Securities code: Sino Biological Inc(301047) securities abbreviation: Sino Biological Inc(301047) Announcement No.: 2022003 Sino Biological Inc(301047) 2021 annual report summary I. important tips
The summary of this annual report comes from the full text of the annual report. In order to fully understand the company’s operating results, financial status and future development plan, investors should carefully read the full text of the annual report in the media designated by the CSRC.
All directors of the company personally attended the meeting of the board of directors to consider this annual report.
The audit opinion of Grant Thornton Certified Public Accountants (special general partnership) on the company’s financial report this year is: standard unqualified opinion. Tips on non-standard audit opinions □ applicable √ not applicable the company was not profitable at the time of listing and is not profitable at present □ applicable √ not applicable to the profit distribution plan of common stock or the plan of converting accumulation fund into share capital in the reporting period considered by the board of directors √ applicable □ not applicable
The company’s profit distribution plan for ordinary shares reviewed and approved by the board of directors is: take 68 million shares as the base, distribute cash dividends of 100.00 yuan (including tax) to all shareholders for every 10 shares, send 0 bonus shares (including tax), and increase 9 shares for every 10 shares to all shareholders with capital reserve.
Preferred stock profit distribution plan for the reporting period adopted by the board of directors □ applicable √ not applicable II. Basic information of the company (I) Company Profile
Stock abbreviation Sino Biological Inc(301047) stock code Sino Biological Inc(301047)
Shenzhen Stock Exchange
Contact person and contact information secretary of the board of directors securities affairs representative
Name: Feng Tao, Wang Shuhui
Office address: Room 204, building 11, courtyard 18, Kechuang 10th Street, Beijing Economic and Technological Development Zone, Beijing
Fax 0105095328001050953280
Tel: 0105091167601050911666 ext: 8111
E-mail [email protected]. [email protected].
(II) introduction to main business or products during the reporting period
1. Main business
The company is a biotechnology company engaged in the R & D, production, sales and technical services of biological reagents. Its main business includes products such as recombinant protein, antibody, gene and culture medium, as well as services such as the development of recombinant protein and antibody and biological analysis and detection.
In 2021, the company continued to focus on its main business, adhered to independent research and development, and continuously expanded the types of reagent products. More than 1500 kinds of biological reagents such as protein and antibody were added in the whole year. It continued to provide high-quality biological reagent products and high-level technical services for global drug R & D enterprises and life science research institutions. At present, the company produces and sells more than 52000 kinds of spot products, including more than 6500 kinds of recombinant proteins, including more than 4500 kinds of recombinant protein products expressed by human cells, which can fully meet the needs of customers for recombinant proteins closest to the structure and properties of human natural proteins; The company can also provide about 14000 kinds of antibodies, including more than 4900 kinds of monoclonal antibodies, which can cover many fields of life science research, and provide a “one-stop” channel for purchasing biological reagent products and technical services for basic scientific research directions such as molecular biology, cell biology, immunology, developmental biology, stem cell research and innovative drug research and development.
The company’s customers include universities, scientific research institutes, pharmaceutical R & D enterprises and other biological R & D units at home and abroad. At present, the company has established subsidiaries in the United States, Europe and Japan, with more than 6000 customers and accumulated brand reputation. It has become one of China’s leading technology companies in the biological reagent industry.
In 2021, the company realized an operating income of 9652725 million yuan, including 359 million yuan of non covid-19 virus related business income, a year-on-year increase of 41.41%; The net profit attributable to the owner of the parent company is 720013700 yuan.
2. Main products and services and their uses
The company’s main products of biological reagents are as follows:
Serial number product category main function / purpose product appearance
Protein is not only a direct component to perform biological functions, but also the development of life sciences and innovative drugs
The main research targets of hair. The content of natural protein is low and it is difficult to extract. The company recombines protein
1. Recombinant protein products are mainly used to replace natural proteins in organisms and support researchers to carry out various egg tests
Study on the activity of White targets and protein-protein interaction; Some cytokines and enzymes
White blood can be directly used in biological experiments such as cell proliferation, differentiation and enzymatic reaction; Target egg
White can also support antibody research and development, diagnostic reagent development and production
Antibody is the most widely used tool in biological pharmaceutical research,
The main applications include immunoblotting, enzyme-linked immunosorbent assay, immunohistochemistry, flow cytometry, immunofluorescence
2 antibody type immunocoprecipitation, etc. Because the antibody can specifically recognize the corresponding antigen, it can be used in basic biology
In the field of life sciences, it is widely used to carry out the qualitative and quantitative analysis of relevant targets, and tissue and cell analysis
Cloth, in vivo and in vitro biological activity, interaction, quality analysis and quality control research;
Antibodies can also be used as key raw materials to support the development and production of diagnostic reagents
3 genes support customers in protein related expression and function research, tissue and cell distribution research
4. The culture medium supports the R & D personnel of scientific research institutions and biological enterprises to carry out HEK-293, insects and other cells
culture
3. Main business model
(1) Procurement mode
The company has set up a procurement department to be responsible for the company’s procurement business, and has formulated systems such as procurement system, procurement contract approval system and supplier evaluation management measures to control the main links in procurement, separate incompatible posts, and clarify the responsibilities and approval authorities of purchase requisition, approval, purchase, acceptance, warehousing, payment, inventory and other links, Apply for purchase according to the established budget plan.
The company regularly evaluates suppliers, brings qualified suppliers into the daily cooperation list, and controls procurement risks by means of three-party price consultation or bidding for new suppliers. The company has formulated various cost approval regulations, which are reviewed level by level according to the amount, and signed and approved by the person in charge of the business department, the chief financial officer and the general manager. During the reporting period, procurement and payment control measures were effectively implemented.
(2) Production mode
The production center is responsible for the production scheduling of the company. The production department shall comprehensively consider the market demand, marginal cost and safety stock, formulate annual and monthly production plans, and dynamically adjust them according to the order during implementation. After the completion of product production, the quality control department shall carry out quality inspection to ensure that the products meet the quality standards. The products shall be warehoused and stored after passing the quality inspection.
The production cycle of the company’s recombinant protein products is about 4-6 weeks, and the production cycle of antibody products is 3-22 weeks according to different varieties. As protein, antibody and other biological reagent products have the characteristics of long storage time and low marginal cost when expanding the single production scale, in order to quickly meet the needs of customers and control the production frequency of products, the production plan of a single product of the company is generally arranged according to the estimated demand of 2-3 years.
(3) Sales model
The company adopts the sales mode of paying equal attention to direct sales and distribution. The company establishes a series of daily management systems for dealers, including dealer selection criteria, daily management, pricing mechanism, logistics, return and exchange mechanism, sales inventory information system, etc. the company cooperates with dealers and conducts daily management according to the above management systems.
(4) Quality management mode
Product quality management is not only an important guarantee for the company to obtain good customer experience, but also the basis for customers to establish trust in the company’s products and services and conduct continuous procurement. The company has established a quality management system around the whole product life cycle, and has passed ISO9001, ISO13485, CNAs and other quality management system certification.
According to the characteristics of biological reagent products, the company has established strict quality evaluation methods and control standards, and the quality control center will carry out quality inspection on the products according to the standard operating procedures of quality control, Evaluate the properties, protein activity, purity and other properties of corresponding products through communication control procedures, monitoring, measurement, analysis and evaluation control procedures, internal audit control procedures, management review control procedures, improvement control procedures, various operating procedures and quality release standards, Combined with the stability investigation, the storage life and storage conditions of the product are verified, and the corresponding quality control activities are recorded and saved.
In the aspect of product storage, through the analysis of product attributes and combined with many years of quality control experience, the company classifies and stores different products, and establishes a standardized storage area that meets the corresponding conditions for products preserved at low temperature and frozen.
The company has established a system of regular spot check to ensure product quality through regular spot check for different types of products. The company has also established a delivery inspection system. When the products are delivered from the warehouse, for the products whose storage time exceeds the inspection cycle, the quality control department retests the key quality indicators of the products to ensure that the products meet the corresponding quality control release standards during sales.
In the process of product distribution, the company has formulated product packaging standards and transportation standards to ensure that the storage conditions of products in the logistics process meet the specifications. The company ensures the qualified product quality through the product quality management in the whole life cycle.
(5) Cro service mode
The specific process of cro service of the company is as follows:
1) Contract signing
After receiving the customer’s demand, the company timely communicates the technical scheme with the customer, completes the quotation after determining the technical service scheme with the customer, communicates the price and service details with the customer, and signs the contract.
2) Project implementation
After signing the contract, the company drafts the project document according to the customer’s project scheme, and transmits the project document to the corresponding laboratory personnel to start the project implementation. When reaching the key nodes of the project, the company will feed back the progress to customers in time; If there are problems in the process of the project, the company will also feed back to the customer at the first time and communicate with the customer to ensure the quality and progress of the project.
3) Project delivery
After completing the sample and warehouse in report according to the requirements of the contract, prepare the component analysis report according to the requirements of the project. After confirming with the customer, arrange the delivery of products and reports according to the customer’s requirements, and issue invoices to the customer at the same time.
4. Key performance drivers
(1) Industry factors
With the development of basic research such as human genome, stem cells and cloning technology and the rapid commercialization of related products, the development of life science has entered a fast lane. The significant impact of covid-19 epidemic on the global economy and society has further increased the attention of governments to life science research and biomedical research and development. Biosafety has risen to the national strategic level, and the industry has a good development prospect.
According to the data of the National Bureau of statistics, the average annual growth rate of China’s research and experimental development (R & D) funds is the world’s leading. At the same time, with the increasingly prominent strategic position of biotechnology in leading the future economic and social development, the state has successively issued a series of incentive policies and measures to actively encourage the whole society to carry out research in the field of life sciences. The investment of research funds in the field of life sciences in China has increased rapidly.
In 2021, the guiding principles for clinical research and development of anti-tumor drugs guided by clinical value and other policies and guiding documents continued to encourage innovative research. The science and innovation board and Hong Kong stock policy provided a good environment for the financing and development of innovative enterprises. At the same time, under China’s medical insurance price policy system, innovative varieties had significant price advantages over generic drugs with fierce competition. Therefore, It drives Chinese Biomedical enterprises to continuously increase investment in innovation and R & D, and ensures the continuous market demand for biological reagents.
(2) Enterprise’s own factors
The company is one of the leading enterprises in China’s biological reagent industry. The company has always adhered to independent research and development, maintained high investment in product research and development and technological innovation, and constantly transformed the technical achievements into a series of reagent products to meet the needs of customers. After years of R & D and technology accumulation, the company has established several core technology platforms, which can efficiently develop diversified biological reagents according to market demand, and provide relevant technical services in time according to customers’ personalized needs. After the outbreak of covid-19 epidemic, the enterprise made full use of the long-term accumulated technology and product R & D advantages and repeatedly took the lead in developing various covid-19 virus related biological reagents among the global mainstream Reagent Suppliers, which not only supported the global scientific and technological anti epidemic, but also continued to bring benefits to the enterprise
