Livzon Pharmaceutical vs Sichuan Kelun Pharmaceutical: why the prices moved differently

Weekly · monthly · quarterly news summaries, side by side in time

Livzon Pharmaceutical Group Inc (000513.CS)

Q3 202623 Jul – 29 Sep 2026

▲2▼1

Livzon profit slumps on price cuts, but new drug approvals build pipeline

First-half profit and revenue drop sharply Livzon's first-half net profit fell 27.2% to 932 million yuan and revenue dropped 20.3% to 5 billion yuan. Chemical drug sales fell 25% on medical insurance price cuts and national volume-based procurement, while TCM sales fell 35% as flu demand faded. This weak earnings picture is the main drag on the stock.
The profit decline is the single biggest force pushing the stock down this period.
New leuprorelin three-month microsphere approval Shanghai Livzon won approval for an 11.25mg three-month leuprorelin acetate microsphere injection, a Category B insurance-listed drug for breast cancer, prostate cancer and precocious puberty. It is the only domestic maker of this dosage form, in a market worth about 10.9 billion yuan where three-month forms are 27%.
A genuinely new, exclusive product approval that can add future revenue and offsets the weak earnings.
New TCM granule approval enriches product line Livzon's Sichuan Guangda unit received a drug registration certificate for Banxia Baizhu Tianma Decoction Granules, its first Category 3.1 new traditional Chinese medicine. The approval adds to the product pipeline, though the company gave no launch timing or sales forecast, so the near-term financial benefit is limited.
A new product approval that supports the pipeline story, though small in scale.
Parent Joincare's weak finances and guarantee load Parent Joincare disclosed a 2.069 billion yuan guarantee balance, including guarantees for Livzon units, while its 2025 and first-quarter revenue and profit both fell. This adds a modest financial-risk overhang, though the guarantees are not overdue and Livzon's own operating cash flow actually rose 4.5%.
Shows the parent-level financial backdrop and guarantee exposure that color sentiment on Livzon.

August 202623 Jul – 29 Sep 2026

▲2▼1

Livzon profit slumps on price cuts, but new drug approvals build pipeline

First-half profit and revenue drop sharply Livzon's first-half net profit fell 27.2% to 932 million yuan and revenue dropped 20.3% to 5 billion yuan. Chemical drug sales fell 25% on medical insurance price cuts and national volume-based procurement, while TCM sales fell 35% as flu demand faded. This weak earnings picture is the main drag on the stock.
The profit decline is the single biggest force pushing the stock down this period.
New leuprorelin three-month microsphere approval Shanghai Livzon won approval for an 11.25mg three-month leuprorelin acetate microsphere injection, a Category B insurance-listed drug for breast cancer, prostate cancer and precocious puberty. It is the only domestic maker of this dosage form, in a market worth about 10.9 billion yuan where three-month forms are 27%.
A genuinely new, exclusive product approval that can add future revenue and offsets the weak earnings.
New TCM granule approval enriches product line Livzon's Sichuan Guangda unit received a drug registration certificate for Banxia Baizhu Tianma Decoction Granules, its first Category 3.1 new traditional Chinese medicine. The approval adds to the product pipeline, though the company gave no launch timing or sales forecast, so the near-term financial benefit is limited.
A new product approval that supports the pipeline story, though small in scale.
Parent Joincare's weak finances and guarantee load Parent Joincare disclosed a 2.069 billion yuan guarantee balance, including guarantees for Livzon units, while its 2025 and first-quarter revenue and profit both fell. This adds a modest financial-risk overhang, though the guarantees are not overdue and Livzon's own operating cash flow actually rose 4.5%.
Shows the parent-level financial backdrop and guarantee exposure that color sentiment on Livzon.

Latest23 Jul – 29 Sep 2026

▲2▼1

Livzon profit slumps on price cuts, but new drug approvals build pipeline

First-half profit and revenue drop sharply Livzon's first-half net profit fell 27.2% to 932 million yuan and revenue dropped 20.3% to 5 billion yuan. Chemical drug sales fell 25% on medical insurance price cuts and national volume-based procurement, while TCM sales fell 35% as flu demand faded. This weak earnings picture is the main drag on the stock.
The profit decline is the single biggest force pushing the stock down this period.
New leuprorelin three-month microsphere approval Shanghai Livzon won approval for an 11.25mg three-month leuprorelin acetate microsphere injection, a Category B insurance-listed drug for breast cancer, prostate cancer and precocious puberty. It is the only domestic maker of this dosage form, in a market worth about 10.9 billion yuan where three-month forms are 27%.
A genuinely new, exclusive product approval that can add future revenue and offsets the weak earnings.
New TCM granule approval enriches product line Livzon's Sichuan Guangda unit received a drug registration certificate for Banxia Baizhu Tianma Decoction Granules, its first Category 3.1 new traditional Chinese medicine. The approval adds to the product pipeline, though the company gave no launch timing or sales forecast, so the near-term financial benefit is limited.
A new product approval that supports the pipeline story, though small in scale.
Parent Joincare's weak finances and guarantee load Parent Joincare disclosed a 2.069 billion yuan guarantee balance, including guarantees for Livzon units, while its 2025 and first-quarter revenue and profit both fell. This adds a modest financial-risk overhang, though the guarantees are not overdue and Livzon's own operating cash flow actually rose 4.5%.
Shows the parent-level financial backdrop and guarantee exposure that color sentiment on Livzon.

Sichuan Kelun Pharmaceutical Co Ltd (002422.CS)

Q3 202627 Jul – 8 Oct 2026

▲3▼1

Kelun's profit rises on drug wins and buybacks, but bribery claim and pledges weigh

New ADC drug enters clinical trials A Kelun subsidiary won Chinese approval to start human testing of SKB565, a new dual-payload ADC for advanced solid tumors. It is the first of its kind from Kelun Biotech, and success could add a valuable future growth engine, though it is years from sales.
Shows pipeline progress that can lift long-term growth expectations for the stock.
National procurement wins boost sales outlook Kelun and its units won tentative selection for more than ten products in China's 12th national bulk-buy drug round, including heart and cancer medicines. Winning means guaranteed hospital sales volumes, supporting revenue even if prices are lower.
Directly increases expected product demand and market share, a core earnings driver.
Profit grows and dividend plus buyback support stock First-half net profit rose 12.7% to 1.128 billion yuan, with second-quarter profit up 48% from the prior quarter, despite slightly lower revenue. The company also plans a cash dividend and has been buying back shares, signaling confidence and returning cash to holders.
Earnings growth and shareholder returns are the main fundamental supports for the share price.
Bribery claim and owner pledges create risk A whistleblower letter alleged commercial bribery tied to a key Kelun drug; the subsidiary denies it and threatens legal action. Separately, controlling shareholder Liu Gexin added to pledged shares for personal funding. Both raise uncertainty and could pressure the stock if they worsen.
These are the main counterweights that could hurt sentiment and valuation.

September 202627 Jul – 8 Oct 2026

▲3▼1

Kelun's profit rises on drug wins and buybacks, but bribery claim and pledges weigh

New ADC drug enters clinical trials A Kelun subsidiary won Chinese approval to start human testing of SKB565, a new dual-payload ADC for advanced solid tumors. It is the first of its kind from Kelun Biotech, and success could add a valuable future growth engine, though it is years from sales.
Shows pipeline progress that can lift long-term growth expectations for the stock.
National procurement wins boost sales outlook Kelun and its units won tentative selection for more than ten products in China's 12th national bulk-buy drug round, including heart and cancer medicines. Winning means guaranteed hospital sales volumes, supporting revenue even if prices are lower.
Directly increases expected product demand and market share, a core earnings driver.
Profit grows and dividend plus buyback support stock First-half net profit rose 12.7% to 1.128 billion yuan, with second-quarter profit up 48% from the prior quarter, despite slightly lower revenue. The company also plans a cash dividend and has been buying back shares, signaling confidence and returning cash to holders.
Earnings growth and shareholder returns are the main fundamental supports for the share price.
Bribery claim and owner pledges create risk A whistleblower letter alleged commercial bribery tied to a key Kelun drug; the subsidiary denies it and threatens legal action. Separately, controlling shareholder Liu Gexin added to pledged shares for personal funding. Both raise uncertainty and could pressure the stock if they worsen.
These are the main counterweights that could hurt sentiment and valuation.

Latest27 Jul – 8 Oct 2026

▲3▼1

Kelun's profit rises on drug wins and buybacks, but bribery claim and pledges weigh

New ADC drug enters clinical trials A Kelun subsidiary won Chinese approval to start human testing of SKB565, a new dual-payload ADC for advanced solid tumors. It is the first of its kind from Kelun Biotech, and success could add a valuable future growth engine, though it is years from sales.
Shows pipeline progress that can lift long-term growth expectations for the stock.
National procurement wins boost sales outlook Kelun and its units won tentative selection for more than ten products in China's 12th national bulk-buy drug round, including heart and cancer medicines. Winning means guaranteed hospital sales volumes, supporting revenue even if prices are lower.
Directly increases expected product demand and market share, a core earnings driver.
Profit grows and dividend plus buyback support stock First-half net profit rose 12.7% to 1.128 billion yuan, with second-quarter profit up 48% from the prior quarter, despite slightly lower revenue. The company also plans a cash dividend and has been buying back shares, signaling confidence and returning cash to holders.
Earnings growth and shareholder returns are the main fundamental supports for the share price.
Bribery claim and owner pledges create risk A whistleblower letter alleged commercial bribery tied to a key Kelun drug; the subsidiary denies it and threatens legal action. Separately, controlling shareholder Liu Gexin added to pledged shares for personal funding. Both raise uncertainty and could pressure the stock if they worsen.
These are the main counterweights that could hurt sentiment and valuation.