Lanfan Medical (002382) Performance Express Review Comments: Performance continues to grow endogenously + extensions to help later development

Lanfan Medical (002382) Performance Express Review Comments: Performance continues to grow endogenously + extensions to help later development
Event: The company’s 2018 annual performance report shows that it achieved operating income in 201826.53 ppm, a 68-year increase 南京夜生活网 of 68.35%; net profit attributable to mother 3.33 ppm, an increase of 65 in ten years.74%; basic profit income is 0.45 yuan, an annual increase of 9.76%.2018Q4 realized operating income8.60 ppm, an increase of 105 in ten years.74%, an increase of 4 from the previous month.24%; net profit attributable to mother 0.72 ppm, a 71-year increase of 71.43%, down 36% from the previous month.28%. Key points of investment: Leading medical PVC glove company with strong overall competitive advantage.As the leader of the medical PVC gloves industry, Lanfan Medical announced that it has 15 billion pieces per year, accounting for 22% of the global market share, and has high product pricing power.At the same time, PVC gloves are widely used in food, electronics and pharmaceutical fields, and the company has a strong overall competitive advantage. The trial production of the 6 billion pieces / year health protection (new gloves) project has begun, and performance will increase again.According to the statistics of Lanfan Medical Announcement, the global butanediol glove market demand in 2016 reached 110 billion pcs / year, and the production capacity was concentrated in Southeast Asia such as Malaysia, Thailand.Lanfan Medical is actively investing in the construction of nitrile gloves project. The first phase of the project has been put into production in June 2017, and the production capacity has reached 2 billion pieces / year. Starting from the second half of 2017, the butanediol gloves have gradually increased./ Year Nitrile glove production capacity is released, starting a new engine of performance growth. Acquisition of CBCH II Company 93.37% equity, transforming into the field of high-quality medical devices, the market space is broad in the future.The company completed the acquisition of CBCH II company through targeted issuance and cash payment93.The 37% equity has been completed and is now consolidated in June 2018.CBCHII’s wholly-owned subsidiary Biosensors International Group Co., Ltd. (Parkson International) is mainly engaged in the research, development, production and sales of interventional cardiac surgery instruments.3.8 billion, 4.500 million and 5.400000000.The performance of Parkson International after the review of non-recurring profit and loss in 2018 is good, and it is expected to complete the gradual performance commitment, which will have a positive impact on the company’s performance.The company completed the acquisition and transformation and entered the field of high-end medical equipment, which has broad market space in the future. The results of the BioFreedom polymer-free drug-eluting stent test have reached expectations and can be marketed after FDA approval.Parkson International released the clinical trial results at the American Conference on Transcatheter Cardiovascular Therapy, the most authoritative academic conference recognized in the global cardiovascular intervention field. The results of Parkson International ‘s BioFreedom Polymer-Free Drug-Coated Stent (DCS Stent)Compared with the BMS stent, it has better safety and better efficacy in the high-risk bleeding patients who have only undergone DAPT treatment for one month. The test results have reached expectations. The product can be marketed in the United States after receiving FDA PMA approval., Will have a positive impact on the company’s future performance. Earnings forecast and investment rating: According to our analysis, Lanfan Medical will benefit from the two-wheel drive of medical consumables business and high-end medical device business in the future, and its performance will grow strongly.As the expenses related to the company’s asset restructuring incurred and settled in the third quarter of 2018, the company’s profit for this year was reduced. Therefore, the company’s 2018 net profit 杭州桑拿 forecast was appropriately reduced. However, the company’s follow-upParkson International still has high performance growth.We expect the company’s net profit attributable to its parent to be 3 in 2018-2020.33/6.12/7.960,000 yuan, EPS is 0.35/0.63/0.83 yuan / share, maintain “Buy” rating. Risk reminder: the production progress and profitability of the nitrile glove production line exceed expectations; the risk of uncertainty in the exchange rate of RMB against the US dollar; the impact of the Sino-U.S. Trade war on exports;Market sales fell short of expectations.