Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The company is expected to see a turning point in its domestic business in 2025 due to the anticipated recovery in local special bonds and monthly bidding for various medical devices, despite short-term impacts from tight local finances and delays in regular tenders [1] - The international market is projected to grow significantly, driven by the company's continued penetration into high-end customer segments and balanced revenue distribution across major global regions, particularly in developing countries and Europe [1] - The company is expected to maintain steady long-term growth, supported by the global medical infrastructure wave and expansion into high-end markets [5] Business Segmentation and Highlights - **Life Information and Support Segment**: Revenue decreased by 11.1% in 2024, with minimally invasive surgery business growing over 30%. Internationally, this segment achieved double-digit growth [2] - **In Vitro Diagnostics Segment**: Revenue grew by 10.8% in 2024, surpassing the Life Information and Support segment for the first time. Internationally, this segment saw growth exceeding 30% [3] - **Medical Imaging Segment**: Revenue increased by 6.6% in 2024, with international business growing over 15%. The high-end ultrasound system Resona A20 generated over 400 million yuan in its first year [3] Profitability Analysis - The company's gross margin for 2024 was 63.1%, a decrease of 3.0 percentage points year-on-year, while the net profit margin was 32.0%, down 1.2 percentage points [4] - Operating cash flow for 2024 was 12.43 billion yuan, a year-on-year increase of 12.4%, representing 102.8% of net operating income [4] - Profitability is expected to improve slightly from 2025 to 2027, driven by an increase in high-end product sales and stable operating expense ratios [4] Financial Forecast and Valuation - The company is projected to maintain stable growth from 2025 to 2027, with expected revenues of 40.33 billion yuan in 2025, 45.76 billion yuan in 2026, and 52.50 billion yuan in 2027, reflecting growth rates of 9.82%, 13.46%, and 14.72% respectively [12] - The estimated earnings per share (EPS) for 2025 is 10.61 yuan, with a price-to-earnings (P/E) ratio of 21.86 [10][12]

Investment Rating - The investment rating for the company is "Buy" (maintained) [4][12] Core Views - The domestic market is poised for recovery, and overseas business is performing strongly. The company is expected to benefit from the gradual recovery of procurement in 2025, leading to a turning point in domestic operations [4][5] - The company has implemented an active dividend policy, with dividend payouts of 679 million and 1.71 billion for 2024 and 2025 respectively, reflecting a payout ratio of 6% and 65% [5] - Revenue for 2024 is projected at 36.726 billion (up 5.14%), with net profit of 11.668 billion (up 0.74%). For Q1 2025, revenue is expected to be 8.237 billion (down 12.12%), with net profit of 2.629 billion (down 16.81%), but showing significant improvement on a quarter-on-quarter basis [5] Financial Summary - Revenue and profit forecasts for 2025-2027 are adjusted, with expected net profits of 12.913 billion, 14.869 billion, and 17.143 billion respectively, and corresponding EPS of 10.65, 12.26, and 14.14 [5][7] - The company’s revenue for 2023 was 34.932 billion, with a year-on-year growth of 15%. The gross margin is expected to remain stable around 63.5% to 64.2% over the forecast period [7][9] - The company’s international business, particularly in in-vitro diagnostics (IVD), is expected to continue growing, with international revenue contributing significantly to overall performance [5][6] Business Performance - The company’s life information and support business generated 135.57 billion in revenue (down 11.11%), while the IVD business achieved 137.65 billion (up 10.82%), with international IVD business growing over 30% [5] - The company is transitioning towards a digital and intelligent ecosystem solution provider, leveraging AI and big data to enhance service offerings [6]

Core Viewpoint - Mindray Medical (300760.SZ) reported a revenue of 36.726 billion RMB for 2024, marking a year-on-year growth of 5.14%, and a net profit attributable to shareholders of 11.668 billion RMB, with a growth of 0.74% year-on-year, maintaining seven consecutive years of revenue and net profit growth since its A-share listing in 2018 [1][2] Financial Performance - The company plans to distribute a cash dividend of 5.60 RMB per 10 shares, totaling 679 million RMB for 2024, leading to a cumulative cash dividend of 7.602 billion RMB for the year, with a cash dividend ratio of 65.15% [1][2] - Since its listing, Mindray has distributed over 34 billion RMB in dividends and has not engaged in refinancing, with a cash dividend ratio of 60.72% for 2023 [2] - The company has outlined a shareholder return plan for the next three years (2025-2027), committing to at least one profit distribution annually, with cash distributions not less than 65% of the distributable profits [2] Business Segments Performance - The Life Information and Support segment generated 13.557 billion RMB in revenue, with the minimally invasive surgery business growing over 30% year-on-year [3] - The In Vitro Diagnostics segment achieved 13.765 billion RMB in revenue, a year-on-year increase of 10.82%, becoming the largest business segment [3] - The Medical Imaging segment reported 7.498 billion RMB in revenue, with a growth of 6.6% year-on-year, and the high-end ultrasound system Resona A20 generated over 400 million RMB in its first year [3] R&D and Innovation - Mindray's R&D investment reached 4.008 billion RMB in 2024, accounting for 10.91% of total revenue, with a total of 11,773 patent applications filed [3] Market Environment and Growth Prospects - The domestic procurement environment is recovering, and the company anticipates significant growth in international markets, with a 21.28% increase in international business revenue, now accounting for approximately 45% of total revenue [5][6] - The company is adapting to challenges such as tariffs and is confident in maintaining supply chain stability while aiming to enter the top 20 global medical device companies [7]