Sprint 500 billion! National Medicine Holdings, Chinese Medicine... 6 listed companies integrated layout exposure.

On September 8th, the National Congress for the Recognition of the Fight against the New Crown Pneumonia Epidemic was held in the Great Hall of the People in Beijing, and the National Pharmaceutical Group system had five advanced individuals fighting the epidemic and two advanced collectives fighting the epidemic on the list (see the end of the article for details).
in recent years, China National Pharmaceutical Group's revenue has reached a new high, with revenues of more than 300 billion yuan in 2016 and nearly 500 billion yuan in 2019.
, the performance of listed companies in the first half of 2020 was fully disclosed, the performance of China National Pharmaceutical Group's State Pharmaceutical Holdings, Chinese Traditional Medicine, National Pharmaceuticals, National Pharmaceuticals, Hyundai Pharmaceuticals, Tiantan Bio 6 listed companies also surfaced.
faced with this year's sudden outbreak, how do they deal with the impact, what is the future integration layout? State Pharmaceutical Group's organizational structure Of the six listed companies in the first half of 2020 (units: 100 million yuan) State Pharmaceutical Holdings: distribution leading advantages consolidation, retail online and offline coordinated development, pharmaceutical joint advantages show the state drug holdings revenue situation (units: billion yuan) in the first half of the year, China Pharmaceutical Holdings sales revenue reached 203.765 billion yuan, up 1.04% YoY.
Among them, the pharmaceutical distribution business was relatively affected by the outbreak, with revenue down 4.38% YoY, and the pharmaceutical retail and medical device sectors benefited from the Group's strategic layout and industry demand growth, up 24.59% and 23.59% YoY, respectively, showing a further diversification trend.
said that at the beginning of this year, the new crown outbreak on the Group's production and operation of a more serious impact, the growth rate of revenue and profits of various business sectors showed a certain degree of decline.
with the strict prevention and control policies adopted by the state has achieved phased results, the daily medical and treatment services of domestic medical institutions began to recover.
the same time, the Group has developed a number of control measures to accelerate the development of business, business conditions continue to improve, the overall business performance in the second quarter from the low point of the first quarter significantly recovered.
pharmaceutical distribution: distribution leader advantage is solid, policy impact continues to deepen.
China Pharmaceutical Holdings strives to overcome the impact of the epidemic, constantly tapping the competitive advantage of the pharmaceutical distribution network, with the integrated pharmaceutical supply chain and control capabilities that have been formed, while cooperating with local governments to complete anti-epidemic-related work, to promote the continued recovery of drug distribution business.
first half of this year, the pharmaceutical distribution business revenue of 157.495 billion yuan, down 4.38 percent year-on-year, accounting for 75.91 percent of total revenue.
National Pharmaceutical Holdings in the continuous improvement of service quality, play the existing channels and network advantages of drugs at the same time, focus on volume procurement, national health insurance negotiations, medical insurance catalog adjustment of the corresponding varieties, to undertake small and medium-sized distributors related business, promote the distribution channel sinking, to achieve sustained market share growth.
the results of the first two rounds of volume procurement, the Group's distribution share in the provinces and the variety of exclusive distribution rights have increased significantly.
Group also actively responds to the changes in the industry caused by supplier strategy and business structure adjustment, in-depth mining of unique network and service advantages, and constantly with volume procurement as the core, to promote the supply chain with higher profitability value-added business development, accelerate the Group's transformation and upgrading to service providers with comprehensive promotion capabilities, thereby further consolidating the industry's leading position.
In addition, in order to adapt to the structural changes in the market, China National Pharmaceutical Holdings, by virtue of its integrated operation and business resources, actively strengthen the coverage of primary health care institutions, focus on promoting the county medical association, medical community business pilot, explore the primary medical institutions, private hospitals and other customer groups of customized service strategies, improve the service capacity of medical and health institutions at all levels.
, we will continue to expand the distribution network of community hospitals and enhance the core competitive advantage of the drug distribution business under the premise of maintaining the share of existing grade medical institutions.
In the first half of the year, the Group basically resumed its drug direct sales business in levels II and III hospitals, while direct sales of hospital institutions in non-provincial capital cities bucked the trend, and business coverage in the lower tier markets continued to increase, which contributed significantly to maintaining the stability of the Group's overall revenue.
pharmaceutical retail: retail business growth, online and offline collaborative development.
epidemic has accelerated the policy of drug division and prescription outflow, increased demand for medical insurance co-ordination and out-of-hospital drug purchase, and ushered in new development opportunities and changes in the retail industry.
National Pharmaceutical Holdings by virtue of batch zero integration and industry resources advantages, with the local government and medical institutions to carry out in-depth cooperation, docking the Internet medical platform, to undertake the demand for online prescription flow, to promote a unique advantage of the serious chronic disease pharmacy, DTP pharmacy, medical insurance co-ordination pharmacy and other professional pharmacies, such as the core industry continued to develop.
Group's specialized pharmacies grew from 1,183 at the end of 2019 to 1,209, and the number of pharmacies at the University of China increased from 5,021 at the end of 2019 to 5,838.
addition, we are expanding our retail network in an orderly manner through endoensuring growth and extended mergers and acquisitions, while improving the operational efficiency of our retail pharmacies.
Group focuses on promoting the interface with the online platform business of third-party medical institutions, promoting the integration of online and offline business, working with the Group's supply chain system, and comprehensively strengthening business advantages.
first half of this year, China National Pharmaceutical Holdings' retail business revenue reached 11.016 billion yuan, up 24.59 percent year-on-year.
: drug and equipment linkage advantages appear, value-added services accelerated.
the outbreak has had a significant impact on the product structure of the medical device business, and the demand for ventilators, virus detection reagents and protective supplies related to epidemic prevention and control has increased significantly, but sales of supplies and equipment for the general medical business have slowed.
first half of this year, the equipment business achieved sales revenue of 35.873 billion yuan, an increase of 23.59 percent year-on-year.
From the industry as a whole, the impact of the two-vote system of equipment, high-value consumables belt procurement and other policies have emerged, making device distribution face similar structural adjustments to drug distribution, product structure and market share further concentrated.
Group makes full use of the competitive advantage of pharmaceutical linkage to provide accurate marketing network and business coverage for upstream customers' business development, to assist in the preparation of volume procurement, and to increase upstream customer stickyness.
At the same time, during the epidemic actively expand the grass-roots market, continue to promote the medical association, medical community supplies centralized distribution benchmark model, hospital logistics and other value-added services of rapid development, to achieve network coverage and business ratio of high-speed growth, in helping medical institutions to strengthen the epidemic control capacity at the same time, effectively improve the fine management capacity of the business, build the integrated hospital service advantages, to promote the steady development of medical device business lay the foundation.
China Pharmaceutical Holdings said that 2020 is the group's "14th Five-Year Plan" planning year, will continue to play the strategic guidance of the board of directors, closely around the overall positioning, optimize the implementation path, actively explore the commercial flow as the core of supply chain service innovation, through the development strategy of various business sectors, play synergies, strengthen diversified business layout, to achieve long-term high-quality growth of the business as a whole.
will continue to consolidate its position as a distribution leader, optimize the quality of its business structure, expand its retail business network, strengthen the advantages of professional pharmacies, accelerate the development of its device business, optimize its comprehensive service capabilities, explore innovative technology applications, and continue to advance digital transformation.
Chinese medicine: To promote the development of Chinese medicine in the whole industrial chain of Chinese medicine in depth (units: 100 million yuan) in the first half of the year, Chinese medicine achieved operating income of 6.655 billion yuan, down 4.1% YoY.
, the operating income of the Chinese medicine formula particle business was 4.570 billion yuan, accounting for 68.7% of the total revenue, the business revenue of the Chinese medicine business was 1.304 billion yuan, accounting for 19.6% of the total revenue, and the business of the Chinese medicine beverage tablet business was 19.6%. Revenue was 567 million yuan, accounting for 8.5% of total revenue;
This year, in the face of the sudden outbreak, Chinese traditional medicine gave full play to the advantages of the whole industry chain coverage, through the provision of Chinese medicine formula particles, traditional Chinese medicine, Chinese medicine beverage tablet products and Chinese medicine health comprehensive services, actively participate in the first-line epidemic prevention and control work, played a unique role in the fight against disease and treatment of Chinese medicine.
Group's Chinese medicine formula particle products can be rapidly adjusted according to the treatment plan, including gold leaf detox particles, jade screen particles two exclusive base drug species, including more than 20 chinese medicine species were included in more than 30 new crown pneumonia prevention and treatment programs, applied to the prevention and treatment of new crown pneumonia first line.
addition, the Group relies on a nationwide marketing network and channel system, in the shortest possible time to complete the task of deployment, drug production, transportation and distribution work, to ensure market supply.
It is worth mentioning that since the 2019 Mid-Year Report, China's traditional Chinese medicine has adjusted the four major business sectors (Chinese medicine formula particles, traditional chinese medicine, Chinese medicine tablets, Chinese medicine health) into five major sectors, and the Chinese medicine formula particle plate has been divided into integrated business sectors of origin.
2019, the turnover of the integrated business of origin reached 202 million yuan, up 1364.4% YoY, and in the first half of this year, the turnover of the integrated business of origin reached 172 million yuan, up more than 500% YoY, which is close to the level of the whole of last year.
China Traditional Chinese Medicine said that in late 2017-2020, under the influence of the strategic objectives of the company's chinese medicine large health industry chain and the changes in the formulation particle industry policy, the Group began to carry out strategic layout in the main provinces of the country's Taodo herbal medicines, the construction can also produce formula particles, drink tablets, and In the local primary processing and trade of medicinal herbs, beverage tablet frying business of the origin of integrated business companies, for the Group to provide local local local herbs, and through the local varieties of mass production to reduce costs, while stationed in the local, you can enjoy local policy concessions, further open up the local market, improve local market share, form a comprehensive competitive advantage.
In the second half of this year, Chinese medicine will continue to implement quality-enhancing and efficiency-enhancing work system-wide, strengthen lean management, internalize the operational pressure brought about by the epidemic into a driving force for transformation and upgrading, minimize the adverse effects of the epidemic on the Group's economic indicators, and ensure continued stable and sustainable development.
Each business sector will target its marketing characteristics, open source savings, through the development of online diagnosis and treatment services, smart cloud pharmacy business, expand the sales channels of pharmaceutical e-commerce to promote online and offline business integration and development, promote the transformation and upgrading of traditional pharmaceutical products marketing model;
, from the depth, breadth, height, accuracy of the four dimensions to continue to increase scientific research efforts to create a full range of closed-loop research and development ecosystem.
Finally, the Group through online and offline channels of coordination, to fine drink tablets, formula particles, traditional Chinese medicine and pharmaceutical products of the same origin and other high-quality product clusters as the carrier, driving the "Dragon India Chinese Herbs" brand building and the integration of various business sectors, brand and quality to jointly drive the company's development.
As the core platform of the modern Chinese medicine plate of the National Pharmaceutical Group, Chinese traditional medicine carries the task of "building a sustainable, mutually coordinated and developing whole industrial chain of Chinese medicine in an all-round way", enriching the strength of the Chinese medicine group in the field of Chinese medicine industry and creating a leader in the Chinese medicine industry.
National Pharmaceutical Group will strongly support the development of Chinese traditional medicine, encourage it from a wider area, longer cycle of development trend to plan a high-quality development direction, adhere to the market-oriented, open and innovative principles, increase investment and mergers and acquisitions, fill in the existing business and product pipeline short board, promote more optimized industrial layout, accelerate to the industrial chain, value chain in the high-end.
National Pharmaceuticals consistent: continue to integrate resources, deepen the "batch zero-one" strategic national drug consistent revenue composition (units: 100 million yuan) in the first half of the year, China National Pharmaceuticals consistent operating income of 27.170 billion yuan, up 6.14% YoY;
, China National Pharmaceuticals' consistent distribution business had operating income of RMB18,982 million, down 2.54% YoY, and net profit of RMB405 million, up 0.38% YoY.
sales revenue of the Pharmacy of the National University of China was RMB8.613 billion, up 32.94 percent YoY, and net profit was RMB180 million, up 21.96 percent YoY.
In the face of increasing market competition, the company agreed that the company will continue to integrate existing resources, deepen the strategic development initiatives with batch-zero integration as the core, play a deep role in synergies, through complementary varieties, capital collaboration, supply chain synergy, internationalization and other initiatives, directly face terminal patients and consumers, as well as continuously strengthen the input of scientific and technological innovation, take the initiative to deal with cross-border competition.
drug distribution business is mainly based on two broad, the network extends to the county-level area and achieves network-wide operation, the network will be further expanded in 2020.
as of June 30, 2020, there were 975 primary and secondary medical institutions, 6,319 primary health care clients, and 4,881 retail end-customers (pharmacies chains, single-store, hospital out-of-pocket pharmacies).
It is worth mentioning that the national medicine unanimously in the alliance collection (4 plus 7 expansion) Guangdong region in the selection of product rules company point allocation rate of 100%, the second batch of national collection in Guangdong region selected product rules company point allocation rate of 97.87 percent, the national negotiations in Guangdong region to implement the quality regulations company point allocation rate of 99.15 percent.
Guangxi region in the selection of the company point matching rate of 80%, the second batch of the national collection of Guangxi region in the selection of the company point matching rate of 63%, Guangxi GPO first batch of the selection of the company point matching rate of 76%.
in the field of pharmaceutical retailing, the company's National University Pharmacy is the country's largest sales scale of pharmaceutical retail enterprises, is one of the few domestic enterprises with a national direct drug retail network.
As of June 30, 2020, the National University Pharmacy has 5838 stores (4516 directly, joined 1322), covering a total of 22 provinces, autonomous regions, municipalities directly under the Central Government, into 75 large and medium-sized cities, forming a network of pharmacies covering coastal cities in East, North and South China, and gradually spread into the northwest, Central Plains and other inland cities.
's pharmacy performance grew steadily during the outbreak, with policies such as prescription outflows resulting in an increase in revenue for retail pharmacies.
addition, the University pharmacy has been delisted to acquire a 100% stake in Dafang Yuan Pharmaceutical Group, and on July 30 this year completed the registration of industrial and commercial changes.
, Cheng Dafang yuan had more than 1,500 stores by the end of 2019 in 19 cities in five provinces, covering key cities in Liaoning, Jilin, Inner Mongolia, Shandong and Hebei.
National Pharmaceutical Shares: The distribution leader of the drug, to maintain 80% market share of the main business situation of the national pharmaceutical shares (units: 100 million yuan) hemp essence drug business is the most core competitiveness of the national pharmaceutical shares of the business, in the country's three narcotic drugs, a class of psychotic drugs in the national wholesale enterprises, the national pharmaceutical shares have maintained a market share of 80%, in the pharmaceutical industry in the leading position.