Core Viewpoint - The controversy surrounding the product "Kefumei" from Giant Biological has intensified, with the company defending its product's integrity against allegations of false advertising and insufficient collagen content [1][2]. Company Overview - Giant Biological, established in 2000, went public on the Hong Kong Stock Exchange in 2022 and specializes in skin care products featuring recombinant collagen as a key active ingredient [2]. - The company owns several brands, with "Kefumei" and "Kelin" being its core products [2]. Financial Performance - In 2024, Giant Biological reported revenue of 5.539 billion yuan, a year-on-year increase of 57.17%, and a net profit attributable to shareholders of 2.062 billion yuan, up 42.06% [2]. - The "Kefumei" brand generated revenue of 4.542 billion yuan in 2024, reflecting a 62.9% year-on-year growth, increasing its share of the company's total revenue from 79.1% to 82% [2]. Industry Context - The recombinant collagen industry is experiencing growth, while the hyaluronic acid sector, represented by Huaxi Biological, is facing challenges, including declining revenue and profits [2][3]. - Huaxi Biological reported a revenue drop of 4.45% in 2023, with a further decline of 11.61% in 2024, alongside a significant decrease in net profit [3]. Market Reaction - Following the controversy, Giant Biological's stock price fell by 8.70% to 60.85 HKD per share, with a total market value of approximately 65.165 billion HKD, and a cumulative decline of 25.20% over nine trading days [3].
巨子生物旗下产品可复美成分引争议 9个交易日市值蒸发逾160亿港元