HVSEN BIOTECH(SZ:300871)2023-05-04 02:16Financial Performance - In 2022, the company achieved operating revenue of 1,022.90 million CNY, a year-on-year increase of 2.68%, while net profit attributable to shareholders was 52.71 million CNY, a decrease of 60.33% compared to the previous year [3] - In Q4 2022, the company reported operating revenue of 351.42 million CNY, a year-on-year growth of 40.40% and a quarter-on-quarter increase of 28.04%. Net profit for the same period was 26.30 million CNY, showing a year-on-year increase of 100.21% and a quarter-on-quarter increase of 32.21% [3] - In Q1 2023, the company achieved operating revenue of 230.41 million CNY, a year-on-year increase of 12.03%, with net profit reaching 14.86 million CNY, a significant year-on-year growth of 634.03% [3] Product Development and Market Position - As of the end of 2022, the company had obtained 154 veterinary drug approval numbers, focusing on pig medications while also covering poultry, aquaculture, pets, and ruminants [4] - The company successfully launched a new antibiotic, "Taidiloxin Injection," which is a broad-spectrum, high-efficiency, and low-toxicity animal-specific antibacterial drug [4] - The company has made progress in its raw material and formulation integration strategy, achieving a revenue of 113 million CNY from raw materials, accounting for 11.11% of total revenue, with a year-on-year growth of 69% [3] Research and Development - By the end of 2022, the company had 113 R&D personnel, an increase of 12.71% year-on-year, and had made significant upgrades in hardware conditions and project management [4] - The company has 104 ongoing research projects and submitted five new veterinary drug registration applications to the Ministry of Agriculture and Rural Affairs [4] - The company is focusing on innovative drug development, with several new veterinary drugs in the pipeline, including a new drug for aquaculture that has completed toxicology trials [4] Challenges and Strategic Responses - The company faced challenges in 2022 due to a downturn in the pig farming industry, leading to weak demand for veterinary drugs and a decline in overall gross margin [5] - To enhance profitability, the company plans to improve customer coverage and penetration, leverage high-end technical services, and increase the sales proportion of high-margin products [5] - The company has expanded its client base, achieving coverage of the top 10 domestic pig farming enterprises and plans to strengthen communication with clients to enhance service and loyalty [5]