The new crown vaccine revenue is expected to be comparable to the annual revenue, and the expansion of the production and sales of independent products is a trend

On the evening of April 19, Zhifei Biological released its 2020 annual report and first quarter report.
The former achieved revenue of 15.
19 billion yuan (+43.
48%) and net profit exceeded 3.
3 billion yuan (+39.
51%); the latter achieved revenue of 39.
27.
RMB 938 million (+49.
04%) and net profit of RMB 938 million (+81.
69%)
.

But unexpectedly, Zhifei Bio, which has good performance, did not perform well on the stock market the day after the announcement.
It dropped sharply at the opening, with a drop of -3.
39% in just 15 minutes.
However, tens of billions of capital of companies with a market value of 300 billion were lost.
It only used 4 words to summarize "below expectations", but how much does Zhifei Biotech need to increase its performance to satisfy you?

       The contribution of agency products is still the mainstay

       According to the announcement, on December 22, 2020, the company and Merck & Co.
signed the "Supply, Distribution and Co-promotion Agreement", which mainly adjusted and renewed the basic purchase amount of five vaccine products that Merck & Co.
had obtained marketing approval in mainland China.
The signing of the agreement further clarifies the product procurement plan until the end of June 2023
.

       As of the end of the reporting period, 5 agent products have been issued, including Merck’s quadrivalent HPV vaccine, 9-valent HPV vaccine, pentavalent rotavirus, 23-valent pneumonia, and inactivated hepatitis A vaccine.
The cumulative number of HPV vaccines issued exceeds 25 million doses, and the introduction of imported products And promotion, greatly increased the company's revenue and profits
.

       In 2020, the agency vaccine revenue was 13.
955 billion yuan, and the net profit was 9.
189 billion yuan, an increase of 91.
86% and 86.
79% respectively
.

       In the first quarter of 2021, among Zhifei Bio-agent vaccines, Zhifei Bio-agents Merck’s four-valent HPV and nine-valent HPV were issued in batches of 1.
66 million (+47%) and 1.
21 million (+191%) respectively; Merck’s five-price agent 1.
01 million pieces of rotavirus vaccines were issued in batches
.

       Expansion of the scale of production and sales of independent products

       At the same time, as the foundation of today's listed pharmaceutical companies, although the agency products are the main source of income for Zhifei, its independent products are also valued by it.
Since its listing in 2010, the cumulative revenue of Zhifei's independent products has exceeded 7.
1 billion yuan
.

       At present, Zhifei Biological’s independent products include AC conjugate vaccine, ACYW135 meningococcal polysaccharide vaccine, Hib vaccine, etc.
It has two national high-tech enterprise research and production bases, Zhifei Green Bamboo and Zhifei Longkema.
As of the end of the reporting period, the company There are 414 R&D personnel, and the R&D investment in 2020 will be 480 million yuan, accounting for 40.
02% of the revenue of independent products, an increase of 85.
61% over the same period last year
.

       In 2020, Zhifei Biology has 27 research projects, and many products have made phased progress
.

       Zhifei has a total of 10 projects in the pre-clinical stage, most of which will be completed between 2021-2022.
By the end of 2020, Zhifei has obtained 27 invention patents.
The product pipeline structure is clear and layered, and it has become competitive in the industry.
Force product matrix
.

       Among the three products that have achieved initial results during the reporting period, the fastest progress is currently the diagnostic EC diagnostic reagent, which is already in the drug registration stage and is expected to be on the market soon
.

       New crown vaccine revenue is expected to match annual revenue

       At the beginning of 2020, Zhifei Biotech quickly signed a cooperative research and development agreement with the Institute of Microbiology of the Chinese Academy of Sciences.
The recombinant new coronavirus vaccine (CHO cell) jointly developed by the two parties started clinical trials in June 2020, and obtained the safety of phase I and II clinical trials in October.
The key data on immunogenicity and immunogenicity will be included in emergency use in March 2021, becoming the fifth domestically approved new crown vaccine
.

       According to preliminary estimates, the current annual production capacity of recombinant new coronavirus vaccines (CHO cells) has reached 300 million doses
.

       As to whether it can succeed in the end, it will be the test of time

       Editor in charge | Penicillin

       Disclaimer: The opinions of this article only represent the author, not the position of Yaozhi.