Recently, Pien Tze Huang's 2024 performance report was released. In 2024, the company achieved total operating revenue of approximately 10.769 billion yuan, an increase of 7.06% compared with 10.058 billion yuan in the same period of the previous year. The net profit reached 2.974 billion yuan, an increase of 6.32% compared with 2.797 billion yuan in the same period of the previous year.

In terms of performance growth rate, in 2023, Pien Tze Huang's operating revenue increased by 15.69% year - on - year, and the net profit increased by 13.15% year - on - year. In 2024, the performance growth rate of Pien Tze Huang slowed down.

Looking at single - quarter performance, in the fourth quarter of 2024, Pien Tze Huang achieved operating revenue of 2.32 billion yuan, a year - on - year decrease of 5.7%; the net profit was 290 million yuan, a year - on - year decrease of 26.8%; and the net profit after deducting non - recurring gains and losses was 330 million yuan, a year - on - year decrease of 20.8%. Both revenue and net profit recorded the largest single - quarter decline since 2016.

With the "stall" in Pien Tze Huang's performance, the secondary market clearly isn't buying it.
On the day after the performance forecast was disclosed, Pien Tze Huang opened with a 3 - point gap - down. The maximum intraday decline was 4.32%, and it closed down 1.37% with a full - day trading volume of 616 million yuan. The company's current total market value is 121.373 billion yuan, which has been "halved" compared with the peak in July 2021, evaporating 168.66 billion yuan in market value.

In the performance report, Pien Tze Huang stated that affected by the combined effects of changes in medical insurance policies and the shrinkage of the consumer market, the revenue from the pharmaceutical circulation industry decreased year - on - year. After deducting the pharmaceutical circulation industry, the company's total operating revenue increased by 13.29% year - on - year.

Pharmaceutical circulation is one of Pien Tze Huang's core main businesses. In the first half of 2024, this business contributed 2.27 billion yuan in revenue, accounting for 40.1% of the total revenue.

Reporters from Shenzhen Business Daily's Duchuang client noticed that the pharmaceutical circulation business of Pien Tze Huang had revenue growth in the first half of the year, with a year - on - year growth rate of 7.48%. Considering the decline in the full - year revenue of this business, its revenue in the second half of the year should have declined significantly, deteriorating compared with the first half of the year.

In addition, Pien Tze Huang also stated that its core products, the Pien Tze Huang series and Pien Tze Huang - branded Angong Niuhuang Wan, still maintained a growth trend.

Regarding the slowdown in the company's profit growth rate, Pien Tze Huang explained that the main reason was the increase in the cost of important raw materials, which compressed the profit margin.

According to the data statistics of Kangmei Chinese Medicine Network, the market price of natural bezoar was 650,000 yuan per kilogram in January 2023; and it was 1.65 million yuan per kilogram in January 2025.

Pien Tze Huang's semi - annual report in 2024 shows that liver - disease medications in the pharmaceutical manufacturing sector are the core sources of Pien Tze Huang's revenue and profit. In the first half of 2024, the revenue and gross profit margin were 2.64 billion yuan and 72.39% respectively, accounting for 46.7% of the total revenue and 75.6% of the total gross profit.

The main product of liver - disease medications is the time - honored brand "Pien Tze Huang", which is mainly used for acute and chronic viral hepatitis, carbuncles, ulcers, and furuncles caused by heat - toxin and blood stasis. Natural bezoar and musk, as the core raw materials of this product, account for up to 90% of the raw material cost.

With the increase in the price of natural bezoar, the profitability of the liver - disease medication business has faced challenges. The gross profit margin of this business decreased by 2.1 percentage points year - on - year in 2023, and continued to decline by 5.3 percentage points to 72.4% in the first half of 2024.

It is worth mentioning that in 2023, due to the increase in raw material costs, Pien Tze Huang raised the price of Pien Tze Huang from 590 yuan per pill to 760 yuan per pill, which boosted the company's performance that year, with revenue increasing by 15.69% year - on - year.

Source: https://finance.eastmoney.com/a/202501263308452675.html