Recently, the domestic brand Liuzhou Liangmianzhen Co.Ltd(600249) was exposed by the market supervision department because the shampoo preservative exceeded the standard.
On February 23, the reporter of the international finance news learned from the Circular of the State Food and Drug Administration on 50 batches of unqualified cosmetics (No. 11, 2022) that the sampling of tuyue Shampoo (marked with production date: 20201215) produced by Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) Industrial Co., Ltd. (hereinafter referred to as ” Liuzhou Liangmianzhen Co.Ltd(600249) Jiangsu”) from Dongying hotel was unqualified, and the unqualified items were methyl chloroisothiazolinone The mixture of methyl isothiazolinone, magnesium chloride and magnesium nitrate (methyl chloroisothiazolinone: methyl isothiazolinone is 3:1). After re inspection by Shanghai food and drug inspection and Research Institute, the result is 0.0016%, which is still unqualified.
In the afternoon of the same day, the reporter of international finance called Liuzhou Liangmianzhen Co.Ltd(600249) head office. The relevant personnel said they did not know the details of the matter. It is suggested to contact the quality inspection department of the branch for inquiry. Later, the reporter contacted the relevant person in charge of Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu), The other party said: “Afterwards, the company investigated the process control records of the whole production process and found no abnormality; other products using the same preservative in the same period have also been handed over to a third party for thorough investigation to obtain a qualified test report. Because they are not batch accidents, the company treated this incident as a separate abnormal event, and because there is only a slight difference between the values, it is speculated or compared with the raw materials ‘relevant, but no final conclusion has been reached. We will continue to follow up the specific situation. “
product quality problems
Public information shows that methyl chloroisothiazolinone is an organic compound and an efficient bactericide. It has a good effect on inhibiting the growth of microorganisms and can inhibit the growth of bacteria, fungi, molds and molds. It is generally used as preservative in bath liquid, shampoo and washing liquid. In industry, it can be used in cooling water, circulating water, papermaking, paint and coating. However, this ingredient is irritating to the skin and may cause allergic reactions.
According to the safety technical specification for cosmetics (2015 Edition), the maximum allowable concentration of methyl chloroisothiazolinone and the mixture of methyl isothiazolinone and magnesium chloride and magnesium nitrate (methyl chloroisothiazolinone: methyl isothiazolinone is 3:1) when used in cosmetics is 0.0015%, which is applicable to rinsing products and cannot be used together with methyl isothiazolinone.
Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) mentioned in an interview with the reporter of the international finance news that the first inspection result of the company was 0.0019%, and the re inspection result was 0.0016%, which was slightly different from the national standard value of 0.0015%. From the re inspection results, the difference of 0.0001% is really very small, which seems to be no problem. In this regard, the reporter asked a person close to the official organization, who said: “the standard limit of preservatives is stipulated by the state. When the state stipulates the limit, it also determines the limit according to certain technical means and schemes. Since it stipulates 0.0015%, it cannot be exceeded, otherwise the limit stipulated by the state is meaningless.”
The reporter noted that this is not the first time that Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) has been exposed as unqualified products.
According to China Quality News Network, on June 5, 2018, the 2017 sampling inspection results of washing and chemical products in the circulation field published by the former Tongliao Administration for Industry and Commerce showed that the ” Liuzhou Liangmianzhen Co.Ltd(600249) ” full care shampoo (production date / batch number: 42931) produced by the nominal Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) from the City Star Hotel on Jiaotong Road, Horqin district, Tongliao City was found to be unqualified; In December 2016, the spot check and inspection of commodity quality in the circulation field in the third quarter of 2016 reported by the former Hunan Administration for Industry and Commerce showed that a group of “toothbrush B” samples sampled from Zhaodong Sanchuan International Hotel, Shuangqing District, Shaoyang City and produced by nominal Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) were found to be unqualified in the item of toothbrush sanding rate.
In addition, tianyancha information shows that on December 15, 2021, the illegal income of 8940 yuan and a fine of 15800 yuan were confiscated by Jiangsu Provincial Drug Administration in accordance with relevant laws and regulations because Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) sold ordinary cosmetics that were not recorded; On February 21 this year, the company was again punished by Jiangsu Provincial Drug Administration for producing and selling cosmetics that did not meet the national hygienic standards for cosmetics, confiscating 5280 yuan of illegal income and imposing a fine of 1584 yuan.
Liuzhou Liangmianzhen Co.Ltd(600249) is it difficult to be brilliant again?
According to public information, the enterprise involved in this case Liuzhou Liangmianzhen Co.Ltd(600249) (Jiangsu) is a holding subsidiary of Liuzhou Liangmianzhen Co.Ltd(600249) (hereinafter referred to as ” Liuzhou Liangmianzhen Co.Ltd(600249) Liuzhou”), which was established in 2004. It mainly produces toothpaste, toothbrush, soap, shampoo, shower gel, slippers and other hotel and household products. It owns Liuzhou Liangmianzhen Co.Ltd(600249) , tuyue, mulanze, Xiaoyao, Shuman, Fulang, keliwei, qinzhiyuan Fangcao and other brands.
Liuzhou Liangmianzhen Co.Ltd(600249) (Liuzhou) is the head office of the brand. It is an orthodox state-owned enterprise. Its history can be traced back to 1941. At that time, five small private soap factories such as Asian Jian factory established the company, mainly engaged in daily chemical products such as toothpaste, toilet water, snow cream and leather shoe oil. In 1994, the company was restructured into a joint-stock company, It became the first company in the industry to be listed on the Shanghai Stock Exchange in 2004.
It is worth mentioning that Liuzhou Liangmianzhen Co.Ltd(600249) this well-known domestic brand once pioneered traditional Chinese medicine toothpaste. In 1978, it developed the first Liuzhou Liangmianzhen Co.Ltd(600249) traditional Chinese medicine toothpaste and sold well in China for many years. Data show that from 1986 to 2001, Liuzhou Liangmianzhen Co.Ltd(600249) ranked first in the production and sales of toothpaste in China for 15 consecutive years, with a market share of more than 16% at its peak.
However, Liuzhou Liangmianzhen Co.Ltd(600249) after listing has fallen into the dilemma of “starting out is the peak”.
Relevant data show that in 2003 before listing, Liuzhou Liangmianzhen Co.Ltd(600249) operating revenue reached 586 million yuan, of which the revenue of toothpaste category was 442 million, accounting for 75.4% of the operating revenue. However, Liuzhou Liangmianzhen Co.Ltd(600249) after listing began to expand its business scope in order to further increase its performance. In addition to its main daily chemical business, it also entered the fields of medicine, paper products and real estate development.
Perhaps it was this development strategy that pulled Liuzhou Liangmianzhen Co.Ltd(600249) down from the altar of the top domestic toothpaste brands. In 2004, Liuzhou Liangmianzhen Co.Ltd(600249) total operating revenue decreased by 2.9% year-on-year to 569 million yuan, and net profit deducted decreased by 77.02% year-on-year to 7.5543 million yuan; In 2006, Liuzhou Liangmianzhen Co.Ltd(600249) began to deduct non net profit for 13 consecutive years. By 2018, Liuzhou Liangmianzhen Co.Ltd(600249) deducted non net profit was -74.7281 million yuan; The non net profit deducted in 2019 is about – 120 million yuan.
Or Liuzhou Liangmianzhen Co.Ltd(600249) , who was aware of the problems brought by the expansion, completely stripped its “fine chemical” business from Listed Companies in 2017. In 2019, it stripped the paper sector (paper products and paper companies) and real estate sector (real estate development company) again. According to the 2020 annual report, at present, the company’s main business is only daily chemical and pharmaceutical sectors.
On January 28, Liuzhou Liangmianzhen Co.Ltd(600249) released the performance forecast for 2021. According to the announcement, Liuzhou Liangmianzhen Co.Ltd(600249) is expected to realize a net profit of 8 million yuan to 12 million yuan in 2021, a decrease of 46 million yuan to 50 million yuan compared with the previous year, a year-on-year decrease of 79.31% to 86.21%. The company said that the main reason for the decline in net profit is the change of trading financial assets.
According to Sun Wei, a famous top-level design expert and senior researcher of brand marketing at Tsinghua University, the main business of Liuzhou Liangmianzhen Co.Ltd(600249) has been focused in the past two years. However, due to many changes in the market pattern, the toothpaste market is not what it used to be. If only relying on the brand assets of traditional Chinese medicine toothpaste in the past, it is difficult to break out of the siege, ” Liuzhou Liangmianzhen Co.Ltd(600249) toothpaste may need to (do another) brand positioning and product segmentation, focusing on the markets of children, women and the middle-aged and the elderly, and integrating the elements of national fashion, which may make it possible for Liuzhou Liangmianzhen Co.Ltd(600249) to return to the public view.”
