According to the information of the enterprise check, Bloomage Biotechnology (Weihai) Co., Ltd. was recently established with a registered capital of 20 million yuan, which was established by Bloomage Biotechnology (688363. SH) and Runhui Biotechnology (Weihai) Co., Ltd. jointly hold shares. As an affiliate of Weihaidisol Pharmaceutical, a Hong Kong-listed company, the addition of Runhui Biotech has attracted market attention, which may indicate that Bloomage Biotech is accelerating its entry into the field of innovative drug research and development through cross-border cooperation. The business scope of this newly established company covers cutting-edge directions such as biochemical technology research and development, medical research and testing, revealing Bloomage Biotech's new strategic intention in the synthetic biology track.

Schematic diagram of Runhui Biotechnology (Weihai) Co., Ltd

However, the performance of the global hyaluronic acid leader contrasts with the expansion move. Financial data shows that Bloomage Biotech is experiencing a performance test: its operating income in 2023 will decline by 4.45% year-on-year to 6.076 billion yuan, breaking the continuous growth record since 2018, and the 2024 performance express report will also announce a decline in performance. The reporter's observation of Bloomage Biotech's business segment found that the core pillars are currently under full pressure. The reporter noted that in the process of transforming from a B-end raw material supplier to a C-end brand, Bloomage Biotech's sales expense ratio has climbed from 49.24% in 2021 to 58.89% in 2023, and the peak sales expense in a single quarter has exceeded 800 million yuan. The industry environment is also severe, the price of hyaluronic acid raw materials continues to decline, and the R&D expenses of Bloomage Biotech have also remained high. In order to reverse the predicament, Bloomage Biotech is breaking through on multiple fronts. Bloomage Biotech said in its 2024 performance report: "The change in performance is the result of the company's strategic and active adjustment after long-term sustained growth, which is an unavoidable stage in the process of transformation and upgrading from high-speed growth to high-quality growth, and has structural, temporary and phased characteristics." "In addition to the new R&D subsidiary in Weihai, in 2022, it will acquire 51% of the equity of Beijing Yierkang Biotechnology for 150 million yuan, and Bloomage Biotech has also increased the competition in the collagen track.