Yuheng Pharmaceutical Co., Ltd.: its subsidiaries are greatly affected by key monitoring drugs, leading to low performance

Wen Feng mound On February 11, Yuheng pharmaceutical replied to the inquiry letter of Shenzhen Stock Exchange Prior to the release of the 2019 performance forecast by Yuheng Pharmaceutical Co., Ltd., it is estimated that the net profit attributable to shareholders of Listed Companies in the whole year will be RMB 2.4 billion to 2.6 billion, mainly because the operating performance of the wholly-owned subsidiaries Shanghai Huatuo and Nanjing Wanchuan and Pude Pharmaceutical Co., Ltd acquired in the previous year did not meet the expectation So he was questioned by Shenzhen Stock Exchange In response, Yuheng pharmaceutical explained that Shanghai Huatuo and Nanjing Wanchuan's main products, such as sodium creatine phosphate for injection and Pude pharmaceutical's brain protein hydrolysate for injection, were listed in the key monitoring catalogue, which was significantly affected by the key monitoring catalogue and the new version of the medical insurance catalogue, and the sales volume of the products decreased significantly 2019 7 In June, the national health and Health Commission issued the notice on printing and distributing the first batch of national key monitoring and rational drug use catalogue (chemical and biological products), requiring all provincial health administrative departments and all kinds of medical institutions at all levels to formulate the provincial and medical institutions catalogue on the basis of the key monitoring catalogue, and all medical institutions shall focus on monitoring the clinical application of drugs in the catalogue To strengthen the clinical use monitoring and performance evaluation of drugs; sodium creatine phosphate for injection and cerebroprotein hydrolysate for injection are listed in the 20 products listed in the key monitoring catalogue According to the requirements of the National Health Insurance Bureau, the class B drugs added according to the regulations in the original provincial drug catalog should be gradually digested within three years; in the digestion process, the provinces should give priority to adjusting the drugs included in the national key monitoring scope out of the payment scope Sodium creatine phosphate for injection was originally listed in the local medical insurance catalogue of 17 provinces and regions By January 2020, eight provinces and regions, including Xinjiang, Tibet, Inner Mongolia, Hebei, Henan, Shanxi, Hunan and Guangdong, had transferred the national key monitoring catalogue products out of the local medical insurance catalogue; it is expected that other provinces and regions will complete the adjustment in the first half of 2020 According to the data of China Pharmaceutical Association (CPA), as of October 2019, the total sales volume of sodium creatine phosphate for injection in CPA hospital was 12.16 million grams, a year-on-year decrease of 14.4%; the sales volume of all brand products decreased in October, an overall year-on-year decrease of 26.9%, a month on month decrease of 27.8% The sales volume of Yuheng sodium creatine phosphate for injection in the fourth quarter was about half of the average sales volume in the first three quarters In addition, the announcement also lists other comparable companies of related products: