May 26, the State Ministry announced on its website the first quarter of 2015, the pharmaceutical industry the completion of major economic indicators. In the first quarter, the pharmaceutical industrial added value increased 11.1%, higher than the overall industry growth rate of 5.5 percent, showing great prospects for the development of the pharmaceutical industry.

And in "2014 Economic Operation of the pharmaceutical industry," April 14 day laborers released by the Ministry pointed out that the development of the pharmaceutical industry is entering a new normal, high-speed growth. Data released in the first quarter of this once again confirms the pharmaceutical industry entered a period of high growth.

As the pharmaceutical industry sub-sectors of the medical device, in terms of revenue: Although the "quantity" seem like much, but the growth rate was as high as 12.65%, come out on top. And in profits in the "quantity" and "growth" on all general, it is worth our depth.

1. Analysis of the main business income
 
In 2015 a quarter of the pharmaceutical industry's main business income situation
 
YoY (%) over the same period in 2014 the growth rate (%) in main business revenue (million)

Chemical API manufacturing 1016.80 11.32 9.16

Chemical preparations manufacturing 1589.60 11.72 12.72

Chinese medicine processing 356.50 11.52 16.87

Proprietary manufacturing 1332.27 13.83 5.68

Biopharmaceutical manufacturing 604.06 9.45 13.96

Sanitary materials and medical supplies manufacturing 382.47 11.57 21.00

Pharmaceutical Machinery Manufacturing 35.90 7.35 9.46

Medical equipment and device manufacturers 501.77 12.65 15.51

The pharmaceutical industry 5819.37 13.81 9.63

As can be seen from the table data, a quarter of the pharmaceutical industry scale enterprises realized main business income of 581.937 billion yuan, an increase of 9.63%, higher than the national growth rate of 7.63 percentage points overall industry, but lower than the 4.18 percentage points over the same period last year. In each sub-sector, the fastest growing medical equipment and device manufacturers, the growth rate was 12.65 percent, with 11.57 percent while the growth rate of health materials and medical supplies manufacturing are also among the fastest-growing third.

Income from the business point of view, chemical preparations manufacturing, medicine and chemicals manufacturing bulk drugs manufacturer with over 100 billion revenue still ranked the top three. The business income of medical equipment and instrument manufacturing and sanitation materials and medical supplies for the manufacture of 50.177 billion yuan and 38.247 billion yuan.

Medical equipment and device manufacturing and sanitary materials and medical supplies manufacturing are medical devices, and in the first quarter of 2015, economic indicators, revenue both are low, but they have shown a high growth rate, showing that industry booming development potential and encouraging prospects!
 
2. The total profit analysis
 
2015 first quarter gross profit pharmaceutical industry completion
 
YoY (%) over the same period in 2014 the growth rate (%) in main business revenue (million)

Chemical manufacture of APIs 69.70 8.79 22.93

Chemical preparations manufacturing 187.97 13.86 18.82

Chinese medicine processing 26.00 11.97 13.39

Proprietary manufacturing 135.93 9.15 8.64

Biopharmaceutical manufacturing 76.41 19.99 -0.85

Sanitary materials and medical supplies manufacturing 37.40 11.62 25.14

Pharmaceutical Machinery Manufacturing 3.27 2.68 -6.55

Medical equipment and device manufacturing 40.10 9.05 5.31

The pharmaceutical industry 576.78 12.20 13.00

As can be seen from the table data, a quarter more than the pharmaceutical industry scale enterprises realized a total profit of 57.678 billion yuan, an increase of 12.20 percent, higher than the national growth rate of 14.9 percent overall industry, but lower than the 0.80 percentage points over the same period last year. In each sub-sector, biopharmaceutical manufacturing fastest profit growth, the growth rate of a staggering 19.99%.

Medical equipment and device manufacturing and sanitary materials and medical supplies manufacturing in the total profits are medical devices, respectively, 4.01 billion yuan and 3.74 billion yuan, much lower than of drugs and medicine, while the annual growth rate of 9.05% and 11.62% also it appears quite satisfactory.

3. The export delivery value analysis

The document released by the Ministry of Industry also gives the first quarter of 2015 export value of the pharmaceutical industry. January-March, the pharmaceutical industry enterprises above designated size export delivery value 40.588 billion yuan, an increase of 5.94 percent, the growth rate increase of 1.98 percentage points over the previous year. According to customs import and export data, January - March exports of pharmaceutical products 13.658 billion yuan, an increase of 9.78 percent, the growth rate increased by 5.92 percentage points over the previous year.

Customs from data given, the pharmaceutical industry, or whether it is export value increased growth called last year benefited from the policy of promoting and growing market, in addition, with the growth of domestic enterprises and Yixie to open up overseas acquisitions, as well as a national strategy, especially "along the way" to bring the good export environment, export the pharmaceutical industry will continue to rise.

Overall, the medical device industry in the pharmaceutical industry, whether its revenue or profit point of view, in the "quantity" is not dominant, it also shows that China's medical equipment industry foundation is weak, deficiencies. From the growth point of view, it seems quite satisfactory in terms of profit growth, revenue growth in the business point of view is the growth of the first.

Business growth in the first, but profit growth is lower phenomenon, few can explain.

The first is the low end of our current medical equipment business more, which led to the surge in traffic though, but profit growth has become weak;
 
Second, the medical device industry is highly competitive in the period, industrial high homogeneity, so the presence of malignant lower prices while sales up, but profits still embarrassed;
 
Finally, in the face of imported products squeeze space and their own exports, domestic medical equipment industry has a long way to go, including intellectual property, patent protection and counter-encirclement; brand building and promotion; on legal affairs support and so on, these are the need to confront the domestic medical equipment industry eleven resolved.

National good policy, especially the "Made in China 2025" in clear reference to the high-end medical equipment as well as the future, "Thirteen Five" plan special about medical devices, etc., which gave domestic medical equipment market hit a shot in the arm! The increase was the national strategy, as well as the maturity of the domestic enterprises, including overseas mergers and acquisitions experience accumulated overseas exports, which have made for the future growth of ready-made medical devices.

Huge market, favorable policies, as well as various preparatory steps to promote are by order of, I believe that the real rise of the domestic medical equipment that day just around the corner. (Source: Ministry of Industry official website)

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