AiDiT (301580): Silver Economy Series No.1 — Global Dental Zirconia Leader Amid Supply-Chain Restructuring
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Abstract
Pacific Securities initiates coverage of AiDiT (301580), China's largest dental-zirconia restorative-materials maker by revenue, with a dual business spanning restorative materials and digital equipment and overseas revenue at 66.31% of sales. 2025 revenue reached RMB1.035 billion (+16.51%) and net profit RMB196 million (+30.39%); 2021–2025 CAGRs were 17.4% and 37.2%, with gross margin rising from 38.14% to 52.55%. After Tosoh halted dental-zirconia powder supply in June 2026 and overseas yttrium oxide prices spiked roughly 55-fold to US$441/kg, global dental share is shifting toward China. AiDiT's 42% stake in Wanwei secures powder self-sufficiency, price hikes on new overseas orders were implemented in February–March 2026, and 1Q26 gross margin rose 4.97 points to 55.97%. Its "equipment as traffic driver, consumables as repeat purchase" model pairs 26.86% equipment margins with 60.65% materials margins. Phase one of the industrial park starts up in September 2026, adding 1.96 million zirconia blocks and 6.8 million glass-ceramic blocks annually, removing capacity constraints; a 97.35%-owned Korean implant unit (Woland) and a strategic stake in Yangshan Medical's surgical robot complete a digital implant loop. Pacific forecasts 2026–2028 net profit of RMB250/344/436 million and EPS of RMB1.67/2.31/2.93, with 30–35x 2027 PE implying a target of RMB69.3–80.85, 30–52% upside; initiating at Buy.
Key Points
- China's yttrium-oxide exports to Japan fell 97.67% in January–May 2026; overseas prices jumped from US$7.9/kg to US$441/kg. - Powder procurement cost eased from ~RMB200/kg to ~RMB184/kg via Wanwei, whose expansion completes by end-2026 with >4,000t capacity.