Some drug stocks benefited from the decline in drug prices

Recently, the National Development and Reform Commission issued a notice and decided to adjust the maximum retail price limit for three types of drugs, including immunization, anti-tumor and blood systems, from October 8. The average price cut was 17%. According to the analysis, adjustment policies are in line with market expectations and some pharmaceutical stocks will benefit. On the 18th, pharmaceutical stocks outperformed the broader market, but 37 pharmaceutical listed companies issued half of the three quarterly advance notices.

NDRC Adjusts Drug Prices Related Concepts <br><br><br><br><br><br><br> Recently, the NDRC issued a notice deciding to adjust the maximum retail price limit for three types of drugs, including immunization, anti-tumor and hematological systems, starting from Oct. 8, involving a total of 95 varieties. More than 200 representative dosage forms have an average price reduction of 17%.

According to the person in charge of the National Development and Reform Commission, the price adjustment has increased the price cuts for drugs with high daily expenses, reduced the prices of drugs with low daily expenses, encouraged the production of relatively inexpensive drugs, and raised the supply of blood products that are under tight clinical supply. The prices; appropriate control of patented and innovative drugs such as price cuts, use of price levers to promote drug research and innovation; the original pricing of drugs, to further narrow the price gap with the unified pricing of drugs, and promote fair market competition.

The Northeast Securities Research Report pointed out that this time the price adjustment policies for anti-tumor, immunization and blood system medicines basically met the expectations of the market, and the price of blood products was slightly higher than expected. Although the prices of anti-tumor drugs and immune drugs have all been lowered, due to the existence of market competition, the impact on the successful bid prices of the relevant domestic companies is relatively small, and some companies may also benefit from the price adjustment of the original research drugs. Its recommendations continue to focus on Qianjin Pharmaceutical, Kehua Biological, Kunming Pharmaceutical, Jiangcai, and blood products companies.

Pharmaceutical stocks led the broader market at the beginning of the year on September 18. The overall performance of the pharmaceutical sector was stronger than that of the broader market, with gains of 0.05% and the Shanghai Composite Index closed down 0.91% throughout the day. In fact, the pharmaceutical sector has seen an explosive rise since the beginning of this year. As of September 18, the overall growth of the pharmaceutical sector reached 9.45%. In the same period, the Shanghai Composite Index fell by 6.89%, the Shanghai-Shenzhen 300 Index fell by 10.96%, and the SME Composite Index decreased by 0.46%. .

In the secondary market, Red Sun Pharmaceuticals, Haisike, and Winbond, the three companies with “pre-hiking” results, registered increases of 40.09%, 7.61%, and 6.53% in the third quarter, respectively. The second-quarter gains were 36.84% and 65.33%, respectively. , 27.91%; performance "reporting worry" of Kazakhstan Pharmaceutical Co., Ltd., Ling Pharmaceutical, Zixin Pharmaceutical since the third quarter, the increase was -10.93%, 2.83%, -1.29. The second quarter gains were -3.23%, 20.43%, -1.38.

37 companies made three quarterly results forecast half of the performance "reporting worry"

Under the background of the declining macro-economic growth, the medical industry in the first half of the year is booming. According to data from the National Bureau of Statistics, the overall sales revenue of pharmaceutical manufacturing increased by 19.06% year-on-year from January to June 2012, and total profit increased by 17.37% year-on-year. Although the growth rate of industry revenue and profit was slower than that of 2011, the growth trend did not change and the total profit accelerated month by month.

At the same time, the gross profit margin of the pharmaceutical sector continued to remain stable. The data shows that the overall gross profit margins of the Shenwan Pharmaceutical Biotech's 2011 annual report, the 2012 first quarter report and the 2012 interim report (based on the company that announced the interim results) were 27.59, respectively. %, 27.23% and 27.13%.

According to Wind statistics, 37 pharmaceutical listed companies have announced three-quarter earnings forecasts, and nearly half of the pharmaceutical stocks reported “fears”. Among them, seven companies reported three quarterly advances, three continued to renew, one continued losses, five had losses, 17 had a slight increase, and four had a slight decrease. In a comprehensive view, the three quarterly reports of Hongri Pharmaceutical, Haisike, and Winbond have increased significantly year-on-year. Haisike’s net profit in the third quarter was approximately 271.778 million yuan - 337.173 million yuan, and net profit increased by 35% - 65%. Winbond's third quarter Net profit was approximately 298.885 million yuan -300.126 million yuan, net profit increased by 160% -190%; Harbin Pharmaceuticals' net profit in the third quarter fell sharply year-on-year, with Ling Pharmaceutical's net profit falling by 10-50%, and Zixin Pharmaceutical's net profit declined. 49.54%-62.15%.