Events:
Qizheng Tibetan medicine released its annual report in 2020: the operating income was 1.476 billion yuan, an increase of 5.24% over 2019, and the net profit belonging to shareholders of listed companies was 406 million yuan, an increase of 11.38% over the same period last year.
Profit distribution plan: every 10 shares will be distributed a cash dividend of 3.40 yuan (including tax), no bonus shares, no provident fund to increase equity.
The quarterly report for 2021: the operating income was 326 million yuan, an increase of 113.97% over the same period last year, and the net profit belonging to shareholders of listed companies was 103 million yuan, an increase of 112.26% over the same period last year.
The company has achieved effective results in "strengthening analgesia" and developing the product strategy of the second or third echelon. On the one hand, the company actively promotes the core strategy of "strengthening analgesia" to further land, and the core product Xiaotong plaster continues to maintain its growth trend through channel sinking. the new product launched around the "pain integration solution"-hammer discrete paste with the differential positioning of "joint pain relief tension", through listing meetings, training sessions, consumer experience and other activities quickly cut into the market, achieved good sales performance.
It has realized the integration of academic marketing and communication online and offline, carried out academic projects and disseminated medical information through various online platforms such as Qizheng Medical Voice and aerial classroom, combined with offline academic conferences and patient doctrine diagnosis, to build multiple communication channels between medicine and doctors and patients, so as to lay a foundation for efficient access to doctors and patients. In 2020, experts from orthopaedics, dermatology, gynecology, rehabilitation and pain departments conducted more than 80 online lectures, with a total of more than 40,000 viewers. In 2020, the clinical value and therapeutic advantages of the company's products have been more recognized, and a number of products have entered the guide and consensus.
A number of products have won the bid and hung online, and the dual products of Safflower Ruyi pills and Ruyi Zhenbao tablets have entered the new version of the National Medical Insurance Catalog to expand the space for follow-up market development. Core varieties such as Xiaotong paste, Bai Mai Ointment and Qingpeng Ointment have all been successfully put up in the bidding of various provinces across the country, and more than a dozen key varieties of oral proprietary medicines such as Honghua Ruyi pills, Renqing Mangjue capsules and Ruyi Zhenbao tablets have also won the bid on a large scale.
Maintain the "overweight" rating: the company's 2021-2023 net profit is expected to be 4.67,5.37 and 618 million yuan, corresponding to EPS of 0.88,1.01,1.16 yuan respectively. Downgrade the performance forecast and target price and maintain the "overweight" rating.
Risk hint: performance forecast and valuation judgment do not meet expectations.
