Zhenbaodao plans to invest 400 million yuan in the leading bio-pharmaceutical company's share price, but the share price drops?

At present, the company mainly relies on 45 varieties of revenue, including 12 essential drugs, 24 medical insurance products, core injection products: Xuesaitong for injection, Shuxuening injection, etc.
; core oral preparation products: Xueshuantong capsules, compound Qinqin Lan oral, pediatric speed hot clear syrup
.

In recent years, under the influence of policies such as the two-invoice system, mass purchase, medical insurance catalog adjustment, and key monitoring drug catalogues, Zhenbaodao has also faced a slowdown in performance and urgently needs to seek new profit growth points and transformation is imminent
.

Statistics show that Zhenbaodao’s revenue is 3.
404 billion yuan in 2020, an increase of only 3.
4% over the same period
.
Net profit was 436 million yuan, an increase of 6.
76% over the same period
.
In 2019, revenue was 3.
292 billion yuan, a year-on-year increase of 18.
37%, and net profit was 409 million yuan, a year-on-year increase of -11.
63%
.
However, in 2018, the company's revenue and net profit were all negative growth
.

From the perspective of the past three years, traditional Chinese medicine preparations have been the main contributor to Zhenbaodao’s revenue
.
From 2018 to 2020, the proportions of its revenue are 62.
41%, 56.
45%, and 58.
41% respectively
.

It is worth noting that the fact that only osteopeptide for injection removes this factor from the national medical insurance catalogue will affect the performance of related business sectors of Zhenbaodao in 2020 and 2021
.
In the first quarter of 2021, neither Treasure Island's revenue nor net profit exceeded the performance of the same period in 2019, and there was a sharp decline in performance
.

Facing the current pharmaceutical environment, Zhenbao Island, which has made its fortune in the Chinese medicine industry, has also made efforts to transform and innovate in recent years, actively deploying chemical medicine and other fields
.
It is reported that through internal R&D and external introduction, Zhenbaodao has initially constructed a small molecule innovative drug pipeline.
At present, a total of 4 innovative drug projects have obtained clinical approvals, including 2 new anti-tumor drugs, 1 new anti-influenza drug and 1 anti-idiopathic drug.
New drugs for pulmonary fibrosis
.
Among them, the new anti-influenza drug HNC042 and the new anti-tumor drug HZB1006 are undergoing phase I clinical studies
.

However, judging from the period of at least ten years from the development of new drugs to the market, in the face of the slowdown in the growth of its main business, Zhenbaodao urgently needs to seek new profit growth points, and actively invest in the field of biopharmaceuticals or a better direction for transformation
.