The first quarter net profit of the company's innovative pharmaceutical companies ushered in a "turnaround".

As of April 30, in addition to Baiji Shenzhou and Nuocheng Jianhua 2 red-chip enterprises, the board of 29 innovative drug enterprises have been disclosed in the first quarter. Data show that 29 science and technology innovation board innovative pharmaceutical enterprises to achieve a total operating income of more than 11 billion yuan, an increase of more than 40%.

Among them, Baili Tianheng (688506.SH) turned losses into profits in the first quarter of 2024 after three consecutive years of losses, with a net profit of more than 5 billion yuan. The company said that the turnaround was due to the advance payment received from BMS (Bristle-Myers Squibb).

according to the company's announcement in December 2023, Baili Tianheng and BMS have reached an exclusive license and cooperation agreement on their independently developed EGFR × HER3 dual anti-ADC drug BL-B01D1. the two sides will jointly promote the development and commercialization of the product. After the cooperation agreement takes effect, BMS will pay Bailey Tianheng a down payment of US $0.8 billion and a recent contingent payment of up to US $0.5 billion. After reaching the development, registration and sales milestones, the company will receive an additional payment of up to US $7.1 billion.

also achieved a turnaround and Shenzhou cells (688520.SH). In the first quarter of 2024, Shenzhou Cells achieved operating income of 0.613 billion yuan, up 86.30 percent year-on-year, with a net profit of 74.1974 million yuan.

"compared with the same period last year, the company's product sales revenue continued to grow steadily, as well as by controlling operating costs, improving R & D efficiency and other ways to reduce costs and increase efficiency." Shenzhou cell said.

There are also some innovative pharmaceutical companies whose performance has changed due to the commercialization of their products. Di Zhe Pharmaceutical (688192.SH) reported in the first quarter of 2024 that the current revenue was 81.3186 million yuan. "In August 2023, the company's new product Shuvozhe was approved and began to have product sales revenue. No products were listed in the same period last year." Dizhe Pharmaceuticals said.

it is reported that suvoltinib is currently the only innovative drug in the world that has been recognized by FDA as a breakthrough therapy for the treatment of EGFR exon20ins mutant NSCLC, and was approved for listing in September 2023.

Junshi Bio (688180.SH) achieved operating income of 0.381 billion yuan in the first quarter of 2024, up 49.24 percent year-on-year, with a net profit loss of 0.283 billion yuan, down 47.92 percent year-on-year. The company said that it was mainly due to the increase in sales revenue of commercial drugs compared with the same period last year, while strengthening cost control and optimizing resource allocation, resulting in a reduction in losses.

There are also some CRE innovative pharmaceutical companies that have launched dividend schemes. Among them, Alex (688578.SH) first launched a cash dividend plan in 2023, becoming the second cash dividend after Shanghai Yizhong, the fifth set of standard listed companies on the board. According to the profit distribution plan, the company plans to distribute a cash dividend of 4 yuan for every 10 shares to all shareholders, totaling about 0.18 billion yuan.

At the same time, the company further mentioned the medium-term dividend in the "2024" Action Plan for Improving Quality and Increasing Efficiency and Reward ". If the first half of the year is profitable and the conditions for cash dividends are met, the company intends to carry out medium-term dividends.

Long-acting biologics leader Tebao Bio (688278.SH) intends to pay a cash dividend of 4.10 yuan per 10 shares in 2023, totaling about 0.167 billion yuan, an increase of 92.49 percent year-on-year.

At present, the Science and Technology Innovation Board has gathered more than 30 innovative drug companies, focusing on cancer, AIDS, hepatitis B, hepatitis C and other treatment fields, and has become the main listing place for biomedical companies outside the United States and Hong Kong, China.

Some people in the industry said that at present, the biomedical industry is ushering in a new qualitative productivity change. In the past five years, a total of 142 domestic innovative drugs have been listed in China, and the review and approval of new drugs has accelerated significantly. Beijing, Guangzhou, Zhuhai and other places have issued relevant policies to support the high-quality development of innovative drugs, and the support measures expected to be implemented cover the "whole chain" of innovative drug development, such as clinical development, review and approval, clinical application and payment, import and export, investment and financing ".