PW Medtech Group (1358) H2 2024 earnings summary

Executive summary

• Revenue rose 13.9% year-over-year to RMB768.9 million, driven by strong Blood Purification Business sales.

• Gross profit increased 10.1% to RMB419.4 million, with a gross margin of 54.6%.

• Profit attributable to owners declined 1.6% to RMB150.8 million; adjusted net profit attributable to owners grew 9.5% to RMB172.4 million, excluding non-recurring items.

• Final dividend of HK5.3 cents per share recommended, totaling HK9.8 cents for the year.

• Maintained a strong financial position with RMB1,682.0 million in cash and cash equivalents.

Financial highlights

• Blood Purification Business revenue up 22.4% to RMB482.3 million; Infusion Set Business up 2.0% to RMB286.6 million.

• Adjusted net profit (non-HKFRS) increased 9.9% to RMB233.5 million.

• Basic and diluted EPS were RMB9.77 cents, down 0.1% year-over-year.

• Gross profit margin decreased to 54.6% from 56.4% due to lower selling prices in blood purification products.

• Net finance income rose 15.1% to RMB50.3 million.

Outlook and guidance

• Plans to reduce costs, enhance efficiency, and focus on innovation and R&D to strengthen competitiveness.

• Will continue expanding product portfolio and production capacity, especially in high-growth medical device segments.

• Seeks to leverage market opportunities from industry reforms, aging population, and increased health awareness.