Core Viewpoint - In 2024, the company continues to implement cost reduction and efficiency enhancement strategies, focusing on its core business, resulting in a significant narrowing of losses, aligning with the profit guidance in the convertible bond announcement in April 2024. However, revenue growth is slightly below expectations due to price adjustments in some products caused by domestic industry procurement and national policy guidance [1][2][3] Financial Performance - In 2024, the company achieved revenue of $1.031 billion, a year-on-year increase of 9.6% (excluding exchange rate effects). The net loss was $269 million, a significant reduction of 58.6% year-on-year, with EBITDA turning positive, improving from a loss of $370 million in the same period last year to a profit of $60 million [1][2] - The company’s EPS was -12.15 cents per share [1] Business Segments - The coronary business generated revenue of $166 million, up 9.9% year-on-year, with domestic and overseas growth rates of 2.0% and 47.0%, respectively. The orthopedic business achieved $253 million in revenue, a 6.2% increase, with domestic growth of 26.1% [4] - The neuromodulation business reported revenue of $107 million, a 14.4% increase, with overseas revenue growing by 137.6%. The minimally invasive robotics segment saw revenue of $36 million, a remarkable growth of 146.0% [4][5] Regional Performance - In 2024, domestic revenue was $522 million, accounting for 50.6% of total revenue, with a year-on-year growth of 6.0%. Overseas revenue reached $509 million, representing 49.4% of total revenue, with an 11.1% increase [5][6] Future Outlook - For 2025, the company is expected to achieve profitability, with self-owned products overseas anticipated to be a highlight. The coronary business is expected to enter a second growth phase, contributing positive cash flow [3][7] - Revenue projections for 2025-2027 are $1.141 billion, $1.320 billion, and $1.526 billion, with year-on-year growth rates of 10.67%, 15.65%, and 15.66%, respectively [8]

Investment Rating - The report maintains a "Buy" rating for the company, indicating a potential relative price increase of over 15% within the next six months [4][29]. Core Views - The company is expected to achieve profitability in 2024, with significant improvements in net loss, which narrowed by 58.6% year-on-year to a loss of 269 million USD [2][3]. - Revenue for 2024 reached 1.031 billion USD, reflecting a year-on-year growth of 9.6% (excluding exchange rate effects), although this growth was slightly below expectations due to price adjustments from domestic industry procurement policies [2][3][8]. - The company is focusing on cost reduction and efficiency improvements, which are anticipated to support its path to profitability [12][14]. Summary by Sections Financial Performance - In 2024, the company reported a revenue of 1.031 billion USD, with a year-on-year growth of 9.6% [2][3]. - The net loss for 2024 was 269 million USD, a significant reduction from the previous year's loss of 646 million USD [2][3]. - EBITDA turned positive, improving from a loss of 370 million USD in the previous year to a profit of 60 million USD [2][3]. Business Segments - The coronary business generated 166 million USD in revenue, growing by 9.9%, with domestic sales increasing by 2.0% and overseas sales by 47.0% [9]. - The orthopedic segment achieved 253 million USD in revenue, up 6.2%, with domestic sales rising by 26.1% [9]. - The self-owned product export business saw a remarkable growth of 84.7%, reaching 96 million USD in revenue [3][10]. Future Outlook - For 2025, the company is expected to continue its growth trajectory, with projected revenues of 1.141 billion USD, representing a growth rate of 10.67% [15][16]. - The company anticipates achieving a significant reduction in losses, with a forecasted net profit of -53 million USD for 2025, followed by a profit of 91 million USD in 2026 [15][16]. - The ongoing global expansion of self-owned products is expected to be a key growth driver, with the company entering over 100 countries and regions [10][11].