Financial Association News on November 25th (Reporter He Fan) "The current U.S. tariff policy has no impact on the company." At the 2024 third-quarter earnings conference held today, Lu Jianguo, Chairman of Zhende Medical (603301.SH), told investors that the company will continue to monitor various external changes.

Lu Jianguo revealed, "The company is actively promoting the investment and construction of the production base in Mexico, which is expected to be completed next year." It is reported that the company's production base in Mexico completed investment construction in 2023, started in the same year, and mainly produces infection control products. Due to being under construction, the production capacity cannot be determined yet.

During the conference, Zhende Medical provided an explanation of the company's Q3 operating situation. The financial report shows that the company achieved revenue of 1.083 billion yuan in Q3, a year-on-year increase of 19.92%; net income attributable to the parent company was 0.146 billion yuan, a year-on-year increase of 131.73%.

Company Secretary Ji Baohai introduced that the company's Q3 basic wound care products achieved revenue of 0.261 billion yuan, surgical infection control products achieved revenue of 0.437 billion yuan, and revenue from isolation protective equipment (masks, protective clothing, isolation gowns, antigen test kits) contracted to 0.029 billion yuan, a 10.56% decrease year-on-year.

Financial Association News reporters calculated that in Q3, isolation and protective equipment decreased by 25.64% compared to the previous quarter. When asked if the revenue of this business sector would further decrease in the future, Zhende Medical did not respond by the end of the earnings conference.

Zhende Medical's Chief Financial Officer Jin Haiping revealed to Financial Association News reporters that the overall gross margin in Q3 was 33.77%, an increase of 0.45 percentage points year-on-year. In addition, online retail revenue was 0.068 billion yuan, excluding isolation and protective equipment, the company achieved online retail revenue of 0.054 billion yuan, a 9.25% year-on-year growth on the same basis.

At the same time, the slow progress in the company's artificial dermis project development once again raised questions from investors. Some investors inquired about when this project would enter the registration stage. To this, Lu Jianguo only responded, "The development project of artificial substitute (artificial dermis) is currently in the clinical evaluation stage, and the company is advancing the development process of the project."

It is reported that as early as 2018, the company had previously stated on the investor interaction platform that the company's artificial genuine leather substitutes were already in the research and development stage.