Company Coverage
Ping An Healthcare and Technology Company (1833 HK): 1H26: Bottom Line Beat On Margin Expansion; Non-core Business Run-off Weighs On 2026 Revenue
BUY (Maintained)
Current price:
Target price:
Upside:
Previous TP :
HK$7.13
HK$10.00
40.3%
HK$11.00
Analyst
Analyst
Highlights
- PAGD’s 1H26 revenue decreased 0.7% yoy amid run-off of non-core
business, while adjusted net profit rose 37.7% yoy on strong margin
expansion, beating our and consensus’ 2026 estimates.
- We lower 2026 revenue growth estimates to 0.2% yoy, but forecast revenue
and adjusted net profit CAGR of 14% and 35% for 2026-28, supported by
continued business mix optimisation towards corporate health management
and AI enablement.
- Maintain BUY with a lower target price of HK$10.00, with medium-term
earnings momentum still intact.
Analysis
- Bottom line beat in 1H26. Ping An Healthcare and Technology Company’s
(PAGD) 1H26 revenue declined by 0.7% yoy to Rmb2.48b, below our and
consensus’ 2026 estimates of 5.4% and 8.6% yoy. Adjusted net profit rose
37.7% yoy to Rmb227m in 1H26, beating our and consensus’ 2026 estimates
of 11.1% and 12.4% yoy. In 2Q26, revenue declined 8.0% yoy, while adjusted
net margin improved to 10.7% vs 7.6% in 2025 and 7.3% in 1Q26.
Highlights
- PAGD’s 1H26 revenue decreased 0.7% yoy amid run-off of non-core
business, while adjusted net profit rose 37.7% yoy on strong margin
expansion, beating our and consensus’ 2026 estimates.
- We lower 2026 revenue growth estimates to 0.2% yoy, but forecast revenue
and adjusted net profit CAGR of 14% and 35% for 2026-28, supported by
continued business mix optimisation towards corporate health management
and AI enablement.
- Maintain BUY with a lower target price of HK$10.00, with medium-term
earnings momentum still intact.
Analysis
- Bottom line beat in 1H26. Ping An Healthcare and Technology Company’s
(PAGD) 1H26 revenue declined by 0.7% yoy to Rmb2.48b, below our and
consensus’ 2026 estimates of 5.4% and 8.6% yoy. Adjusted net profit rose
37.7% yoy to Rmb227m in 1H26, beating our and consensus’ 2026 estimates
of 11.1% and 12.4% yoy. In 2Q26, revenue declined 8.0% yoy, while adjusted
net margin improved to 10.7% vs 7.6% in 2025 and 7.3% in 1Q26.
BUY (Maintained)
Current price:
Target price:
Upside:
Previous TP :
HK$7.13
HK$10.00
40.3%
HK$11.00
Analyst
Analyst
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