Anlotinib sells for 4 billion yuan. How does China's biopharmaceuticals have a market value of 150 billion...

In the 2020 financial report of China Biopharmaceuticals, the oncology business has resisted the performance banner for the first time and has become the highest sales area.

01 For the first time, the oncology business "carried the banner"

On March 23, Sino Biopharmaceutical released its 2020 financial report.

The financial report shows that China Biopharma's annual revenue was 23.

The products of China Biopharmaceutical mainly involve liver disease, anti-tumor, orthopedics, anti-infection and respiratory system drugs, of which anti-tumor drugs are the most core field.

Source: Insight database

It is worth noting that, with the successive launch of anti-tumor products, the anti-tumor field will become the treatment field with the largest proportion of China's biopharmaceutical sales in 2020 for the first time.

From a longitudinal point of view, the former "ace" field of liver disease has been declining.

In terms of research and development, the research and development model of "independent research and development + external mergers and acquisitions + license introduction" used by established pharmaceutical companies is also a transformation method of China's biopharmaceutical industry.

In addition to Anlotinib, the pipeline of China Biopharmaceuticals also includes 31 new small molecule drugs.

In terms of investment, China Biopharmaceuticals is also similar to most established pharmaceutical companies.

It is reported that in December 2020, China Biopharmaceutical invested US$515 million in Kexing Zhongwei and obtained 15.

In 2020, CP Tianqing cooperated with Kangfang Biotechnology to develop and commercialize PD-1 Paimrizumab and obtained the FDA rapid review channel qualification.

On the same day the financial report was released, China Biopharmaceuticals also issued an M&A announcement.

In fact, it is not difficult to see that in the transformation of most established pharmaceutical companies, centralized procurement is a factor that cannot be underestimated.

02 Volume procurement forced transformation

At the end of 2018, the "4+7" centralized procurement was expanded in September 2019.

The failure of generic drugs and the dividends of innovative drugs, the development direction of China's biopharmaceuticals can be imagined.

The roller coaster-like stock price and market value changes also show the dividends that innovative drugs bring to China's biopharmaceuticals.

Source: Wind Stock

It can be seen from the above figure that in May 2018, China Biopharma's PE reached the highest value in history, and reached its peak again at the end of July 2020.
The former is that Anlotinib was approved for listing, and the latter may have come from the appointment of the new CEO.

Since 2015, Xie Bing has gradually retreated behind the scenes, and his children Xie Chengrun and Xie Qirun have gradually moved to the front of the stage.
In August 2020, Xie Bing, who founded and has been in charge of China Biopharmaceuticals for many years, announced his resignation.
Li Yi, an executive of Chase, served as CEO.

Behind the personnel changes often indicate the transformation of enterprises.
After Xie Qirun took over as chairman of China Biopharmaceuticals in 2015, revenue for the year was 14.
5 billion yuan and profits reached 1.
778 billion yuan, breaking past records.
Despite the decline in performance in 2020, all three indications of Anlotinib have entered medical insurance, and the fourth indication has been approved.
The tumor business has generally become the field with the highest sales of biopharmaceuticals in China.

In terms of licensing and investment, in addition to the PD-1 cooperation with Kangfang, the first signs of cooperation have been seen.
Recently, China Biopharmaceuticals has also introduced double antibodies and human blood whites from foreign companies such as Abpro and Ambrx.
Innovative pipelines such as protein appeared as investors in the prospectus of Biotech companies such as Yasheng and Rongchang.
At the end of 2020, a large sum of US$500 million was invested in Kexing Zhongwei's new crown inactivated vaccine, and it was clearly stated in the announcement.
It also designs other R&D activities of Kexing Zhongwei.

In the field of generic drugs, despite the great influence of centralized procurement, China Biopharmaceuticals did not give up the "first imitation", which is an area favored by both policy and capital.
According to the 2020 financial report, Chia Tai Tianqing has won the first copy of pomalidomide, which has global sales of more than 4 billion U.
S.
dollars.

In fact, just as the person in charge of a traditional generic drug company said before, “If you don’t innovate, you will die.
” The market value of China Biopharmaceuticals is 150 billion and the gap between Hengrui, Hausen and other established pharmaceutical companies that are already at the forefront of innovation.
As can be seen.
For established pharmaceutical companies with a strong capital background, independent R&D + external mergers and acquisitions + license introduction have become their usual path.
What will be the gains? Can the market value be comparable to Hausen or even Hengrui? Comparing the research and development progress of each company, the focus of the harvest period after the phase III clinical trial may only be known.