8month22Today, Lianyin Medical (688271Log in to the Sci-Tech Innovation Board,IPO listingThe stock price soared by more than70%The closing increase was nearly65%The market value is close to1,500RMB 10 billion.
What are the advantages and disadvantages of United Imaging listing in today's market environment? What impact will its listing have on the overall medical capital market? Which segments of China's medical device industry are worth investing in? Frost & SullivanFrost & Sullivan,Jiang Tengfei, Senior Consulting Director of the Healthcare Team at Frost & Sullivan (hereinafter referred to as 'Frost & Sullivan'), was interviewed by CBN. Jointly explore the impacts brought about by the listing of United Imaging Healthcare on the Sci-tech Innovation Board .
CBN
8month22Today, United Imaging Healthcare (688271Log in to the Sci-tech Innovation Board,IPO listingThe stock price soared by more than70%The closing increase was nearly65%The market value is close to1500RMB 10 billion.
currentlyAAmong medical device companies listed on the stock market, Mindray Medical has the highest valuation300760),8month22On the day, the stock price of Mindray Medical soared by more than4%, with a market value exceeding3650RMB 10 billion.
In comparison, the current market values of multinational medical imaging giants Siemens Healthineers and Philips, converted into RMB, are approximately3800yuan1100Yuan billion. After the listing of IMAX, its market value has surpassed that of Philips, and the market value of companies such as Mindray Medical is now on par with Siemens Medical.
Is the market value of 100 billion overestimated?
Among the first batch of listed medical device companies on the Sci-tech Innovation Board, there are Mindray Medical (688016) and Nanweime Medical (688029However, on the day of listing, Nanwe Medicine fell by more than4%, and Xinmai Medical's decline also exceeded3%The stock price of Xinmai Medical hit last year456After the high digit of the yuan, the current stock price has fallen by about two-thirds, and the market value is approximately100RMB 20 billion; the stock price of Nanweimedicine has also risen from last year222The high of the yuan has dropped to the current level80Around RMB yuan about.
Even though corporate stock prices have halved, there have been continuous listings on the Sci-tech Innovation Board recently. In addition to United Imaging, last month, MicroPort Neurosurgery Medical Devices successfully applied for listing registration on the Sci-tech Innovation Board, marking the birth of the fifth listed company in the MicroPort group.
Jiang Tengfei, Senior Consulting Director of the Healthcare Team at Frost & Sullivan Greater China, told CBN that: 'Since the beginning of this year,AThe overall performance of the capital markets for stocks and Hong Kong stocks is average, lacking in the listing of high-quality star devices. The performance of new shares has also been dragged down. From recent market feedback, the probability of high-priced stocks breaking below their par is greater.
In the overall weak environment of the medical capital market, the performance of United Imaging on its listing day exceeded many investors' expectations. According to United Imaging's performance in the past year18A profit expectation of hundreds of millions, with a price-earnings ratio exceeding80times.
Regarding the hundreds of billions in market value of United Imaging Healthcare, a senior expert in the medical device field told CBN reporters: 'It is definitely a good thing for the healthcare industry that China can emerge with a super enterprise in medical imaging equipment. However, market value does not represent competitiveness. To win the market, one must compete on all aspects such as research and development and distribution channels.'
As a medical imaging equipment giant that had just developed ten years ago, United Imaging has shortened the decades-long R&D process of multinational giants to just a few years. Take angiography equipment as an example; since it involves invasive surgery, such equipment has very high requirements for clinical safety and effectiveness. Currently on the marketGPSThe development and iteration of the product generally went through30annual cycle. And IMAX'sDSAThe development of the device has only taken a few years, according to the joint prospectus of IMAX,DSARegistration of the product is expected to be completed in the near future.
With its ultra-fast R & D speed, IMAX Holdings, includingCTMedical imaging equipment, including magnetic resonance imaging (MRI), has rapidly entered major tertiary hospitals in China. Over the past few years, it has replaced a number of markets that were previously tightly controlled by multinational giants.
An analyst from a medical device industry institution cited data to CBN reporters, stating that United Imaging, as a top domestic manufacturer of high-end medical imaging equipment, has achieved nearly10%Import substitution, with its main production equipment beingCTLarge imaging equipment such as magnetic resonance imaging (MRI) is a fundamental need for the national healthcare system in China, with enormous market potential.
However, after analyzing the financial data of United Imaging, an industry insider told CBN reporters: 'United Imaging's profits are significantly lower than those of foreign peers, and in terms of profit margin, there is still a long way to go before it can reach the level of high-end manufacturing.'2020year2021In [year], the net profits of United Imaging were9.37yuan,April 14yuan; in contrast, Siemens Healthineers is at2022The pre-tax profit for the first quarter of the year reached approximately10billion dollars.
"The long-term development trend of domestic medical imaging equipment is undoubtedly positive, but achieving true domestic substitution faces significant short-term challenges," said the industry insider to CBN reporters.
A person from a medical equipment manufacturer told CBN that although United Imaging's localization speed is very fast, it still highly relies on imports for some key components such as spherical tubes and flat panel detectors.
According to research data released by a certain institution to CBN reporters, multinational companies still account for a significant proportion in the current domestic mid- to high-end medical imaging equipment.80%-90%market share. For example3.0TNuclear magnetic resonance equipment, which is still controlled by multinational manufacturers95%market
"In the future, there may still be domestic substitution."30%The market share on both the left and right sides, considering that large-scale imaging equipment requires substantial capital investment and research and development, does not allow for the emergence of a new behemoth in the short term. Therefore, United Imaging and Neusoft are direct beneficiaries of the domestic substitution of large-scale imaging equipment." Relevant analysts pointed out to CBN reporters.
The aforementioned individuals also stated that in the future, the proportion of overseas revenue of Chinese enterprises will continue to increase. United Imaging2021The proportion of overseas market revenue in the annual total is about7.2%There is still significant room for improvement in internationalization.
GPSHow to deal with it?
For a long time, multinational medical imaging giantGPS（GEPhilips, Siemens) can 'make money lying down' in the Chinese market due to their technological accumulation. However, with the emergence of super medical device companies like United Imaging, the era when foreign companies could 'lie back and win' is gone forever.
this year6In January, Siemens Healthineers China announced a new localized strategy called 'National Intelligence Innovation', stating that it will deeply participate in the construction of 'Healthy China' as a 'Chinese company' by 'promoting the localization of the entire product line', 'further innovating and developing based on Chinese market demands', and 'upgrading local business models'.
Tao Lin, member of the Siemens Healthcare Board and President of Siemens Healthcare Asia-Pacific (Elisabeth StaudingerIn an interview with a reporter from CBN, the executive once said: 'China has always been of significant strategic importance to Siemens Medical. China has huge commercial potential and a unique market environment. We are also trying to understand how to better adapt to the needs of the Chinese market.'
Siemens HealthCare has a vast production network globally. Shanghai and Shenzhen are two very important manufacturing bases for Siemens HealthCare in China, as well as key export hubs. Wang Hao, President of Siemens HealthCare Greater China, told CBN that the localization rate of the supply chain in products produced by Siemens HealthCare in China has reached80%.
Wang Hao revealed that Siemens Medical will gradually promote the localization of production across its entire product line, driving the transformation and upgrading of the local industrial chain. Building on the existing domestic capabilities, the new high-end3TMagnetic resonance systems and high-end flagship ultrasound systems have gradually achieved local production. In the second half of this year, the company will also launch a new generation of dual-source systems in the Chinese market.CT,5GNew domestic products such as magnetic resonance imaging.
"In fact, in the healthcare industry, it is difficult to completely separate local and multinational enterprises, as well as domestic and imported technologies," an industry insider told CBN reporters. "Looking at medical imaging products, over the past decade, multinational companies have continuously introduced technology and personnel into the Chinese market. For multinational companies,GPSSeveral companies have established production lines very early in China, driving industrial clusters upstream and downstream. The maturity of the industrial chain has in turn laid a foundation for the growth of domestic enterprises.
From the domestic market perspective, in the future, in addition to the high-end medical imaging sector, the field of high-end surgical instruments such as surgical robots will also become a battleground for local manufacturers and multinational giants.
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Jiang Tengfei from Frost & Sullivan told CBN reporters: 'In terms of professional surgical instruments, domestic substitution has long lacked competitiveness in high-end surgical instruments. In recent years, a number of domestic brands with independent intellectual property rights have emerged, such as endoscopes.'/Orthopedic surgical robots. How these companies will develop in the future is worthy of attention.
In addition, precision and intelligence will also become important development directions for medical imaging, with local enterprises having a certain market for domestic substitution. For example, the China Cardiovascular Doctors Innovation Club (CCIA 'White Paper on Innovation in China's Cardiovascular Medical Device Industry (2021It is mentioned in the document that as one of the most important means for clinical information acquisition, the integration of cardiovascular imaging technologies and the empowerment by artificial intelligence are future directions.
Currently, multinational enterprises have already taken certain advantages in molecular imaging, multimodal imaging, and other areas. Domestic products still have a certain gap compared to the top international technologies. In response to this,CCILi Chenguang, Deputy Secretary-General and Associate Professor of Cardiology at Zhongshan Hospital Affiliated to Fudan University, told CBN reporters: 'Compared with those that started earlier
Foreign giants, along with domestic innovative products, are also rapidly catching up. In some areas, such as those based on imagingFFR(coronary artery flow reserve fraction),CT-FFRIn terms of aspects such as curves, there is a trend of overtaking."
*This article is reprinted from 'CBN'. Reporter Qian Tongxin , Original title: United ImagingIPO listingMarket value exceeds Philips,GPSHow to deal with it? ">
Frost & Sullivan Insight & Extended Readings
QWhat are the advantages and disadvantages for United Imaging to go public under the current market environment?
A: United Imaging Healthcare is positioned in the high-end medical imaging equipment market, enjoying the star effect of having a domestic brand in the high-end medical device market.IPO listingThe sprint towards the Sci-tech Innovation Board (STAR Market) is of benchmark significance. It will have a demonstrative effect on high-end medical equipment manufacturing enterprises, attracting more innovative medical device companies to gather around the STAR Market.
QWhich sub-sectors of China's medical device industry are worth investing in?
A: There are two sub-sectors worthy of attention. One is professional surgical instruments, which have long lacked competitiveness in the field of high-end surgical equipment due to domestic substitution. In recent years, a number of domestic brands with independent intellectual property rights have emerged and deserve capital investment, such as laparoscopes./Orthopedic surgical robots, minimally invasive glaucoma surgeryMIGSThe other category includes ophthalmic drainage devices in the ( ) market. Another type is medical devices for consumption upgrading, such as rehabilitation medical devices.
QWhat impact does the listing of United Imaging have on the overall medical capital market?
A:2022over the past year,AThe overall performance of the capital markets for stocks and Hong Kong stocks is average, lacking in the listing of high-quality star devices. The performance of new shares has also been dragged down. From recent market feedback, there is a greater probability that high-priced stocks will fail to break even. Looking at the issuance situation of United Imaging Healthcare this time, the company's quality is relatively good, with an obvious higher issue price-earnings ratio than the industry average, which has had a significant boosting effect on the recent capital market.
