MMS Latest Report

Financial Performance

Maximus' total operating revenue increased by 5.49% to US$1.403 billion as of December 31, 2024 from US$1.327 billion as of December 31, 2023. While operating revenue increased, overall profitability decreased mainly due to the rise in sales costs and intensified competition.

Key Financial Data

1. The growth in total operating revenue was mainly driven by the company's market expansion and increased customer base, especially in the animal health business through deepened cooperation.

2. Sales costs increased from US$1.027 billion in 2023 to US$1.101 billion in 2024, limiting the growth in gross profit.

3. Intensified competition within the industry may lead to pricing pressure, further affecting gross margin and net profit.

4. The current macroeconomic environment is stable, but potential trade frictions between China and the US, among other factors, may pose a threat to the company's operations.

Peer Comparison

1. Industry-wide analysis: The overall growth in operating revenue is driven by industry recovery and increased customer demand, with a rebound in market demand for services.

2. Peer evaluation analysis: Compared to peers, Maximus' total operating revenue growth is stable, but profitability is affected by the increase in sales costs. The company needs to strengthen cost control and efficiency improvement to maintain its competitive advantage.

Summary

Maximus achieved growth in its total operating revenue in 2024, reflecting the company's business expansion and increased customer base in the market. However, the rise in sales costs and intensified competition pose challenges to profitability. The company needs to focus on cost control to address potential industry pressures in the future.

Opportunities

1. Through deepening cooperation with international renowned multinational pharmaceutical companies, especially in the animal health business, Maximus is expected to achieve significant growth in operating revenue.

2. The promotion of new product development and technological innovation will enhance product competitiveness and tap into a wider market demand.

3. With the recovery of the consumer electronics industry, the company can seize market growth opportunities through cooperation with top-tier technology companies such as Apple, Huawei, and Samsung.

Risks

1. The increased sales costs may continue to affect the company's gross margin and overall profitability.

2. Intensified competition may lead to pricing pressure, further compressing profit margins.

3. Uncertainty in the macroeconomic environment, particularly the escalation of trade frictions between China and the US, may impact the company's operations and financial performance.