Lepu Medical Technology Co (300003) Q3 2024 earnings summary

Executive summary

• Q3 revenue was ¥1.40 billion, down 28.41% year-over-year; net profit attributable to shareholders was ¥105 million, down 73.12% year-over-year.

• Year-to-date revenue reached ¥4.79 billion, a 23.55% decrease year-over-year; net profit attributable to shareholders was ¥803 million, down 40.70%.

• Core cardiovascular intervention and surgical anesthesia businesses showed growth, while pharmaceutical and diagnostic segments declined.

Financial highlights

• Q3 operating cash flow was ¥423 million, down 29.93% year-over-year.

• Basic EPS for Q3 was ¥0.057, down 72.92% year-over-year; year-to-date EPS was ¥0.434, down 40.30%.

• Gross margin and net margin declined due to business restructuring and increased R&D expenses.

Outlook and guidance

• The company is accelerating business structure adjustments and focusing on core businesses.

• R&D investment is expected to remain high due to ongoing innovation in cardiovascular drugs.