External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

Equity Bottom-Up

AK Medical Holdings Limited / Equity Bottom-Up

<ul><li>AK Medical reported 2023 revenue of RMB1,093.9mn, up 4.0% YoY. Gross profit was RMB674.5mn, up 6.0% YoY.</li><li>Gross profit margin improved 1.2 ppts to 61.7% thanks to effective cost control and an increased proportion of overseas revenue.</li><li>Attributable net profit was RMB182.1mn, down by 11.1% YoY, and the attributable net profit margin dropped by 2.8 ppts to 16.6% in 2023 mainly due to an increase in selling expense ratio as the company expanded overseas.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AK Medical reported 2023 revenue of RMB1,093.9mn, up 4.0% YoY. Gross profit was RMB674.5mn, up 6.0% YoY.Gross profit margin improved 1.2 ppts to 61.7% thanks to effective cost control and an increased proportion of overseas revenue.Attributable net profit was RMB182.1mn, down by 11.1% YoY, and the attributable net profit margin dropped by 2.8 ppts to 16.6% in 2023 mainly due to an increase in selling expense ratio as the company expanded overseas.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AK Medical (1789 HK) - The Belated Recovery Will Always Come

<ul><li>AK Medical cut its FY23 sales and net profit guidance, primarily due to the declined orthopaedic surgery volumes amid the challenging business environment in China.</li><li>The Company now expects 2023E revenue to remain flat, down from its previous guidance of 30% YoY revenue growth for 2023E.</li><li>NPM may slightly drop because the anti-corruption activities hurt the sales of highmargin non-VBP products in 2H23. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AK Medical cut its FY23 sales and net profit guidance, primarily due to the declined orthopaedic surgery volumes amid the challenging business environment in China.The Company now expects 2023E revenue to remain flat, down from its previous guidance of 30% YoY revenue growth for 2023E.NPM may slightly drop because the anti-corruption activities hurt the sales of highmargin non-VBP products in 2H23. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AK Medical (1789 HK) – 2023 Guidance Cut, Expecting Recovery in 2024

<ul><li>1H23 earnings was in line with CMBI and consensus estimates.</li><li>AK Medical reported 1H23 revenue of RMB648.7mn, up 22.1% YoY, primarily driven by the significant revenue growth of knee replacement implants and non-VBP products.</li><li>Gross profit was RMB338.5mn, up 9.8% YoY. Gross profit margin fell 1.8 ppts to 61.9% (vs. 63.7% in 1H22) due to the implementation of national VBP of joint implants since April 2022. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

1H23 earnings was in line with CMBI and consensus estimates.AK Medical reported 1H23 revenue of RMB648.7mn, up 22.1% YoY, primarily driven by the significant revenue growth of knee replacement implants and non-VBP products.Gross profit was RMB338.5mn, up 9.8% YoY. Gross profit margin fell 1.8 ppts to 61.9% (vs. 63.7% in 1H22) due to the implementation of national VBP of joint implants since April 2022. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

AK Medical (1789 HK) – Solid Growth Driven by Increasing Non-VBP Sales

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Quantitative Analysis

<ul>
<li>We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of February 9th.</li>
<li>The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.</li>
<li>We highlight the weekly Hong Kong connect flows for Tencent.</li>
</ul>


We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of February 9th.
The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.
We highlight the weekly Hong Kong connect flows for Tencent.


Hong Kong Connect Flows (Feb 9th): Tencent

<ul>
<li>We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of February 2nd.</li>
<li>The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.</li>
<li>We highlight the weekly Hong Kong connect flows for Tencent.</li>
</ul>


We analyze the weekly Hong Kong Connect flows with our data engine for holding position as of February 2nd.
The top stocks by inflows and outflows were tabulated for all market, HSCEI, mid cap and s/mid cap groups.
We highlight the weekly Hong Kong connect flows for Tencent.


Hong Kong Connect Flows (Feb 2nd): Tencent

China

AK Medical Holdings Limited manufactures medical devices. The Company produces and sells orthopedic implants, spinal interbody cages, artificial vertebral bodies, and other products. AK Medical Holdings markets its products throughout Hong Kong.

AK Medical Holdings Limited (1789 HK)

AK Medical (1789 HK) - The Belated Recovery Will Always Come

AK Medical reported 2023 revenue of RMB1,093.9mn, up 4.0% YoY. Gross profit was RMB674.5mn, up 6.0% YoY. Gross profit margin improved 1.2 ppts to...

CMB International

AK Medical (1789 HK) – 2023 Guidance Cut, Expecting Recovery in 2024

AK Medical cut its FY23 sales and net profit guidance, primarily due to the declined orthopaedic surgery volumes amid the challenging business...

CMB International

AK Medical (1789 HK) – Solid Growth Driven by Increasing Non-VBP Sales

AK Medical reported 1H23 revenue of RMB648.7mn, up 22.1% YoY, primarily driven by the significant revenue growth of knee replacement implants and...

CMB International

Hong Kong Connect Flows (Feb 9th): Tencent

We have analyzed southbound Hong Kong connect flows in the past week and highlighted Hong Kong connect flows for Tencent.

Ke Yan, CFA, FRM

Hong Kong Connect Flows (Feb 2nd): Tencent

We have analyzed southbound Hong Kong connect flows in the past week and highlighted Hong Kong connect flows for Tencent.

Ke Yan, CFA, FRM