Winning Health Technology Group Co.Ltd(300253) (300253)
Event: the company announced that it plans to change the purpose of some of the raised funds and use all the nearly 192 million yuan originally planned to be invested in the “cloud medicine project” for the wiexmy project. It is reported that venexmy will serve medical staff in the form of app. This product relies on the company’s existing product venex to realize the seamless connection between out of hospital and in hospital systems.
Core view
Wiexmy extends the functions and scenarios of the company’s digital medical products, which is more in line with the development trend and demand of the medical industry. In the past, the IT system of medical institutions mainly operated in the local area network, and its application scenarios and functions were limited to a certain extent. However, venexmy can achieve four “full coverage”: covering the whole scene inside and outside the hospital, breaking the time and space constraints; Covering the whole business chain of clinical, scientific research, collaboration and management; Covering multiple user roles such as doctors, nurses and pharmacists; It covers the whole cycle of patients before diagnosis, during diagnosis and after diagnosis. We believe that venexmy can improve the digital level of medical services and meet the future development needs of the industry.
Venexmy has a solid foundation and can form collaborative linkage with the core products of venex in the future. In April 2020, the company launched a new generation of hospital informatization product, venex, which improves the capability of medical core business system through the technical architecture of 1 middle platform + X scenario solutions and cloud features such as microservice and container, while venexmy can form a thick base + light application architecture by connecting with the hospital end venex platform, so as to open up medical data and medical processes, Bring greater innovation opportunities and experience improvement for the daily work of medical staff and the diagnosis and treatment of patients.
SaaS model helps to improve the company’s business model and create new business space. Different from the project-based delivery of medical information products in the past, venexmy adopts the SaaS delivery mode. According to the company’s current plan, venexmy will have three versions: basic / advanced / specialized, The fees are charged at 19 / 49 / 99 (yuan / month / person) respectively. It is expected to land 100 and 1400 hospitals and cover more than 100000 and more than 1 million users respectively by the end of 2024 and 2029, and the cumulative income is expected to be 350 million yuan by 2029.
Financial forecast and investment suggestions
We believe that venexmy is in line with the development direction of the medical industry and gives full play to the technical advantages of the company’s venex, which will play a positive role in improving the company’s competitiveness and expanding its revenue scale. Regardless of this impact, EPS is predicted to be 0.29/0.42/0.61 yuan in 21-23 years, maintaining the target valuation level of 65 times PE in 2021, corresponding to the target price of 18.85 yuan, and maintaining the buy rating.
Risk statement
The landing of new products is less than the expected risk; Industry competition intensifies risks.
