Strategic cooperation with Korea CHA Medical Group to establish the first referral center in China. On September 25, 2024, International Medicine and Korea CHA Medical Group held a strategic cooperation memorandum signing ceremony and jointly established the first referral center in China. Established in 1960, CHA Healthcare Group is the world's leading comprehensive healthcare organization with 91 medical institutions. This cooperation was realized in the context of the “Notice on Launching Pilot Work to Expand Opening-up in the Medical Field” policy, reflecting the positive trend of China's medical industry's continuous deepening and expansion. This cooperation will greatly enhance the multinational medical service capabilities of international medicine.

Together with Miaoyou, cooperation continues to deepen to help improve diagnosis and treatment capabilities. On December 8, 2021, the company's International Medical Center Hospital and Xi'an Gaoxin Hospital officially signed a cooperation agreement with Mayo Clinic (Mayo Clinic) of the United States, becoming the second and third Miaoyou Medical Alliance member hospitals in China.

Miaoyou Healthcare International has a history of more than 160 years. It is committed to treating various complex and difficult diseases, providing diagnosis and treatment services to nearly 1.3 million patients from 140 countries around the world every year. The Miaoyou Healthcare Alliance was founded in 2011 and currently has more than 45 allied hospitals around the world. After starting cooperation with Miaoyou Medical International, the company helped improve the diagnosis and treatment capabilities of its hospitals in clinical, scientific research, education, etc.

On the clinical side, doctors and Miaoyou experts from hospitals under International Medicine cooperate in depth through remote consultations, interdisciplinary case discussions, academic conferences, etc., to continuously improve the medical team's level of diagnosis and treatment, ensure the hospital's medical quality and safety, and provide patients with efficient, accurate diagnosis and treatment services in line with international standards.

In terms of research, as a leader in global medical research, Miaoyou Healthcare has brought together the world's most innovative medical research team. Through cooperation, doctors under International Medicine can not only participate in cutting-edge scientific research projects being carried out by the Miaoyou Medical team, but also share and exchange the latest scientific research results and technology through Miaoyou's international platform.

In terms of education, medical teams from hospitals under International Medicine can participate online in academic conferences, symposiums, and seminars regularly hosted by Miaoyou Healthcare International. Every year, you have the opportunity to attend more than 200 courses and conferences where you can earn continuing education credits, and access thousands of cutting-edge lectures and surgical videos in the Miaoyou Professional Surgery Video Library, giving medical teams at international medical hospitals access to the world's top medical education and training resources.

In the future, as cooperation continues to deepen, the synergy between international medicine and Miayou is expected to expand further, achieve innovation and breakthroughs in more disease fields, more medical technology and clinical practice, and provide more extensive and better medical services to patients around the world.

Profit forecasting

We expect the company's revenue for 2024-2026 to be 5.24/5.97/6.82 billion yuan, respectively, and net profit to mother of -0.236/0.002/0.188 billion yuan, respectively. The PS corresponding to the current latest closing price is 2.36/2.07/1.81 times, respectively, maintaining a “buy” rating.

Risk warning:

Health insurance fee controls are getting stricter, and the number of hospitalizations is not climbing as fast as expected.