Event: the company released the third quarter report of 2023, the company achieved operating income of 332 million yuan in the first three quarters of 2023, an increase of 53.19% over the same period last year, 102 million yuan of net profit, an increase of 63.56%, and a deduction of 91 million yuan of non-return net profit, an increase of 89.49% over the same period last year. excluding the effects of share payment and income tax, the company deducted non-return net profit of 99.9003 million yuan in the first three quarters of 2023. An increase of 73.21% over the same period last year.
From a quarterly point of view, in the third quarter of 2023, the company achieved operating income of 112 million yuan, an increase of 35.80% over the same period last year, a net profit of 31 million yuan, an increase of 30.16% over the same period last year, and a deduction of 25 million yuan for non-return net profit, an increase of 21.92% over the same period last year. The company's single-quarter results continue to maintain a strong growth rate, which is expected to be mainly due to the rapid growth of mental and neural rehabilitation products and the steady contribution of pelvic floor products, and the company's three major business segments continue to develop healthily. We expect the rapid growth trend to continue in the fourth quarter.
The rapid growth of income superimposed cost reduction and efficiency improvement, and the profitability increased steadily. In the first three quarters of 2023, the company's overall period expense rate was 31.83%, a year-on-year decrease of 3.60pp, including sales expense rate of 26.39%, year-on-year decrease of 2.10pp, management expense rate of 9.98%, year-on-year decrease of 3.34pp, R & D expense rate of 12.57%, year-on-year decrease of 4.34pp, financial expense rate of-5.88%, and an increase of 1.84pp. During the period of the company, the overall expense rate ushered in an improvement, mainly due to the dilution effect brought about by the increase in revenue scale and the optimization of cost investment driven by fine operation. In the first three quarters of 2023, the company achieved a gross profit margin of 71.43%, a year-on-year decline of 1.95pp, which is expected to be mainly affected by factors such as product structure adjustment, with a net profit margin of 30. 5%.
65%, an increase in 1.95pp over the same period last year.
Cornerstone businesses such as magnetoelectric stimulation push through the old and bring forth the new, and the emerging business is becoming more and more mature. In 2023, the company continued to increase R & D investment in key projects, accelerated the transformation of innovative achievements, and promoted the iterative renewal of traditional advantage projects. after the second-generation transcranial magnetic stimulator was put on the market, the penetration rate in psychiatry, neurology and other departments increased continuously, and gradually extended to rehabilitation medicine, child rehabilitation and other application scenarios. The second generation of pelvic floor functional magnetic relay traditional pelvic floor electricity market effectively solves the pain points of pelvic floor rehabilitation patients, and continues to grow strongly; in emerging business areas, companies speed up the construction, development and iteration of laser energy platform, promote the progress of R & D and registration of laser-related products under research, and comprehensively distribute plastic magnetic, picosecond laser, radio frequency and other varieties in the medical and beauty energy source market, and the product pipeline is becoming more and more abundant.
Profit forecast and investment advice: according to the financial report data, taking into account the post-epidemic recovery, the sustained and rapid growth of magnetic stimulation, and the pace of new product launch, we expect the company's 2023-2025 revenue to be 4.83,6.01 and 741 million yuan, an increase of 50%, 24% and 23% over the same period last year. The net profit from 2023 to 2025 is expected to be 1.42,1.85 and 242 million yuan, up 51%, 31% and 31% over the same period last year. The company's current share price corresponds to a 2023-2025 PE of about 31-24-18. Considering that the company is one of the leaders of pelvic floor rehabilitation, with magnetoelectric combination, it is expected to continue to expand its leading edge, and at the same time, it is expected to benefit from the increasing domestic rehabilitation demand for a long time and maintain a "buy" rating in the subdivided fields of mental, neurological, sports rehabilitation, and medical beauty.
Risk prompt events: research and development failure risk, policy risk, market competition risk, the public information used in the research report may lag behind or not updated in a timely manner.