顾晓风介绍，以往的化学药品集采是按照整个品种名称进行报量，不区分厂牌。本次集采，医疗机构可 以根据实际需要，既可不区分厂牌，按品种名称进行报量，也可细分到具体厂牌，按厂牌报量；可以部 分品种按名称报量，部分品种按厂牌报量。可供选择的厂牌均是前期已完成信息填报的医药企业，医疗 机构可填报的厂牌数量不受限制。 如果报量的厂牌没有中选怎么办？对此，国家组织药品联合采购办公室主任郑颐表示，如果医疗机构填 报的厂牌没有中选，相应报量就会转为该省的主供企业负责供应，医疗机构同样要完成该主供企业的协 议量。顾晓风提示，各厂牌品种规格不一，如果医疗机构报量的厂牌中选，则需要完成协议量。因此在 填报过程中，医疗机构要与"一品两规"等政策规定做好衔接，合理选择厂牌数量。 医疗机构该如何确定需求量？顾晓风介绍，在报量工作中，公立医疗机构需要综合考虑临床需求变化， 足量填报。无论是按名称还是按厂牌报量，原则上各品种的总报量不得低于2023年和2024年两年平均采 购量的80%。各品种2023年、2024年两年的平均采购量数据会导入系统，作为报量时的参考。 报量规则优化的一个重要体现，是尊重临床特殊需求。顾晓风解释，对使用量呈上升趋势 ...

Core Viewpoint - The recent launch of the 11th batch of national organized drug procurement emphasizes the importance of accurate reporting by medical institutions, introducing new rules to enhance flexibility and meet diverse medication needs [1][2]. Group 1: Reporting Rules and Requirements - The new reporting rules include an option for reporting by brand name, allowing medical institutions to cater to diverse patient needs while avoiding a one-size-fits-all approach [1][2]. - The reporting period for this batch is from August 6 to August 25, and all public and military medical institutions are required to participate [1][2]. - Medical institutions can report quantities either by drug name or by brand, with no limit on the number of brands that can be reported [1][2]. Group 2: Demand Estimation and Compliance - Medical institutions must consider clinical demand changes and ensure that total reported quantities are not less than 80% of the average procurement volume for 2023 and 2024 [2][3]. - Institutions are allowed to adjust reported quantities based on actual needs, especially for drugs with expected decreases in usage due to departmental changes or temporary needs [3]. - For drugs not covered by basic medical insurance, such as special or international medical services, they can be excluded from the reporting scope [3]. Group 3: Procurement and Supply Management - If a reported brand is not selected, the corresponding quantity will be managed by the province's main supply enterprise, and institutions must fulfill the agreement quantity with that enterprise [2][3]. - Institutions are encouraged to prioritize selected drugs but are not restricted to them, allowing for flexibility in procurement based on actual clinical needs [3][4]. - Since 2018, a total of 435 drugs have been procured through 10 batches of national organized procurement, which has facilitated the inclusion of 530 new drugs in the national medical insurance directory [3][4]. Group 4: Principles and Market Conduct - The procurement process will adhere to principles of maintaining clinical stability, ensuring quality, preventing collusion, and avoiding market saturation [4]. - Companies are advised to conduct cost-benefit analyses and engage in rational pricing while resisting illegal practices such as collusion and bid-rigging [4].

Core Viewpoint - The article discusses the ongoing optimization of China's drug procurement policy, emphasizing the principles of "stabilizing clinical use, ensuring quality, preventing collusion, and avoiding internal competition" as the country moves into its eleventh round of drug procurement, which includes 55 drugs [1][6][10]. Group 1: Drug Procurement Overview - Since 2018, China has conducted ten rounds of drug procurement, covering 435 drugs, with the eleventh round now initiated [1][6]. - The National Medical Insurance Administration (NMI) has stated that 480 companies submitted information for the procurement process, with an average of 15 companies per drug, and some drugs having over 40 companies participating [1][6]. Group 2: Optimization Measures - The NMI has optimized procurement rules, including allowing medical institutions to specify brands in their volume reporting and changing the price difference calculation method to not solely rely on the lowest bid [6][10]. - Quality assurance measures have been heightened, requiring that bidding companies have no violations of Good Manufacturing Practices (GMP) in the past two years [6][10]. Group 3: Market Impact - The eleventh batch includes a variety of drug forms, with oral sustained-release and injection drugs making up significant portions of the list [6][7]. - Notable drugs include cefazolin and famotidine, with over 30 companies eligible for bidding, indicating high competition [7]. Group 4: Financial Implications - The procurement process has saved approximately 440 billion yuan in medical insurance funds since 2018, with over 360 billion yuan saved from negotiations on older drugs, which has been redirected to innovative drugs [10]. - The shift in procurement policy is moving from a focus on low prices to a model that emphasizes quality, cost control, and reasonable profits [10][11]. Group 5: Regulatory Developments - The NMI is committed to maintaining a transparent and fair procurement process, with ongoing efforts to address issues of price fairness and quality assurance in the pharmaceutical industry [12].

Core Viewpoint - The "14th Five-Year Plan" emphasizes high-quality development in medical insurance, aiming to enhance public health and support economic growth through comprehensive reforms in the healthcare system [1] Group 1: Medical Insurance Coverage and Reform - During the "14th Five-Year Plan," the basic medical insurance coverage rate is maintained at around 95%, with the number of insured individuals expected to reach 1.327 billion by 2024 [1] - The medical insurance information platform has been fully established, with cross-provincial direct settlement of medical expenses increasing from 5.37 million in 2020 to 23.8 million in 2024, a growth of 44 times [1] - Legislative efforts are ongoing to strengthen the supervision and management of medical insurance funds, with new regulations being implemented [1] Group 2: Payment System Reform - The medical insurance payment system has shifted from "post-payment" to "pre-payment," with over 170 billion yuan pre-paid to medical institutions in 2024 [3] - The settlement cycle has been reduced from 30 working days to no more than 20, with some areas achieving next-day settlements [3] - The annual clearing of medical insurance funds has been expedited, completing six months earlier than at the beginning of the "14th Five-Year Plan" [3] Group 3: Pricing and Service Quality - The National Medical Insurance Administration has introduced pricing guidelines for various medical services, aiming for consistent pricing and comparability across hospitals [4][5] - New pricing projects have been established to encourage high-quality services, such as bedside ultrasound and early infant care [5] - The administration is focusing on industry standards to promote a more regulated and transparent medical market [5] Group 4: Drug Price Management and Innovation - The administration supports pharmaceutical innovation by allowing market-driven pricing for most drugs, with government guidance only for specific categories [6][7] - Since 2018, 10 batches of centralized drug procurement have been conducted, covering 435 types of drugs, which has helped reduce drug prices and improve accessibility [7] - A special governance initiative for drug prices has been launched to standardize pricing for over 27,000 drug specifications [8] Group 5: Reform and Global Cooperation - The medical insurance system promotes both reform and openness, with ongoing efforts to implement successful healthcare models from various regions [9][10] - The administration aims to expand insurance coverage and enhance public awareness through improved mechanisms and digital empowerment [10]

Core Viewpoint - Fuan Pharmaceutical (300194.SZ) is experiencing a significant decline in net profit for the first half of 2025, with projections indicating a drop of 39.95% to 53.81% compared to the previous year, contrasting sharply with a 20.69% growth in the same period of 2024 [3][5][6] Financial Performance - The company forecasts a net profit of 100 million to 130 million yuan for the first half of 2025, with a non-recurring net profit expected to be between 91 million and 121 million yuan, both showing substantial year-on-year declines [3][5] - In the first quarter of 2025, Fuan reported total revenue of 468 million yuan, down 42.22%, and a net profit of 69.04 million yuan, down 43.63% [5] - The company's net profit trajectory over the past two years has shown a "V" shape, with a net profit of 232 million yuan in 2023, up 13.32%, but heavily reliant on non-recurring gains [5][6] Market Dynamics - The decline in performance is attributed to the downward pressure on prices from national centralized procurement, with average price drops reaching 70% in the latest procurement round, particularly affecting the company's core products [6][7] - Fuan's main products, which include antibiotics and oncology drugs, account for 47.59% of total revenue and are significantly impacted by price reductions [7] Strategic Response - The company initially benefited from a strategy of "price for volume," which improved profit margins by reducing sales expenses, but this approach has reached its limits as price reductions continue [6][8] - Fuan is attempting to pivot towards innovative drugs and high-end generics to counteract the pressures from centralized procurement, although this transition is fraught with challenges [8][9] Research and Development - In 2024, Fuan invested 171 million yuan in R&D, representing 7.14% of its annual revenue, with several products receiving regulatory approvals [9] - The company is also exploring international markets, having received certifications for certain products in South Korea and passed FDA inspections for its subsidiaries, although overseas sales remain low at 3.17% of total revenue [9]

Group 1 - The pharmaceutical sector is experiencing a surge, with medical ETFs (159828) rising over 2%, and innovative drug ETFs (517110) and ChiNext medical ETFs (159377) increasing over 1% [1] - The National Healthcare Security Administration has initiated the deepening phase of centralized drug procurement, emphasizing principles such as "stabilizing clinical use, ensuring quality, preventing collusion, and countering internal competition" [1] - The 11th batch of centralized procurement rules has been significantly optimized, allowing medical institutions to select recognized brands and requiring lowest-priced companies to justify their pricing and commit to not pricing below cost [1] Group 2 - This adjustment aims to curb vicious price competition and shift the industry focus from "price wars" to "value wars," benefiting leading companies with stable production capabilities and strong cost control [1] - The National Healthcare Security Administration has conducted price governance for over 27,000 drug specifications, which is expected to further concentrate market share among high-quality leading enterprises [1] - The exploration of direct settlement of procurement and national negotiation drug consumables by the medical insurance fund aims to reduce the payment cycle for pharmaceutical companies from 6 months to under 30 days, significantly improving cash flow and overall operational efficiency in the industry [1]

Core Viewpoint - The Chinese government is actively promoting the "14th Five-Year Plan" with a focus on high-quality healthcare reforms, particularly through centralized drug procurement to lower drug prices and improve the healthcare ecosystem [1][2]. Group 1: Drug Procurement Reforms - The National Medical Insurance Administration has implemented 10 batches of centralized drug procurement since 2018, covering 435 types of drugs, which has effectively reduced drug prices and improved accessibility for the public [1][2]. - The 11th batch of centralized procurement has been initiated, optimizing procurement rules to ensure quality and prevent market manipulation, including a new pricing anchor that does not solely rely on the lowest bid [2]. Group 2: Credit Evaluation System - A credit evaluation system has been established to address issues like medical kickbacks and inflated drug prices, with 735 companies identified as untrustworthy by the end of 2024, affecting their procurement qualifications [2]. - The implementation of the credit evaluation system is shifting the market approach for pharmaceutical companies from high-price strategies to quality-focused management [2]. Group 3: Insurance Coverage and Financials - During the "14th Five-Year Plan," the basic medical insurance coverage rate has stabilized at around 95%, with an expected 1.327 billion insured individuals by 2024 [3]. - The cumulative expenditure of the medical insurance fund has reached 12.13 trillion yuan, with an annual growth rate of 9.1%, and a cumulative balance of 3.86 trillion yuan by the end of 2024 [3].

Core Viewpoint - The eleventh batch of centralized drug procurement in China is expected to be initiated soon, with a recent meeting held in Shanghai to advance this process [1] Group 1 - The National Organization for Drug Procurement held a working meeting in Shanghai to discuss the eleventh batch of drug procurement [1] - A "Government Open Day" event is scheduled for July 22, organized by the Shanghai Pharmaceutical Procurement Network, to introduce the national centralized procurement work [1] - The industry views this event as an important precursor to the launch of the eleventh batch of centralized procurement [1]

Company Overview - Zhuzhou Qianjin Pharmaceutical Co., Ltd. primarily engages in the research, production, and sales of chemical synthetic raw materials and solid preparations, with key products including Valsartan capsules and other medications [3][5] - Qianjin Xiangjiang Pharmaceutical's nine centralized procurement varieties have seen sales growth exceeding 20% year-on-year, while Qianjin Xieli Pharmaceutical's product, Benazepril, has experienced over 30% sales growth [3][5] Revenue Analysis - The company has reported significant revenue from centralized procurement, with the revenue from centralized procurement increasing substantially over the reporting period [9][10] - For Qianjin Xiangjiang Pharmaceutical, the revenue from centralized procurement accounted for 57.09% in 2024, up from 7.50% in 2020, indicating a strong shift towards centralized procurement sales [9][10] - The average selling price for centralized procurement has decreased from 7.66 to 6.61, while the non-centralized procurement price has also seen a decline from 25.99 to 17.50 [9][10] Market Position and Competitive Landscape - The market for hypertension medications is projected to grow, with the number of hypertension patients in China expected to reach 400 million by 2030, driving demand for products like Valsartan [7][8] - Qianjin Xiangjiang holds approximately 3% market share in the Valsartan segment, while its market share in other products varies, indicating a competitive landscape with several key players [7][8] - The company benefits from a self-operated team and strong brand recognition, which enhances its market position against competitors [7][8] Product Development and Pipeline - The company has several products undergoing research and development, with a focus on expanding its portfolio in response to market needs [6][8] - The market for liver protection drugs, such as Silymarin, is expected to grow significantly, with Qianjin Xieli's market share projected to reach 40% by 2030 [8] Cost and Expense Management - The company has optimized its production processes, which is expected to enhance its cost management and pricing strategies in future centralized procurement rounds [8][9] - The gross profit margin for centralized procurement products has improved, reflecting better cost control and pricing strategies [9][10]

Investment Rating - The investment rating for the company is "Buy" (首次) [1] Core Views - The company, Zhongsheng Pharmaceutical, has a solid foundation in traditional Chinese medicine and is innovating to drive future growth. The company has established a development strategy focusing on traditional Chinese medicine as the base, innovation as the lead, and specialty as the focus. The product pipeline is rich and diverse, covering major therapeutic areas such as cardiovascular, respiratory, ophthalmology, and digestion [4][14] - The company is expected to see steady growth in its traditional Chinese medicine segment and significant potential from its innovative drug pipeline. The projected net profits for 2025-2027 are estimated at 308 million, 345 million, and 392 million yuan, respectively, with corresponding EPS of 0.36, 0.41, and 0.46 yuan [4][6] Summary by Sections Company Overview - Zhongsheng Pharmaceutical was established in 1979 and officially restructured in 2001, becoming a top 100 pharmaceutical company in China. It focuses on drug research, production, and sales, with key products including the Compound Xue Shuan Tong series, Nao Shuan Tong capsules, and Zhongsheng pills [4][14] Business Structure and Strategy - The company has formed a sustainable business structure with innovative drugs as the leading development driver, traditional Chinese medicine as the business foundation, and chemical generic drugs as beneficial support. The core products are expected to maintain steady growth despite short-term challenges from price reductions due to centralized procurement [5][30] Financial Performance and Forecast - The company's revenue for 2023 was 2,611 million yuan, with a projected increase to 2,802 million yuan in 2025, reflecting a year-on-year growth of 13.5%. The net profit is expected to recover from a loss in 2024 to 308 million yuan in 2025, with a net profit margin of 11% [7][30] - The gross margin for 2024 is projected at 56.1%, with a net margin of 11.0%. The company has effectively controlled its expense ratios, which are expected to further decline as the innovative pipeline matures [7][30] Product Pipeline and Innovation - The innovative drug pipeline focuses on major indications, including COVID-19, influenza, weight loss, and MASH. Key products include the globally first peptide-based 3CL inhibitor for COVID-19, which was conditionally approved in March 2023, and an influenza treatment approved in May 2025 [6][14] - The company has a rich product pipeline that covers various diseases and promotes departmental collaboration, enhancing its competitive edge in the market [32][35] Market Position and Competitive Advantage - The company has established a strong market position with its core products, particularly the Compound Xue Shuan Tong series, which has seen a significant increase in market share due to its clinical evidence and academic promotion efforts [36][38] - The sales of the Compound Xue Shuan Tong capsules are expected to stabilize and grow, benefiting from demographic trends and the increasing demand for chronic disease treatments [36][39]