In Aug. 2016, CSPC Pharmaceutical Group
Limited (CSPC Pharmaceutical, stock code: 01093) released its financial figures
for H1.
Source: Baidu
-
Total revenue: USD792.54 million (HKD6.15
billion), up 7.30% YoY (up 12.70% YoY on a constant currency basis)
-
Net profit: USD133.21 million (HKD1.03
billion), up 25.60% YoY (up 32.1% on a constant currency basis)
-
Earnings per share: USD0.02 (HKD0.17), up
25.60% YoY
* Exchange rate: USD1.00=HKD7.7548 on 27 Sept., 2016, sourced from the People’s
Bank of China. Results stated on a constant currency basis are calculated by
applying the average exchange rate of the same period in 2015.
- Vitamin C (VC)
Despite the intense industrial competition in H1 2016, CSPC Pharmaceutical
generated a revenue of USD87.56 million (HKD679.00 million) from VC
(categorized into the bulk drug business), up 11.30% YoY (17.00% YoY on a
constant currency basis).
“H1 2016 saw ongoing overcapacity and low price in the VC market. In this
context, we focused on market development and production technology upgrade,
thus achieving an increase in sales volume and a continued decrease in
production costs. As a result, the overall business performance improved over
the same period last year,” explained the company.
According to CCM’s price monitoring, the domestic VC price continued staying
record low from Jan. to June 2016, placing great business pressure on most
domestic producers. Yet, CSPC Pharmaceutical, as a leading VC producer in the
domestic market (30,000+ t/a), stood out with good performance.
In H2, the Chinese VC market is likely to recover, given the fact that some
producers suspended production due to the stringent environmental regulations,
possibly easing the current serious overcapacity. Therefore, the VC price may
rebound in the coming period, booting producers’ profitability.
- Innovative drugs
CSPC Pharmaceutical’s finished drug business also performed well in H1: revenue
reached USD564.81 million (HKD4.38 billion), up 15.30% YoY (21.20% YoY on a
constant currency basis).
In particular, its innovative drugs were a strong contributor: a revenue of
USD292.46 million (HKD2.27 billion), up 28.30% YoY (34.90% YoY on a constant
currency basis). Leading products included “NBP” (butylphthalide soft capsule),
“Oulaining” (oxiracetam capsule) and “Xuanning” (maleate levamlodipine,
available in dosage form of tablet and dispersible tablet).
“The innovative drug business has maintained strong growth in recent years,
with continuous expansion of market share and increasingly presence and
coverage in the public,” disclosed CSPC Pharmaceutical.
CSPC Pharmaceutical's revenue
by product, H1 2016
Product
|
Revenue,
USD
|
YoY
change
|
Finished
drugs
|
Innovative
drugs
|
292,438,717
|
+28.30%
|
Common
generic drugs
|
272,198,753
|
+3.90%
|
Bulk
drugs
|
Antibiotics
|
93,984,245
|
-25.20%
|
Vitamin
C
|
87,539,217
|
+11.30%
|
Caffeine
and others
|
46,155,570
|
+3.40%
|
Source: CSPC Pharmaceutical Group Limited
With the promulgation of new policies on
drug tender & procurement, medical reimbursement and drug approval, gradual
deepening of the medical reform has asserted high pressure on the entire
Chinese pharmaceutical industry. In this context, CSPC Pharmaceutical took
product-oriented measures to maximize the benefits with consideration of market
share and prices, and continued increasing its efforts in product promotion,
market development and sale channel building.
In the coming period, as drug tenders in
every province and city are to be completed progressively, CSPC Pharmaceutical
will strive to ensure that its innovative drug products can win the tenders at
reasonable prices in order to expand market coverage and drive rapid and
sustainable growth. Moreover, the group will also further improve its expert
network and strengthen academic-based promotion so as to consolidate the market
position of its innovative drugs.
This article comes from Vitamin China E-News 1609, CCM
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Tag: vitamin