Mindray (300760) Q1 2025 earnings summary

Executive summary

• 2024FY revenue was 36.7 billion RMB, up 5.1% year-over-year, with net profit at 11.7 billion RMB, up 0.7%.

• Net operating cash flow for 2024FY grew 12.4% to 12.4 billion RMB.

• Q1 2025 revenue was 8.24 billion RMB, down 12.12% year-over-year; net profit was 2.63 billion RMB, down 16.81%.

• International business in Q1 2025 grew nearly 5% year-over-year, with a two-year CAGR over 15%; international revenue share rose to 47%.

• Domestic business in Q1 2025 declined over 20% year-over-year but increased more than 50% sequentially from Q4 2024.

Financial highlights

• Gross margin for 2024FY was 63.1%, down 1.07 percentage points year-over-year.

• Net margin for 2024FY was 31.77%, down 1.38 percentage points year-over-year.

• Total assets at year-end 2024 were 56.6 billion RMB, up 18.2% year-over-year; at Q1 2025, assets reached 58.36 billion RMB, up 3.04% from year-end.

• Operating cash flow in Q1 2025 was 1.49 billion RMB, down 47.83% year-over-year.

• Basic and diluted EPS in Q1 2025 were RMB 2.1698, down over 16% year-over-year.

Outlook and guidance

• Revenue in 2025 is expected to follow a pattern of a stronger second half, with a major growth turning point anticipated from Q3.

• International business is expected to maintain rapid growth, especially in developing countries.

• Domestic business is anticipated to rebound from Q3 2025 as equipment upgrades accelerate.