Pharmaceutical Biology: More than 70% of the company's annual report predicts that rigid demand will help the industry grow

have disclosed the results of the annual report of the company, the pharmaceutical and biological industry is relatively high. Statistics show that 94 companies in the industry have disclosed earnings forecasts, of which 71 are expected to be happy, accounting for 75.53 percent. The analysis points out that the expectation of policy uncertainty in the pharmaceutical industry has been fully interpreted for the market, but the demand brought about by the aging of the population and the upgrading of diagnosis and treatment is rigid, and the overall pharmaceutical industry will continue to grow.pharmaceutical and biological industry 94 earnings forecasts more than 76% of companies are expected
as the 2018 annual report appointment disclosure time approaches, the number of companies reporting results continues to increase. According to statistics, as of January 8, a total of 1,254 companies in Shanghai and Shenzhen disclosed earnings forecasts, of which 815 were happy, accounting for 64.99 percent.
in the pharmaceutical and biological sector, which performed well in the first half of last year, 93 companies issued earnings forecasts, 71 of which were expected, accounting for 75.53 percent, well above the overall earnings forecast of 1,254 companies. The specific distribution of 71 pre-happy companies is "pre-increase" 21, "slight increase" 39, "continued profit" 8, "turn a loss" 3.
In terms of pre-growth, the top annual growth forecasts of the six companies, Including Heppry, Zhifei Bio, ST Hai investment, Jiaying Pharmaceuticals, Jiuan Medical, Xinhe Cheng, reached or exceeded 100% in the annual report. The highest pre-growth rates reached 398.74 per cent, 252.00 per cent, 121.65 per cent, 120.95 per cent, 112.06 per cent and 100.00 per cent, respectively.
In addition, Haixiang Pharmaceuticals, Colum Pharmaceuticals, ST Guanfu, Dongcheng Pharmaceuticals, Jindawei, Tagg Pharmaceuticals, Special One Pharmaceuticals, Essence Pharmaceuticals, Xianxian Pharmaceuticals, Zhenghai Bio, Yong'an Pharmaceuticals, Myer Medical, Pro Pharmaceuticals, American Health and other 19 companies reported the highest annual growth rate of more than 50%.
companies, "pre-reduced" 7, "slightly reduced" 6, "continued losses" 1, "first loss" 4, need to be alert to performance risks. Five other companies said they were "uncertain." Among the companies expected to see a sharp decline in their annual results, Undeformed Pharmaceuticals expects 2018 net profit of RMB69 million to RMB61 million (-117.76% to -115.71%), making it the "pre-reduced king".
In terms of realizing the profit amount, the 10 companies of Meirui Medical, Xin and Cheng, Xinlitai, Zhifei Bio, Colum Pharmaceuticals, Ruikang Pharmaceuticals, Lizhu Group, Yifan Pharmaceuticals, Hualan Bio and Yan'an Bikang are expected to make net profits of more than 1 billion yuan in 2018. Among them, the three companies, Meirui Medical, Xin hecheng and Xinlitai, are expected to earn up to 4,060 million yuan, 3,409 million yuan and 1,597 million yuan.
of the companies that are expected to lose money, four "first loss" companies have given the amount of potential losses, Hengkang Medical is expected to lose the largest amount, the company expects 2018 net profit of -1.4 billion yuan to -1 billion yuan; 1.2 billion yuan to -961 million yuan; Undelianced pharmaceutical company's expected net profit of 69 million yuan to -61 million yuan; and Shuangcheng Pharmaceutical's net profit of 75 million yuan to -60 million yuan.more than 70% of the company's earnings forecast "double increase
Statistics show that 52 of the 67 companies with promising results and data are expected to achieve a year-on-year and quarter-on-quarter "double increase", accounting for 77.61 per cent. Of these, 22 companies expect annual net profit to reach or exceed 30% month-on-month.
Among them, the 10 companies of ST Hai investment, Jiaying Pharmaceuticals, Jiuan Medical, Xinhecheng, ST Guanfu, Tiger Pharmaceuticals, Essence Pharmaceuticals, American Health, Sunflower Pharmaceuticals and Foci Pharmaceuticals are expected to achieve a net profit growth rate of 50% or more on a month-on-month basis. The three companies, ST Hai investment, Jiaying Pharmaceuticals and Jiuan Medical, are expected to achieve net profit growth of more than 100% month-on-month.
month-on-month growth, 31 companies reported net profit growth of more than 50 per cent month-on-month. Among them, Shangrong Medical (002551), sST Haitou, Jiu'an Medical, Jiaying Pharmaceuticals, Sunflower Pharmaceuticals, Foci Pharmaceuticals, Minder Bio, Yan'an Bikang, Qi Zhengsai Pharmaceuticals, Essence Pharmaceuticals, Hansen Pharmaceuticals, Asia Pacific Pharmaceuticals, Ha Sanlian, Guizhou Bailing, Zhongsheng Pharmaceuticals, Changjiang Runfa, Guilin Sanjin, these 16 companies increased by more than 100% month-on-month.
It is worth mentioning that according to Henyep Securities, the operating income of all listed companies in the pharmaceutical sector in the first three quarters of 2018 increased by 21.48 percent year-on-year, while the net profit attributable to shareholders of listed companies increased by 23.20 percent year-on-year and the net profit attributable to non-profit increased by 22.10 percent year-on-year. However, the overall performance of listed companies showed a quarter-by-quarter slowdown. Henyep Securities believes that the pharmaceutical industry in the post-medical reform dividend era will maintain a relatively stable growth rate, and the pharmaceutical industry has never lack of new products, new technologies, new business models, the industry's long-term prospects are better, but the trend of differentiation between different companies will gradually become apparent.
China Merchants Securities pointed out that the third quarter pharmaceutical sector revenue and non-net profit growth slowed from the first half of the year, mainly related to policy adjustments and seasonal factors. The sub-sectors and individual stocks are clearly divided, among which the outstanding white horse, brand OTC, biological products in the vaccine sector, API, medical services and CRO and other sub-sectors of the performance is particularly outstanding. In recent years, the negative policy impact of the industry has bottomed out, and policies such as encouraging innovative pharmaceuticals, pharmaceutical division and medical insurance negotiations have promoted the growth of in-house demand in the overlay pharmaceutical industry, so that the industry returns to a benign growth track.institutions are optimistic about the performance of the pharmaceutical sector this year
by the long-term biological "fake vaccine" incident, the industry burst out a number of "black swans", with volume procurement exceeded expectations and other shocks, was once regarded as one of the best safe-haven assets of pharmaceutical bio-stocks, since the second half of last year, the adjustment, the decline continues. However, institutions remain generally bullish on the sector's performance in 2019.
analysis, the pharmaceutical industry policy uncertainty expectations have been fully interpreted for the market, but the aging of the population and the upgrading of medical treatment brought about by the demand is rigid, the overall pharmaceutical industry will continue to grow. Societe Generale said that the current valuation of the pharmaceutical sector and the end of 2011 and early 2012 are similar, if the EPS adjustment is not taken into account, the valuation of pharmaceutical companies and overseas low-growth pharmaceutical companies have been consistent, the market panic has been reflected more fully.
" short-term policy shock is mainly to repair the industry's original unreasonable excess income, in this round of structural adjustment, although some enterprises were affected, but also gave birth to major opportunities. In the future, the pharmaceutical industry will return to the essence, research and development innovation, consumption upgrading, manufacturing upgrading has become the main driving force of the pharmaceutical industry, we can still select a number of high-quality targets. And after a round of valuation kill, is expected to usher in the layout of high-quality target opportunity period. "China-Thai Securities 2019 pharmaceutical bio-investment strategy pointed out.
Galaxy Securities said that the industry to maintain long-term optimism, China is currently in the process of population aging accelerated (statistics bureau data show that 17 years of 65 years of age and above the proportion of the population 11.4%, up 2.0pp from five years ago, up 3.3pp from 10 years ago), industry concentration and international development (the Drug Administration issued a message to encourage high-quality development, support enterprise mergers and reorganization, joint development) process, while the sector valuation and premium rate are lower than the historical average.