LifeTech Scientific Corporation (1302) AI Stock Analysis

• Market Cap: HK$7.17B
• Dividend Yield: N/A
• Average Volume (3M): 17.04M
• Price to Earnings (P/E): 30.5
• Beta (1Y): 0.92
• Revenue Growth: 0.87%
• EPS Growth: -18.05%
• Country: HK
• Employees: 1,395
• Sector: Healthcare
• Sector Strength: 41
• Industry: Medical - Devices
• EPS (TTM): 0.05
• Shares Outstanding: 4,631,712,400
• 10 Day Avg. Volume: 19,054,400
• 30 Day Avg. Volume: 17,043,333
• PEG Ratio: -2.78
• Price to Book (P/B): 1.81
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -81.83
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 61 Neutral
• Price Target: ―

LifeTech Scientific Corporation shows strong financial stability with robust revenue growth and a solid balance sheet. However, challenges such as declining margins and inconsistent cash flows need addressing to sustain long-term performance. The technical analysis indicates a neutral trend, with the stock trading below key moving averages. Valuation appears high, increasing the risk if growth expectations are not met.

LifeTech Scientific Corporation Business Overview & Revenue Model

Company Description

LifeTech Scientific Corporation, an investment holding company, develops, manufactures, and trades in interventional medical devices for cardiovascular and peripheral vascular diseases and disorders. The company operates through Structural Heart Diseases Business, Peripheral Vascular Diseases Business, and Cardiac Pacing and Electrophysiology Business segments. Its products include LAmbre left atrial appendage closure systems, as well as CeraFlex, Cera, Heart, and Konara-MF VSD occluders; Ankura thoracic aortic aneurysm and abdominal aortic aneurysm stent graft systems; delivery systems, such as Fustar steerable and SteerEase introducers; Aegisy vena cava filters; Cera vascular plug systems; AcuMark sizing balloons; LawMax dilators; and SeQure snare systems, as well as pacemakers. The company is also involved in the biomedical research and development; manufacturing and trading of materials for hemp; staff training and internal personnel management business; information consulting for investors; and manufacturing and trading of medical devices, as well as technical, consulting, and technology services. It has operations in Mainland China, India, rest of Asia, Europe, South America, Africa, and internationally. LifeTech Scientific Corporation was founded in 1999 and is headquartered in Shenzhen, the People's Republic of China.

How the Company Makes Money

LifeTech Scientific Corporation generates revenue primarily through the sale of its medical devices, which are utilized in minimally invasive surgeries and medical procedures. The company's key revenue streams include its cardiovascular and peripheral vascular product lines, which are widely adopted by healthcare institutions and professionals. Additionally, LifeTech benefits from strategic partnerships and collaborations with medical institutions and research bodies, enhancing its product development and market reach. The company continually invests in research and development to innovate and expand its product offerings, thereby maintaining its competitive edge and driving sales growth.

LifeTech Scientific Corporation Financial Statement Overview

Summary

LifeTech Scientific Corporation demonstrates strong revenue growth and maintains a healthy balance sheet with low leverage. However, declining margins and inconsistent cash flow generation pose challenges that could affect long-term sustainability. The company should address operational efficiencies and cash flow stability to enhance financial performance.

Income Statement

LifeTech Scientific Corporation shows strong revenue growth with a notable increase from 2019 to 2024. The gross profit margin remains robust, indicating efficient cost management and strong competitive positioning. However, a declining EBIT margin from 2023 to 2024 suggests increased operational costs, impacting profitability. The net profit margin has slightly decreased over the years, indicating some pressure on bottom-line growth.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio, suggesting minimal leverage risk. The equity ratio is high, indicating strong capitalization and stability. However, the slight decrease in return on equity (ROE) suggests that profitability relative to shareholders' equity is under pressure, which can be a concern if it continues.

Cash Flow

Free cash flow has been inconsistent, with significant fluctuation over the years. The operating cash flow to net income ratio is not available for the latest period, making assessment difficult. The company must focus on stabilizing its free cash flow to support future investments and growth.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.30B	1.27B	1.10B	925.33M	642.30M
	Gross Profit
981.43M	995.64M	873.93M	747.53M	513.14M
	EBIT
186.34M	383.28M	368.43M	328.74M	70.67M
	EBITDA
271.87M	253.46M	445.78M	397.59M	133.30M
	Net Income Common Stockholders
222.39M	263.24M	325.34M	292.47M	216.09M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.18B	1.18B	833.79M	1.48B	1.14B
	Total Assets
4.90B	4.70B	3.69B	3.18B	2.95B
	Total Debt
4.98M	9.30M	9.67M	15.67M	185.98M
	Net Debt
-660.78M	-970.02M	-824.12M	-1.10B	-785.70M
	Total Liabilities
1.42B	1.37B	769.05M	653.61M	596.06M
	Stockholders Equity
3.49B	3.37B	2.90B	2.50B	2.34B
Cash Flow		Free Cash Flow
0.00	125.36M	52.84M	145.57M	180.15M
	Operating Cash Flow
0.00	418.05M	388.32M	488.85M	338.53M
	Investing Cash Flow
0.00	-453.88M	-458.47M	-86.76M	-341.63M
	Financing Cash Flow
0.00	182.71M	-215.20M	-256.38M	674.66M

LifeTech Scientific Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.66
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1302, the sentiment is Positive. The current price of 1.66 is above the 20-day moving average (MA) of 1.56, above the 50-day MA of 1.54, and above the 200-day MA of 1.50, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 59.42 is Neutral, neither overbought nor oversold. The STOCH value of 59.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1302.

LifeTech Scientific Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1302	61 Neutral	HK$7.17B	30.46	6.49%	―	0.87%	-18.05%
Sector *	53 Neutral	$5.18B	3.30	-45.04%	2.85%	16.82%	-0.65%
SBMFF		$9.70B	39.88	6.14%	1.41%	―	―
LVZPF		$4.14B	11.55	14.56%	5.30%	―	―
SHWGF		$3.25B	11.41	8.95%	3.66%	―	―
8198	53 Neutral	HK$1.45B	―	-30.10%	―	130.71%	51.92%
1069		HK$48.12M	10.43	17.22%	―	―	―

LifeTech Scientific Corporation Corporate Events

LifeTech Scientific Announces 2025 Annual General Meeting

LifeTech Scientific Corporation has announced its upcoming annual general meeting scheduled for May 28, 2025, in Shenzhen, PRC. Key agenda items include the adoption of the 2024 financial statements, re-election of several directors, and the re-appointment of Deloitte Touche Tohmatsu as auditors. Additionally, the meeting will address resolutions related to the issuance of shares and director remuneration, which could impact the company’s governance and financial strategies.

LifeTech Scientific Reports Revenue Growth and Net Profit Surge in 2024

LifeTech Scientific Corporation reported an annual revenue increase of approximately 2.9% for 2024, driven by higher sales of stent grafts and LAA occluders. Despite a decrease in gross profit by 1.4%, the net profit surged by 56.7% due to reduced losses from fair value changes in financial liabilities. However, the net profit attributable to owners decreased by 15.5%, influenced by lower other income and increased share-based payment expenses. The company did not recommend a final dividend for the year.

LifeTech’s LAmbre™ Plus Device Gains US Insurance Coverage for Clinical Trial

LifeTech Scientific Corporation announced that its LAmbre™ Plus Left Atrial Appendage Closure System has obtained medical insurance coverage for a pre-market clinical trial in the US. This trial, which aims to demonstrate the device’s safety and efficacy, marks a significant step in the company’s international expansion efforts. The device, already used in nearly 40,000 cases worldwide, is expected to gain FDA approval following the trial, enhancing LifeTech’s market positioning and offering potential growth opportunities.

LifeTech Scientific Schedules Board Meeting to Approve Annual Results

LifeTech Scientific Corporation has announced a board meeting scheduled for March 28, 2025, to discuss and approve the audited annual results for the year ending December 31, 2024. The meeting will also consider a final dividend recommendation, the closure of the register of members, and details of the forthcoming annual general meeting. This announcement signifies the company’s ongoing commitment to transparency and shareholder engagement, potentially impacting its financial strategies and stakeholder relations.

LifeTech Scientific Engages in Significant Structured Deposit Transactions

LifeTech Scientific Corporation’s wholly-owned subsidiary, Lifetech Shenzhen, has entered into Structured Deposit Agreements with China Merchants Bank, subscribing to principal-protected and floating income structured deposits totaling RMB273,000,000. These transactions, while not individually discloseable, collectively constitute a discloseable transaction under Hong Kong’s Listing Rules, requiring reporting and announcement but exempt from circular and shareholder approval.

LifeTech’s Ankura™ Aortic Stent Graft System Receives China NMPA Approval

LifeTech Scientific Corporation announced the official approval of its Ankura™ Aortic Stent Graft System by the China National Medical Products Administration. This system, co-developed with Fuwai Hospital, is the first of its kind to be applicable to the chimney technique, offering a safer and more effective treatment for aortic arch lesions. The approval marks a significant advancement in the company’s comprehensive solutions for aortic arch reconstruction and positions LifeTech to expand its market presence by meeting urgent clinical needs and benefiting a broad patient base.