Recently, a document named “notice on the pricing of high-quality Angong Niuhuang pills” came out in the industry, with the seal of Shanxi Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) National Pharmaceutical Co., Ltd. (hereinafter referred to as “Shanxi Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) “) at the bottom of the document. The document pointed out that according to the price of raw materials and product process characteristics, the company decided to price the high-quality Angong Niuhuang Pill.
According to Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) relevant informed sources, “the price of traditional Chinese medicine raw materials such as bezoar and musk has been rising for nearly a year, so the price has been raised. The situation is true.” As of the closing on March 9, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) shares closed at 32.40 yuan / share, up 4.85%P align = “center” (source:
“divine medicine” has increased in price again
The document pointed out that the company decided to price the high-quality Angong Niuhuang Pill as Angong Niuhuang Pill (double natural iron box 3G pill) × 1 pill / box × 6) 5880 yuan / box; Angong Niuhuang Pill (double natural wooden box 3G pill) × 1 pill / box × 2) 3360 yuan / box; Angong Niuhuang Pill (double natural wooden box 3G pill) × 1 pill / box × 6 boxes) 10080 yuan / box.
The price will be implemented from April 1, 2022. According to the above price, the lowest retail price of Angong Niuhuang Pill 3G / pill in double natural iron box is 980 yuan, that is to say, a pill may sell for nearly 1000 yuan.
In order to understand the current price rise of Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) Angong Niuhuang Pill, the reporter of the international finance news called a YANGHETANG and Yifeng pharmacy in Pudong New Area of Shanghai for consultation. Among them, the staff of YANGHETANG said: “at present, there are only two boxes (3G / 3 pills) of Angong Niuhuang pills Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) in the store. You can get a 10% discount on one box. After the discount, the price is 1915 yuan / box, and you can get a 20% discount on two boxes.” The staff of Yifeng pharmacy said: “there is only one box of Angong Niuhuang pills (3G / 2 pills) left in Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) , and the price is 1596 yuan / box.” The reporter also inquired about the price rise. YANGHETANG said: “the price of Angong Niuhuang Pill has been rising. I don’t know when it will rise.” The staff of Yifeng pharmacy said that if the price of Yifeng medicine would be adjusted uniformly, the price of Yifeng medicine would also be adjusted.
In addition, the staff of Huanggong / Anbao’s flagship store did not receive the notice of the price increase of 3 yuan of 3 pill / Anbao, but the reporter said that the price of pill / Anbao’s flagship store was still 600yuan after receiving the notice of price increase of 3 pill / Anbao.
What kind of “divine medicine” can reach nearly 1000 yuan a pill?
According to the instructions of Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) Angong Niuhuang Pill, the main raw materials are Niuhuang, buffalo horn concentrated powder, artificial musk, pearl, cinnabar, realgar, Coptis chinensis, Scutellaria baicalensis, gardenia, tulip and borneol.
The bezoar in the raw material is natural bezoar, so the price is really expensive. It is reported that natural bezoar comes from individual cattle bodies and is generally born in old cattle over the age of 10 for many days. Cattle have little chance of hepatolithiasis. Only about 1 million cattle can grow 3 ~ 4kg bezoar. Therefore, natural bezoar is very rare.
According to the market in recent years, the pure natural bezoar is about 345 yuan / g. in recent years, the consumption of bezoar is increasing and the price is rising. The price of bezoar in the market is about 520000 per kilogram. In addition to bezoar, the price of musk is also rising. At present, 1g natural musk is about 400 yuan.
However, the content of natural bezoar and musk in 3G Angong Niuhuang Pill is not marked in the manual. The reporter sent an interview letter to the enterprise on the impact of raw material price rise on drugs. As of press time, no reply has been received.
prescription drugs or health products
It should be noted that this is not the first price increase of Angong Niuhuang Pill. As early as last December, Beijing Tongrentang Co.Ltd(600085) of Angong Niuhuang pills raised the sales price of Angong Niuhuang pills (3G pills / box) from 780 yuan to 860 yuan, an increase of about 10%.
On January 15 this year, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) has raised the price of Angong Niuhuang Pill. The notice said that according to the price of raw materials and product process characteristics, after comprehensive evaluation, the retail price of Angong Niuhuang Pill (shuangnatural) (3G / pill) was determined to be 880 yuan / pill. By April 1 this year, the price of Angong Niuhuang Pill will be raised to 980 yuan, which is not far from 1000 yuan.
There are also many pharmaceutical enterprises selling Angong Niuhuang pills on the market, including Beijing Tongrentang Co.Ltd(600085) , Jiuzhitang Co.Ltd(000989) , China Resources Sanjiu Medical & Pharmaceutical Co.Ltd(000999) , Zhangzhou Pientzehuang Pharmaceutical Co.Ltd(600436) , etc. According to the data of Intranet, in 2017, the terminal sales of Angong Niuhuang Pill in urban retail pharmacies in China exceeded 1 billion yuan, maintained a growth rate of more than 20%, and the sales exceeded 2.4 billion yuan in 2019.
With such a fanatical increase in price, the curative effect of Angong Niuhuang Pill has also become the focus of attention. According to the efficacy in the drug manual, its main function is to clear away heat, detoxify, calm shock and open the orifices. For febrile disease, evil into pericardium, febrile convulsion, delirium; Apoplectic coma, encephalitis, meningitis, toxic encephalopathy, intracerebral hemorrhage and sepsis.
At present, Angong Bezoar pills on the market belong to prescription drugs, that is, you can get drugs only after you need a doctor’s prescription certificate. However, when the reporter asked about the e-commerce platform, the customer service said that there would be a pop-up reminder after payment, and you can fill in the relevant information. In the purchase of physical pharmacies, you can receive the drug only by paying directly on the takeout platform or filling in relevant information. Prescription drugs seem to have become health products.
price increase or related to poor performance
Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) (hereinafter referred to as ” Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) “), its core subsidiary Shanxi Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) has a history of 480 years. It is the oldest existing traditional Chinese medicine enterprise and drug brand in China. Its core products are Guilingji, Dingkun pill, Angong Niuhuang Pill, etc.
Why should a time-honored enterprise that has been established for more than several hundred years raise its price again less than two months from the last price increase? Some industry insiders said that it may be related to its poor performance.
On January 29, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) disclosed the performance forecast for 2021, which said that the expected loss of net profit attributable to shares was about 330 million yuan, and the deduction of non net profit was about 361 million yuan.
As for the main reasons for the performance loss in advance, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) mentioned that due to the sporadic spread of the epidemic in China and the decline of passenger flow in terminal pharmacies, in order to promote the settlement of accounts receivable and reduce channel inventory, the company appropriately controlled the delivery according to the objective market situation and the actual sales situation of products in various regions, resulting in the decline of operating revenue; At the same time, affected by the general rise in the price of raw materials and the change in the proportion of sales structure of different gross profit products, the company’s comprehensive gross profit margin decreased compared with the same period of last year.
According to the data, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) in recent years, the sales volume of Angong Niuhuang Pill products, ordinary products and high-quality products decreased significantly in 2019 and was not announced in 2020. The only increase is dual natural products, which will increase by 380% in 2020, and this price increase is also such products.
In fact, from the total amount of Angong Niuhuang pills, the sales volume of Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) has increased, but the increase is not large. In addition, the sales volume of several other core products of the company, such as Guilingji, dingkundan honey pill and Niuhuang Qingxin pill, decreased significantly in 2020.
The poor performance of this price increase may be only one reason. On February 12 this year, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) issued the announcement on the change of the company’s legal person.
The reporter noted that since November last year, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) successively ushered in personnel changes. First, on November 20, 2021, Fu Shuhong, director, vice president and chief financial officer of the company, resigned as a director of the company due to work reasons and will continue to serve as vice president and chief financial officer after resignation. Later, on December 7, Zhang Bin, chairman of the company, applied to resign as chairman of the company due to job changes, and Ju Zhen was elected chairman of the company.
The equity of Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) has experienced twists and turns. In August 2021, its shareholder Ningbo Dingsheng Jinhe equity investment partnership (limited partnership) withdrew from the list of shareholders, and the ultimate beneficiaries of Dingsheng Jinhe are Guangdong Provincial People’s government and Guangdong Provincial Department of finance. However, at present, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) the largest shareholder is Jinchuang Investment Co., Ltd., and the actual controller of Jinchuang investment is Shanxi State-owned Capital Operation Research Institute Co., Ltd.
In other words, after many twists and turns, Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) finally returned to the hands of Shanxi SASAC. After the resignation of chairman Zhang Bin, Ju Zhen, as the new chairman, completed the change of legal person related to the company on February 12 this year. So is this price increase a poor performance or a strategic decision of the company?
Judging from the current secondary market of Guangyuyuan Chinese Herbal Medicine Co.Ltd(600771) , its share price has also fallen back to the low level in just two months. At the end of December 2021, its share price once hit a high of 46.94 yuan / share, but by February 2022, its share price once fell to 28.71 yuan / share, down 38.83%P align = “center” (source:
