After an average rise of more than 200% last year, the company's share price was de-marketed after four years of unprofitable companies

It's been a year since the company opened in July 2019, and as of the close of trading on December 31st, only three companies had fallen below the offering price, but only two had a market capitalisation that rose from the first day of trading. Will the black swan come under the de-marketing system of unprofitable enterprises? In the last month of 2020, the four major domestic PD-1s entered the health insurance catalogue, and on the last day of 2020, China's new coronavirus vaccine was approved for sale free of charge for the whole people.
as the innovation highland of China's capital market, let's see how "one-and-a-half years old it" is? Stock prices of listed companies in the biopharmaceers and chemicals sectors: Source: Choice Data 01, an average increase of 236% Choice data shows that as of December 31, 2020, according to the Shenwan industry classification, there are 20 companies listed in the chemical and biological pharmaceutical sectors, with a total market value of 395 654 million yuan, of which 14 have a total market value of more than 10 billion yuan, of which Huaxi Bio, Junshi Bio and Consino ranked in the top three with 70.286 billion yuan, 64.675 billion yuan and 62.648 billion yuan, respectively.
market capitalization of most of the company's pharmaceutical companies is between 10 billion and 20 billion yuan, with only six below 10 billion yuan.
But compared with the first day of listing, 20 pharmaceutical companies do not seem optimistic, if you add up the total market value of 20 companies on the first day of listing, the result is 522.744 billion yuan, and as of the close of December 31, the total market value of the results are 395.654 billion yuan, a difference of 127.09 billion yuan.
alone, only Huaxi Bio and Boray Pharmaceuticals had positive growth in their total market value on the first day of listing, to 29.438 billion yuan and 6.228 billion yuan, respectively.
company with the largest decrease in total market value was Junshi Bio, with a total market value of 112.977 billion yuan on its first day of listing and a total market value of 64.675 billion yuan on December 31, a decrease of 48.302 billion yuan.
addition, five pharmaceutical companies have lost more than $10 billion in their total market value.
Then look at the ranking of the total market value, look at the total market value of these 20 pharmaceutical companies at the close on December 31st, the market value of 100 billion did not appear, only the above-mentioned top three A exceeded 50 billion market value, and on the first day of listing, only Junshi Bio and Consino, the only two "A-H" listed companies in the board exceeded 50 billion yuan, of which the total market value of Junshi Bio reached 112.977 billion yuan.
20 companies performed relatively well, with only three breaking through as of December 31 and the remaining 17 rising, averaging 236.2 per cent.
two companies outscaleed the average rise and fall, with the biggest gains coming from Tebao Bio, which rose as much as 313.83 per cent in a year from January 17 to December 31, 2020, followed by Boray Pharmaceuticals and Huaxi Bio, up 260.35 per cent and 206.4 per cent respectively, both of which were listed in November 2019.
there are three companies with broken share prices in 2020, of which Both Biotay and Frontier Bio have -U suffixes, which are unprofitable companies listed according to the fifth set of standards of the Company.
02, unprofitable enterprises have the risk of de-marketization From the above results, Huaxi Bio and Boray Pharmaceuticals both in terms of market value and share price performance is better.
Huaxi Bio, one of the few listed companies in China's medical and U.S. industries, reported revenue of 1,886 million yuan in 2019, up 49.28 percent from a year earlier.
's main business products are raw material products (including hyaluraluric acid raw materials and other bioactive substances), medical end products and functional skin care products, revenue of 760 million yuan, 489 million yuan and 634 million yuan, respectively.
third quarter, revenue was 1,596 million yuan, up 23.96 percent from a year earlier, according to the third-quarter report.
Huaxi Bio has been the leading domestic uric acid enterprises, in 2020 is 290 million yuan to buy hyalurinoic acid raw materials manufacturer Forst Bio, the annual production capacity increased by 10 billion tons to 50 billion tons.
2018, Huaxi Bio has occupied the leading position in the domestic Uric acid raw materials market, with a market share of 36%, well ahead of the second focus of the biological market share of 12%.
gradually towards the mature national collection to tell the industry, innovation and master the integration of raw materials preparation cost advantage is the direction of the development of pharmaceutical companies, Boray Pharmaceuticals is to master the cost advantage, 2019 financial results show that antifellar products revenue 2.0 Revenues of 300 million yuan, antiviral products of 0.5 billion yuan and immunization products of 0.42 billion yuan, respectively, increased by 6.25 percent, -6.37 percent and 40.92 percent year-on-year, respectively.
, Boray Pharmaceuticals also has 28 products in the study, of which 6 products have passed the review and approval or obtained the production approval stage.
to look at the fifth set of standard listed unprofitable companies in the board, 7 of the 20 pharmaceutical companies with suffixes -U, and the total market value of these 7 companies as of December 31st has fallen off the first day of listing Among them, the biggest difference is Junshi Bio, the market value of the board listed nearly 6 months, the market value has been reduced by nearly 50 billion, almost hit the "compromise", and the same as the "A-H" listed Concino, the market value has also been reduced by 6 billion yuan.
Despite the total market capitalisation, it is gratifying to note that only three of the 20 companies closed below the offering price on December 31st, but the board still depends on research and development.
If based on market capitalization/research and development expenses (total market capitalization as of December 31/in-report research and development expenses), the most prominent "innovation attribute" is Baotai, with a multiplied of 53.84, with Shenzhou in the top five Cells 68.6 times, Yuandong biological 86.77 times, Junshi biological 91.23 times, Sansheng Guojian 92.64 times, the top five suffix-U enterprises occupy three.
look at these 20 companies, despite a market capitalisation decline of hundreds of billions, but the share price performance has not yet broken, research and development investment is sufficient, or back to the old question, will the innovation bubble break? Will the black swan come? Take a look at the three "-U" companies that occupy the high ground for research and development.
First look at the 2020 mid-year report research and development costs of up to 700 million yuan of Junshi Biological, in the 2020 health insurance catalog negotiations, its PD-1 products successfully entered the health insurance catalog, and its new coronavirus and antibody JS016 has also entered the clinical phase.
Then look at the market value / research and development costs ranked first in the baiotai, Adamo single anti-bio-like drug Greli has been successfully commercialized, is the first listed approval of Adamo single anti-bio-similar drugs.
addition, as of the first half of 2020, there are 23 products in the study, of which 2 products have been submitted for market, 3 are in clinical phase III and 2 are in clinical phase II.
shenzhou cells also have 2 products have been listed for acceptance, 3 products into the clinical phase III, 1 product into the clinical phase II.
But it is always worth noting that the fifth set of standards of the Board is not a continuous "safe haven" for unprofitable enterprises, and the Board also provides a clear de-listing mechanism: for unprofitable enterprises, the Board requires listed enterprises in the most recent fiscal year audited before or after the net profit and loss of non-recurring profits and losses is negative, and the most recent fiscal year audited operating income of less than 100 million yuan, or the most recent fiscal year audited net assets of negative value, the implementation of the risk of withdrawal.
and given a three-year development period for research and development-oriented listed companies, requiring research and development-oriented listed companies to apply the above provisions from the fourth full fiscal year from the date of listing.
At the same time, taking into account the particularities of the listed companies in research and development, the board also requires that the main business, products or basic technology on which the listed companies fail or are prohibited from using, and no other business or products meet the fifth set of standards, the risk of de-marketing is implemented.
, the risk of de-listing remains if it is not profitable in the fourth year of listing, or if major product development fails.