IMS Health China county hospital medical market overview (October 2015)

Source: according to statistics of overall market performance of Hermes on December 24, 2015, based on 12-month mat (rolling annual data), in October 2015, drug sales of county hospitals in China accounted for 26% of drug sales of the whole hospital channel (data source: IMS China Hospital Drug Statistics report, > = 100 beds; IMS According to the drug statistics report of China's county hospitals, > = 100 beds), the YTD (January October 2015) growth rate is 5%, basically equal to the growth rate of the whole hospital channel market Market performance of multinational enterprises and domestic enterprises domestic enterprises are the leading players in the county hospital market, accounting for 86% of the market share, while the growth rate of multinational enterprises in the market is relatively high, reaching 10.8% 29% and 15% of the sales of domestic enterprises and multinational enterprises in the hospital channel are from the county hospital market From the perspective of enterprise ranking, the top 10 enterprises are mainly domestic enterprises, while transnational enterprises only occupy 3 seats, but all of them show a high growth rate The market performance of key treatment areas and main products from the perspective of each major treatment area, the first and second in county hospitals are proprietary Chinese medicine and antibacterial drugs, which is consistent with the situation of the whole hospital channel In terms of sales volume, the sales volume of the two products in the county hospital channel accounts for 30% and 32% of the whole hospital channel, which is higher than the market average In addition, the growth rate of diabetes and hypertension drugs in the county hospital market is significantly higher than that in the whole hospital market, which has great market potential From the perspective of products, the products of domestic enterprises, especially the proprietary Chinese medicine products, occupy the main market share of county hospitals Among the top 10 products in sales, only Sanofi's Plavix is the multinational enterprise, ranking sixth Although AstraZeneca's premier and Pfizer's Lipitor are not in the top 10, they are outstanding in the county hospital market, with growth rates of 38.1% and 35.8% respectively Market performance of major provinces in terms of hospital channels in six major provinces, more than 30% of sales in Zhejiang, Shandong and Henan are from county hospitals, 29% in Jiangsu and Sichuan, and relatively low in Guangdong, with 14% from county hospitals The distribution of local enterprises and multinational enterprises in the county markets of major provinces is different (as shown in the figure below) Multinational enterprises are outstanding in the county hospital market of Zhejiang Province, with 7 in the top 10, and the top 10 in other provinces are mainly local enterprises.