Xin Lang Zheng Quan·2025-08-26 11:16Product Prices and Market Performance - Overall demand has decreased due to the pharmaceutical environment, but the three main intermediate products of the company have shown varied performance. The price of thiocyanate erythromycin has risen slightly, with a single-digit increase since the beginning of the year, and is expected to remain stable in the second half of the year. The price of cephalosporin products is stable and is expected to maintain the current situation in the second half. The price of penicillin has decreased since the beginning of the year, but with increasing industry concentration, it is becoming more difficult for small companies to enter the market. An increase in demand is expected in the fourth quarter, which may improve the situation [1]. Synthetic Biology and Project Progress - Sales of synthetic biology products are steadily advancing, with the company achieving a revenue of 22.32 million yuan in the first half of the year. With adjustments and releases in production capacity, future sales are expected to increase. The methanol protein project has undergone trials in a 30m³ fermentation tank, with initial results available and samples sent to downstream manufacturers for testing. The company is also actively applying for qualifications from the Ministry of Agriculture and Rural Affairs [2]. Overseas Capacity and Domestic Planning - After assessment, the company has decided to postpone its entry into Kazakhstan due to several uncontrollable risks. The first phase of the company is in a rapid development stage, and the second phase will be determined based on the R&D progress of the Shanghai Research Institute and the release of first-phase capacity [3]. Order Expectations and Capital Expenditure - The company anticipates growth in orders with Kelun Yongnian Company for ergotamine. There are no significant capital expenditures expected in the short term, with fixed asset depreciation for the first half of 2025 amounting to 273 million yuan, an increase of 22 million yuan year-on-year. Starting in 2026, the main equipment depreciation is expected to decrease significantly, with a projected reduction of tens of millions if no new fixed assets are added by the end of 2027 [4]. R&D and Product Selection Planning - Future R&D will focus on four main areas: traditional product synthesis and biological modification; technology enhancement and cost reduction for delivered products; efficient biological utilization of C1/C2 resources; and the development of amino acids and vitamin products [5]. Cost Trends and Import-Export Situation - The price of the main raw material, corn, is expected to rise to 1.8 - 1.9 yuan/kg in November. Energy costs, particularly coal prices, have decreased compared to 2024 and are expected to remain stable in the coming years. The export amount has increased by approximately 25% compared to the same period last year, mainly due to increased exports of thiocyanate and 6-APA, while cephalosporin exports have slightly decreased. Exports are primarily directed towards India and Hong Kong, with tariffs having minimal impact on the company's exports [6]. Gross Margin and Production Efficiency - With the increase in synthetic biology product volume and the application of AI technology, the company has room for improvement in gross margin. AI-controlled fermentation tank output exceeds the control group by 3% - 5%, reducing production fluctuations and enhancing R&D efficiency. The overall gross margin for the company in the first half of 2025 was 35.90%, a year-on-year increase of 0.55%, while the gross margin for pharmaceutical intermediates was 38.64%, a year-on-year increase of 1.37% [7]. Expenses and Performance Outlook - The sales expense ratio for the first half of 2025 was 0.58%, an increase of 0.21% year-on-year, and is expected to remain stable in the second half. The management expense ratio was 3.37%, an increase of 0.13% year-on-year, while the financial expense ratio was 0.67%, a decrease of 0.19% year-on-year. The company is facing performance pressure this year due to the impact of penicillin prices, with expectations of a decline compared to last year. However, in 2026, with the increase in synthetic biology product volume and the recovery of penicillin prices, performance and profits are expected to improve [8].