16 Biopharma Firms Release 2023 Earnings; Pien Tze Huang, Tonghua Dongbao, and Tiantan Biological Lead in Profit

　　【Pharmaceutical Network Industry DynamicsAs of February 21, 2024, 16 biopharmaceutical companies have disclosed their 2023 earnings reports. Among them, 14 companies achieved profitability, while 2 incurred losses. These 16 pharmaceutical companies are Zhangzhou Pientzehuang Pharmaceutical Co., Ltd., Tonghua Dongbao Pharmaceutical Co., Ltd., Beijing Tiantan Biological Products Corporation Limited, SHANGHAI MODERN PHARMACEUTICAL CO LTD, Shandong WIT DYNE HEALTH Co., Ltd., ZhuZhou QianJin Pharmaceutical Co., Ltd., Eyebright Medical, Amoy Diagnostics Co. LTD, Beijing Succeeder Technology Inc., Shanghai Bepharm Science&Technology Co.,Ltd, Suzhou Fushilai Pharmaceutical Co.,Ltd, Xiangyu Medical Co., Ltd., HOB Biotech Group Corp., Ltd., Zhongke Meiling Cryogenics Co., Ltd., SHOUYAO HOLDINGS, and InventisBio. Notably, Zhangzhou Pientzehuang Pharmaceutical Co., Ltd., Tonghua Dongbao Pharmaceutical Co., Ltd., and Beijing Tiantan Biological Products Corporation Limited reported net profits attributable to parent companies exceeding 1 billion yuan, ranking among the top performers in terms of financial results among the 16 biopharmaceutical companies that disclosed earnings reports.
 

According to the 2023 earnings快报 released by Zhangzhou Pientzehuang Pharmaceutical Co., Ltd., the company achieved operating revenue of 10.035 billion yuan during the reporting period, representing a year-on-year increase of 15.42%; the non-net profit attributable to母公司 shareholders was 2.845 billion yuan, marking a year-on-year increase of 14.89%.
 

Zhangzhou Pientzehuang Pharmaceutical Co., Ltd. stated in its earnings report that the company's operating profit increased by 14.01% year-on-year in 2023. The main reason was the sales growth of its core products, the Pientzehuang series and the Pientzehuang brand Angong Niuhuang Pills, which drove the increase in operating profit. This performance is basically in line with previous market expectations.
 

It is reported that in recent years, Zhangzhou Pientzehuang Pharmaceutical Co., Ltd. has implemented a flat channel management strategy, deepened direct supply chain cooperation, and formed full-category strategic partnerships with China's leading chains such as Yifeng and Laobaixing. This has enhanced terminal sales and service levels. Meanwhile, the company has actively developed online sales channels. Zhangzhou Pientzehuang stated that it will continue to focus on and proactively plan for market trends of major products or key medicinal materials, increasing strategic procurement reserves when appropriate to minimize costs, mitigate raw material supply risks, reasonably control expenses, and ensure the availability of raw materials.
 

Currently, Zhangzhou Pientzehuang Pharmaceutical Co., Ltd. has formed a multi-format agglomeration pattern in the health field. The company stated that it is focusing on building its core series of products and has successively achieved sales of over 100 million yuan for major products such as Angong Niuhuang Pills, Compound Pientzehuang Ganbao, and Compound Pientzehuang Lozenges. In the future, the company will continue to strengthen the sales of these major products while planning to cultivate other potential blockbuster products to expand its portfolio.
 

According to the 2023 annual earnings快报 released by Tonghua Dongbao Pharmaceutical Co., Ltd., the company reported operating revenue of 3.095 billion yuan during the reporting period, representing a year-on-year increase of 11.39%; net profit attributable to shareholders of the listed company was 1.178 billion yuan, reflecting a year-on-year decrease of 25.51%.
 

Tonghua Dongbao Pharmaceutical Co., Ltd. stated that the sales volume of its insulin product series has grown comprehensively, especially for insulin analog products, which achieved over 60% sales growth during the reporting period. This significantly offset the impact of price reductions following the implementation of the insulin centralized procurement and drove a strong year-on-year increase in revenue. During the reporting period, Tonghua Dongbao signed a strategic cooperation agreement with Hong Kong Jianyou, a wholly-owned subsidiary of Nanjing Jianyou Biochemical Pharmaceutical Co., Ltd., regarding three types of insulin injections (glargine, aspart, and lispro) for the U.S. market, and generated related technical service income, further boosting revenue growth.
 

Regarding the reasons for the year-on-year decline in net profit, Tonghua Dongbao Pharmaceutical Co., Ltd. stated that it was mainly due to the increase in investment income from the sale of part of its shares in Amoy Diagnostics Co., LTD. in the same period of 2022, which led to a significant increase in net profit in the same period of 2022, surpassing the net profit within the reporting period.
 

According to the 2023 earnings快报 released by Beijing Tiantan Biological Products Corporation Limited, the company achieved operating revenue of 5.182 billion yuan in 2023, representing a year-on-year increase of 21.59%; the net profit attributable to parent company was 1.103 billion yuan, increasing by 25.23% year-on-year. The company stated that this was mainly due to the continuous growth in sales revenue driven by increased product sales volume in 2023.
 

According to the analysis, among the 16 pharmaceutical companies mentioned above, 9 companies achieved positive net profit growth. They are Zhangzhou Pientzehuang Pharmaceutical Co., Ltd., Beijing Tiantan Biological Products Corporation Limited, SHANGHAI MODERN PHARMACEUTICAL CO LTD, Shandong WIT DYNE HEALTH Co., Ltd., ZhuZhou QianJin Pharmaceutical Co.,Ltd., Eyebright Medical, Succeeder, Sunnyou, and HOB Biotech Group Corp., Ltd. Among them, Sunnyou's net profit increased by 82.96% year-on-year to 230 million yuan; Eyebright Medical's net profit increased by 30.83% year-on-year to 304 million yuan.
 

In addition, according to the review, InventisBio and SHOUYAO HOLDINGS reported net losses attributable to shareholders of 289 million yuan and 184 million yuan respectively in 2023. Zhongke Meiling Cryogenics Co., Ltd., Suzhou Fushilai Pharmaceutical Co., Ltd., Tonghua Dongbao Pharmaceutical Co., Ltd., and Shanghai Bepharm Science&Technology Co.,Ltd. saw significant year-on-year declines in net profits attributable to shareholders in 2023, all decreasing by more than 20%.
 

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