Core Viewpoint - The company reported a decline in both revenue and net profit for the first half of 2025, marking the end of its growth narrative, primarily due to rising raw material costs and a heavy reliance on a single product line [1][2]. Financial Performance - The company's operating revenue for the first half of 2025 was 5.379 billion yuan, a year-on-year decrease of 4.81% [1]. - The net profit attributable to shareholders was 1.442 billion yuan, down 16.22% year-on-year [1]. - The net profit after deducting non-recurring gains and losses was 1.453 billion yuan, a decline of 17.04% compared to the previous year [1]. - The net cash flow from operating activities was 376 million yuan, with a net cash ratio of 0.26, indicating over 70% of profits were tied up in accounts receivable and inventory [1]. Raw Material Challenges - The company has been stockpiling strategic materials like natural musk and cow bile to hedge against raw material price fluctuations, leading to significant capital being tied up in inventory [1]. - The price of natural cow bile reached 1.7 million yuan per kilogram in the first half of 2025, with a continuous supply-demand gap [2]. Pricing Strategy - The company has raised prices over 20 times since its listing in 2003, but the effectiveness of this strategy is diminishing, with price discrepancies observed between official and market prices [2]. Product Dependency - The company remains heavily reliant on liver disease medications, which generated 2.896 billion yuan in revenue, a 9.70% increase, but with a significant cost increase of 52.98% [2]. - Other product revenues, including cardiovascular medications and cosmetics, saw substantial declines, with cardiovascular drug revenue dropping 71.04% to 601 million yuan [2]. R&D and Innovation - The company is advancing two new drug projects and has 18 ongoing research projects, but its R&D expenditure of 120 million yuan represents only 2.23% of its revenue, which is low compared to industry leaders [3]. - The company invested nearly 1 billion yuan in a new technology building, raising questions about the rationality of resource allocation [3].

Core Viewpoint - The company "Pian Zai Huang," known as the "Moutai of Medicine," is shifting its focus towards private equity investments due to low returns on its substantial cash reserves, which have led to a need for new growth engines [2][11]. Investment Strategy - Pian Zai Huang's wholly-owned subsidiary, Zhangzhou Pian Zai Huang Investment Management Co., plans to invest 200 million RMB in the Gao Xin Run Xin Fund, representing 20% of the fund's target size [2][4]. - The company has significantly increased its participation in private equity investments since 2024, establishing multiple funds including the Yuan Shan Fund and the Ying Ke Health Fund [7][8]. - The company aims to enhance its competitive edge and find new growth points by investing in the health industry, which includes pharmaceuticals, medical devices, and health-related sectors [4][10]. Financial Performance - As of the end of 2024, Pian Zai Huang's total deposits reached 6.554 billion RMB, but the interest income was only 36.8579 million RMB, resulting in a low yield of 0.56% [2][11]. - The company's revenue for 2024 was 10.788 billion RMB, with a year-on-year growth of 7.25%, while net profit grew by only 6.42% [10]. - The gross margin for its liver disease medication decreased to 67.91%, down 10.88 percentage points from the previous year, contributing to performance pressure [10]. Market Position - Pian Zai Huang's market capitalization has seen significant fluctuations, peaking near 300 billion RMB in 2021, but has since faced a decline, with stock prices dropping for four consecutive years [9][10]. - The company has also engaged in direct stock investments, holding shares in several listed companies, which have contributed to its financial performance [8][13]. Industry Trends - There is a growing trend among pharmaceutical companies to participate as limited partners (LPs) in private equity, with several firms, including Yunnan Baiyao and others, following a similar strategy to leverage their cash reserves for investment opportunities [14][15].

【导读】片仔癀斥资 2 亿元参与设立投资基金，已与关联方多次联手 中国基金报记者 赵刚 千亿元市值 " 药茅 " 片仔癀又出手，再与关联方设立基金。 近一年多次进行基金布局 8 月 6 日晚间，片仔癀公告，其全资子公司片仔癀投资拟投资漳州高鑫润信大健康产业投资 合伙企业（有限合伙），投资金额为 2 亿元，占高鑫润信基金目标募集规模的 20% 。 公告显示，该基金投向覆盖药品、医疗器械、合成生物等大健康领域，医疗健康以外的投资 不超过 10% 。此次投资与关联方漳州片仔癀资产经营有限公司、漳州旅投共同进行。 同年 11 月，片仔癀投资参与发起设立 " 片仔癀盈科基金 " 。其中，片仔癀投资作为有限合 伙人以自有资金认缴出资 2.9 亿元，占该基金的比例为 29% 。 这不是片仔癀第一次与关联方联手设立基金。 2024 年 9 月，片仔癀宣布，全资子公司片仔癀投资与多方合作，共同投资设立漳州圆山大 健康产业投资基金合伙企业（以下简称圆山基金）。片仔癀投资以自有资金认缴出资人民币 2 亿元，占圆山基金比例为 20% 。 彼时，该公司表示，在保证主营业务稳健发展的前提下，以基金投资为抓手，充分借助专业 投资机构的资源 ...

Core Viewpoint - Pianzaihuang has invested 200 million yuan to establish an investment fund, marking its continued collaboration with related parties in the health industry [2][4][6]. Investment Activities - Pianzaihuang's wholly-owned subsidiary, Pianzaihuang Investment, plans to invest in the Zhangzhou Gaoxin Runxin Health Industry Investment Partnership, contributing 200 million yuan, which represents 20% of the fund's target size [2]. - This is not the first time Pianzaihuang has partnered with related parties to set up funds; in September 2024, it announced a similar investment in the Zhangzhou Yuanshan Health Industry Investment Fund, also contributing 200 million yuan for a 20% stake [4]. - In November of the same year, Pianzaihuang Investment participated in the establishment of the "Pianzaihuang Yingke Fund," investing 290 million yuan for a 29% share [6]. - In March of this year, Pianzaihuang announced another investment of 200 million yuan in the Zhaoying Fund, which has a planned scale of 1 billion yuan, focusing on biomedicine and medical services [8]. Strategic Goals - The company aims to leverage fund investments to enhance its integration capabilities across the industry chain, promote resource sharing, and stimulate innovation, all while ensuring the stability of its core business [8]. - Pianzaihuang's major shareholder, Jiulongjiang Group, has been a key contributor in the funds established by Pianzaihuang, indicating a strong alignment in strategic interests [10][12]. Financial Performance - In the first quarter of this year, Pianzaihuang reported revenue of 3.142 billion yuan, a year-on-year decline of 0.92%, marking its first quarterly negative growth in nearly a decade [15]. - The company's net profit attributable to shareholders was 1 billion yuan, reflecting a year-on-year increase of 2.59% [15]. - The gross margin has been under pressure, particularly in the liver disease medication segment, which saw a decrease of 12.39 percentage points [15][16]. Raw Material Costs - The increase in raw material costs has significantly impacted profit margins, with the price of natural cow bile remaining high at 1.6 million yuan per kilogram [17]. - Pianzaihuang plans to closely monitor changes in raw material prices and industry policies to improve risk management and enhance profitability [17].

Investment Rating - The investment rating for the company is "Buy" (maintained) [3] Core Insights - The company reported strong product sales, with a notable increase in revenue from its core liver disease medication, which achieved a revenue of 1.833 billion yuan in Q1 2025, representing a year-on-year growth of 21.83% [6] - The gross margin is under short-term pressure, decreasing to 63.36% in Q1 2025, down 12.39 percentage points year-on-year, primarily due to a significant increase in the price of natural bezoar [6] - The company is actively expanding its distribution channels, with 49 new experience centers and traditional Chinese medicine halls opened in Q1 2025, bringing the total to 484 [6] - The company expects to see a recovery in gross margins in the medium term, supported by the potential import of lower-cost bezoar and possible price adjustments for its products [6] Financial Summary - Revenue projections for the company are as follows: - 2024: 10.788 billion yuan - 2025E: 11.855 billion yuan - 2026E: 13.062 billion yuan - 2027E: 14.270 billion yuan - Corresponding growth rates are 7.25%, 9.89%, 10.18%, and 9.25% respectively [3][7] - Net profit projections are: - 2024: 2.977 billion yuan - 2025E: 3.295 billion yuan - 2026E: 3.779 billion yuan - 2027E: 4.349 billion yuan - Corresponding growth rates are 6.42%, 10.67%, 14.70%, and 15.08% respectively [3][7] - Earnings per share (EPS) projections are: - 2024: 4.93 yuan - 2025E: 5.46 yuan - 2026E: 6.26 yuan - 2027E: 7.21 yuan [3][7] Market Position - The company has a total market capitalization of approximately 123.56 billion yuan and a closing price of 204.80 yuan [3]