[Click eStock] "Dentium, Growth in China-bound Implant Sales... Target Price Up"

Daishin Securities on the 29th raised the target price for Dentium to 200,000 KRW, stating, "We have increased this year's estimates and raised the target price in line with the recovery of multiples (enterprise value multiples) of leading global dental market companies." The buy rating was also maintained. The closing price the previous day was 126,000 KRW.

On the same day, Han Song-hyeop, a researcher at Daishin Securities, said, "Dentium's sales in the fourth quarter of last year were 124.8 billion KRW, up 32.8% compared to the same period last year, and operating profit was 47.9 billion KRW, up 32%. The operating profit exceeded market expectations by 26%," he added, "and with the deferred Russian sales from the third quarter of last year reflected, European sales also performed well." Implant exports from Suwon City, Gyeonggi Province, in the fourth quarter of last year amounted to 51.59 million USD, up 21% from the previous year, and sales in China increased by 37% to 57.4 billion KRW.

Researcher Han said, "This year's sales are expected to increase by 15% to 451.4 billion KRW compared to last year, and operating profit is expected to grow by 29% to 169.9 billion KRW," adding, "Global dental company Straumann indicated in its fourth-quarter earnings conference call last year that China sales growth could reach up to 20% this year," and "given Dentium's significant sales proportion in China, this is a point to watch for this year's performance growth. According to the local Chinese subsidiary, there is confirmation of an increase in dental patients and dealer orders," he said.

He added, "Last month, the targets in China were exceeded, and the atmosphere this month is also favorable," concluding, "We believe that implant sales growth targeting China this year will exceed expectations."