\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 763 Topchoice Medical Co.Inc(600763) )
Matters:
The company released the annual report of 2021: in 2021, the revenue was 2.781 billion yuan (+ 33.19%); The net profit attributable to the shareholders of the listed company was 703 million yuan (+ 42.67%); Deduct non net profit of 671 million yuan (+ 41.74%). In the fourth quarter and single quarter, the company realized revenue of 644 million yuan (+ 6.34%); The net profit attributable to the shareholders of the listed company is 83 million yuan (- 10.87%); Deduct non net profit of RMB 64 million (- 29.34%). The company has no profit distribution plan.
At the same time, the company released the first quarter report of 2022: the revenue was 655 million yuan (+ 3.74%); The net profit attributable to the shareholders of the listed company was 166 million yuan (+ 1.25%); Deduct non net profit of 163 million yuan (+ 0.99%).
Ping An View:
In 2021, the overall operation was stable, and the epidemic spread in many places, which dragged down the performance growth of 2021q4 and 2022q1: in 2021, the company opened 2246 dental chairs, and the number of dental clinics reached 2.7982 million person times (+ 27.73%). In 2021, the company's outpatient volume achieved stable growth, driving the company's annual performance to achieve a growth rate of 42.67%. Affected by the epidemic, the number of outpatients in 2021q4 was 684900, a year-on-year decrease of 11.14%; The number of outpatients of 2022q1 company was 704500, with a year-on-year increase of 5.35%, and the growth rate slowed down. In terms of subregions, the number of outpatients in Zhejiang Province in 2022q1 was 622500, with a growth rate of 7.61%, achieving a slight increase; The number of outpatients outside Zhejiang Province was 82000, a year-on-year decrease of 9.09%. Affected by the epidemic, the flow of patients in the province is inconvenient, and hospitals outside the province have a long suspension time, which affects the performance growth of the company.
The company's high value-added projects achieved rapid growth: in 2021, the company's pediatric medical service was 530 million yuan (+ 32%), orthodontic medical service was 534 million yuan (+ 30%), planting medical service was 441 million yuan (+ 38%), repair service was 427 million yuan (+ 25%), and comprehensive medical service was 683 million yuan (+ 31%). In the first quarter, the company's pediatric medical service was 127 million yuan (+ 0.3%), orthodontic medical service was 124 million yuan (+ 4%), planting medical service was 102 million yuan (+ 12.71%), repair service was 96.19 million yuan (+ 2.78%), and comprehensive medical service was 174 million yuan (+ 0.4%). The company's planting, orthodontics, pediatrics, restoration and other high value-added businesses are growing rapidly, and the company's gross profit margin is expected to further improve.
The company actively expanded and laid the foundation for long-term growth: in 2021, the company continued to carry out the layout of talent reserves, new hospitals and dandelion branches, and continued to improve the driving force of the company's rapid growth in the future. The company has 43 oral medical institutions in Zhejiang Province, and 8 branches are in the stage of preparation, construction and acceptance. In addition, 10 branches of the company have completed the project and are about to start construction. The company promotes the development planning of Regional Central Hospital + characteristic hospital. Zijingang hospital, which will be mainly built in 2022, is the head and face medical center of the company, with an area of 5886865 square meters. After completion, it will add more than 500 dental chairs (beds) for the company in Hangzhou. Binjiang's "future hospital" project is also a key project for the company to improve the regional layout of Hangzhou in 2022. After the completion of the hospital, 43 dental chairs will be added in Hangzhou. More importantly, it will become a Kanban for the upgrading of various hospitals in the future. The company actively expanded to lay the foundation for long-term growth.
The gross profit margin and net profit margin of the company increased in 2021 and remained stable in 2022q1: in 2021, the gross profit margin and net profit margin of the company were 46.06% and 28.27% respectively, an increase of 0.89 and 2.17 percentage points respectively compared with 2020. We believe that the increase of gross profit margin and net profit margin in 2021 is mainly driven by the rapid growth of high value-added projects. In 2022q1, the gross profit margin and net profit margin of the company were 46.75% and 29.07% respectively, which basically remained stable and the management efficiency of the company was high.
Maintain the "recommended" rating: considering the impact of the epidemic on the company's performance, we lowered the company's profit forecast for 22 and 23 years, and added a new 24-year profit forecast. It is estimated that the company's EPS for 22-24 years will be 2.75 yuan, 3.60 yuan and 4.78 yuan respectively (the original forecast was 3.08 yuan and 4.03 yuan for 20222023) Topchoice Medical Co.Inc(600763) in the next 3-5 years, the new hospital will accelerate the opening, seize the oral market in Zhejiang, and further cultivate the field of Orthodontics and dental implants. The company can expect long-term development and maintain the "recommended" rating.
Risk tip: the risk that the industry growth is lower than expected; The risk that the progress of acquiring the hospital is lower than expected; Covid-19 epidemic continues to repeat, which has a negative impact on the industry.
