red weekly: in 2021 Suzhou Nanomicro Technology Co.Ltd(688690) achieved an operating revenue of 446346800 yuan, a year-on-year increase of 117.74%; The net profit was 188089700 yuan, a year-on-year increase of 158.75%. Will this high growth continue?
Qiu Zheng: with the growth of China’s economy and medical demand, China’s biological drug market has developed rapidly. It is estimated that the annual compound growth rate from 2018 to 2023 will be 19.4% respectively, and it is expected to reach the scale of 635.7 billion yuan by 2023. Among them, China’s PD-1 and PD-L1 inhibitor market will reach 6.3 billion yuan in 2019 and is expected to grow to 81.9 billion yuan in 2024 at a compound annual growth rate of 67.0%. Benefiting from the high prospect of China’s biomedical industry, the operating revenue of Suzhou Nanomicro Technology Co.Ltd(688690) affinity chromatography media and ion exchange chromatography media used for the separation and purification of macromolecular drugs achieved rapid growth in 2021.
In the downstream of the production of biological drugs, the purity and yield of products need to be improved through separation and purification to ensure the quality and stability of products. Therefore, separation and purification has become the core production link of biological drugs, accounting for more than half of the whole production cost Suzhou Nanomicro Technology Co.Ltd(688690) ‘s chromatographic packing, chromatographic medium and other products and related services are concentrated in the field of biomedicine, which is mainly used for the separation and purification downstream of the production process of biopharmaceutical customers. Chromatographic packing and chromatographic medium industry are technology intensive industries and have long been monopolized by large international science and technology companies. In recent years, China’s high-end biopharmaceutical industry has developed rapidly, the investment in biopharmaceutical research and development has been increasing, the listing speed of new products has been accelerated, and the market competition has intensified. Biopharmaceutical manufacturers are facing huge cost and safety supply pressure. Therefore, they have excellent performance, stable supply As a leader in the field of separation and purification in China for more than ten years, the domestic pharmaceutical industry will continue to benefit from the high price of separation and purification in the future.
red weekly: in 2021 Apt Medical Inc(688617) achieved an operating revenue of 828687900 yuan, a year-on-year increase of 72.85%; The net profit was 2079211 billion yuan, an increase of 87.70% year-on-year. Although the profit of the company increased greatly, the share price has been halved when it is high. Is it worth paying attention to?
Qiu Zheng: Apt Medical Inc(688617) is a leading enterprise in the field of electrophysiology and vascular interventional access consumables in China. The products on the market include electrophysiology, coronary access and peripheral vascular interventional medical devices. At present, there are relatively few enterprises engaged in the research and development of vascular interventional medical devices in China. The main listed companies are Sino Medical Sciences Technology Inc(688108) , Shanghai Microport Endovascular Medtech (Group) Co.Ltd(688016) , Lepu Medical Technology (Beijing) Co.Ltd(300003) and so on. Due to the pressure of centralized purchase and price reduction of core products, the market has different views on the development prospect of the industry. In the past six months or so, the trend of these companies has been poor and the valuation has been greatly reduced.
If the net profit of Apt Medical Inc(688617) is split, the company’s net profit after deduction in the fourth quarter of 2021 is 22.066 million yuan, a significant decline compared with 367643 million yuan in the fourth quarter of 2020. However, the company’s R & D expenses in the fourth quarter of 2021 increased from 219665 million yuan in the same period of last year to 538507 million yuan, which is also the main reason for the decline of the company’s net profit after deduction in the fourth quarter. Since Sino Medical Sciences Technology Inc(688108) , Shanghai Microport Endovascular Medtech (Group) Co.Ltd(688016) , Lepu Medical Technology (Beijing) Co.Ltd(300003) and other companies mainly focus on implant stent products, which are different from Apt Medical Inc(688617) in electrophysiology, coronary access and peripheral vascular interventional medical devices, the reasonable valuation of Apt Medical Inc(688617) should be higher than the above three companies. If the profitability of Apt Medical Inc(688617) can return to normal in the first quarter of 2022, it will still be of concern.
red weekly: in 2021, Bloomage Biotechnology Corporation Limited(688363) achieved an operating revenue of 4.948 billion yuan, a year-on-year increase of 87.93%; However, the company achieved a net profit of 782 million yuan, with a year-on-year increase of only 21.13%. Why is the increase of the company’s net profit significantly less than that of operating revenue?
Qiu Zheng: in 2021, the revenue of Bloomage Biotechnology Corporation Limited(688363) raw material business was 905 million yuan, a year-on-year increase of 28.62%; The revenue of medical terminal business was 700 million yuan, with a year-on-year increase of 21.54%; The company’s functional skin care products achieved a revenue of 3.320 billion yuan, a year-on-year increase of 146.57% compared with 1.346 billion yuan in the same period last year Bloomage Biotechnology Corporation Limited(688363) of the four major functional skin care brands have passed their initial stage in 2021, entered the stage of large-scale, and achieved an annual revenue of more than 1 billion yuan for a single brand for the first time. With the rapid growth of functional skin care products business, the promotion investment of the company also increased significantly. In 2021, the sales cost of Bloomage Biotechnology Corporation Limited(688363) increased significantly from 1.099 billion yuan in the same period of last year to 2.436 billion yuan, an increase of more than 1.3 billion yuan, which is the main reason why the increase of net profit of the company is significantly lower than that of operating revenue.
Although Bloomage Biotechnology Corporation Limited(688363) relies on the world’s leading microbial fermentation technology and enzyme digestion technology of oligohyaluronic acid, the industrialization scale of hyaluronic acid has ranked among the top in the world, with the rapid growth of functional skin care products business, this business has become Bloomage Biotechnology Corporation Limited(688363) the most important profit source and an important valuation basis of the company, just like hyaluronic acid raw materials business. As mentioned above above, in 2021, the revenue from the functional skiskiskiskiskiskiproducts business of Bloomage Biotechnology Corporation Limited(688363) theoperating income of the company exceeds 50%, In contrast, Bloomage Biotechnology Corporation Limited(688363) with high growth deserves more attentionp align=”center”>
