\u3000\u30 Beijing Telesound Electronics Co.Ltd(003004) 53 Jiangxi Sanxin Medtec Co.Ltd(300453) )
Key investment points
Event: the company released the annual report of 2021. The annual revenue was 1.16 billion yuan (+ 23.8%), the net profit attributable to the parent company was 156 million yuan (+ 34.8%), the net profit not attributable to the parent company was 145 million yuan (+ 43.7%), and the operating cash flow was 330 million yuan (+ 20.8%).
Q4 single quarter performance rebounded, and profitability increased steadily. 1) Quarterly, the revenue of Q1 / Q2 / Q3 / Q4 in 2021 was 2.5/2.6/3.2/340 billion yuan (+ 42.8% / - 0.6% / + 29.4% / + 30.7%), and the net profit attributable to the parent company in 2021 was 3404 / 3713 / 4333 / 41.41 million yuan (+ 180.3% / + 14.8% / + 15.3% / + 23.4%) respectively. The performance growth of Q4 in the first quarter rebounded, and the negative impact margin of the rise in the price of raw materials weakened. 2) Profitability: in 2021, the gross profit margin was 34.4% (+ 2PP), the sales expense ratio was 7.4%, which was basically the same as that of the previous year, the net profit margin attributable to the parent company was 13.4% (+ 1.1pp), and the profitability increased steadily.
The blood purification business grew steadily, and vaccine syringes contributed to the increment of revenue. In terms of business, the annual revenue of blood purification products was 740 million yuan (+ 26.2%), accounting for 63.2% of the company's total revenue. Dialysis treatment was just needed by ESRD patients. With the release of the production capacity of the company's core products such as ventilators, dialysate and dialysis tubes, the core business maintained a steady growth trend; The revenue of injection products was 200 million yuan (+ 160%), mainly due to the incremental contribution of vaccine syringes, of which the sales volume of vaccine syringes was 376 million, an increase of 321% over the same period of last year; The income of indwelling catheter products was 72.83 million yuan (+ 2.3%), infusion and blood transfusion products was 70.37 million yuan (+ 8.8%), and cardiothoracic surgery products were 69.28 million yuan (+ 20.7%).
The business space of blood purification is large, and the performance growth can be expected in the next few years. The company continues to improve the production efficiency of its wholly-owned subsidiary, while holding Chengdu Weisheng, a professional manufacturer of blood purification equipment, to create a complete ecological industrial chain of blood purification. There are more than 3 million ESRD patients in China. In 2020, there were 693000 dialysis people, and the treatment rate is less than 1 / 4. In the future, with the increase of penetration rate, the potential space of dialysis consumables market is expected to exceed 30 billion yuan. Capacity expansion and market development are expected to support the compound growth of the company's business of more than 30%. At the same time, the company also acquired Ningbo filar and arranged cardiothoracic surgery cardiopulmonary bypass products to help the company continuously expand new business areas and explore profit growth points.
Profit forecast and investment suggestions. It is estimated that the net profit attributable to the parent company from 2022 to 2024 will be RMB 200 million, RMB 260 million and RMB 320 million respectively, and the EPS will be RMB 0.51, RMB 0.65 and RMB 0.82 respectively, corresponding to 21, 17 and 13 times of PE, maintaining the "buy" rating.
Risk tip: policy risk, shrinking demand for covid-19 vaccine syringes and intensified competition.
