Changjiang Commercial Daily News Changjiang Commercial Daily reporter Zhang Lu
With the increasing demand for traditional Chinese medicines, Zuoli Pharmaceuticals (300181.SZ) has seen a surge in performance.
On July 11, the semi-annual performance forecast released by Zhejiang Zuoli Pharmaceutical Co., Ltd. ("Zuoli Pharmaceutical") showed that the company expects to achieve a net profit of 133 million yuan to 137 million yuan in the first half of the year, a year-on-year increase of 53.65%- 58.27%.
Zuoli Pharmaceutical said that despite the impact of the epidemic, the company continued to strengthen market expansion based on the advantages of core products entering the National Essential Medicines List, and core products still achieved certain growth.
In order to increase the production capacity of core products, Zuoli Pharmaceutical released a fixed increase plan at the beginning of this year. On July 4, the company announced that the fixed increase has been accepted by the Shenzhen Stock Exchange, and the total amount of funds to be raised is not more than 910 million yuan, which will be used for intelligent traditional Chinese medicine. Production base construction and upgrade project, enterprise R&D center upgrade project, digital operation decision-making system upgrade project and supplementary working capital.
Strong growth in core products boosts performance
On July 11, Zuoli Pharmaceutical released an announcement on the pre-increase in the first half of 2022.According to the announcement, according to preliminary calculations by the financial department, it is expected that in the first half of 2022, the net profit attributable to shareholders of listed companies will be 133 million yuan to 137 million yuan, a year-on-year increase of 53.65% to 58.27%; , a year-on-year increase of 56.30%-61.78%.
As for the main reason for the pre-increase in performance in the first half of 2022, Zuoli Pharmaceutical said that despite the impact of the epidemic, the company continued to strengthen market expansion based on the advantage of its core products entering the National Essential Medicines List, and its core products still achieved certain growth.
It is understood that Zuoli Pharmaceutical is mainly engaged in the research and development, production and sales of medicinal fungi Wuling and Bailing series products, Lingze tablets, Chinese herbal decoction pieces and Chinese herbal formula granules.In recent years, the company has made use of the strategic advantages of the three major national essential medicines and the exclusive variety Linglianhua Granules, promoted the construction of the marketing system, strengthened the layout of Internet sales, and effectively promoted the online sales of products.
The data shows that in 2021, the company's Wuling series achieved revenue of 850 million yuan, a year-on-year increase of 40.22%; the 100-ring tablet series achieved revenue of 265 million yuan, a year-on-year increase of 24.28%; the traditional Chinese medicine slice series achieved revenue of 289 million yuan, a year-on-year increase of 24.28%. An increase of 25.53%.
With the continuous development of its main business, Zuoli Pharmaceutical has shown a high-speed growth.In 2021, the company will achieve a total operating income of 1.457 billion yuan, a year-on-year increase of 33.6%; a net profit attributable to the parent of 179 million yuan, a year-on-year increase of 102%.In the first quarter of this year, the company achieved a total operating income of 439 million yuan, a year-on-year increase of 29.18%; net profit attributable to the parent was 68.747 million yuan, a year-on-year increase of 57%.
The 910 million yuan fixed increase plan has been accepted
However, the Changjiang Commercial Daily reporter noticed that while the performance has increased significantly, the sales expenses of Zuoli Pharmaceutical are huge.In 2021, the company's sales expenses are 708 million yuan, a year-on-year increase of 36.88%; the management expenses in the same period are 85.76 million yuan, a year-on-year increase of 3.63%; and the research and development expenses are only 45.63 million yuan, a year-on-year increase of 50.17%.
It can be seen that compared with selling expenses and management expenses, the company's R&D investment is relatively small.From 2019 to 2021, its R&D investment amounted to 27.16 million yuan, 30.39 million yuan and 45.63 million yuan respectively, and its revenue accounted for 2.98%, 2.79% and 3.13% respectively.
Regardless of the scale of R&D investment or the proportion of R&D investment, Zuoli Pharmaceutical is not dominant compared with peer companies.According to the annual report data, from 2019 to 2021, among the listed Chinese medicine companies with R&D investment of over 100 million yuan, Kangyuan Pharmaceutical, Yiling Pharmaceutical, Tasly, China Resources Sanjiu and other companies have the highest R&D investment amount and proportion.Among them, Kangyuan Pharmaceutical has invested 465 million yuan, 395 million yuan and 501 million yuan in research and development in the past three years, and research and development investment accounted for more than 10% of its revenue.
However, Zuoli Pharmaceutical's R&D expenses increased by more than 50% last year.The company said that in the future, it will focus on Wuling series, 100-ring tablets, Chinese herbal decoction pieces and formula granules, vigorously expand and serve the grass-roots market, and strive to build Wuling series into 2 billion, 100-ring tablets into 1 billion, Chinese herbal decoction pieces and The formula granules are made into a large variety with a scale of 1 billion.
It is worth mentioning that in order to increase the production capacity of core products, Zuoli Pharmaceutical announced a fixed increase plan at the beginning of the year. On July 4, Zuoli Pharmaceutical announced that the fixed increase has been accepted by the Shenzhen Stock Exchange, and the total amount of funds to be raised will not exceed 910 million. Yuan is used for the construction and upgrading of intelligent traditional Chinese medicine production bases, the upgrading of enterprise R&D centers, the upgrading of digital operation decision-making systems, and the replenishment of working capital.
Industry insiders believe that the "14th Five-Year Plan" for the development of traditional Chinese medicine has clarified the future development path of traditional Chinese medicine. The traditional Chinese medicine industry will usher in a new round of development opportunities driven by favorable policies, and the scale effect of Zuoli Pharmaceutical's capacity expansion will follow. It is further reflected, the profit scale and profitability are expected to reach a new level.
