标题：Shandong Pharmaceutical GlassProfitability improves continually with promising major products
发布日期：2016-02-25 13:19:35
内容： Impressive earnings growth came in line with estimates. ShandongPharmaceutical Glass, a major maker of pharmaceutical glass productsbased in Yiyuan county, Shandong province of China, posted turnoverof Rmb1.72bn and net profit of Rmb145mn for 2015, up 1.9% and16.6% YoY, respectively. Its 2015 EPS was Rmb0.546, in line withestimate. Growth of the Company’s net profit noticeably outpacedgrowth of turnover, thanks primarily to meaningful increase in itsconsolidated gross margin (+4.84ppts) and sharp decline in financialexpenses (-216.95%). Upgrade of product mix and decline in raw material costaccounted for the meaningful rise in profit margins. In 2015, grossmargin of the Company’s molded glass vials and amber glass vialsbusiness went up 5.61ppts and 4.27ppts YoY, respectively, thanks to(1) fast growth in sales of the high-margin type-1 glass vials, whereintype-1 molded glass vials posted an estimated annual sales revenue ofover Rmb100mn alongside an over 30% growth in sales volume, andthe proportion of type-1 glass via is expected to grow further goingahead along with the Company’s overseas expansion andpopularization of the high-end pharmaceutical glass, and (2) consistentdecline in the price of sodium carbonate, one of the major raw material,which has declined by over 10% as of Dec 2015. Operation continued to improve amid expansion of productofferings. In 2015, the Company sustained upbeat operation. Its netoperating cash inflow and advance receipts grew 46.13% and 67.49%YoY, respectively, reflecting its solid operation management capability.Against the government initiative to control antibiotics abuse, theCompany ventured into the non-pharmaceutical glass market, and hassuccessfully built up presence in the domestic and overseas cosmeticbottle, food bottle and feeding bottle markets, successfully warding offthe impact of policy headwinds and safeguarding smooth businessdiversification. Asset impairment loss grew sharply. In 2015, asset impairment lossof the Company surged 313.22% YoY, mainly due to the Rmb15.74mnimpairment loss in “prefilled syringe assets” (it reduced the Company’snet profit by Rmb11.81mn or ~9.47%). Huge provision made for theimpairment loss in 2015 could ease the earnings pressure and supportfast growth of the Company’s operating results in 2016. SOE reform moved ahead. Actual controller of the Company is theSASAC office of Yiyuan County, Shandong province. In Sep 2015, theCompany announced a private placement plan, proposing to issueshares to its management and a platform company controlled by itsmanagement to fund expansion of the type-1 glass production capacity.
发布日期：2016-02-25 13:19:35
内容： Impressive earnings growth came in line with estimates. ShandongPharmaceutical Glass, a major maker of pharmaceutical glass productsbased in Yiyuan county, Shandong province of China, posted turnoverof Rmb1.72bn and net profit of Rmb145mn for 2015, up 1.9% and16.6% YoY, respectively. Its 2015 EPS was Rmb0.546, in line withestimate. Growth of the Company’s net profit noticeably outpacedgrowth of turnover, thanks primarily to meaningful increase in itsconsolidated gross margin (+4.84ppts) and sharp decline in financialexpenses (-216.95%). Upgrade of product mix and decline in raw material costaccounted for the meaningful rise in profit margins. In 2015, grossmargin of the Company’s molded glass vials and amber glass vialsbusiness went up 5.61ppts and 4.27ppts YoY, respectively, thanks to(1) fast growth in sales of the high-margin type-1 glass vials, whereintype-1 molded glass vials posted an estimated annual sales revenue ofover Rmb100mn alongside an over 30% growth in sales volume, andthe proportion of type-1 glass via is expected to grow further goingahead along with the Company’s overseas expansion andpopularization of the high-end pharmaceutical glass, and (2) consistentdecline in the price of sodium carbonate, one of the major raw material,which has declined by over 10% as of Dec 2015. Operation continued to improve amid expansion of productofferings. In 2015, the Company sustained upbeat operation. Its netoperating cash inflow and advance receipts grew 46.13% and 67.49%YoY, respectively, reflecting its solid operation management capability.Against the government initiative to control antibiotics abuse, theCompany ventured into the non-pharmaceutical glass market, and hassuccessfully built up presence in the domestic and overseas cosmeticbottle, food bottle and feeding bottle markets, successfully warding offthe impact of policy headwinds and safeguarding smooth businessdiversification. Asset impairment loss grew sharply. In 2015, asset impairment lossof the Company surged 313.22% YoY, mainly due to the Rmb15.74mnimpairment loss in “prefilled syringe assets” (it reduced the Company’snet profit by Rmb11.81mn or ~9.47%). Huge provision made for theimpairment loss in 2015 could ease the earnings pressure and supportfast growth of the Company’s operating results in 2016. SOE reform moved ahead. Actual controller of the Company is theSASAC office of Yiyuan County, Shandong province. In Sep 2015, theCompany announced a private placement plan, proposing to issueshares to its management and a platform company controlled by itsmanagement to fund expansion of the type-1 glass production capacity.
