On the evening of April 21, Chengdu Kanghua Biological Products Co.Ltd(300841) ( Chengdu Kanghua Biological Products Co.Ltd(300841) . SZ) disclosed the annual report of 2021. Financial data show that the company’s net profit (that is, the net profit attributable to shareholders of listed companies, the same below) doubled in 2021; The net profit after deducting non profits also increased by 37.80% year-on-year.
For the performance growth, according to the analysis of the Research Report of the securities company, the production of the second workshop of the company increased the production capacity of freeze-dried human rabies vaccine (human diploid cells), and the issuance of product batches improved in the second half of last year.
According to the annual report, last year, the company issued 4.795 million batches of freeze-dried human rabies vaccine (human diploid cells), an increase of 29.47% over the previous year.
In the fourth quarter of last year, the revenue and net profit deduction increased month on month
On the evening of April 21, Chengdu Kanghua Biological Products Co.Ltd(300841) released the annual report of 2021, which is mainly engaged in freeze-dried rabies vaccine for human use (human diploid cells). During the reporting period, Chengdu Kanghua Biological Products Co.Ltd(300841) achieved an operating revenue of about 1.292 billion yuan, a year-on-year increase of 24.44%; The net profit was 829 million yuan, a year-on-year increase of about 103.28%; The net profit after deducting non-profit was 555 million yuan, a year-on-year increase of 37.80%.
The reporter of the daily economic news noted that in the fourth quarter of last year, the company’s operating revenue and net profit after deducting non-profit increased significantly month on month. On a quarterly basis, Chengdu Kanghua Biological Products Co.Ltd(300841) achieved operating revenue of 237 million yuan, 323 million yuan, 228 million yuan and 504 million yuan respectively in the four quarters of last year; The net profit after deducting non profits was 99.2 million yuan, 144 million yuan, 99.932 million yuan and 212 million yuan respectively.
Southwest Securities Co.Ltd(600369) Du Xiangyang team pointed out in the research report that the rapid growth of revenue and profit in the fourth quarter of last year was mainly due to the completion and operation of Chengdu Kanghua Biological Products Co.Ltd(300841) workshop 2, an increase of 2 million design capacity, and the improvement of batch issuance in the second half of the year, resulting in rapid and large-scale performance.
In terms of product composition, freeze-dried human rabies vaccine (human diploid cells) still makes an important contribution to the company’s performance. During the year, 4.795 million pieces were approved and issued, with a year-on-year increase of 29.47%. Acyw135 meningococcal polysaccharide vaccine stock solution workshop is in the process of technical transformation, and the batch issuance volume decreased by 77.06% compared with the same period of last year.
Due to the growth of product sales, Chengdu Kanghua Biological Products Co.Ltd(300841) during the reporting period, the sales expenses increased by 11.06% year-on-year to 412 million yuan.
Public information shows that there are three kinds of rabies vaccines for human use: Vero cell rabies vaccine, hamster kidney cell rabies vaccine and human diploid rabies vaccine. Among them, the market share of Vero cell rabies vaccine is the highest, and the market share of human diploid rabies vaccine is about 5% Chengdu Kanghua Biological Products Co.Ltd(300841) of human diploid rabies vaccine was sold in 2014 and is still exclusive in China.
As the exclusive manufacturer of human diploid rabies vaccine, Chengdu Kanghua Biological Products Co.Ltd(300841) in the reporting period, the gross profit margin of this variety reached 93.62%. At the same time, the expansion project of human diploid rabies vaccine invested by the company’s IPO is expected to be put into operation from 2023 to 2024, increasing from 5 million units / year to 11 million units / year. The revenue of the above Southwest Securities Co.Ltd(600369) research report is expected to increase simultaneously.
While releasing the annual report, Chengdu Kanghua Biological Products Co.Ltd(300841) also released a quarterly report. In the first quarter of this year, the company achieved an operating revenue of 267 million yuan, a year-on-year increase of 12.5%; The net profit was 135 million yuan, a year-on-year increase of 34.6%. According to the analysis of Du Xiangyang’s team, the slowdown in the first quarter was due to the frequent sporadic epidemics in the country and the Limited Logistics in various places.
Share price limit on the day after performance release
Although the growth rate of human diploid rabies vaccine is fast, Chengdu Kanghua Biological Products Co.Ltd(300841) performance is highly dependent on a single product. In 2021, the company’s two major varieties of human diploid rabies vaccine and acyw135 meningococcal polysaccharide vaccine accounted for 97.85% and 2.14% of Chengdu Kanghua Biological Products Co.Ltd(300841) revenue respectively.
On the one hand, the rabies vaccine market is still dominated by Liaoning Chengda Co.Ltd(600739) at present; On the other hand, latecomers have also deployed human diploid rabies vaccine. In June 2021, Liaoning Chengda Co.Ltd(600739) its human diploid cell rabies vaccine entered phase III clinical trial. In November of the same year, the application for production registration of human diploid cell rabies vaccine under Shenzhen Kangtai Biological Products Co.Ltd(300601) was accepted.
Chengdu Kanghua Biological Products Co.Ltd(300841) mentioned in the annual report that at present, seven enterprises have submitted applications for clinical trials of human diploid cell rabies vaccine. If the products of potential competitors are sold on the market, it will have an adverse impact on the market share and sales price of the company’s products.
Chengdu Kanghua Biological Products Co.Ltd(300841) whether it can maintain sustained high growth of performance in the future remains to be tested.
The day after the annual report was released (April 22), Chengdu Kanghua Biological Products Co.Ltd(300841) plunged 20%, setting a new low for the year.
In terms of expanding performance growth points, Chengdu Kanghua Biological Products Co.Ltd(300841) has been laid out. During the reporting period, Chengdu Kanghua Biological Products Co.Ltd(300841) arranged 10 projects under research. However, the company’s annual report shows that many projects will apply for clinical trials from 2022 to 2023. In 2021, the company invested 788755 million yuan in R & D, with a year-on-year increase of 35.4%.
At the same time, the company established a subsidiary of animal protection to promote the development of veterinary drug business and increase the source of income of the company.
