Research On Medical Device Enterprise Value Evaluation Based On Improved EVA Model

The medical device industry experienced rapid development due to the impact of the new epidemic,the aging of the population,and the enhancement of the population’s expenditures and attention to health.In the wake of the development of the medical device industry,there are significant changes in the value of medical device enterprises and more frequent acquisitions,mergamations and financing among enterprises,so the appraisal of the value of medical device enterprises has been gaining attention.To establish a valuation model for medical device enterprises and to conduct scientific and effective valuation is of far-reaching practical significance for the construction of the value assessment system of medical device enterprises.This section establishes a valuation method and model that meets the unique characteristics of medical device enterprises based on enterprise value assessment theory.Through the definition of EVA,the enhancement of EVA calculation method,and the introduction of market correction coefficient and fuzzy real option model,this paper can evaluate the value of medical device enterprises.To authenticate the pragmatic nature of the improved EVA method,KL Medical was targeted for empirical analysis.First,starting from the operational status and development trend of KL Medical,the historical EVA values are counted based on the evaluation data from2017-2021,and then the EVA values for the high growth phase as well as the stable growth phase are counted based on the two-stage growth model,after which the EVA values under the conventional method are obtained by adjusting the market factors through the market adjustment factor.Second,the paper identifies the options of KL Healthcare and calculates the potential value of the company by calculating the indicators required for the fuzzy real options model.The current value of the enterprise calculated by the EVA model is added to the potential value calculated by the real options model to obtain the overall value of the enterprise.Finally,this paper compares and analyzes the results of the EVA model with market correction coefficients only,the EVA model with real options,and the EVA model with fuzzy real options,and concludes that the appraised value is higher with the introduction of real options and closer to the market value with the introduction of fuzzy mathematics.It is evident that the improved EVA model not only calculates the existing value of the enterprise but also takes into effect the potential value of the enterprise,so the valuation results are closer to the true of the market value because both market factors and potential profitability are taken into account.This indicates that when estimating a high-growth company such as a medical device,it is important not only to adjust the calculation index to better capture the net operating profit after tax,but also not to disregard the impact of potential profitability on the enterprise value.This refined procedure can provide a more empirical basis for deciding by management and also for information users.