Mobile CT products have been approved, and the high-end medical imaging product line has been further enriched
After the market on February 22, the company announced that “X-ray computed tomography equipment” has recently been approved and registered by the State Drug Administration. The product consists of a scanning stand, a mobile workstation and accessories, and is suitable for routine clinical CT examination of adult patients' heads.” “X-ray computed tomography equipment” is the latest series of products launched by the company in the field of high-end medical imaging. This product is another breakthrough application of the company's core recognition technology in the field of high-end medical imaging. It further enriches and enriches the company's medical product line, enhances the company's competitiveness in the high-end medical device market, enhances the company's sustainable development capabilities, and will have a positive impact on the company's future business development. Under the precautionary principle, future sales of new products will not be considered for the time being, and the company's net profit forecast is estimated to be 8.1/9.2/1.02 billion yuan from 2023 to 25, respectively, up 12%/13%/11% year-on-year, and corresponding PE is 20/17/16 times, respectively. Dental medical services and X-ray equipment can be compared to the company WIND, which consistently expects an average PE value of 32 times in 24 years. Considering the relatively weak growth of the color sorter business, the company was given 20 x 24 years PE with a target price of 21.00 yuan (previous value of 23.00 yuan), maintaining an “increase” rating.
Mobile CT fits the concept of bedside diagnosis and treatment, with a potential market capacity of 10 billion dollars. We gave a detailed introduction to mobile CT products in the in-depth report “CBCT business is expected to reach an inflection point” released on September 20, 2023, pointing out that mobile CT is a special type of spiral CT, which is somewhat different from the company's CBCT products used in dentistry. Mobile CT products are derived from the concept of POCT bedside diagnosis. Compared with ordinary spiral CT, mobile CT is mainly aimed at non-imaging physicians and is used in intensive care units, neurosurgery, etc. It fits the concept of “pre-hospital treatment” and is a life-saving treatment device. Compared with spiral CT, mobile CT is still in the early stages of low penetration rate and low localization rate. If mobile CT reaches full coverage in more than 3,000 tertiary hospitals in China in the future, based on a potential domestic price estimate of 4 million, the potential market holdings will reach 12 billion yuan.
The dental equipment business is running smoothly, with a potential dividend rate of nearly 5%
In terms of dental equipment, according to Tianyancha data, the number of new dental clinics added in 23Q4 was the same as 23Q3, with a year-on-year increase of 57%, mainly due to the low base of 22Q4. The number of new clinics increased 29% year-on-year throughout the year, and it is expected that it will continue to benefit from a gradual recovery in consumption in the future. Under the assumption that the company has good profit quality, an average dividend payment rate of 105% in the past three years, and achieved 800 million net profit and 100% profit dividends in 23 years, the potential dividend ratio is close to 5%.
Risk warning: 1) The competitive landscape in the CBCT industry worsened beyond expectations; 2) the recovery in demand for dental treatment fell short of expectations; 3) the risk of exchange rate fluctuations.