Core viewpoints
Event: the company issued a 2021 results announcement, achieving operating income of 1.682 billion yuan, an increase of 186.30% over the same period last year; annual R & D clinical expenditure of 1.764 billion yuan, an increase of 52.8 million yuan over the previous year; and an annual loss of 984 million yuan, a decrease of 9.4 million yuan over the previous year.
The company's products have entered the sales volume period, the commercialization ability has been continuously improved, and the performance is in line with market expectations of rituximab (Hanlikang): Hanlikang achieved sales revenue of about 543 million yuan in 2021 and licensing income of about 10.04 million yuan. The income of Zercepac is about 40.6 million yuan, and the sales income of trazumab antigen solution is about 21.6 million yuan. Hanlikang 100mg has completed the opening of health insurance in 30 provinces in China, and has completed bidding and networking in 28 of these provinces, and more than 70% of core hospitals have received medicine; 500mg has completed bidding in 19 provinces and health insurance access in 14 provinces. Zercepac60mg and 420mg specifications were approved to be listed in the European Union in April 2021 and June 2021 respectively, and 150mg was approved by the Swiss Drug Administration in July 2021.
Triton Monoclonal Antibody (Hanquyou): Hanquyou achieved sales income of about 868 million yuan in 2021, an increase of 692.71% over 2020. 150mg has completed all provincial bidding and health insurance access in China in the first half of 2021. Since 60mg was approved for listing in August 2021, it has completed tender listing in 23 provinces and health insurance access in 30 provinces.
Adamu Monoclonal Antibody injection (Handayuan): Handayuan realized sales revenue of about 21.8 million yuan and license income of about 1 million yuan. In 2021, bidding for 27 provinces in China and medical insurance access for 30 provinces have been completed.
On the whole, the main products that the company has entered the commercialization stage have achieved good sales results, which will provide strong cash flow support for the company's subsequent performance turnround and investment in new product research and development, and gradually complete the upgrade from Biotech to Pharma.
The global commercial layout has achieved remarkable results, and clinical progress has been steady: with the continuous improvement of the company's R & D system and the continuous rise of innovation ability, the company has completed the global commercial layout of a number of projects in 2021. The company has signed commercial cooperation agreements with Getz, Binacea, Cipla, Biosidus, Jacobson, KG Bio, Farma De Colombia, Mabxience, Intas, Essex, Binacea and other enterprises; the global development capacity has been continuously improved. By the end of 2021, the company's global product development team has a total of more than 350 people, and a total of more than 20 clinical trials on 12 products and 10 joint treatment schemes have been carried out in ╱ regions in many countries around the world.
Profit forecast and investment advice: the operating income of the company from 2022 to 2024 is expected to be RMB 4.965pm 7011 million, respectively, and the net profit of return to the parent is RMB 1.78max, respectively, and the corresponding EPS is RMB 1.23max per share, respectively. The product pipeline is gradually entering the harvest period, and both the revenue and the research pipeline are expected to break out, giving the "overweight" rating for the first time.
Risk tips: new product sales are not as expected; R & D is not as expected; industry competition intensifies risks; macroeconomic downside risks.