effects from emergency rapid testing kits and PCR equipment in the previous year. However, there is a significant improvement in Q1 2024 compared to the previous quarter, indicating a recovery trend. With the base effect easing in 2024 and the commercialization of multiple innovative products, the company's performance is expected to recover steadily [1][6][8]. Summary by Relevant Sections Financial Performance - In 2023, the company achieved operating revenue of 7.98 billion yuan, a year-on-year decrease of 24.78%. The net profit attributable to shareholders was 1.26 billion yuan, down 42.88%. The gross profit margin was 64.24%, an increase of 1.79 percentage points [1][5]. - For Q1 2024, the company reported operating revenue of 1.92 billion yuan, a year-on-year decrease of 21.14%, and a net profit of 482 million yuan, down 19.27%. The gross profit margin was 66.89%, a slight decrease of 0.06 percentage points [1][5]. Revenue and Profit Forecast - The company is expected to achieve operating revenues of 8.88 billion, 10.30 billion, and 11.87 billion yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 11.4%, 15.9%, and 15.2%. The net profit attributable to shareholders is projected to be 2.03 billion, 2.44 billion, and 2.88 billion yuan for the same years, with growth rates of 61.2%, 20.4%, and 17.8% [2][8]. Product Development and Innovation - The company has maintained strong R&D investment, with key products receiving timely approvals. Notable innovations include the MemoSorb® biodegradable PFO occluder and various cardiovascular devices, which are expected to drive future growth [6][7]. - The company is also focusing on the application of artificial intelligence in healthcare, with products like the NeoGLU® non-invasive blood glucose meter expected to receive approval in 2024 [7]. Market Position and International Expansion - The company has obtained CE and FDA certifications for numerous products and has established a broad sales network in over 160 countries and regions. This international expansion is expected to contribute to rapid growth in overseas business [7][8]. Cost Management - In 2023, the company maintained stable expense management, with sales expenses decreasing by 20.11% year-on-year. R&D expenses also saw a decline, indicating effective cost control measures [7].