Tibet Pharmaceutical "New Living element" 12 Toss the history of the poor of their own rich agent

Picture background for Tibet pharmaceutical Chengdu Factory Source: Public Information He Shungang/photo Han Yu/watchmaking/charting from 2002 to the present, the Tibetan pharmaceutical "new live Element" project spent billions of dollars, but did not create much profit. Since 2008, the company's own product gross margin of more than 70%, but the maximum net profit margin of not more than 3%, mainly the market costs increased significantly. and its agents Kangjie pharmaceutical industry, from 2008 to 2013, the agent of new live products total operating income of about 652 million yuan, higher profit margins, in addition to the 2014 is expected to promote the product service costs up to 150 million yuan. Securities Times reporter Han Shao Liu Tibet Pharmaceutical (600211) a year since the fire: a mediocre company was suddenly raised by agents, attracting widespread market attention, all due to the seeds that were sown in the 12, the "New Living element", a drug used to rescue acute heart failure. In order to develop this new drug, the Tibetan medicine industry has paid a high price for 12 years, and in order to get the new drug's total distribution rights, the agents also took turns. Now in the Kangjie, the drug industry has defended its total distribution rights since 2008 by holding up the cards. However, looking back on the 12 years of the bumpy road, so far, the project is basically a loss to make a yell. Agents took turns in the first quarter of this year, Kangjie pharmaceutical industry in the two-tier market significantly increase the Tibetan medicine 3.68 million shares, accounting for the company's total share capital of 2.53%, the increase in Shenzhen Kangjie and its concerted action to hold a total of 7.32% Tibet Pharmaceutical shares, more than 5% of the licensing line, ranked the company's third largest shareholder, causing wide market concern. Market personage analysis, to Kangjie medicine industry, new live element is its increase in Tibet medicine, seek sole agent total distribution right of the biggest starting point. In fact, before the Kangjie pharmaceutical industry, there have been a number of pharmaceutical distribution companies to seek new living element of the exclusive agent total distribution rights, including Guangdong Kanghong, Guizhou Yi Bai and Hong Kong really think of medicine. The recombinant human brain natriuretic peptide is a new drug used in the treatment of acute heart failure. Tibet pharmaceutical Industry in 2002 at the cost of 71.8 million yuan, from the large shareholder of the western China pharmaceutical industry to buy the technology, has been regarded as a listed company worth looking forward to profit growth. However, regarding how to promote the new living element, the Tibet pharmaceutical Industry's related marketing plan has been changeable: First in 2004, authorized to the agency of Guangdong Kanghong Pharmaceutical exclusive Total distribution, the authorization period of 10 years, but less than two years, as a result of the introduction of strategic cooperation in Guizhou benefits Bai, Tibet Medicine and the breach of the contract back to the Guangdong Kanghong total distribution rights, It also paid 13 million yuan for default compensation. 2006, the resumption of the total distribution of new living element, the Tibetan pharmaceutical industry to actively carry out the reform of the marketing system, the actual distribution of the new living element to the benefit of the Department of Medicine Bai. It is reported that Yi Bai New Drug division in the promotion of related products already have a more perfect team echelon of experts, but not long, just the market for the future of the new live element of the expected warming, due to the year of Guizhou benefits Bai's exit dispute, the new live element in 2006 and 200No significant progress has been made in 7 years of promotion. 2008, the Tibetan pharmaceutical industry again put the new live product marketing promotion on the agenda. At the beginning of that year, the Tibetan pharmaceutical Industry and Hong Kong signed the "Cooperation Agreement" to the new living element of all the rights and interests, jointly funded 392 million yuan to set up a joint venture company to carry out the market promotion and sales of new living element. It is difficult to understand that, in 2008, the agreement with Hong Kong has just signed less than one months, the Tibetan pharmaceutical industry and Shenzhen Kang Zhe signed the "sole Agent general distribution Framework Agreement", awarded the Kangjie pharmaceutical New living element in the domestic exclusive agency rights. It is not hard to see that there are contradictions between the two agreements signed with two companies, which has forced the Tibetan medicine industry to sign a complementary agreement with Hong Kong. Although the market has not yet spread out, but agents of the new live element of the competition has become increasingly fierce. Compared with two cooperation agreements, the profit distribution is quite different, it is obvious that the distribution of new living element in the form of joint ventures will bring more profits to the listed companies. After the two sides have identified the mode of cooperation, the Kangjie drug industry's "seizure of power" inevitably let investors suspicious. Industry insiders believe that the Kangjie pharmaceutical industry or get the new shares in the east support. At that time, the Tibetan pharmaceutical industry in the introduction of new strategic investors new Phoenix, the actual control of the Zhou Mingde and its concerted action of the proportion of the shareholders have slightly higher than the original major shareholder of the Tibetan Huaxi pharmaceutical industry, and Kangjie Pharmaceutical chief Operating Officer Chenhongbing and Zhou Mingde for Nanjing, two people or a personal relationship. In the end, cooperation was cancelled due to the fact that Hong Kong's plan of cooperation could not be approved by the state Food and Drug Administration within the time frame of cooperation. The Shenzhen Kang Zhe has retained the sole agent to obtain the total distribution right. It is noteworthy that, according to the Kangjie pharmaceutical industry to Hong Kong after the listing of the disclosure of information, specifically referred to the new Living element to obtain the sole agent of the total distribution rights to pay the "price." Kangjie Pharmaceutical Industry is committed to the domestic implementation of 2000 new live vegetarian four phase clinical trial, the clinical trial of the new living element is provided free of charge by the Tibetan medicine. The Kangjie pharmaceutical industry estimates that the cost of the company is only about 6.5 million yuan. Poor Temple rich agent public information shows that from 2002 to date, the Tibetan pharmaceutical "new live Element" project 12 years to spend billions of dollars, but not to the listed companies to create how much profit. The marketing and service expenses paid by the agent distributor in Tibet are the biggest resistance to the increase of the "New Living Element" project profit, and the listed company has become a pure drug producer. In 2002, the Tibetan pharmaceutical industry paid 71.8 million yuan for the acquisition of the proprietary technology of recombinant human brain natriuretic peptide to the associated Party of Huaxi medicine in Tibet. 2005 completed the new live element and frozen powder injection production line of investment and construction of the actual contribution of 13.3 million yuan, 2006 by the resumption of the total distribution rights compensation Guangdong Kanghong loss of 13 million yuan. In addition, the Tibet Pharmaceutical "new live Element" project from 2006 to 2013 the promotion of the product costs have not been detailed disclosure. However, in 2006, the Tibetan medicine industry in the introduction of cooperation in Guizhou Benefits Bai, the company's marketing system reform, has strengthened the advertising investment. So far, the promotion of new living element has continued to increase, in addition to marketing and service costs, but also includesThe GMP production of the plant in Chengdu cost. Compared to the "New Living Element" project investment is not stingy, product sales are not satisfactory. From 2005, the new living element to obtain a national class of medicine certificate, to 2007 annual sales income is less than 5 million yuan, and the annual technical amortization cost nearly 7 million yuan. Until 2008, the sole agent of the total distribution rights to the Kangjie pharmaceutical industry, sales have a little improvement. The public information of Kangjie pharmaceutical industry shows that from 2008 to 2013, the agent of new live products total operating income of 104 million U.S. dollars, to the current 1 U.S. dollars to 6.25 yuan exchange rate calculation, about RMB 652 million yuan. Tibet pharmaceutical Industry has not disclosed the new live element sales, but because Kangjie medicine has a new living element exclusive total distribution rights, products mainly by its sun company Changde Kangjie Sales. From 2008 to 2013, except in the 2008 Changde Kangjie did not enter the Tibetan medicine industry before five customers, the remaining 5 annual sales accounted for the total to Changde Kangjie sales of about 364 million yuan. However, most of the 364 million yuan income was returned to the Kangjie pharmaceutical industry in the name of marketing service charges. Securities Times reporter noted that the Tibetan medicine since 2008, its own product gross profit margin of more than 70%, but the maximum net profit margin of not more than 3%, mainly market costs increased significantly. A group of published data shows that between 2008 and 2013, the total sales revenue of the listed company's own products is 1.43 billion yuan, operating profit of more than 1 billion yuan. However, in the meantime, the net profit attributable to the shareholders of listed companies is deducted from the non-recurrent profit and loss less than 100 million yuan. From the main business of Tibet Pharmaceutical Industry, mainly includes two major plates, one is the higher margin of its own products, including Connaught Kang capsules and new live vegetarian, the other is the pharmaceutical business trade, by holding 51% Sichuan Herbal Medicine Hall operating. Performance report reflects that 2008 to date, the pharmaceutical commercial trade plate sales higher, but the gross margin has been stable around 2%, the profit contribution is small. Aside from the contribution of the pharmaceutical business sector, it is not difficult to find that the large cost of its own products has eroded the net profit of shareholders. 2008 ~2013 years, the company's sales costs amounted to 909 million yuan, which accounted for the largest proportion of the market costs. In terms of market costs that have been reported separately, 2011 was $117 million, compared with 181 million in 2013, with a composite growth rate of over 20%. This shows that, although from the exclusive distributor Kangjie pharmaceutical industry, the new live product sales maintained a sustained and rapid growth, but also for the Kangjie pharmaceutical industry has brought higher profits, but for the Tibetan pharmaceutical industry, its share of profit growth is extremely slow. According to the Tibet pharmaceutical Industry recently signed with Changde Kangjie (Shenzhen Kang Zhe wholly-owned subsidiary) of the "Extension service agreement", "new live element" product promotion service cost up to 150 million yuan. In the first quarter of this year, the cost of Tibet's pharmaceutical sales increased by 17.2716 million yuan a year earlier, an increase of 53.17%. The dream and the nightmare although the contribution is meager, the new live element project is objectively for TibetThe continuing hype at the two-tier market in the pharmaceutical industry has provided the subject matter, and the company has also painted a beautiful picture of the future for investors. Tibet Pharmaceutical 2002 High-priced acquisition of recombinant human brain natriuretic peptide technology, said: "Recombinant human brain natriuretic peptide is a high-tech biotechnology products, technical content and efficacy at home and abroad are in the leading position, is the Tibet Autonomous Region was the first to be declared genetically engineered recombinant drugs." Tibet pharmaceutical Industry believes that the acquisition of this technology, has a huge economic and social value, can greatly improve the technical content of the company's products, forming a new profit growth point. From the disclosure of information from 2002 to date, the new living element has been the Tibetan pharmaceutical management to give good expectations, widely expected by the market. From the clinical trial to the base construction, to the later operation and promotion, listed companies continue to increase the investment of new living products. A deep study in May 2006 Wanguo that the recombinant human brain natriuretic peptide is expected to break 500 million in sales in 5 years and become a blockbuster for cardiovascular emergency medicine. The industry also sees recombinant human brain natriuretic peptide as a major breakthrough in the treatment of acute heart failure. For China's market, the increase in aging will undoubtedly stimulate investors ' market expectations. The new live element is the rescue medication for acute heart failure, of which more than 90% of the patients can use the drug. 10 years ago, the market conservative estimate, the market size of at least 2.2 billion yuan. Such a high market expectations, agents find ways to compete for new live element of the sole agent total distribution rights is not difficult to understand. Curiously, however, as the owner of this product and technology, the Tibetan pharmaceutical industry has been saddled with debt and has had to introduce strategic partners for three consecutive years from 2005 to 2007. According to long-term management in the Tibetan pharmaceutical industry, the introduction of new strategic investors in 2007 when the new Phoenix, the company's day-to-day affairs of the most headache is the creditor constantly and court cases, because of tight funds, the company even do not pay for staff wages, office space has been the debt collectors. From the dream of high expectations to the nightmare of lawsuits, this is clearly not to blame for the new products, but also exposed the Tibetan pharmaceutical companies and management strategy failure. (Edit: Li Zhihua)