Understanding the Market | AK MEDICAL rose over 9% in the morning as centralized procurement accelerates import substitution and high-end hospital coverage, with significant international growth potential for the company
AK MEDICAL rose over 9% in the morning, and as of the time of publication, it was up 8.73%, trading at HKD 5.98, with a transaction volume of HKD 74.485 million. CITIC Construction Investment released a research report stating that in the national procurement of artificial joints, AK MEDICAL has steadily increased its market share due to its cost-effectiveness and localized service advantages, accelerating the replacement of imports and coverage of high-end hospitals. Relying on the iCOS digital orthopedic platform, the company has built a full-process solution of "preoperative planning - intraoperative navigation - postoperative monitoring." With the approval and market launch of its self-developed K3 intelligent surgical robot, digital products and implants are expected to synergistically increase in volume. Internationalization is the company's second growth curve; through the "AK MEDICAL + JRI" dual-brand strategy, the company effectively covers different overseas markets, with the proportion of overseas revenue gradually increasing and significant growth potential. The report continues to indicate that looking ahead to the second half of 2025, as the procurement renewal policy for artificial joints is fully implemented nationwide, the industry's pricing system is expected to stabilize. The company has seen an increase in the bid prices for hip and knee joints in this round of renewals, and the logic of rising volume and price is expected to be realized. At the same time, the surgical volume in the orthopedic industry is expected to recover, and the company's revenue base in the second half of last year was not high, so it is expected that the company's performance will show a trend of low in the front and high in the back this year, with rapid growth expected in the second half
According to Zhitong Finance APP, AK MEDICAL (01789) rose over 9% in the morning session, and as of the time of writing, it has increased by 8.73%, trading at HKD 5.98, with a transaction volume of HKD 74.485 million.
CITIC Construction Investment released a research report stating that in the national procurement of artificial joints, AK MEDICAL has steadily increased its market share due to its cost-effectiveness and localized service advantages, accelerating the replacement of imports and coverage of high-end hospitals. Relying on the iCOS digital orthopedic platform, the company has built a full-process solution of "preoperative planning - intraoperative navigation - postoperative monitoring." With the approval and market launch of its self-developed K3 intelligent surgical robot, digital products and implants are expected to synergistically increase in volume. Internationalization is the company's second growth curve; through the "AK MEDICAL + JRI" dual-brand strategy, the company effectively covers different overseas markets, with the proportion of overseas revenue gradually increasing and significant growth potential.
The report further indicates that looking ahead to the second half of 2025, as the national implementation of the artificial joint procurement renewal policy is fully executed, the industry's pricing system is expected to stabilize. The company has seen an increase in the bidding prices for hip and knee joints in this round of renewals, and the logic of rising volume and price is expected to be realized. At the same time, the surgical volume in the orthopedic industry is expected to recover. The company's revenue base in the second half of last year was not high, and it is anticipated that the company's performance will show a trend of lower performance in the first half and higher performance in the second half, with the potential for rapid growth
