According to Caixin, on August 28th, the stock price of Sanbo Neurology (301293.SZ) was driven by Musk's brain-computer concept, and the performance increased by more than 50% year-on-year, but the net cash flow from operations decreased significantly. Some investors told Caixin that since its listing, Sanbo Neurology has expanded rapidly. It is important to pay special attention to whether its construction of medical teams can keep up, as well as the sustainable performance of Sanbo Neurology.

Sanbo Neurology announced last night that in the first half of the year, the company achieved revenue of 0.704 billion yuan, a year-on-year increase of 9.91%; and a net profit attributable to shareholders of the listed company of 0.067 billion yuan, a year-on-year increase of 52.98%.

The company stated that both revenue and net profit attributable to shareholders have achieved double-digit growth. The main reasons are the further expansion of the company's business scale, and the net profit contributed by the supply chain company, Chongqing Xida, acquired in the current period compared to the same period last year. At the same time, the Lo Yang Northern Enterprise Group Limited Employee Hospital business unit and the supply chain company Hui Bo Kang, acquired last year, also added to the company's net profit in this reporting period.

In fact, the revenue and net profit growth of Sanbo Neurology are somewhat out of sync. As a privately operated hospital group that went public last year, the performance in the first half of this year was expected. However, considering the scale and number of hospitals, as well as the difficulty of expansion speed and exploring unfamiliar markets, it is important to pay special attention to the sustainability of Sanbo Neurology's performance. This was expressed by an investor who has been following private hospitals for a long time.

According to the financial report, as a medical service group with a focus on neurological specialties, Sanbo Neurology currently operates a total of 7 hospitals in Beijing, Chongqing, Kunming, Fujian, and Henan, including 5 neurological specialty hospitals. These hospitals provide neurological and comprehensive medical services to patients.

In terms of hospital expansion, Sanbo Neurology is in the process of building two hospitals, with the construction amount increasing by 28.36% compared to the end of last year. This is mainly due to an increase in construction investment in the Beijing Dongba New Hospital project and the Chongqing Sanbo Jiangling Outpatient Clinic reconstruction project.

It is worth mentioning that in the first half of this year, the net cash flow from operating activities of Sanbo Neurology decreased by 13.06% year-on-year, and the company did not explain the reasons in the report.

Sanbo Neurology also stated that the company plans to continue opening new branch hospitals in suitable timing and areas in the future, creating a chain of specialized hospital conglomerates. The company has previously stated that in its expansion plans, it will focus on the Yangtze River Delta and the Pearl River Delta regions for geographical selection. In terms of target companies, both neurological hospitals and general hospitals are within the company's consideration.

The above-mentioned investors told the Caixin reporter that Sanbo Neurology is currently in a rapid expansion phase in terms of scale. The key issue is the company's ability to build a neurology diagnosis and treatment team during the expansion process. Neurology professionals are in high demand, and whether the company's neurology diagnosis and treatment ability and brand power will be diluted is worth paying attention to.