Core Viewpoint - The export of Chinese vaccines is experiencing a recovery, with significant international contracts and an upward trend in export value, driven by increased average prices and a shift towards innovative products [1][9][19]. Group 1: Export Growth and Market Dynamics - Sinovac has signed a long-term contract with the Brazilian Ministry of Health to supply approximately 60 million doses of varicella and rabies vaccines over the next decade, valued at over $700 million [1][21]. - In 2024, China's human vaccine export value is projected to reach $212 million, marking a 6% year-on-year increase and the first growth since 2022 [1]. - The average export price of Chinese human vaccines is expected to rise by 9.42% in 2024, with a 34.04% increase compared to the same period in 2019 [9]. Group 2: Product Development and Innovation - Chinese vaccine companies are expanding their product lines from basic vaccines to more competitive innovative vaccines, with a focus on higher-value categories [8]. - Various vaccines, including the 13-valent pneumococcal vaccine and quadrivalent meningococcal conjugate vaccine, are accelerating entry into international markets [10]. - The HPV vaccine from Wantai Biologics has seen a threefold increase in exports, reaching approximately 15 million doses in 2025 [12]. Group 3: Challenges and Competitive Landscape - The domestic vaccine market is under pressure, with a decline in the number of vaccine approvals from 5,343 in 2021 to 4,202 in 2024, influenced by economic downturns and reduced vaccination willingness [14]. - The competition in the vaccine development space is intense, with many companies pursuing similar vaccine types, leading to a crowded pipeline [17]. - The export strategy is also influenced by cost structures, as companies aim to lower supply costs and improve production efficiency through increased output [18]. Group 4: Strategic Opportunities and Localization - There is a structural opportunity for Chinese vaccine companies to enter markets that are underserved by multinational corporations, particularly in low- and middle-income countries [19]. - Successful international expansion requires not only product sales but also the establishment of localized systems to support long-term growth [20]. - Companies are shifting from simple export models to more integrated approaches, including local production and technology transfer agreements [20].

气温下降、流感高发。12月9日，郑州市疾控中心发布健康提醒：优先推荐8类人群接种流感疫苗。 按照国家卫生健康委最新通报显示，本次流行季流感聚集性疫情数量明显高于上一流行季。结合流 感疫情形势和多病共防的防控策略，尽可能减少流感的危害，优先推荐重点和高风险人群接种流感疫 苗。 （四）养老机构、长期护理机构、福利院等聚集场所的居住人员及员工。这类场所人群聚集性强， 且人群整体免疫力较低，护理人员若防护不当也可能成为传播媒介，是易发生流感暴发疫情的重点场 所。 （五）孕妇。女性怀孕后机体免疫系统防御能力降低，心肺功能也会受到影响，可能导致罹患流感 时更易引发肺炎等严重并发症，住院、严重疾病和死亡风险增高。 （六）6~59月龄的儿童。儿童抵抗力相对较弱，此外，儿童常用手触摸物体，行为模式密集等原 因导致其罹患流感的风险较高。5岁以下儿童为流感重症病例高危人群，2岁以下儿童更易出现严重并发 症。 （七）6月龄以下婴儿的家庭成员和看护人员。接种疫苗可以有效形成"家庭保护圈"，间接保护无 法接种疫苗的6月龄以下婴儿。 （八）托幼机构、中小学校、监管场所等重点场所人群。我国每年报告的流感暴发疫情中，90%以 上发生在学校和托 ...

Core Viewpoint - The vaccine industry is experiencing a divergence, with some companies struggling while others reach historical highs. The demand for HPV vaccines, particularly the nine-valent HPV vaccine, has become a focal point in the domestic market, highlighting the challenges and opportunities within the industry [2][4]. Group 1: HPV Vaccine Market Dynamics - The end of the pandemic has led to a return to normal growth trajectories for the vaccine industry, but demand has slowed, reinforcing the single-product logic in the sector [2]. - The price of the two-valent HPV vaccine has plummeted, even dropping below the price of a cup of milk tea, due to increased competition and market saturation [4]. - Domestic vaccine companies have seen significant declines in stock prices and performance, with many experiencing over 70% drops, signaling the need for innovation rather than imitation [4][10]. Group 2: GSK's Vaccine Strategy - GSK's vaccine segment is a stable revenue source, with its shingles vaccine projected to generate £3.364 billion in sales by 2024 [6][8]. - The domestic market for shingles vaccines is expected to grow from ¥3.73 billion in 2022 to ¥5.63 billion by the end of 2025, with a compound annual growth rate of 16.4% [8]. - GSK's shingles vaccine is the first approved for immunocompromised adults, filling a significant gap in disease prevention [8]. Group 3: GSK's Financial Performance - GSK's stock has increased by over 50% this year, outperforming competitors like Pfizer and Merck, which have seen minimal growth [11]. - GSK reported a revenue of £24.049 billion (approximately ¥226.5 billion) for the first three quarters of 2023, a 3.4% year-on-year increase, with net profit rising by 135.08% to £5.08 billion (approximately ¥47.8 billion) [11]. - The company has raised its full-year guidance for revenue growth to 6%-7% and adjusted its earnings per share forecast upward to 10%-12% [11]. Group 4: M&A Activity and Future Outlook - GSK is accelerating its global acquisitions, including a $500 million upfront payment to Heng Rui Pharma for exclusive rights to multiple projects [14]. - The company has entered into several agreements for exclusive rights to develop and commercialize new therapies, indicating a robust pipeline and strategic growth [15]. - The future of the vaccine industry may hinge on developing unique products and maintaining competitive advantages, as seen in GSK's approach, which contrasts with the challenges faced by domestic companies [16].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚 賴該等內容而引致的任何損失承擔任何責任。 Ab&B Bio-Tech CO., LTD. JS 江蘇中慧元通生物科技股份有限公司 （於中華人民共和國成立的股份有限公司） （股份代號：2627） 自願性公告 凍乾人用狂犬病疫苗（人二倍體細胞）的III期臨床試驗啟動 本公告由江蘇中慧元通生物科技股份有限公司（「本公司」或「中慧生物」，連同其 附屬公司，統稱「本集團」）自願刊發，以告知本公司股東及潛在投資者有關本集 團最新業務發展的資料。 本公司董事（「董事」）會（「董事會」）欣然宣佈，本集團近期啟動本集團凍乾人用 狂犬病疫苗（人二倍體細胞）的III期臨床試驗。針對開發用於三種免疫方案的在研 疫苗，我們於2022年11月就Essen（五針）方案獲得中華人民共和國國家藥品監督 管理局核准的新藥臨床試驗許可，並於2023年4月獲批Zagreb（四針）和簡易四針 方案的補充臨床試驗申請。我們於2024年10月完成該在研疫苗的I期臨床試驗。 狂犬病是由一種狂 ...

Core Viewpoint - Chengdu Olin Biological Technology Co., Ltd. has submitted its application for a mainboard listing on the Hong Kong Stock Exchange, marking a significant step towards a dual listing in both A-share and H-share markets [1] Group 1: Company Overview - Olin Bio, established in 2009 and headquartered in Chengdu, specializes in the research, development, and production of human vaccines, with its main product being the adsorbed tetanus vaccine, which dominates the domestic market [1] - The company has shifted its strategic focus towards the development of innovative vaccines targeting multi-drug resistant bacteria [1] Group 2: Financial Performance - Olin Bio's financial performance shows a duality; while revenue has been stable due to a nearly 70% market share of its core product, the net profit margin remains low, fluctuating between 2% and 5% [2] - In the first half of 2025, the company achieved a revenue of 305 million yuan and a net profit of 13.23 million yuan, successfully turning around from losses [2] - The company's sales and distribution expenses have consistently exceeded 50% of revenue, and R&D expenses have remained above 20%, with 134 million yuan allocated for R&D in 2024 [2] Group 3: Revenue Dependency and Risks - The adsorbed tetanus vaccine is the primary revenue driver, contributing 80.1% to 93.7% of total income from 2022 to 2024, with projected sales of 536 million yuan in 2024, accounting for 90.99% of total revenue [3] - The reliance on a single product poses significant risks, as any fluctuations in market demand or competition could severely impact the company's performance [3] - Market forecasts for the adsorbed tetanus vaccine have been downgraded, with projections for 2030 reduced from 2.434 billion yuan to 1.5 billion yuan [3] Group 4: Accounts Receivable and Liquidity Issues - The company's accounts receivable rose from 524 million yuan in 2022 to 694 million yuan by mid-2025, with over 53.2% of receivables aging over one year [4] - The lengthening collection period has negatively impacted cash flow, with accounts receivable turnover days increasing from 272 days in 2022 to 328 days in 2025 [4] - The accumulated impairment losses on accounts receivable exceeded 46 million yuan during the reporting period, further eroding already thin net profits [4] Group 5: Capital Market Activities - Olin Bio terminated a planned A-share private placement aimed at raising 175 million yuan, later reduced to 125 million yuan, due to market conditions and company development plans [5] - The controlling shareholder reduced their stake by approximately 12.18 million shares, cashing out around 279 million yuan, leading to a decrease in their ownership percentage [5][6] Group 6: Future Prospects and Challenges - To mitigate reliance on a single product, Olin Bio is focusing on developing a "super bacteria vaccine," with its core candidate, a recombinant Staphylococcus aureus vaccine, currently in Phase III clinical trials [7] - The company aims to launch this product by 2027, alongside other vaccines targeting antibiotic-resistant bacteria [7] - However, the high costs and risks associated with R&D pose significant challenges, as historical precedents indicate potential pitfalls in vaccine development [7]

Group 1 - The article highlights the increasing prevalence of chronic diseases, particularly hypertension, diabetes, and hyperlipidemia, among the aging population in China, with a notable trend of younger individuals being affected [1][2] - The National Health Commission plans to develop a comprehensive service model focusing on chronic diseases during the 14th Five-Year Plan, emphasizing the integration of prevention, treatment, rehabilitation, and management [1][2] - The article discusses the rising incidence of infectious diseases, such as shingles and influenza, among chronic disease patients, necessitating a shift from traditional single-disease management to a multi-disease collaborative management approach [2][3] Group 2 - The approval of a new indication for the recombinant shingles vaccine marks a significant step in protecting adults with weakened immune systems from shingles, which is crucial for managing infectious diseases [3][4] - Chronic disease patients, particularly those with diabetes, have a significantly higher risk of developing shingles, with diabetes patients facing a 60% increased risk compared to the general population [5][6] - The article emphasizes the importance of vaccination as a standard practice in managing chronic diseases, as it can reduce the incidence of shingles and its complications, thereby alleviating the burden on healthcare resources [6][7] Group 3 - The market for shingles vaccines in China is projected to grow significantly, with the market size expected to reach 5.63 billion yuan by the end of 2025, reflecting a compound annual growth rate of 16.4% [8] - Community health services are increasingly promoting vaccine prescriptions to enhance accessibility and encourage adult vaccination, which has shown positive results in increasing vaccination rates [8]

Core Insights - The vaccine industry is experiencing intense competition characterized by price wars and oversupply, leading to significant price drops for various vaccines [1][3][4] - The China Vaccine Industry Association has issued an initiative to combat "involutionary" competition and promote high-quality development in the vaccine sector [1][2] - The current market conditions are described as a "winter" for the vaccine industry, with a structural differentiation in competition where some vaccines are priced at unsustainable levels [5][6] Price Trends - The price of the bivalent HPV vaccine has plummeted from over 300 yuan to around 30 yuan, a decrease of nearly 90% [3] - The three-valent flu vaccine has reached a record low of 5.5 yuan, significantly lower than previous prices [3] - Other vaccines, including shingles and pneumonia vaccines, are also experiencing price reductions as part of the ongoing price war [3] Public Perception and Trust - The drastic price reductions may lower public vaccination costs but could also undermine trust in vaccine quality [4][5] - Concerns about the safety and efficacy of low-priced vaccines may lead to a reluctance to vaccinate among the public [4][5] - The perception that vaccines are "not worth much" due to low prices could hinder the establishment of a healthy market view on vaccination [4] Industry Performance - The price war has resulted in significant financial pressure on vaccine companies, with many reporting declining revenues and profits [6] - Only 5 out of 14 listed vaccine companies saw revenue growth in the first three quarters of 2025, while 10 companies reported a decline in net profit [6] - The overall public willingness to vaccinate remains low, with flu vaccination rates in Shanghai estimated at less than 5% for the general population [6][7] Factors Influencing Vaccination Rates - Public awareness of diseases, vaccine pricing, and the convenience of vaccination services are key factors affecting vaccination willingness [7] - The lack of understanding about the severity of diseases like influenza contributes to low vaccination rates [7] - The infrastructure for vaccination services in China is still developing, with a need for improved accessibility and convenience [7][8] Future Market Potential - Despite current challenges, the long-term potential of the Chinese vaccine market remains strong, driven by an aging population and rising chronic disease rates [9][10] - The "Healthy China" strategy emphasizes prevention, which is expected to increase demand for vaccines among specific populations [9][10] - Companies are adapting to these trends by integrating preventive and therapeutic services into their business models [9][10]

Core Viewpoint - Chengdu Olin Biological Technology Co., Ltd. has submitted its listing application to the Hong Kong Stock Exchange, aiming to become another "A+H" listed vaccine company, following its listing on the Sci-Tech Innovation Board in June 2021 [1] Financial Performance - The company has shown an upward trend in revenue, with figures of 547 million, 494 million, 586 million, and 305 million RMB for the years 2022, 2023, 2024, and the first half of 2025 respectively [2][3] - Net profit figures for the same periods were 26.58 million, 11.44 million, 15.72 million, and 13.23 million RMB, indicating a significant improvement in the first half of 2025 with a profit of 13.20 million RMB, reversing previous losses [2][3] - The gross margin has consistently remained above 92%, reflecting strong pricing power and cost control [2] Market Position - Olin Biological holds approximately 70% market share in the domestic tetanus vaccine sector, with its main product, the adsorbed tetanus vaccine, being a significant revenue contributor [1][4] - The company has established a strong sales network covering 30 provinces and municipalities in China, with over 2,000 direct commercial relationships with district and county-level disease control centers [4] Research and Development - The company is focusing on developing vaccines for "super bacteria" and adult vaccines, with a comprehensive pipeline that includes the recombinant Staphylococcus aureus vaccine, which is in Phase III clinical trials [4][9] - R&D investment is projected to reach 134 million RMB in 2024, a 17% increase year-on-year, with the R&D team expanding from 59 to 136 members since 2020 [4][11] Market Growth Potential - The tetanus vaccine market in China is expected to grow from 2 billion RMB in 2019 to 8 billion RMB by 2024, with a compound annual growth rate (CAGR) of 40.2% [6] - The global incidence of tetanus is around 1 million cases annually, with 300,000 to 500,000 deaths, highlighting the ongoing public health challenge [6] Cash Flow and Financial Health - The company is experiencing cash flow pressure, with a net cash flow from operating activities of -9.73 million RMB in 2024 and -20 million RMB in the first half of 2025 [5] - Despite raising 95.91 million RMB through financing activities, the company’s self-sustaining ability remains a concern [5]

Core Viewpoint - The vaccine market in China is experiencing significant price fluctuations, with prices for certain vaccines dropping dramatically, leading to concerns about quality and sustainability in the industry [4][6][7]. Price Competition and Market Dynamics - The price of the bivalent HPV vaccine has plummeted from over 300 yuan to around 30 yuan, a decrease of nearly 90% [6]. - The three-valent flu vaccine's price has reached a record low of 5.5 yuan, significantly impacting the market [6]. - The price war is attributed to oversupply and intense competition among similar products, exacerbated by factors like vaccine hesitancy and declining birth rates [4][6][10]. Impact on Public Perception and Industry Health - While lower prices may increase accessibility, they also risk undermining public trust in vaccine quality, leading to skepticism about safety and effectiveness [7][10]. - The perception of vaccines as "cheap" could distort public understanding of their value, hindering the establishment of a market that supports health investments [7][10]. Industry Performance and Challenges - The price competition has resulted in declining revenues for many vaccine companies, with only 5 out of 14 companies reporting revenue growth in the first three quarters of 2025 [10]. - Companies like Zhifei Biological have reported significant losses, with a 66.53% drop in revenue and a net profit decline of 156.86% [10]. - The overall public willingness to receive vaccinations remains low, with flu vaccine uptake rates estimated at less than 5% for the general population in Shanghai [10][11]. Factors Influencing Vaccination Rates - Public awareness of diseases, vaccine pricing, and accessibility are key factors affecting vaccination rates [11]. - The lack of understanding about the severity of diseases like influenza contributes to low vaccination rates, alongside the self-pay nature of flu vaccines [11]. - The convenience of vaccination services is also a critical factor, with current service availability needing improvement [11][12]. Long-term Market Potential - Despite current challenges, the long-term potential of the Chinese vaccine market remains strong, driven by an aging population and rising chronic disease rates [12][13]. - The chronic disease management market is projected to reach 60,122 billion yuan by 2024, indicating a growing need for adult vaccination [12]. - The "Healthy China" strategy emphasizes prevention, which may lead to increased demand for vaccines among specific populations, such as the elderly and chronic disease patients [13].

Summary of Conference Call Records Industry Overview - The medical device industry is experiencing overall performance pressure in 2025, but third-quarter revenues have shown a year-on-year increase, with a narrowing decline in net profit attributable to the parent company, primarily due to domestic medical insurance cost control and geopolitical influences. It is expected that normal growth rates will resume in 2026 [1][3][8]. Key Points on Medical Device Sector - **Domestic Market Dynamics**: The slowdown in hospital bidding in 2024 is impacting revenue realization, with an expected boost from the "old-for-new" policy by the end of 2025. The In Vitro Diagnostics (IVD) sector is under pressure due to centralized procurement price adjustments and tax reimbursements [1][4]. - **International Market Challenges**: Companies are strengthening their overseas presence, but initial high costs are pressuring short-term profits. The impact of US-China tariffs on low-value consumables is significant, with expectations of price recovery in the glove industry from late 2025 to 2026 after inventory digestion [1][4][11]. - **Performance Metrics**: In the first three quarters of 2025, the medical device sector reported revenues of 145.7 billion yuan, a year-on-year decline of 2.4%, and a net profit of 26.5 billion yuan, down 14.4%. However, the third quarter showed a positive revenue trend and a narrowing profit decline [3][15]. Specific Sector Insights - **IVD Sector**: The IVD sector saw a year-on-year decline of 14.5% in the first three quarters, but the third quarter showed improvement with revenues of 11.02 billion yuan, benefiting from the implementation of centralized procurement and the release of DRG/DIP 2.0 [16]. - **High-Value Consumables**: This segment experienced a revenue growth of 6.6% year-on-year, with orthopedics showing a significant growth rate of 18.7%. The recovery in cardiovascular surgeries is driving sales, and the ophthalmology sector presents potential due to low penetration rates [17]. - **Medical Equipment**: The medical equipment sector's revenue remained flat, but profit growth was slightly higher. The imaging equipment sector is benefiting from the "old-for-new" projects, with a notable recovery in the endoscope segment [15]. Vaccine Sector Performance - The vaccine sector faced significant pressure, with revenues declining nearly 50% and profits turning negative. However, there is a quarter-on-quarter improvement trend. Future focus includes the recovery of traditional vaccines and the launch of new pipeline products, such as the domestically produced nine-valent HPV vaccine [2][23]. Life Sciences Upstream Sector - The life sciences upstream sector's performance remained stable, with a year-on-year profit growth of 68% in the third quarter, driven by recovering terminal demand and improved gross margins. The sector is benefiting from the expansion of the biopharmaceutical market and policy support [24]. Regulatory Environment and Challenges - The current regulatory environment emphasizes innovation while ensuring safety and efficacy. Domestic companies face challenges in international certifications, particularly with the FDA and CE, due to quality control issues [20][21][22]. Future Outlook - The industry outlook for 2026 includes a focus on self-sufficiency, innovative devices, and accelerated realization of centralized procurement categories. The recovery of orthopedic products is already evident, and international expansion remains a key area of interest [5][7][19].