Oppenheimer Comments On Mindray Medical Ltd. Following Recent Earnings Report

Mindray Medical's MR 4Q results were largely in line with its preliminary announcement in January. The first-time 2011 net income guidance of north of 10% may disappoint some, but reasonable given the investment in SG&A and R&D and was in line with Oppenheimer's forecast. Separately, MR agreed to acquire a controlling stake of Shenzhen Shenke, a worldwide supplier of syringe pumps, infusion pumps, and infusion care management systems. Oppenheimer believes innovation remains key to MR's sustainable growth. Internal development and technology acquisition will be viewed positively to aid MR's expansion into the high-end market. MR's strong balance sheet will help. Things to listen for on the conference call today include: recovery of China sales, especially on the non-tender side; details of the Shenke acquisition; future acquisitions to help MR expand into high-end markets; and cost control\ Oppenheimer has a Perform rating on Mindray Medical MR closed Monday at $27.08