According to a research report released by Huaan Securities, the operating income of Jianshi Technology-B (09877) is expected to reach 25.8 million yuan, 229 million yuan and 619 million yuan respectively from 2023 to 2025, an increase of 788.2% and 170.1% year-on-year in 2024-25, covering for the first time and giving a "buy" rating. Once the company's tricuspid valve business is commercialized, it will form a rapid breakthrough at the revenue end, with strong profit expectations and high growth. The first tricuspid valve replacement product belongs to the global FIC innovative medical devices, with huge market potential and good competition pattern. The bank is optimistic about the company's ability to bring revenue breakthroughs through rapid commercialization and the expectation of globalization of large items.

The main points of Huaan Securities are as follows:

The heart valve track continues to grow high, and the minimally invasive trend is to catalyze the release of the valve.

The structural heart disease track will be the golden track for the next decade. The "aging trend + minimally invasive treatment concept" has led to a rapid increase in the number of valvular interventional surgery. Transcatheter valve replacement (TAVR) transforms surgical thoracotomy into vascular interventional surgery for the first time, which subverts the traditional treatment pattern. Under the full verification of the safety and effectiveness of aortic valve interventional therapy, the interventional therapy of mitral valve and tricuspid valve is expected to be further developed. According to Frost Sullivan's forecast, the market size of valvular intervention in China (aortic valve, mitral valve, tricuspid valve, pulmonary valve) is about 2023-2030CAGR, and the market size is expected to reach 42 billion yuan in 2030.

Tricuspid valve large single: 20 billion yuan deep blue market has a huge rigid demand, the company's products lead the world

Tricuspid valve treatment has always been regarded as a "forgotten disease". According to statistics, the treatment rate of tricuspid valve disease in the United States is only 0.80%, which is much lower than 18.00% of aortic valve disease and 1.75% of mitral valve disease. The stock of tricuspid regurgitation patients in China is about 10 million, with an increase of about 1 million every year. According to Frost Sullivan's forecast, China's tricuspid regurgitation market is expected to grow to 20 billion yuan in 2030, much higher than the TAVR market in the same year.

The tricuspid intervention market is still in a deep blue competition pattern. At present, only three tricuspid intervention products in the world are in confirmatory clinical practice, namely the company's LuX-Valve and LuX-ValvePlus and the international giant Edward Life Sciences EVOQUE, which is more than 3 years ahead of similar domestic replacement products. The company's first major tricuspid valve new product LuX-Valve is expected to be certified in Q4 in 2023, and at the same time in 2024 to promote the internationalization of the second generation product LuX-ValvePlus in China, Europe, North America and Asia-Pacific markets.

Adhere to independent R & D and innovation to fully cover structural heart disease

The company does not do "metoo" products, do not take the imitation route, the products are independent research and development, to achieve a complete structural heart disease product pipeline layout, fully covering tricuspid valve, aortic valve, mitral valve, heart failure and cardiogenic stroke protection. In valvular heart disease, the company distributes tricuspid valve replacement system (LuX series), TAVR system (Ken series, for aortic regurgitation or associated stenosis), mitral valve repair and replacement system (Jens series); in the field of heart failure, the company distributes atrial septal stent system and myocardial filling hydrogel (MicroFlux, AIginSys); in the field of cardiogenic stroke protection, the company distributes left atrial appendage and PFO occluder (SimuLock, OminiSeal). The complete layout of structural heart disease fully ensures the company's continued growth and commercialization in the future.