On the evening of April 22, Bgi Genomics Co.Ltd(300676) disclosed the annual report of 2021. During the period, the company achieved an operating revenue of 6.766 billion yuan, a year-on-year decrease of 19.42%; The net profit attributable to shareholders of listed companies was 1.462 billion yuan, a year-on-year decrease of 30.08%. The company plans to pay out 3.5 yuan for every 10 shares.
Bgi Genomics Co.Ltd(300676) said that due to the intensified market competition of covid-19 business, the decline of global covid-19 nucleic acid reagent and detection unit price, as well as the changes of epidemic prevention strategies in some countries and regions, the company took the initiative to strategically adjust covid-19 related product structure and supply chain strategy, and the profits related to covid-19 decreased compared with the higher base in 2020.
Bgi Genomics Co.Ltd(300676) performance also declined in the first quarter of this year. The first quarterly report of 2022 disclosed on the same day showed that during the period, the company realized an operating revenue of 1.43 billion yuan, a year-on-year decrease of 8.52%; The net profit attributable to shareholders of listed companies was 330 million yuan, down 37.06% year-on-year.
Although the performance is still significantly higher than that before the epidemic, the share price of Bgi Genomics Co.Ltd(300676) has fallen back to the level at the beginning of 2020. In the third quarter of 2021, Hillhouse bought a large amount of Bgi Genomics Co.Ltd(300676) shares, and then the company’s share price fluctuated downward. After cutting meat for many times, Hillhouse withdrew at the end of the first quarter of this year.
overseas business detracts from performance
Bgi Genomics Co.Ltd(300676) ‘s covid-19 test and the sustainability of high growth of related businesses are in doubt.
In the annual report, Bgi Genomics Co.Ltd(300676) said that the overall operating revenue of the company decreased from the base of the sudden sharp increase of covid-19 epidemic in the same period of last year. If covid-19 business changes are excluded, the company’s conventional business will maintain a steady development trend.
Bgi Genomics Co.Ltd(300676) did not separately disclose the revenue of covid-19 testing business in the annual report, but there is no doubt that this business is still the main source of income for Bgi Genomics Co.Ltd(300676) .
Bgi Genomics Co.Ltd(300676) has five types of services, among which covid-19 detection related businesses are mainly carried out through “basic research on infection prevention and control” and “comprehensive solution for precision medical detection”. In the company’s business overview, basic research on infection prevention and control includes covid-19 virus detection series precision medical testing integrated solution includes the integrated solution of “fire eye” laboratory , which mainly provides testing services for entry-exit personnel at the airport.
Figure: Bgi Genomics Co.Ltd(300676) operating revenue composition
In 2021, the operating revenue of Bgi Genomics Co.Ltd(300676) the basic research business of infection prevention and control increased significantly by 73.01% to RMB 1.158 billion, and the gross profit margin increased by 5.53 percentage points year-on-year. In other words, infection prevention and control basic research business still makes a great contribution to the company’s performance .
Then the “Thunderstorm” of Bgi Genomics Co.Ltd(300676) covid-19 detection business appears in the comprehensive solution of precision Medicine . In 2021, the business revenue decreased by 2.180 billion yuan year-on-year, and the gross profit margin decreased by 1.31%.
Bgi Genomics Co.Ltd(300676) said in the annual report that in addition to the “fire eye” laboratories in Hong Kong and Oman airports, Ethiopia landed the “fire eye” laboratory in African airports during the reporting period. By the end of the reporting period, nearly 100 “fire eye” laboratories had been launched overseas, distributed in more than 30 countries and regions around the world.
Bgi Genomics Co.Ltd(300676) the change of business performance corresponds to the income outside China. In terms of regions, overseas is the main battlefield of Bgi Genomics Co.Ltd(300676) , but in 2021, the revenue contributed by Asia and Oceania decreased by 1.266 billion yuan year-on-year, and the revenue in Europe, Africa and the Americas also declined.
It is worth mentioning that Bgi Genomics Co.Ltd(300676) said in the annual report that it is expected to support the sustainable development of the company’s overseas business by relying on the “fire eye” laboratory platform in the future.
share price fell, cutting meat from a high position
Hillhouse “bottom reading” in the third quarter of 2021 and “meat cutting” in the first quarter of this year.
In the list of top ten shareholders of Bgi Genomics Co.Ltd(300676) , two shareholders are excellent evergreen private equity investment fund managed by Tianjin Liren investment management partnership (hereinafter referred to as Liren investment) and Lingren excellent evergreen private equity investment fund managed by Shanghai Lingren private equity fund management partnership (hereinafter referred to as Lingren Fund).
Public information shows that lilen investment is an independent private securities investment platform focusing on the secondary market; Lingren fund completed the filing in August 2021 and is also the secondary market investment platform of Lingren.
In the third quarter of 2021, Liren investment bought Bgi Genomics Co.Ltd(300676) 4037100 shares, accounting for 0.98% of the total share capital. In the fourth quarter of 2021, Liren investment withdrew and Lingren fund entered, and the shares held remained unchanged. In the first quarter of this year, Lingren fund reduced its holdings and withdrew from the top ten circulating shareholders.
At the end of the first quarter of this year, the threshold for Bgi Genomics Co.Ltd(300676) top ten circulating shareholders was 1666700 shares, which means that Lingren fund reduced its holdings of at least 2370400 shares in the first quarter.
Meanwhile, 10000 industry preferred hybrid securities investment funds (LOF), China Merchants Guozheng biomedical index graded securities investment funds and Hong Kong Central Clearing Co., Ltd. (northbound capital) all chose to reduce Bgi Genomics Co.Ltd(300676) shares in the first quarter.
It is worth mentioning that Shenzhen and yugaolin equity investment partnership hold 9.95% of the total share capital of the company before issuance, which is the fourth largest shareholder and the largest external shareholder. After several reductions, its shareholding ratio has been reduced to 0.42%.
Huabao China Securities medical trading open-end index fund chose to copy the bottom in the first quarter and increase its position of Bgi Genomics Co.Ltd(300676) 239300 shares.
In the first quarter of this year, the number of Bgi Genomics Co.Ltd(300676) shareholders increased by 6778 to 83500, a record high. Institutions withdrew and small and medium-sized investors entered.
On July 14, Bgi Genomics Co.Ltd(300676) will welcome the “examination of lifting the ban”, and the company will lift the ban on 149 million shares, accounting for 35.94% of the total share capital.
