Forbes is the most innovative company in the world. It is the only Chinese pharmaceutical company! Why?

In addition to Hengrui pharmaceutical which has been listed in the list for years, who will be the next innovative Chinese pharmaceutical enterprise? On May 28, 2018, the world's 100 most innovative companies was released by Forbes, a famous business magazine This is the eighth year in a row for Hengrui pharmaceutical There are nine biomedical companies in the world, and only one of them is Hengrui pharmaceutical In fact, it has always been a difficult thing to measure an enterprise's innovation ability The difficulty lies in that it is difficult to determine it only by a single factor index The basis for Forbes to make this list is to define the "innovation premium" of each enterprise, that is, the difference between the market value of the company and the net present value of the cash flow of the existing business (based on the own algorithm of Credit Suisse hlot) In short, Forbes uses this indicator to measure which companies are most capable of turning investor confidence in their creativity and innovation into capital This kind of algorithm is doomed to make the listed companies not be unknown, because it requires the listed companies to have at least seven years of financial data, and the market value reaches 10 billion dollars In 2017, in the seventh list release, Hengrui pharmaceutical ranked 82nd In the latest list, Hengrui pharmaceutical ranked 64th At the same time, the Chinese pharmaceutical companies on the list in 2017 are also Shanghai Laishi, which ranks fourth in the list But perhaps because Shanghai Laishi has been suspended for a long time in the past year, it has disappeared from this year's list Why Hengrui? With the great change of domestic drug policy gradually implemented, encouraging drug innovation has been raised to an unprecedented level This is a basic context for us to discuss the innovation, transformation and upgrading of Chinese pharmaceutical enterprises For Hengrui, its ability to join the list with internationally recognized innovative pharmaceutical companies like regeneron and Incyte, as well as well as well-known star companies like Amazon and Tesla, is undoubtedly a great recognition of its innovation ability from the outside world In the ranking of the most innovative enterprises of Forbes, Hengrui pharmaceutical's innovation premium is 41.12%, while among the nine pharmaceutical enterprises that have been shortlisted in the world, Incyte innovation premium in the United States is the first, accounting for 70.59%, while the renewable yuan is 61.11% Photo source: according to the ranking standard of Forbes, the more able investors can turn their creative and innovative information into capital, the more innovative companies are For pharmaceutical enterprises, it measures two aspects of performance under the current market valuation: one is the competitive position and market performance of existing products in the market; the other is the reserve of products under research and the potential market space in the future As the only Chinese pharmaceutical company in the list, Hengrui pharmaceutical has its own characteristics in the performance of existing products First of all, it is reflected in the reserve of its heavyweight products According to the data, since the promulgation and implementation of the measures for the administration of drug registration in 2007, China has approved more than 3000 document numbers in succession, but only 11 generic products have been approved for class 1.1 new molecular innovative drugs in China, with a total of 39 approvals, including two class 1.1 new drugs approved for Hengrui medicine, and since then only two generic names of innovative drugs have been approved for Hengrui medicine Approved company In terms of specific product pipeline, Hengrui has a deep R & D product line layout in anti-tumor, diabetes, autoimmune diseases, cardiovascular and cerebrovascular diseases and fine and anesthetics products, and the market growth in relevant fields has been good in recent years Taking 2017 as an example, its annual report information shows that in 2017, Hengrui's tumor drug revenue was 5.722 billion yuan, an increase of 18.47% year on year, especially in the growth of classic varieties such as docetaxel and oxaliplatin, an increase of 23.18% and 19.3% year on year respectively The revenue of anesthetics was 3.6 billion yuan, a year-on-year increase of 19.71% Among them, atracurium CIS benzenesulfonate obtained anda approval in the United States, with a year-on-year increase of 14.93% In the past year, apatinib has achieved ideal market performance, with its sales increasing by 73.55% year on year Apatinib is a class 1.1 new drug approved by Hengrui medicine in December 2014 Although there are many kinds of tinib drugs on the Chinese market, only apatinib of Hengrui aims at gastric cancer, a multiple cancer in Chinese patients, so the market potential has been fully reflected In terms of new drugs under research, Hengrui's current reserve products are also very clear In the field of small molecule medicine, Hengrui has already arranged a new tumor drug pyrrolidine, which is a targeted drug for EGFR and HER2, used to treat breast cancer This is one of the earlier R & D varieties of Hengrui According to the moneta study, the peak sales revenue will be around 5.88 billion yuan based on the patients with new breast cancer in 2015 In the field of macromolecular drugs, the PD-1 monoclonal antibody shr-1210 of Hengrui has been one of the most rapidly developed products in China According to the drug clinical trial registration and information publicity platform, at present, there are only three enterprises with PD-1 monoclonal antibody in phase III and later, among which the shr-1210 of Hengrui medicine is the one with the most application indications, followed by Cinda biology and Baiji Shenzhou Xinda biology has applied for production, and the third phase of clinical application of Hengrui medicine has ended According to the calculation of Monita research, due to its wide indications and high prices of similar drugs, the shr-1210 of Hengrui medicine may become the product with the highest sales revenue since the establishment of hengri, with a peak sales revenue of about 15 billion yuan In addition, as an important supplement, feigeristine, albumin paclitaxel, bevacizumab, etc are also the heavyweight products of Hengrui in the field of tumor It is reported that thiopefigeristine injection has been approved for market, and its future sales space is about 2 billion yuan Another embodiment of Hengrui pharmaceutical's innovation lies in that it has successfully authorized the products of overseas pharmaceutical companies with independently developed products at the current stage This is not easy at the moment when the main mode is license in For any company, authorizing innovative drug products in overseas market to obtain milestone payment and sales share is good on the one hand, and on the other hand, the R & D Progress of the authorized company will also be beneficial to the domestic R & D, with one stroke Hengrui foreign product authorization list Source: according to the annual report of Monita research Hengrui pharmaceutical, in 2017, its investment in R & D funds has reached 1.759 billion yuan, an increase of 48.53% over the same period of last year, and the proportion of R & D investment in sales revenue has reached 12.71% This is already a very considerable proportion in the domestic pharmaceutical enterprises From the perspective of future trends, 17 innovative drugs are under clinical development, basically forming a benign development trend of applying for clinical innovative drugs every year and listing innovative drugs every 2-3 years 2 Three ways of innovation, transformation and upgrading What are the three ways of innovation, transformation and upgrading for Chinese pharmaceutical enterprises? The Research Report of Societe Generale Securities, where is the road under the change, has given a preliminary answer In fact, what Hengrui pharmaceutical has taken is a typical path from large generic pharmaceutical enterprises to innovation and upgrading There are many such companies in the international market, such as Takeda pharmaceutical in Japan, Teva in Israel, etc these pharmaceutical companies started from generic drugs or APIs, upgraded and transformed into innovative pharmaceutical companies through independent R & D or M & A, then internationalized, and finally became big pharma In addition to Hengrui pharmaceutical, there are Kanghong pharmaceutical, LVYE pharmaceutical and Fosun Pharmaceutical of the same type in China The growth path of Kanghong pharmaceutical industry is basically the same, that is, from generic drugs to innovative Chinese patent drugs, to improved dosage forms and biological innovative drugs In the early years, Kanghong pharmaceutical industry had a product line covering central nervous system, digestive system, ophthalmology and other fields, while the emergence of conbercept has brought Kanghong pharmaceutical industry into a new historical stage, especially at present it is expanding its international market, and its phase III clinical practice in the United States is also in progress After that, Kanghong pharmaceutical also completed the extension of its product line through a series of acquisitions, such as the acquisition of Israel ioptima Ltd The same is true of green leaf pharmaceutical At present, green leaf pharmaceutical focuses on the research, development, production and marketing of innovative drugs, among which more than 30 listed products cover the central nervous system, anti-tumor, cardiovascular, digestive and metabolic treatment fields Its early products, such as Xuezhikang Capsule and Lipitor, laid an early foundation for its development Later, the green leaves concentrated their efforts in the new drug delivery systems, such as microspheres, liposomes, transdermal drug delivery, subcutaneous implantation, and kept at the international advanced level According to the latest news, green leaf pharmaceutical has also cooperated with foreign companies to start the layout of car-t therapy Another model is a small biotech pharmaceutical enterprise driven by R & D China now has a large number of such enterprises, such as Baiji Shenzhou, Hehuang pharmaceutical, Xinda biology, etc On January 24, 2011, Baiji Shenzhou was founded jointly by Dr Wang Xiaodong, director of Beijing Institute of life sciences, academician of the American Academy of Sciences, and Ou Lei Qiang, founder of BioDuro technology company It focuses on the development of targeted and immunotumor treatment The product line under research includes new small molecule oral targeted and monoclonal antibody anti-cancer drugs In addition to the star founder's aura, Baiji Shenzhou has really attracted the attention of the industry in the past year It has announced a strategic cooperation with pharmaceutical giant Xinji to jointly develop and commercialize Baiji Shenzhou's PD-1 antibody bgb-a317 for the treatment of solid tumors The total value of the deal is nearly $1.4 billion In addition, Baiji Shenzhou will take over the operation of Xinji company in China and have the exclusive authorization of products approved by Xinji company in China The third way is to merge and integrate the start-up biotech companies or the listed companies of license in new drug varieties into the industry, which are represented by Yifan pharmaceutical, xinlitai, hisic, Enhua pharmaceutical, etc License in can not only help enterprises to better improve their professional R & D strength and reduce a series of risks brought by innovative drug R & D, but also play a very positive role in the future development and performance improvement of the company, especially for a part of large and medium-sized pharmaceutical enterprises with academic promotion ability and a wide range of sales teams in China, through product license in, it will also become a rapid acquisition The way to select innovative drugs Some license in cases of Chinese Pharmaceutical Enterprises