The old Chinese medicine name Guangyu far performance "turned over"
Last Update: 2020-06-17
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Pharmaceutical Network june 9th, a paper inquiry on the Shanghai Stock Exchange, once again pulled out the reputation of the far (600771SH) the doubts behind the performanceAfter three years of rapid sicampaigning, the old Chinese medicine brand suddenly "turned over"According to the financial results, in 2019, Guangyu yuan achieved operating income of RMB1,217 million, down 24.81 percent year-on-year, while net profit attributable to shareholders of the parent company was RMB130 million, down 65.23 percent year-on-yearBehind this "rollover" is the holding subsidiary Shanxi Guangyu YuanGuo Pharmaceutical Co., Ltd(hereinafter referred to as "Shanxi Guangyu Yuan") performance has shrunk significantlyIn fact, the vast majority of the revenue and profits of Guangyuyuan come from Shanxi Guangyuyuan this core assetCoincidentally, the performance commitment period of the majority shareholder Xi'an Dongsheng Group just passed, Shanxi Guangyu far away staged a "big change of face."On June 2, the Shanghai Stock Exchange sent an inquiry letter to Guangyuyuan asking it to explain the specific reasons and rationality of the sharp decline in performance after the long-term commitment period of Shanxi Guangyu, whether there were any measures such as aggressive sales or early revenue recognition to complete performance commitments, or other circumstances that harmed the interests of the companyIn recent years, the rapid growth of Guangyu yuan due to the high accounts receivable, long-term negative cash flow and other issues, the market has been the sound of its whitewash performance has been endless"Guangyu is far the old chinese medicine, itself has a certain brand effect, the management team is good at marketing, there have been successful operation experience of brand medicine in the past, but on the other hand, the actual controller Guo Jiaxuan has been because of the occupation of listed company funds, illegal guarantees and other prior rules by the Csrc penalty market ban, the market will have doubts about whether it has a cat." Lin Qing (pseudonym), an analyst atPharmaceutical
s, a private equity fund in Shanghai, told reporters on June 5For the performance of large fluctuations, the credit rate is abnormally high, sales costs rate is high, the reporter repeatedly called broad reputation, has never been answeredAs of June 8, Guangyu yuan closed at 14.0 yuan, down nearly 20% from the beginning of the year, with a new market value of 6.888 billion yuanPerformance change face
The predecessor of Guangyuyuan is Dongsheng Technology (in 2013 renamed "Guangyuyuan"), the controlling shareholder is Dongsheng Group, currently holding 14.31% of the shares of listed companies, behind the actual controller is once famous "capital maniac" Guo Jiaxuan Shanxi Guangyu is far from the Ministry of Commerce is the first batch of "old Chinese" Chinese medicine enterprise , the earliest can be traced back to the Ming Dynasty Jiajing years set up the Guangsheng pharmacy , from now on has more than 470 years of history, during which experienced The Guangsheng drugstore, Guangsheng, Guangsheng, Guangsheng far, Shanxi Chinese medicine factory, such as more than a dozen business changes Despite having two state-level secret varieties, Turtle Age Set and Ding Kundan, the development of wide reputation is rather bumpy, brand awareness is far less than Beijing Tongrentang and other old names By the late 1990s, Shanxi Guangyu had not been completed as a small Chinese medicine factory on the verge of bankruptcy Guo Jiaxuan's intersection with Guangyu yuan began in 2003, when Dongsheng Group acquired The insolvent Shanxi Guangyu yuan for 0 yuan In the subsequent restructuring, Jinzhong SASAC took a 5% stake in the land, while Dongsheng Group acquired a 95% stake in Shanxi Guangyuyuan The merger, which at the time seemed unimpressive, became a key piece of Guo Jiaxuan's assets in the future At that time, Dongsheng Group is in the pharmaceutical industry around the attack, Kaidong Gai Tianli, Submarine Pharmaceuticals, Lizhu Pharmaceuticals and even Yunnan White Medicine, these large-scale pharmaceutical companies behind the reorganization, you can see Guo Jiaxuan's figure Also because of the crazy capital operation, Dongsheng Group finally broke the capital chain, in 2006 into a long debt restructuring, Shanxi Guangyu has many times become its debt-relief tools In 2007, Dongsheng Group was unable to repay the funds of listed companies, and the 95% stake in Shanxi Guangyuyuan was repaid to Dongsheng Technology at a price of 649 million yuan, and Shanxi Guangyuyuan became a controlling subsidiary of listed companies However, in March 2012, Dongsheng Technology transferred 40% of Shanxi Guangyu's 40% stake to the majority shareholder Dongsheng Group in order to resolve the debt crisis In January 2016, Dongsheng Group again sold its 18% stake in Shanxi Guangyuyuan to Dingsheng Jinyu and Panxin Investment, cashing out 580 million yuan to solve the urgent need for funds At the end of 2016, Guangyuyuan acquired Dongsheng Group, Dingsheng Jinyu and Panxin Investment to hold a total of 40% of Shanxi Guangyuyuan by issuing shares, and unilaterally increased its capital by 836 million yuan So far, The proportion of GuangyuYuan's stake in Shanxi Guangyuyuan has risen from 55% to 96.03%, with the remaining 3.97% still held by the SASAC of Jinzhong City As a counterparty, Dongsheng Group is committed to shanxi Guangyuyuan's net profit of not less than 133 million yuan, 235 million yuan and 433 million yuan in 2016-2018, respectively After 10 years, Guo Jiaxuan with dazzling capital operation will be Dongsheng Group and Guangyu far back in action, Shanxi Guangyu far also became the most core assets of listed companies According to the financial results, in 2016-2018, Shanxi Guangyu achieved operating income of 937 million yuan, 1.163 billion yuan, 1.616 billion yuan, and net profit of 169 million yuan, 255 million yuan and 433 million yuan, respectively During the same period, Guangyu's revenue rose to 1,618 million yuan from 937 million yuan, while net profit rose to 374 million yuan from 122 million yuan Under the support of Shanxi's wide reputation, Guangyu has handed over bright results for three consecutive years Cheng also Xiao He, defeat also Xiao He With the expiration of the gambling period, Shanxi Guangyu far performance suddenly changed face In 2019, Shanxi Guangyu yuan realized operating income of 1.213 billion yuan, down 24.94 percent year-on-year, net profit of 180 million yuan, down 58.42 percent year-on-year, and Guangyuyuan's overall home-to-home net profit fell by more than 60 percent Accounts receivable are abnormally high
at present, The business of Guangyuyuan is divided into traditional Chinese medicine, fine Chinese medicine and health wine three major sectors In 2019, its traditional Chinese medicine and fine Chinese medicine business achieved revenue of 949 million yuan and 109 million yuan, respectively, down 25.89 percent and 48.80 percent from the same period in 2018, while the health and liquor business increased by 43% year-on-year to 75.1546 million yuan For the two core business double decline, Guangyuyuan explained that mainly due to some key commercial customers of the sales support by the way of discount, coupled with the macroeconomic downturn, consumer downgrade and national health insurance fees, prescription drug regulation and other industries policy impact, resulting in product sales fell short of expectations Affected by the outbreak of xinguan pneumonia, in the first quarter of 2020, Guangyuyuan achieved operating income of 225 million yuan, down 17.1% YoY, while the net profit of the parent company was RMB27.573 million, which continued to decline by 51.89 percent "During the betting period, major shareholders tend to use aggressive sales tactics to meet their performance commitments and overdraw performance in advance After the bet period is the real test of the color of the asset Lin Qing told reporters, "the same as the old-style Chinese medicine, the brand reputation and influence of the distant relative to Beijing TongrenTong, the film, such as the film is much weaker, its market bargaining power is not strong, more dependent on channels." "
from the operation of recent years, The wide reputation of the implementation of the OTC strategy, in marketing and channel expansion investment in a large number of resources According to statistics, by the end of 2019, Guangyu far coverage terminal sepsis exceeded 14,000, covering nearly 150,000 chain terminal stores Its sales costs are also much higher than those of their peers Time Reporters noted that in 2019, the sales expenses of Guangyuan yuan 541 million yuan, in the case of sales revenue decline, the sales expense rate rose to 44.49 percent, while the same period, the sales expenserate of the film, Tongren Tong only 9.14 percent, 19.75 percent In fact, even in the past high-growth years, The Reputation has not achieved a "real gold and silver" cash inflow Since 2013, net operating cash flow from well-known operations has been negative for seven consecutive years In the first quarter of 2020, its net operating cash flow remained at -968.766 million yuan Accompanying it is the abnormally high amount of accounts receivable As performance grows, the higher the reputation of accounts receivable In particular, in 2019, the book value of its accounts receivable increased by 107 million yuan from the end of 2018, a departure from the decline in operating income As of the end of March 2020, the book value of accounts receivable on Guangyu's far account scored 1.512 billion yuan, exceeding its revenue scale "This means that the company is likely to take advantage of a loose sales policy to press the downstream channels to achieve the goal of 'pulling up' performance." On June 6, an executive of a pharmaceutical company in East China pointed out to reporters, "There is still an equity relationship between Guangyuyuan and some dealers, it is difficult to say exactly how many products have actually been sold." "
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