Core Insights - The company reported a revenue of 5.63 billion yuan for the first three quarters of 2025, a year-on-year decrease of 8.4%, and a net profit attributable to shareholders of 480 million yuan, down 25.7% year-on-year. In Q3 2025, revenue was 1.88 billion yuan, a quarter-on-quarter decrease of 1.8%, while net profit was 310 million yuan, a quarter-on-quarter increase of 301.0%, indicating significant improvement in Q3 performance [1] Business Performance - The core business of brand operation achieved a revenue of 4.10 billion yuan in the first three quarters of 2025, a slight year-on-year decrease of 0.8%, while wholesale and distribution revenue was 1.21 billion yuan, down 28.9% year-on-year, as the company continues to actively reduce low-margin business scale. Retail business revenue was stable at 300 million yuan, up 2.8% year-on-year [1] - The company is focusing further on brand operation business, with the launch of the new product "Dijiao Sujie" liquid glucosamine calcium in September 2025. This product utilizes a unique formulation technology that combines glucosamine, calcium, and vitamin D3, achieving a biological availability three times that of traditional glucosamine while minimizing gastrointestinal discomfort, making it suitable for long-term use [1] - The new product addresses the needs of middle-aged and elderly populations and those sensitive to swallowing, solving issues related to traditional glucosamine products, and leveraging the brand's advantage as the top domestic imported calcium supplement for nine consecutive years, which is expected to bring new growth momentum [1] Commercialization and Industry Development - The company has successfully signed a contract to introduce ZAP-X into the first precision radiotherapy center at Peking University International Hospital, marking smooth progress in the commercialization of radiotherapy. Additionally, the high-end manufacturing industrialization base in Beijing's airport economic zone is set to be operational by the end of 2025, which will become the global production supply center for ZAP-X, accelerating the domestic production process [2] - The company has established a complete industrial chain layout in the field of tumor precision radiotherapy equipment, covering brain, body, and cardiac radiotherapy scenarios. The self-developed first 4Π intelligent robotic radiotherapy system has entered clinical trials, and the application of stereotactic radiotherapy technology in arrhythmia treatment is expected to create a new model for non-invasive treatment of arrhythmias [2] Profit Forecast and Investment Recommendation - Based on the company's Q3 2025 report, the earnings per share for 2025-2027 are maintained at 0.91, 1.53, and 1.96 yuan respectively. The target price is set at 30.60 yuan based on a 20x PE ratio for 2026, maintaining a "buy" rating [3]

Investment Rating - The report maintains a "Buy" rating for the company with a target price of 30.60 CNY, based on a 20x PE for 2026 [4][6]. Core Insights - The company reported a significant improvement in performance, with Q3 2025 showing a net profit of 3.1 billion CNY, a 301.0% increase quarter-on-quarter [10]. - The core business of brand operation generated revenue of 41.0 billion CNY in the first three quarters of 2025, nearly flat year-on-year, while wholesale and retail segments experienced declines [10]. - The launch of the new product "Dijiao Sujie" is expected to drive growth, targeting middle-aged and elderly consumers with improved bioavailability [10]. - The commercialization of ZAP-X is progressing well, with the first precision radiotherapy center signed in Beijing, and a manufacturing base set to be operational by the end of 2025 [10]. Financial Summary - Revenue for 2023 is projected at 8,256 million CNY, with a year-on-year growth of 9.9%, while 2025 is expected to see revenue of 8,625 million CNY, reflecting a 6.6% increase [5][11]. - The net profit attributable to the parent company is forecasted to be 477 million CNY in 2025, down 31.0% from 2024 [5][11]. - The gross margin is expected to improve from 33.3% in 2023 to 36.3% in 2025, while the net margin is projected to decrease from 8.6% in 2023 to 5.5% in 2025 [5][11]. - The company’s return on equity (ROE) is expected to decline from 27.4% in 2023 to 19.8% in 2025 [5][11].