Hong Kong IPO disclosure precedents · 26 companies, 26 items
Participation in volume-based procurement (centralised or provincial) tenders, win rates, price discounts of 30%-70%, and the proportion of revenue from VBP-covered products.
Given the lower unit price of CF017 under the 2025 VBP Scheme (i.e. RMB2.95 per dose) as compared to that under the 2021 VBP Scheme (i.e. RMB3.19 per dose), our sales of CF017 under the VBP channel decreased by 9.3% from RMB117.3 million for the three months ended March 31, 2024 to RMB106.4 million for the three months ended March 31, 2025.
Summary · p. 20
For example, since its inclusion in the NRDL, the sales volume of CF018 significantly increased from 4.3 thousand in 2023 to 341.1 thousand in 2024 and its average selling price decreased from RMB309.73 to RMB70.04.
we made pricing adjustments, reducing the fees for implantology services by approximately 25% to 40% across all of our dental institutions in mid-2023.
Summary · p. 8
Our dental institutions that are qualified as Medical Insurance Designated Medical Institutions are required to charge medical fees in accordance with the pricing guidelines and price ceilings set by the relevant government authorities for dental services eligible to be paid through the public medical insurance programs.
Business · p. 232
Leveraging our comprehensive dental specialty deployment, improving resource utilization efficiency, as well as the centralized management and economies of scale of our service network, we expect to mitigate the negative impact of these policies on our overall profitability.
Specifically speaking, certain types of the pharmaceuticals and medical consumables sold by us were incorporated into the scope of the national centralized procurement, of which the gross profit margin for sales of such types of pharmaceuticals and medical consumables were generally lower than the overall gross profit margin of our sales of pharmaceuticals and medical consumables during the same years.
Business · p. 336
Our sales of medical equipment during the Track Record Period were not affected by the application of national centralized procurement under the public medical insurance program as the scope of the centralized procurement under the public medical insurance program did not cover medical equipment sold by us during the same years.
Business · p. 337
Besides, during the same years, Huangshan Bohong has also obtained the right to supply 50 categories pharmaceuticals under centralized procurement.
These factors were offset in part by (i) a decline in sales revenue from certain generic products that experienced lower sales volume in certain regions and pricing pressure due to intense competition under the volume-based procurement ("VBP") scheme, and (ii) the inclusion of additional generic products in the VBP scheme, which adversely affected their selling prices and sales revenue.
Summary · p. 14
As of the end of 2022, 2023, and 2024, 33, 43, and 46 of our on-sale generic drugs had been included in the VBP schemes, respectively.
Business · p. 305
Based on the downward trend and the significant decrease from the contribution of less than 30% in 2022 to less than 12% in 2024, the materiality of the VBP schemes' pressure on our drug pricing during the Track Record Period gradually decreased and is expected to be decline in the foreseeable future.
Specifically, the average selling price of Jiouting decreased from RMB25.9 thousand per unit in 2021 to RMB11.9 thousand per unit in 2022, to RMB3.4 thousand per unit in 2023 and further to RMB2.9 thousand per unit in the six months ended June 30, 2024; the sales volume of Jiouting decreased from 9.5 thousand units in 2021 to 5.7 thousand units in 2022, and further to 4.8 thousand units in 2023 and amounted to 2.8 thousand units in the six months ended June 30, 2024.
Business · p. 376
As the selling price decreased in the second half of 2023, the sales revenue of Yinuojia decreased by 18.4% from RMB235.4 million in 2022 to RMB192.0 million in 2023. We expect that the average selling price of Yinuojia in 2024 will experience a substantial decrease.
Business · p. 374
To ensure the continued sale of our products in public hospitals, we chose to participate in the national VBP scheme for Jiouting, Yinuojia, and Jifuwei, whose compounds were selected by the national VBP scheme. We won the bid for each product, which showcased our competitiveness.
The decrease in the average spending per outpatient visit during the same periods was primarily due to the decrease in pricing of certain pharmaceuticals as impacted by implementation of the centralized volume-based drug procurement regime in China.
Business · p. 185
However, for pharmaceuticals and medical consumables covered by the public medical insurance programs, our self-owned medical institutions that are Medical Insurance Designated Medical Institutions are subject to the pricing guidelines set by the relevant local healthcare administrative authorities and the pharmaceutical zero mark-up policy (藥品零加成政策), which is a requirement to sell essential pharmaceuticals to patients at the procurement bidding price without any mark-up.