Kanghua biological landing on GEM golden standard rabies vaccine has a promising future

category:Finance
 Kanghua biological landing on GEM golden standard rabies vaccine has a promising future


Kanghua biology is a vaccine manufacturer integrating research, development and operation, and a leading vaccine manufacturer selling human diploid cell rabies vaccine on the market in China. At present, the companys main business products include freeze-dried human rabies vaccine (human diploid cells) and acyw135 group meningococcal polysaccharide vaccine.

Since its establishment in 2004, Kanghua biology has been engaged in the research, development, production and sales of vaccine products. Its freeze-dried human rabies vaccine (human diploid cells) has been awarded the honorary titles of national key new product, strategic emerging product of Sichuan Province, and its related culture technology platform has been supported by national high technology research and development plan (863 plan) u3002 Through years of continuous R & D and innovation, in addition to the two vaccine products that have been listed on the market, the company has 6 main research projects, such as cultivation technology of immobilized bioreactor for human rabies vaccine (human diploid cells).

In the rabies vaccine market, Kanghua biologicals brand influence, market channels, products and other aspects have gradually matured through years of development. By the end of 2019, the companys product marketing has covered more than 31 provinces, autonomous regions and municipalities directly under the central government in China, covering about 1300 district and county centers for disease control.

According to industry insiders, many quality indexes of freeze-dried human rabies vaccine (human diploid cells) produced by Kanghua biology are higher than national standards. Among them, the vaccine titer: the national pharmacopoeia required index u2265 2.5iu, Kanghua biological factory standard u2265 4.0iu; bovine serum albumin residue: the national pharmacopoeia required index u2264 50NG / dose, Kanghua biological factory standard u2264 40ng / dose.

In terms of business performance, in 2017-2019, Kanghua biologicals operating revenue was 261930200 yuan, 559467500 yuan and 554636600 yuan respectively, showing a year-on-year growth trend; during the same period, the companys gross profit margin was 89.46%, 94.44% and 94.17%, with strong profitability.

Since 2020, the net profit of Kanghua biological business income has maintained a rapid growth. From January to March, the company realized an operating revenue of 157.099 million yuan, an increase of 20.38% over the same period of last year; the net profit attributable to the shareholders of the parent company was 64.8757 million yuan, an increase of 82.59% over the same period of last year. The company expects net profit in the first half of the year to increase by 89.92% - 99.36% year on year to RMB 16100-169 million.

The second class vaccine market has entered a period of rapid development

Vaccine is the most effective weapon to prevent human diseases. At present, there are about 68 vaccines on the market around the world, which can prevent about 34 diseases. In recent years, the global vaccine market has grown steadily, and vaccine sales have increased year by year. According to the data of e-valuepharma, a well-known life science consulting company, the global vaccine market scale has increased from US $25.567 billion in 2013 to US $27.682 billion in 2017, with an average compound growth rate of 2.01%. It is expected to reach US $44.627 billion in 2024, with an average compound growth rate of 7.06%. The above growth is mainly due to the increasing global demand for vaccination and the governments increasing demand for vaccination And support from international agencies and new vaccines.

According to the national regulations on the administration of vaccine circulation and vaccination (revised in 2016), vaccines are divided into two categories. The first category refers to vaccines provided by the government to citizens free of charge, and citizens should receive vaccines according to the governments regulations. The second type of vaccine refers to other vaccines that citizens receive voluntarily at their own expense. Kanghua biologicals main products are all class II vaccines.

According to the data of the Chinese Academy of inspection and the research center of Anxin securities, in 2017, among the 20 vaccine varieties with the largest output value in China, the freeze-dried human rabies vaccine (Vero cell) ranked first with a sales volume of 3.881 billion yuan, with 13 vaccine varieties with an output value of more than 1 billion yuan, including 7 second-class diseases. On the one hand, the listing of new vaccines and multi vaccine will change the sales pattern of domestic vaccine market and bring increment to the second kind of vaccine market; on the other hand, the market scale of rabies vaccine, influenza virus split vaccine and oral rotavirus vaccine is huge. With the listing of new vaccines such as human diploid cell rabies vaccine and five valence oral rotavirus vaccine, the existing There is a large space for replenishment in the stock market, and Chinas second category vaccine market will enter a period of rapid development.

According to the analysis of the insiders, there is a strong technical barrier to the production technology of Kanghua biologicals fist product human diploid cell rabies vaccine. It is very difficult to control the amplification technology and related technology from the early stage of human diploid cell culture to the later stage of large pot culture, and it is very difficult to control the pH value, stirring speed, dissolved oxygen, etc.; at the same time, the production technology of human diploid cell to rabies virus is very difficult The sensitivity is not strong, the expression level of virus is moderate, and cells are easy to fall off after infection.

In 2014, Kanghua biological independently developed human diploid cell rabies vaccine, which adopts the technology of large-scale cultivation and expansion of human diploid cells with micro carriers in a large-scale bioreactor, overcoming the above technical barriers, breaking the technical limitations of domestic rabies vaccine, which has always used animal cells to prepare rabies vaccine, and is currently the leading human diploid rabies vaccine approved and listed by the Chinese Academy of inspection Canine vaccine.

Fund raising projects focus on sustainable growth

The successful landing in the capital market has given Kanghua biology new development assistance. The construction of relevant fund-raising projects will also promote the company to a higher level in operation and product competition.

According to the disclosure, Kanghua biological fund raising project Chengdu Wenjiang vaccine production base phase I construction sub project is planned to build a new high standard biological products base in Wenjiang District, Chengdu, in order to expand the companys capacity scale, respond to the rapid growth of market demand, and improve the degree of equipment automation to further improve product quality. The upgrading and construction subproject of the R & D Center implemented synchronously plans to build a new R & D center building in the base, and configure a batch of R & D special equipment with advanced technology and high precision, build a technical platform and pilot workshops, improve the comprehensive R & D capacity, and meet the needs of the medium and long-term R & D work.

Kanghua biological said that the companys product freeze-dried human rabies vaccine (human diploid cells) uses human diploid cells as the substrate to culture rabies virus, which can generate reliable immune response, produce neutralizing antibody with high titer, without serious adverse reactions, and is a powerful supplement to the current domestic traditional rabies vaccine. With the continuous improvement of safety awareness and requirements of vaccinators, especially pregnant women, children and people with allergic constitution, the demand for human diploid cell rabies vaccine is growing, and the proportion of batch issuance increased from 1.28% in 2017 to 4.04% in 2019.

After the implementation of Wenjiang vaccine production base phase I construction project, the company expects to increase the capacity of freeze-dried human rabies vaccine (human diploid cells) by 6 million pieces / year, and the new production of the project accounts for about 7.5% (calculated by the total amount of 8000 batches) to 10% (calculated by 6, The market share is still low, which can guarantee the smooth digestion of new production capacity. In addition, in view of the next development, Kanghua biological pointed out that with the deepening development of market demand, the company will take the existing core technology of virus vaccine and bacterial vaccine as the basis, and will further develop the freeze-dried JE inactivated vaccine (Vero cell), adsorbed tetanus vaccine, new influenza vaccine (gene recombination tetravalent influenza vaccine) and other fields, and extend its products to the in-depth field, To improve the product system. Kanghua biological said that the company takes serving human health as its mission, adheres to the core values of innovation, quality, responsibility and integrity, takes research and development as its core, production and quality as its basis, and strives to create a leading enterprise of human diploid cell rabies vaccine, becoming a leading biotechnology enterprise in China. Source: Yang Qian, editor in charge of Economic Observer_ NF4425

After the implementation of Wenjiang vaccine production base phase I construction project, the company expects to increase the capacity of freeze-dried human rabies vaccine (human diploid cells) by 6 million pieces / year, and the new production of the project accounts for about 7.5% (calculated by the total amount of 8000 batches) to 10% (calculated by 6, The market share is still low, which can guarantee the smooth digestion of new production capacity.