Xinmai Medical (688016): Local aortic intervention faucet layout, lateral vascular intervention

Key points of investment: Local aortic intervention head companies, product line rich Xinmai Medical was established in 2012. After taking over the assets of Shanghai Minichuang in 2014, it also indirectly controlled the parent company Minichuang Medical to achieve business division.

Xinmai Medical is mainly engaged in aortic and branch vascular interventional medical device business. In terms of aortic intervention, the company’s product category and market size are leading domestic similar enterprises.

After years of development, the company has become a leading enterprise in the field of aortic vascular interventional medical devices. According to the amount of surgery applied by the product, the company ranked second in the domestic aortic vascular interventional medical device market in 2018 (after Medtronic).Ranked first among brands.

The company’s product pipeline is rich. At present, 9 products have obtained domestic medical device product registration certificates, and 2 products have obtained CE certification.

The aortic intervention market has a bright future. Import substitution is expected to accelerate the implantation of aortic implants. Medical devices are mainly used for the treatment of aortic dissection and aortic aneurysms. Among them, the total increase in the number of patients per year is 500,000 to 600,000. In addition to the number of patients, the potential market spacebroad.

The cutting-edge, conventional aortic interventional medical device industry has ushered in rapid development with a market size of 5 in 2013.

500 million to 10 in 2017.

300 million, with an average growth rate of 17% in five years.

The penetration rate of aortic intervention in China is only 1.

6%, which is only half of the level in the United States. With the improvement of internal health awareness and medical level, the internal aortic intervention market will still maintain a 10% awareness growth rate. It is expected that the market size will reach US $ 2 billion by 2020.

At present, the domestic aortic endovascular interventional therapy market is still involved by Medtronic, Gore and other foreign companies. Through the tilt of policies such as reimbursement and tendering, and the continuous improvement of local companies’ innovative research and development capabilities, import substitution is expected to gradually accelerate.

Aortic stent volume driving performance continued to grow rapidly and the company’s performance continued to grow rapidly, with revenue from 2016’s 1.

2.5 billion increase to 2 in 2018.

3.1 billion yuan, with a compound growth rate of 36%.

Benefiting from the decrease in unit cost brought by the expansion of the scale, the growth rate of net profit attributable to mothers exceeded the growth rate of income.
Aortic stent is the company’s main source of revenue, with revenues of 97.77 million yuan in 2016-2018,1.

31 ppm and 1.

89 trillion, accounting for 75% of the company’s revenue.

6%, 79.

3% and 81.


Bilateral vascular interventional products are currently sold on a small scale due to the small number of categories and short promotion time.

The company’s average gross profit margin continued to increase from 2016 to 2018, which is a relatively high gross profit of the increase in the proportion of Castor thoracic aortic stent graft sales, and more importantly, the cost of aortic stent reduction caused by the scale effect.Savings.

In the long run, considering the intensified competition after the domestic varieties are successively listed, and the continued advancement and spread of price reduction of high-value consumables, it is expected that the company’s major varieties will continue to show their gross margins in the future.

R & D-driven, lateral vascular intervention is the key layout direction The company’s costly R & D expenditures in the past three years were 20.08 million yuan and 29.03 million yuan, respectively, accounting for 16% of revenue.

02%, 12.

20%, 12.

56%. In the first half of 2019, R & D investment was 18.9 million yuan. It is expected that the company’s costly R & D investment in the next three years will bring about an increase in the scale of revenue and continue to increase.

The company’s aortic products have gradually been enriched and improved. The future changes will mainly be the transformation of products. The market expansion of the lateral vascular insertion field will be one of the key directions of the company’s layout. Currently, CROWNUS implanted vascular stent systems andReewarm’s distal balloon dilatation catheter has not yet formed a mass sale.

In addition, from the company’s R & D investment direction and product line under development in recent years, drug balloon expansion catheters will be launched in 2019, while high-pressure and high-pressure balloon expansion catheters, venous thrombectomy systems, iliac vein stent systems, and vena cava filtersIt is expected to be successively listed between 2021-2025, providing a power reserve for the company’s long-term sustainable development.

The main assumptions of profit forecasting 合肥夜网 and estimation: Considering the low penetration rate and imported substitutes, the sales volume of aortic stents is expected to increase by only about 35%, and the price will decline by an average of 2-5% per year.

The sales volume of stent during the next three years will increase by 25%, 23%, and 22%, and the average price will drop by 2-5% per year.

The vascular access products on both sides have a small base and maintain rapid growth.

It is estimated that the company’s net profit attributable to mothers will be 1 in 2019-2021.

2.3 billion, 1.

$ 5.9 billion and 2.

10,000 yuan, EPS is 1.

82 yuan, corresponding to the current total, the market surplus can reach 93/71/56 times.

The company is a leading company in the field of local aortic intervention. The actively deployed vertical vascular 杭州桑拿 expansion gradually ushers in the period of listing and volume, and its performance is expected to continue its rapid growth.

Risks prompt industry policies and market competition; product sales are lower than expected; new product research and development is lower than expected; high-value consumables collection and price reductions exceed expectations.