Sou Hu Cai Jing·2025-09-15 07:42Core Viewpoint - The pharmaceutical industry is experiencing a phase of performance divergence, with leading companies showing positive trends while many others face significant declines in performance. Overall, the industry's performance in the first half of 2025 is not impressive, with a revenue of 1.23 trillion yuan, down 1.2% year-on-year, and a total profit of 176.69 billion yuan, down 2.8% year-on-year. However, there is a clear trend of transformation from "generic" to "innovative" drugs, with many companies emphasizing technological innovation as a key strategy for high-quality development [1][2][3]. Industry Performance - In the first half of 2025, the pharmaceutical manufacturing industry reported a revenue of 1.23 trillion yuan, a year-on-year decrease of 1.2%, and a total profit of 176.69 billion yuan, down 2.8% year-on-year [1]. - Nearly 70 listed traditional Chinese medicine companies reported positive revenue and net profit, but over half experienced a year-on-year decline in net profit [2]. Performance Divergence - There is a notable divergence in performance among pharmaceutical companies. In the first half of 2025, 10 companies reported a net profit growth exceeding 100%, with the highest being Teva Pharmaceutical at 1313%. Conversely, 6 companies saw a net profit decline exceeding 100%, with the largest drop being 702% [3]. - Key drivers for improved performance include significant sales recovery of core products, enhanced cost control, and new product acquisitions through R&D, partnerships, or mergers [3]. R&D Investment Trends - Many leading pharmaceutical companies have significantly increased their R&D investments. For instance, China Resources Sanjiu's R&D investment reached 662 million yuan in the first half of 2025, a year-on-year increase of 68.99%. Yiling Pharmaceutical invested 399 million yuan, accounting for 9.87% of its revenue [3][4]. - Sales expenses for many companies have decreased, with a total of 492 A-share pharmaceutical companies reporting sales expenses of 159.49 billion yuan, down 3.72% year-on-year [4]. Policy Support for Innovation - The Chinese government has been actively supporting the development of innovative drugs, with 210 innovative drugs and 269 innovative medical devices approved during the 14th Five-Year Plan period, showing a trend of accelerated growth [5][7]. - In the first half of 2025, the National Medical Products Administration approved 43 innovative drugs, with 40 developed by domestic companies [7]. Strategic Focus on Innovation - Innovation has become a core strategy for many pharmaceutical companies, with several firms explicitly stating their commitment to increasing innovation efforts in their 2025 semi-annual reports. For example, China Resources Sanjiu has emphasized a dual strategy of "brand + innovation" [8]. - Companies like Teva Pharmaceutical and Taiji Group are focusing on key areas and the development of innovative traditional Chinese medicine, enhancing their competitiveness in the innovative drug sector [10]. Mergers and Acquisitions - The pharmaceutical industry has seen an increase in mergers and acquisitions, particularly following the "six merger rules" introduced in September 2024. Companies like China Resources Sanjiu and Kangyuan Pharmaceutical have actively pursued acquisitions to enhance their innovative drug capabilities [12][13]. - China Resources Sanjiu's acquisition of Teva Pharmaceutical for over 6.2 billion yuan has positioned it as a major player in the innovative drug sector, with expected synergies enhancing long-term growth potential [13][15]. Future Outlook - The pharmaceutical industry is undergoing structural adjustments and is expected to maintain resilience and vitality due to factors such as an aging population and ongoing health initiatives. The shift from "single-driven" to "dual-driven" strategies, focusing on both traditional and innovative drugs, is anticipated to drive future growth [15].