Core Viewpoint - The company reported a strong recovery in Q3 2025, with significant growth in revenue and profit, indicating a potential turning point despite challenges in the first three quarters of the year [1][2]. Financial Performance - For the first three quarters of 2025, the company achieved revenue of 231 million yuan, an increase of 11.32%, while net profit attributable to shareholders was 43 million yuan, a decrease of 34.14% [1]. - In Q3 alone, the company recorded revenue of 76 million yuan, up 35.45%, and a net profit of 9 million yuan, up 28.75% [1]. - The decline in net profit for the first three quarters was primarily due to a drop in gross profit from a specific product, increased depreciation and operating expenses from a new facility, and reduced investment income [1]. Business Segments - The orthopedic business has become a core growth engine, with its revenue share increasing from 24% to 35% year-on-year [2]. - The spinal surgery consumables saw over 90% growth, while joint and trauma-related consumables grew by over 70% [2]. - The company experienced a 45% increase in sales volume of a specific biopsy product due to price reductions from procurement policies, enhancing market demand [2]. R&D and Internationalization - The company has made significant advancements in R&D, launching new surgical power devices and obtaining certifications for various products, enhancing its competitive edge [3]. - In 2025, the company added 112 new patents, bringing the total to 1,368, showcasing its ongoing innovation capabilities [3]. - The company achieved key milestones in internationalization, with several products receiving EU CE-MDR certification, facilitating entry into international markets [3]. Profit Forecast and Investment Suggestions - The projected net profits for 2025-2027 are 61 million, 77 million, and 95 million yuan, respectively [4]. - As a leading domestic player in surgical power devices, the company is well-positioned to benefit from the ongoing shift towards disposable consumables and the introduction of innovative products [4].

Core Viewpoint - The company reported strong financial performance in Q3, with significant growth in revenue and net profit, driven by increased sales in orthopedic products and successful product certifications [1][2]. Financial Performance - In Q3, the company achieved operating revenue of 75.76 million yuan, a year-on-year increase of 35.45% [1] - The net profit attributable to shareholders reached 9.01 million yuan, up 28.75% year-on-year [1] - The net profit after deducting non-recurring items was 5.67 million yuan, reflecting a 24.27% increase compared to the previous year [1] Product Performance - Revenue from orthopedic-related power products increased from 24% to 35% of total revenue year-on-year, becoming a major income source for the company [1] - Sales of disposable breast biopsy needles grew by 45% compared to the same period last year, indicating the effectiveness of the company's price-volume strategy [1] - Significant growth was observed in the surgical power device segment, with spinal surgery consumables increasing by over 90% and trauma-related consumables by over 70% year-on-year [1] Regulatory Achievements - The company successfully obtained CE-MDR certification for its neurosurgery, orthopedic, ENT, and breast surgery power device products, which will positively impact future international product access and sales [1] - The penetration of plasma devices and consumables has increased, with breakthroughs in markets such as Shanxi, Anhui, Guangdong, Shaanxi, Gansu, Ningxia, and Chongqing [1] Innovation and R&D - The company added 112 new patents this year, bringing the total to 1,368 effective patents, including 768 for surgical power devices, 243 for endoscopes, and 263 for energy surgical equipment [2] - New surgical power devices for ENT and neurosurgery have been developed and launched, receiving market recognition [2] - Key technological breakthroughs in endoscopic products have been achieved, providing new growth momentum for the company [2]