“Science and Technology Innovation Board Daily”, Feb. 28 (Reporter Huang Xiumei) On the evening of February 27, Waishan, Longtou Mountain of Blood Purification, released the 2023 Annual Performance Report. During the reporting period, the company achieved revenue of 690 million yuan, an increase of 80.67%; realized net profit to mother of 194 million yuan, an increase of 227.64%; and realized deducted non-net profit of 170 million yuan, an increase of 253.24% over the previous year.

Based on this calculation, in the fourth quarter of 2023, Shanwai Mountain achieved revenue of 114 million yuan, realized net profit to mother of 12 million yuan, and realized deduction of non-net profit of 0.4 billion yuan.

Shanwai Mountain is a national high-tech enterprise specializing in R&D, production and sales of blood purification equipment and consumables, and provides chain hemodialysis medical services.

The company has developed continuous blood purification equipment (CRRT), hemodialysis machines, and blood perfusion machines, and independently developed various blood purification consumables. The products are used to treat various conditions such as acute and chronic renal failure, uremia, multiple organ failure, and poisoning.

Regarding the reason for the increase in performance, Shanwaishan said in an express report that during the reporting period, the recognition of the company's blood purification equipment in domestic and foreign hospitals increased year by year, and its marketing efforts continued to expand, and sales coverage continued to expand; with the launch of new blood purification consumables, continuous blood purification pipelines, hemodialysis devices, and disposable hemoperfusion devices, product sales synergy increased, and operating income and profit levels continued to grow.

Gao Guangyong, chairman and general manager of Shanwaishan, said in an interview with the “Science and Technology Innovation Board Daily” reporter earlier that the company has basically completed the entire layout of self-developed blood purification consumables.

As of the first half of 2023, Shanwai Mountain and its subsidiaries have successively obtained registration certificates for three types of medical devices, including hemodialysis concentrates, hemodialysis devices (classified as high-pass and low-pass), dialysate filters, continuous blood purification pipelines, and single-use hemoperfusion devices.

It is worth mentioning that the collection may boost Shanwai Mountain to increase sales of its products.

At the end of January 2024, the company's investor research showed that according to the “Notice on Publicizing the Proposed Selection Results of the Interprovincial Alliance Procurement of Hemodialysis Medical Consumables” issued by the Henan Provincial Medical Security Bureau on January 24, 2024, all models of hemodialyzers were successfully selected.

Shanwaishan said that as self-produced blood purification consumables are launched one after another, collection will rapidly increase the number of hospitals covered by the company's consumables, which will have a great effect on increasing product sales.

Also, according to reports, the company's consumables can also form a synergy effect with tens of thousands of hemodialysis devices and thousands of CRRTs already sold on the market, thus driving rapid growth in consumables sales and becoming its new profit growth point.

In an investor survey at the end of January 2024, Shanwai Mountain revealed that in the first three quarters of 2023, the blood purification consumables sector had revenue of 74.5764 million yuan. In the first half of 2023, the consumables business achieved revenue of 479.802 million yuan.

Based on published data, in the third quarter of 2023, Shanwai Mountain Blood Purification Consumables achieved revenue of 265.962 million yuan. In addition, according to the 2023 Interim Report, the company's revenue from self-produced consumables was 10.187,700 yuan, accounting for 21.2% of total consumables revenue.