David Medical(300314)2022-11-17 15:04Group 1: Business Performance - The decline in sales volume of infant care equipment is primarily due to the continuous decrease in the birth rate in China, leading to reduced demand from medical institutions [2] - The gross profit margin of the infant care equipment business fluctuates due to factors such as rising raw material prices, increased labor costs, and declining sales volume [2] Group 2: Strategic Planning - The company plans to increase R&D investment to continuously launch new products and enhance product value through technological iterations [2] - The company is actively monitoring national policies regarding the centralized procurement of electric staplers and will respond accordingly [2] Group 3: Inventory Management - The increase in inventory in 2021 was mainly due to the extended procurement cycles of key raw materials like electronic components and chips caused by the COVID-19 pandemic, leading to higher stock levels to ensure production and order fulfillment [3] - The diversification of product models in the infant care equipment sector has resulted in an increase in the types of inventory components, contributing to the rise in raw materials, work-in-progress, and semi-finished products [3] Group 4: Financial Management - The accounts receivable balance at the end of Q1 2022 increased compared to the end of 2021 due to credit limits extended to agents, which typically require settlement by year-end [3]