Main points of investment
Next Wednesday (August 16), there will be a gem listed company "people's livelihood Health" inquiry.
People's livelihood and Health (301507): the company has developed OTC and health food based on vitamin and mineral supplements, and expanded the probiotic series, further enriching the product matrix. From 2020 to 2022, the company achieved operating income of 439 million yuan / 490 million yuan / 547 million yuan, YOY of 25.38%, 11.41%, 11.75%, and a compound annual growth rate of 16.00%. The net profit of homing was 51 million yuan / 70 million yuan / 79 million yuan, and the YOY was 16.08%, 38.46%, 12.47%, respectively, and the annual compound growth rate of three-year net profit was 21.82%. During the latest reporting period, the company's operating income from January to June 2023 was 368 million yuan, up 10.14% from the same period last year, and the net profit was 70 million yuan, up 10.55% from the same period last year. According to the preliminary forecast, the company is expected to achieve a net profit of 82.4817 million yuan from January to September 2023, an increase of 10.21% over the same period last year.
Investment highlights: 1. Relying on the rich pharmaceutical accumulation of the controlling shareholders, the company has established the core brand "21 gold vitamins?" and has become a well-known enterprise in the field of vitamin and mineral supplements in China. Minsheng Pharmaceutical, the controlling shareholder of the company, formerly known as Luoyang Minsheng Pharmaceutical Factory, was founded in 1926. It is one of the earliest four western medicine factories and the earliest injection manufacturer in China. Now it has built a comprehensive pharmaceutical industry territory that integrates the research, production, marketing and chain circulation of proprietary medicine, biomedicine, diagnostic reagents, beverages and so on. The company is a large health industry subsidiary of Minsheng Pharmaceutical Co., Ltd., the main product Multi-element tablet (21), launched by Minsheng Pharmaceutical Industry in 1985, is the first multi-element tablet in China, which is Class B OTC drug. This product ranks fifth in vitamins and Minerals in the Comprehensive Statistical ranking of over-the-counter Drug products in China in 2021. Through this large product, the company has also been on the list of China's top 100 over-the-counter drug manufacturers released by the China over-the-counter Drug Association, ranking 56th in 2021. Core brand "21 Jinweitar?" As a result, it has become one of the oldest brands of vitamin and mineral supplements in China, and has a high reputation in China. 2. Relying on the accumulated brand spillover effect and competitive advantage in the field of Uygur and mining, the company continues to expand its categories, and a number of products are expected to be listed in 23-24. Dietary supplement race track space is broad, the company is based on this track, to build the OTC+ health food two product matrix. Victoria mineral supplement products are common products in drugstores, with a certain drainage effect; the company relies on "21 gold vitamins?" The brand spillover effect, as well as the competitive advantage that has been accumulated in the mining field, continue to deepen the "star large single plus hot-selling category strategy" and select mature products with a good market foundation and high consumer recognition to expand the category. A number of products are expected to be on the market in 2023-2024. In the OTC field, magnesium aluminum carbonate suspension is expected to be on the market in 2024; vitamin D drops, vitamin C effervescent tablets, calcium zinc gluconate oral solution and minoxidil liniment are expected to be on the market in 2025. In the field of health food, coenzyme Q10 soft capsules, melatonin tablets and calcium-magnesium vitamin K chewable tablets have been developed and are expected to be listed in 2023H2; a number of products such as fish oil soft capsules are expected to be available in 2024. In addition, the company continues to expand its product line and expand its product system to probiotic series through the acquisition of Minsheng Health Technology, a subsidiary of the controlling shareholder, in 2020.
Comparison of listed companies in the same industry: taking into account business and product types, Jiang TCM, China Resources Sanjiu and Tomson Baijian are selected as comparable listed companies with healthy people's livelihood; from the above-mentioned comparable companies, the average income in 2022 is 9.918 billion yuan, the sales gross profit margin is 62.38%, and the comparable PE-TTM (arithmetic average) is 18.51X In comparison, the company's revenue size and gross profit margin are lower than the industry average.
Risk hint: companies that have started the inquiry process still have the possibility of not being listed due to special reasons, the company content is mainly based on prospectuses and other public materials, and the selection of listed companies in the same industry is not accurate. Risk, content data interception may have interpretation deviation and so on. The specific risks of listed companies are shown in the text.