Domestic medical device giant Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) announced its performance in 2021.
On April 19, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) ( Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) , Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) ) released its 2021 annual report, which showed that last year’s operating revenue was 25.27 billion yuan, an increase of 20.18% year-on-year (compared with the same period of the previous year); The net profit attributable to the parent company was 8.002 billion yuan, a year-on-year increase of 20.19%; The non net profit attributable to the parent company was 7.85 billion yuan, a year-on-year increase of 20.04%.
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) 2021 main financial data
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) ‘s business covers three fields: life information and support, in vitro diagnosis and medical imaging.
Specifically, the operating revenue of life information and support business reached 11.153 billion yuan, a year-on-year increase of 11.47%, accounting for the highest proportion of total revenue, about 44% Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) said that as the business area with the largest demand during the epidemic in 2020, the life information and support business maintained a good growth during the reporting period, mainly due to the gradual development of new medical infrastructure led by the expansion of large public hospitals in China.
In vitro diagnosis business, last year’s operating revenue was 8.449 billion yuan, a year-on-year increase of 27.12% Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) said that due to the continuous recovery of routine diagnosis and treatment, physical examination and surgery worldwide, the consumption of conventional reagents has recovered significantly. At the same time, thanks to the rapid increase of bc-7500crp, a popular new product, the in vitro diagnosis business has achieved rapid growth in the reporting period. During the reporting period, the company’s blood cell business surpassed the imported brand for the first time and became the first in China.
In terms of medical imaging business, last year, the operating revenue was 5.426 billion yuan, a year-on-year increase of 29.29% Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) said that with the gradual recovery of routine diagnosis and treatment and physical examination worldwide, ultrasound procurement activities also returned to normal, driving the medical imaging business to achieve high restorative growth in the reporting period.
In terms of R & D investment, the R & D investment in 2021 was 2.726 billion yuan, a year-on-year increase of 30.08%. According to the annual report, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) has ten R & D centers with 3492 R & D engineers in Shenzhen, Wuhan, Nanjing, Beijing, Xi’an, Chengdu, Silicon Valley, New Jersey, Seattle and Europe.
In the context of the normalization of centralized procurement, a number of high-value medical consumables have also been included in the centralized procurement and the winning results have been announced. For example, in July 2021, orthopedic trauma medical consumables in Henan, Shanxi, Jiangxi, Hubei, Chongqing, Guizhou, Yunnan, Guangxi, Ningqing, Hunan and Hebei provinces (autonomous regions and cities) were collected; In September 2021, the state organized the joint procurement office of high-value medical consumables to purchase the artificial joint in the state.
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) in the annual report, it is mentioned that in the centralized procurement of orthopaedic trauma in 12 provinces, the company’s products won the bid in group A of three procurement packages: ordinary sector system, locking compression sector system (including universal) and intramedullary nail system. The company’s trauma products rank fourth in the final agreed procurement volume of medical institutions in the three procurement packages, which has achieved a qualitative leap compared with the market share before centralized procurement.
In the collection of artificial joints, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) introduced that the joint products of the company won the bid for ceramic polyethylene hip joint product system and alloy polyethylene hip joint product system, and achieved the 10th place in the overall belt volume.
For the centralized procurement of “Beijing Tianjin Hebei 3 + n” orthopedic trauma medical consumables across 16 provinces (autonomous regions and municipalities) in February this year, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) mentioned that all three procurement packages won the bid in group A. although the 16 provinces (autonomous regions and municipalities) involved this time are relatively weak areas of Mindray orthopedics business, 57509 sets of volume reporting results have been achieved, and the proportion of industry volume reporting is expected to reach 8%, entering the top camp of orthopedics industry.
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) said that based on its experience in trauma and joint collection, company is currently actively arranging the belt volume preparation of spine products . At present, we have completed the improvement of product items and capacity estimation of the national mining platform. In the future, the company will continue to actively participate in national volume procurement and provincial alliance volume procurement, steadily expand orthopedic business, build a strong supply chain system, actively layout global development and contribute new growth power to the company.
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) believes that in the long run, centralized procurement is expected to accelerate the development of domestic medical device industry, and a number of Chinese enterprises with global competitiveness will emerge.
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) performance in 2021 by product and region
Internationalization is a major direction of Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) development. According to the 2021 annual report, the proportion of Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) overseas business in the total revenue has narrowed, from 47.16% in 2020 to 39.61% this year, while the domestic revenue has increased from 52.84% in 2020 to 60.39%.
For this change, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) explained that the company is mainly settled in US dollars and euros, and the fluctuation of RMB exchange rate against US dollars and euros will have a certain impact on the company’s operating performance: the company’s overseas sales revenue accounts for a relatively high proportion, while the company’s production links are mainly in China, and the main raw materials come from China, and the fluctuation of RMB exchange rate will have a certain impact on the operating revenue and gross profit margin; The settlement currencies of the company’s overseas sales products are mainly US dollars and euros. The fluctuation of RMB exchange rate will directly affect the price competitiveness of products, thus affecting the operating performance; The fluctuation of RMB exchange rate will directly affect the exchange profit and loss of the company.
In view of the above risks, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) said that the company would pay close attention to the changes of exchange rate and effectively control the adverse impact of exchange rate fluctuations on the company’s business operation by timely using exchange rate hedging and other exchange rate hedging tools, timely settlement of foreign exchange, or agreeing a fixed exchange rate in the business contract and starting price negotiation at an appropriate time.
On the same day, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) also released the first quarterly report of 2022, showing that the operating revenue in the first quarter was 6.943 billion yuan, a year-on-year increase of 20.10%; The net profit attributable to the parent company was 2.105 billion yuan, a year-on-year increase of 22.74%.
As of the closing on April 19, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) fell 2.24% to 328.31 yuan / share, with a market value of 398.06 billion yuan.
