Financial News Agency, December 3 (Editor: Asahi) The 20,000 injections of “baby face needles” and “girl needles” have brought popularity to regenerative medical and aesthetic materials, and are well-deserved stars of tomorrow. Huadong Pharmaceutical's “Girl's Needle” was launched one year ago, with sales exceeding 600 million yuan. According to estimates from Guoxin Securities's research report on October 25, the revenue for the first three quarters of this year for the first three quarters of this year increased by more than 120% year-on-year from Guoxin Securities's research report by Zhang Junhao on October 25. In the secondary market, the stock price of Jinbo Biotech, which owns the medical and aesthetic injectable product Weimeimei, has accumulated a maximum increase of more than 13 times since its low in February 2021.

However, in terms of volume, botulinum toxin and hyaluronic acid dominate the world's injectable injectable drugs, while the proportion of “baby-looking acupuncture” is still small.

▌The stock price of Jinbo Co., Ltd., a leading regenerative medicine and beauty company on the Beijing Stock Exchange, rose more than 13 times in 3 years, and the revenue of Aimeike Children's Acupuncture doubled in the first three quarters, even if it lost 200 million dollars, Jiangsu Wuzhong, would win the agency rights of Aisumei AestheFill

Compared to hyaluronic acid, the benefit of regenerative injections is that they stimulate their own fibroblasts to secrete collagen, so the effect is more natural. Bank of China Securities Hao Shuai said in an April 10 research report that regenerative injections can be divided into two types: bone materials and PLLA materials (L-lactic acid microspheres). PLLA materials and bone materials can stimulate cellular collagen regeneration by inducing an immune response, and the two materials are slowly metabolized in the human body to achieve long-term anti-aging and shaping effects.

Currently, the approved regenerative injection manufacturers in China are Changchun St. Boma (Ivelan), Aimeike (Wubai Angel), and Huadong Pharmaceutical (Eyanshi Girl's Needle). According to estimates by the Head Bao Research Institute, in 2025, the market size of acupuncture for children and acupuncture for girls will reach 3.21 billion yuan, and the 2021-2025 CAGR will reach 54.73%, with great market potential.

In addition to approved products, up to now, many domestic companies are coveting the “baby face needle” market. The regenerative medical and aesthetic product Korea AestheFill “Baby Face Needle” represented by Jiangsu Wu Zhong is expected to be marketed in the second half of 2023. Gao Demei's agents are already in the clinical stage, the French products Shuranya and Priyan Medical's “Baby Face Injections”, which are expected to be marketed in 2024, while Sihuan Pharmaceutical, Lepu Medical, and Shang Li Biotech are each expected to launch “baby face injections” products in 2025-2026.

It is worth mentioning that Jiangsu Wu Zhong mentioned in an announcement earlier that since AestheFill's products are not yet sold in China, if it fails to pass the listing registration application, the company may lose the initial capital increase of 30 million yuan. If sales of this product do not meet expectations, it may cause further investment losses. The maximum risk exposure is a total investment of 166 million yuan. Analysts pointed out that even taking the risk of losing nearly 200 million yuan, it is necessary to win the agency rights of AestheFill, which may also explain the potential of “childlike acupuncture” in the domestic market.

Judging from performance performance, the scarcity of domestic regenerative agent products and relatively high unit prices also allowed pioneers to enjoy dividends. According to Imeke's earnings report, Imeke's revenue for gel injection products in 2020 was 250 million yuan, a year-on-year decrease of 19.21%. However, after being approved for listing in June 2021, the business achieved revenue of 390 million yuan, an increase of 52.8% over the previous year. By 2022, this figure had grown to 638 million yuan, a year-on-year increase of 65.61%. Meanwhile, according to estimates from Guoxin Securities's research report on October 25, “Wet White Angel,” a child face needle owned by Aimeike, continued to be released, and revenue for the first three quarters of this year increased by more than 120% year-on-year.

In terms of the secondary market, Jinbo Biotech, a listed company on the Beijing Stock Exchange, which owns one of the star products in medical and aesthetic injections, has seen the biggest increase of 164% since the beginning of the year. Looking at it over a longer period, the biggest increase since the low in February 2021 has reached 1369%.

▌A-share leader Aimeike's stock price during the year still did not dominate in injectable injections in the world, and the concept of regenerative medicine and aesthetics became a characteristic of China?

However, some analysts pointed out that the reason why children's acupuncture seems to have full potential in China is essentially an explosion from nothing. For a project, the ultimate ceiling is something the market needs to consider. Judging from the rapid release of the “Baby Face Acupuncture” and East China Pharmaceutical's “Girl's Acupuncture,” the answer seems to be yes.

However, if we look at overseas markets, it is a different picture. Like botulinum toxin and hyaluronic acid, “baby-looking needles” have been marketed overseas for more than ten years. In terms of volume, botulinum toxin and hyaluronic acid dominate the world's injectable injections, while “baby-looking acupuncture” accounts for a relatively small share. In 2020, they only accounted for 1.14% of global injectable injections, while in the US, Germany, Brazil, and South Korea (2015 data), they accounted for 1.99%, 0.46%, 2.65%, and 0.35%, respectively.

From the above figures, it is easy to see that the ceiling for children's face is actually relatively low. Some industry insiders believe that regenerative medicine and aesthetics, or the extension of PLLA products to “stimulate collagen regeneration” into regenerative medicine with the concept of regenerative medicine, is characteristic of China. There is no such trend internationally, and major international medical and aesthetic pharmaceutical manufacturers are quite conservative in this field.

It is worth noting that the stock price performance of Aimeike, a leading medical and aesthetic company with a total market capitalization of nearly 70 billion dollars, has not been as good as expected. The cumulative biggest drop in the company's stock price since the beginning of the year has reached 54%. Looking at it over a longer period of time, the company's stock price has accumulated the biggest drop of 64% since its all-time high in July 2021.