Category: Money tips Release Date: 2006-05-15
Source: Hong Kong and Macao Information Author: Xue Wei
G-Yi Bai (600,594): the company's competitive advantage is reflected mainly in two areas: advanced product formulations and product mix, a strong marketing platform. Believe that these advantages will continue to drive the company 1-2 years of sales growth; a more long-term performance growth of the product depends on the company's existing reserves, but in this regard, though there are many varieties, but the layout of the company than the messy, marketing conditions remains to be seen. Finishing the bottom of the stock's recent volatility, slowly climbed, the will to continue upward, the proposed attention.
Historical Information: G-Yi Bai (600,594): competitive advantage in supporting the future growth of April 27, 2006
Source: Huatai Securities
G-Yi Bai (600,594) 2005 annual report, the company in 2005 realized main business income was 7.39 billion yuan, up 16.9%; to achieve a total profit of 61.27 million yuan, an increase of 4.3%; to achieve net profit of 69.42 million yuan, an increase of 23.2 %. Allocation scheme for every 10 shares were 1.15 yuan in cash and stock Zhuanzeng 5.
Quarterly analysis of the fourth quarter 2005 sales revenue of 295 million and net profit of 38 million, respectively, accounted for 40% and 55%, can be said that the seasonal characteristics of company still exists.
Product analysis, the company achieved sales of prescription drugs in 2005 income of 471 million yuan, an increase of 16%. One anti-tumor Eddie sales 256 million, an increase of 17%, continue to maintain a rapid growth; while the company's ginkgo biloba products are due to a number of competing firms, increased competition, a slight increase year on year sales growth of around 5%; Qing Kai Ling Injection in the official launch of this year, sales reached more than 20 million, an increase of momentum.
In the OTC medicines, the company launched in children cough syrup, cough syrup and cold with strong sales, in 2005 the total sales of nearly two million products. However, as the new company's traditional cough medicines and cough products to form part of the substitution g, making g cough sales of a decline of about 30 million yuan. Overall, as the company's sales of other OTC variety of timely follow-up, enabling the company OTC drug sales in 2005 are still around 18% of the sales growth.
In 2006 the greatest impact on the G-Yi Bai is the drug may cut prices. National Development and Reform Commission is widely expected to be introduced in May about a new round of drug price cuts program, which Chinese medicine and oncology would most likely appear in the Development and Reform Commission's price reduction list. By then, if the program Development and Reform Commission of drug price cuts, as expected, then the G-Yi Bai's oncology products will inevitably lower prices. In addition, the fight against drugs in circulation in the process of commercial bribery in prescription drug sales to the company will also bring a certain extent.
However, these negative effects are only temporary. The reasons are: First of all, G Yi Bai has established a sound marketing network system, the company in the industry with a strong academic outreach capacity and channel control, drugs to combat commercial bribery would tend to standardize the operation of circulation, which is conducive to the contrary, companies academic promotion, therefore, the fight against commercial bribery in terms of short-term the company has a negative impact, but in the long run effect is positive, but this process is gradually emerging. Secondly, the "new socialist countryside" construction, making the third terminal have become an increasing focus within the industry, G-Yi Bai After listing several pharmaceutical companies have acquired, although the acquisition of Shanghai Bai plus One aspect is not successful, but the Lijiang River Pharmaceuticals and Tibetan medicine acquisition for the company to enter the process to the third terminal to provide a product basis, the company has established a third terminal for the marketing mode, by virtue of the company's strong sales, the company in the third terminal to open up has good prospects. Finally, the company acquired the Tibetan medicine, Tibetan medicine, as well as its unique class of biological drugs, will greatly enrich the existing G-Yi Bai product structure, making G-Yi Bai ability to withstand business risk greatly improved.
In summary, we believe that although the G-Yi Bai short-term uncertainties facing a number of external factors, but the company has a competitive advantage to support the company's future to continue to maintain rapid growth.
