Market Review
Last week (from April 25, 2022 to May 1, 2022), the pharmaceutical and biological sector (Shenwan) fell 0.52%, the Shanghai Composite Index fell 0.89%, the Shenzhen Component Index fell 1.22%, the Shanghai and Shenzhen 300 rose 0.15%. The pharmaceutical and biological sector lost 0.67 percentage points to the Shanghai and Shenzhen 300 index, ranking ninth among the weekly rises and falls of Shenwan’s 31 primary sub industries.
This week’s view
On April 25, the general office of the State Council recently issued the “opinions on further releasing consumption potential and promoting sustainable recovery of consumption”, which put forward 20 key measures in five aspects. In terms of direction, we should promote the consumption of services such as health care and elderly care, continue to expand cultural and tourism consumption, vigorously develop green consumption, and fully tap the consumption potential of counties and townships. Under the background of the continuous improvement of the national epidemic situation, with the continuous recovery of the economy, we believe that the business environment of medical service companies will be further improved, and the business performance is expected to usher in restorative growth. Related objects: Aier Eye Hospital Group Co.Ltd(300015) , Topchoice Medical Co.Inc(600763) , Xi’An International Medical Investment Company Limited(000516) , etc.
The meeting of the Political Bureau of the CPC Central Committee on April 29 made it clear that the epidemic situation should be prevented, the economy should be stable and the development should be safe. According to the new characteristics of virus variation and transmission, the epidemic prevention and control and economic and social development should be effectively coordinated, the external prevention input and internal prevention rebound should be adhered to, the dynamic clearing should be adhered to, the people’s life safety and health should be protected to the greatest extent, and the impact of the epidemic on economic and social development should be minimized. China has a large population density and limited medical resources per capita. At present, the vaccination rate of the elderly is not very high. Among the major economies, China still adopts the strictest epidemic prevention and control policy. Under this background, covid-19 industrial chain company continues to benefit in the short term. Related objects: Shanghai Junshi Biosciences Co.Ltd(688180) , Guangzhou Wondfo Biotech Co.Ltd(300482) , Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) , etc.
Announcement of key companies
[ Aier Eye Hospital Group Co.Ltd(300015) ] in 2021, the company’s operating revenue was 15.001 billion yuan, a year-on-year increase of 25.93%; The net profit attributable to the parent company was 2.323 billion yuan, a year-on-year increase of 34.78; From January to March 2022, the operating revenue was 4.169 billion yuan, with a year-on-year increase of 18.72%; The net profit attributable to the parent company was 611 million yuan, a year-on-year increase of 26.15%. [ Yifeng Pharmacy Chain Co.Ltd(603939) ] in 2021, the company’s operating revenue was 15.326 billion yuan, a year-on-year increase of 16.60%; The net profit attributable to the parent company was 888 million yuan, a year-on-year increase of 19.42%; From January to March 2022, the operating revenue was 4.148 billion yuan, a year-on-year increase of 14.29%; The net profit attributable to the parent company was 272 million yuan, a year-on-year increase of 12.82%. [ Wuxi Apptec Co.Ltd(603259) ] from January to March 2022, the operating revenue was RMB 8.474 billion, with a year-on-year increase of 71.18%; The net profit attributable to the parent company was 1.643 billion yuan, a year-on-year increase of 9.54%; The basic earnings per share is 0.56 yuan.
Key industry news
[chemical pharmacy] on April 24, the State Food and Drug Administration issued the catalogue of the 52nd batch of generic reference preparations, adding 81 product specifications. [medical services] during the 14th Five Year Plan period, the state will accelerate the construction of key clinical specialties, support at least 150 provinces to build each year, and accumulate no less than 750 national key clinical specialty construction projects. [medical services] the national development and Reform Commission issued a notice on printing and distributing the work plan for orderly expansion of the construction of national regional medical centers. The plan proposes to basically complete the nationwide planning and layout by the end of 2022 and strive to cover all provinces of the country.
Risk tips
Policy disturbance; Recurrence and spread of the epidemic; Macroeconomic downturn, etc.
