echemi logo
Product
  • Product
  • Supplier
  • Inquiry
    Home > Biochemistry News > Plant Extracts News > Guizhou bailing is hard to reach the "severe cold" of collagen market and turns to develop "Chinese Herbal Pieces"

    Guizhou bailing is hard to reach the "severe cold" of collagen market and turns to develop "Chinese Herbal Pieces"

    • Last Update: 2014-02-21
    • Source: Internet
    • Author: User
    Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com
    According to China report hall, after only one year's high-profile operation, Guizhou bailing could not reach the "cold" collagen market At the beginning of November, Guizhou bailing announced to give up the collagen project which was planned to be launched with a huge amount of money, and changed the original project content to "Chinese Herbal Pieces" In recent years, this listed company, whose main business is pharmaceutical, has made frequent moves in many fields, and has been questioned repeatedly about "not doing business" and "hype concept" This turn around "Chinese Herbal Pieces" is interpreted by many investors as "returning to the main business" and "abandoning the dark" At the same time, some analysts pointed out that Guizhou bailing's action does not mean that it will give up the concept hype it has always been good at, including "private hospital", "Miao medicine secret recipe" and "hepatitis B medicine", which may become its "story protagonist" in the future On November 15, the product of "love through" was not digested At the official flagship store of tmall, the reporter saw that the most popular collagen oral liquid among all products of "love through" was sold, showing that the cumulative sales volume in history was more than 600 pieces It is understood that this shop is Guizhou bailing collagen beverage brand "love through" online direct store Relevant Guizhou bailing Research Report 2013-2016 in-depth market research and investment strategy research analysis of Shijiazhuang sour milk industry in China 2013-2016 in-depth research report 2013-2016 in-depth Market Research Report of Shijiazhuang sour milk industry in 2013-2016 in-depth market research and investment strategy research analysis of Heilongjiang pure milk industry in 2013-2016 According to more analysis of the pharmaceutical industry, "love through" tmall has also participated in the double 11 hot promotion activities, and extended the date of "buy give" promotion to December 12 Even so, the monthly turnover record for its hottest items is 25 It should be noted that in the commodity review, many customers who recently purchased products expressed dissatisfaction with the production date of most products "It was actually produced in 2012." "The production date was last September, it's been a year." "Last year's things, can you still drink?" and the customer service repeatedly replied and explained: "the shelf life is 18 months", "the single batch production of products is more", "the new batch will be produced when the sales to the inventory line or the off shelf date is near." From the sales situation of tmall's store, it seems that the product of love through collagen has entered the stage of digesting inventory Whether the "new batch" which is called by the customer service of "love through" online store will be produced after the collagen project is abandoned may need a question mark now In the evening of November 1, Guizhou bailing announced that in order to meet the needs of strategic development, the collagen drink project is to be changed into the production line and warehouse construction project of Chinese herbal pieces The total investment will be adjusted from 395 million yuan to 131 million yuan The total investment includes 75.5121 million yuan of land prepayment for the original project investment and 55.3169 million yuan for the construction of Decoction Pieces Factory and warehouse As for the reasons for the change of the project, the announcement explained that the board of directors believed that "it is very difficult to achieve the expected income of the project after the completion of the original raised capital investment project." "The company still has deficiencies in the aspects of market promotion ability, marketing team construction, management experience, etc in the beverage industry, and needs to further strengthen the construction of all aspects of capacity The board of directors of the company decides to change the investment project of the raised funds in order to realize the optimal investment of the raised funds and the maximization of shareholders' interests " The announcement and the accompanying explanation mean that Guizhou bailing has admitted that it is difficult to make profits in the collagen project, and the high-profile collagen project in 2012 has been ended Changing the project into the project of Chinese herbal pieces is the action of returning to the main business In August 2012, Guizhou bailing announced to enter the beverage industry, using nearly 400 million yuan of over raised funds to build the collagen beverage project Jiang Wei, chairman of Guizhou bailing group, said at the time that Guizhou bailing group was aware of the leading role of collagen in the seventh wave of beverages and was determined to grasp the huge opportunity of "beautiful economy" He believes that collagen products will become the company's next important profit growth point in time The company forecasts that after the collagen beverage project is put into production, the annual sales revenue of the collagen beverage will reach 1.38 billion yuan, with a profit margin of 32.85% and a gross profit of 62.7% However, according to the data from Guizhou bailing, in 2012, the operating revenue of Guizhou bailing beverage and oral liquid was 8.45 million yuan, while in 2013, the report showed that the operating revenue of Guizhou bailing beverage and oral liquid was only 2.69 million yuan In contrast to "dismal" revenue, the company has invested a huge amount of marketing expenses for "love through" In 2012, Guizhou bailing's annual report showed that its sales expenses reached 354 million yuan, an increase of nearly 100 million yuan over the previous year The company explained that the increase in the cost was due to the large expenditure on the marketing and promotion of "love through" collagen drinks In addition to the collagen project, Guizhou bailing also extends its investment to many fields As early as before listing, Guizhou bailing has targeted the real estate industry At present, Jiang Wei, chairman of Guizhou bailing, holds 90% and 97% equity of Guizhou Jiaqian real estate and bailing real estate respectively, and invests 1 billion yuan to build a five-star Anshun Hilton Hotel in Anshun, Guizhou In December 2010, Guizhou bailing officially set foot in the field of Pseudostellaria planting, and signed an agreement with relevant parties, "will jointly build a demonstration base of ten thousand mu of Pseudostellaria." In November last year, Guizhou bailing announced that it plans to invest 1998.8 million yuan to build a demonstration project of bio organic fertilizer production by comprehensive utilization of traditional Chinese medicine residues After the project is put into operation for one year, it is estimated that the annual average sales revenue is 22.32 million yuan and the annual average profit is 5.5813 million yuan In order to ensure the implementation of the project, Guizhou bailing plans to invest 10 million yuan to acquire part of the equity of Guizhou jinshengfang fertilizer and increase the capital to hold 70% of its equity According to the analysis, Guizhou bailing's investment action of "spreading the net around" has caused certain pressure on its capital chain On November 12, Guizhou bailing released the announcement of equity pledge According to the announcement, Jiang Wei, the controlling shareholder of Guizhou bailing, carried out share pledge repurchase business with Haitong Securities for 20 million shares of the company held by him to provide pledge guarantee for financing of Haitong Securities Co., Ltd According to the review, the pledge shows that Guizhou bailing is facing a cash shortage According to the third quarterly report of Guizhou bailing, from January to September this year, the company realized a net profit of 154 million yuan, while the accounts receivable was 399 million yuan In the first three quarters, the net cash flow from operating activities was only 53.04 million yuan Analysts say that Guizhou bailing is not short of "stories" The collagen project that Guizhou bailing has made great strides in has failed, but some investors can still find reasons to be optimistic about the company As a cross-border "octopus" company, its "no business" strategic layout has brought the market not only collagen On October 17, Guizhou bailing announced that it would purchase 100% of the equity of Tianyuan hospital in Nanming District of Guiyang city with RMB 1.48 million, and use RMB 25 million over raised capital to increase the capital of the hospital to build it into a specialized Diabetes Hospital This was immediately interpreted by the market as a move to private hospitals, which immediately led to a sharp rise in the stock price on that day Before that, on October 14, the State Council just printed and distributed several opinions on promoting the development of health service industry On August 29, Guizhou bailing (002424) announced that Tangning Tongluo Capsule (tentative name) made according to the secret recipe of Miao medicine had a better hypoglycemic effect in animal experiments, and the company thought it was necessary to make further confirmation research Previously, Guizhou bailing's plan to buy the "secret recipe" with 100 million yuan was widely questioned It is believed that the world's medical industry has not yet overcome the problem to hype the stock price Recently, it was reported that the company's new anti HBV drug, tefentai tablet, had been approved for clinical evaluation In the face of this positive, industry insiders remind investors to calm down Some professionals point out that it will take at least four years for the clinical success to generate benefits In this process, failure may occur at any time to make this good void "So, compared to the real benefits, it's still the same thing." "But for Guizhou bailing, no matter what the final result is, it's enough to tell a story for several years," said one analyst
    This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.

    Contact Us

    The source of this page with content of products and services is from Internet, which doesn't represent ECHEMI's opinion. If you have any queries, please write to service@echemi.com. It will be replied within 5 days.

    Moreover, if you find any instances of plagiarism from the page, please send email to service@echemi.com with relevant evidence.