1. Industrial chain situation
Oral medical care is related medical services for the diagnosis, treatment and prevention of oral and maxillofacial diseases. The oral medical industry is a vertical segment of the medical industry based on oral medical service consumption. The oral medical industry consists of oral medical devices and consumables, oral medical drugs, oral medical institutions and oral medical service personnel. The upstream industry of oral medical can be divided into mechanical manufacturing, electronic manufacturing, biochemical technology and medical software technology, especially medical software technology. The development of the Internet era has opened a new door for the development of oral medical care. The downstream of oral medical care is the patients it serves. Influenced by modern diet, both men, women, young and old in society face various oral problems.
Oral medical industry chain map
Source: Zhiyan Consulting compiled
2. Upstream industry
Titanium has the characteristics of low density, high strength, corrosion resistance, heat and cold resistance, and shape memory functions, making it widely used in the production of medical devices. Baoji Titanium Industry is mainly engaged in the production, processing and sales of titanium and titanium alloys. It is China's largest titanium and titanium alloy production and scientific research base. From 2016 to 2021, Baoji Titanium Industry's titanium product revenue continued to rise, with revenue of 4.743 billion yuan in 2021, up 27.75% year-on-year. Maide Medical is one of the leading companies in the field of intelligent equipment for medical consumables. Its main business is the research, development, production, sales and services of intelligent equipment for medical consumables. Its main products include two major equipment such as safe infusion and blood purification. From 2019 to 2021, Maide Medical's special equipment manufacturing industry's operating income increased year by year, with revenue of 310 million yuan in 2021, up 21.06% year-on-year. Daan Gene is dominated by molecular diagnostic technology, and its business covers many fields such as immunodiagnosis technology, biochemical diagnostic technology, medical devices, clinical applications, testing and research services, eugenics and eugenics, food safety and industrial investment. It has become a leading enterprise in the domestic molecular diagnostic industry. Daan Group's operating income of the biological products industry showed a downward trend from 2016 to 2019, but after 2020, due to the emergence of the new crown epidemic, the company's business ushered in explosive growth, with revenue increasing to 5.29 billion yuan in 2020, an increase of about 4 times compared with 2019. Neusoft Group has formed a sustainable health ecosystem in the medical field, using information technology to build a platform and ecosystem that empowers health and medical services, promote the integration of technology and medical care, and innovate medical service models. In 2021, Neusoft Group's medical and health care revenue was 1.542 billion yuan, an increase of 7.56% year-on-year.
2016-2021 Main business income of key oral upstream enterprises in China
Source: Company Annual Report, Zhiyan Consulting compiled
From 2016-2021, the gross profit margins of the main business of the four companies remained basically stable except for Daan Gene, fluctuated in a small range. In 2020, due to the outbreak of the epidemic, the frequency of nucleic acid testing and demand increased rapidly, so Daan Gene's in vitro diagnostic industry developed rapidly, and its gross profit margin rose to 70.7% in 2020, an increase of 20.95 percentage points year-on-year.
2016-2021 main business gross profit margin of key enterprises in China's upstream oral medical industry
Source: Company Annual Report, Zhiyan Consulting compiled
Related Report: "Survey on the Development Status of China's Oral Medical Industry from 2022 to 2028 and Market Size Forecast Report" released by Zhiyan Consulting
3. Midstream industry
2016-2021 overall scale of China's oral medical service market has shown an upward trend, except for 2020, which has declined slightly due to the impact of the epidemic. In 2021, the size of China's oral medical service market increased to 146.1 billion yuan, a year-on-year increase of 16.23%. Although China's oral medical industry has continued to develop in recent years, the current penetration rate of oral medical in China is still relatively low, less than 49%, far lower than that of developed countries. In addition, my country has a serious shortage of oral medical staff. In 2020, the number of dentists per million people in China was only 175, less than one-third of those in developed countries.With the improvement of residents' living standards and the enhancement of residents' health awareness, China will have broad room for development in the oral medical industry in the future.
2016-2021 China's oral medical service market size (100 million yuan)
Source: Sullivan, Zhiyan Consulting and sorting
Oral medical devices are a very important part of oral medical services. Due to the particularity of oral diseases, medical devices will inevitably be used during the treatment process. With the development of oral medical services, oral medical devices will inevitably develop rapidly. The production scale of oral medical devices in China continued to rise from 2016 to 2021. In 2016, China's production scale of oral medical devices was only 15.15 billion yuan, up to 26.16 billion yuan in 2020, an increase of 11.94% from 2019, and is expected to exceed 28 billion yuan in 2021.
2016-2021 production scale of oral medical devices in China (100 million yuan)
Source: Zhiyan Consulting compiled
In the classification of Chinese dental medical service institutions in 2020, individual dental clinics account for the highest proportion, exceeding 80%, followed by the dental department of a comprehensive hospital, accounting for 13%, while oral specialized hospitals account for only 1%. The concentration of the oral medical industry is currently relatively low. However, the number of specialized oral hospitals in China is increasing year by year from 2016 to 2021. The number of specialized oral hospitals in China will exceed 1,000 in 2021. With the increase in people's demand and the improvement of quality requirements, dental medical service institutions will inevitably move towards scale and standardization in the future, and the concentration of industry will be enhanced.
Scenario of Chinese dental service institutions in 2020
Source: Health Commission, Zhiyan Consulting and Organized
4. Downstream applications
In recent years, the intensification of aging and people's dietary habits that heavy oil, salt and sugar have caused the prevalence of dental diseases to continue to increase. The number of dental patients in China continued to increase from 2016 to 2021, and rose to 707 million in 2021, an increase of 0.43% year-on-year. With the increase in the number of dental patients and the increase in oral health awareness of contemporary people, oral medical care will usher in a large room for development.
2016-2021 Dental patients in China (billions of people)
Source: Health Commission, Zhiyan Consulting and Compilation
With the development of the Internet, the development of information technology has caused the medical industry to usher in innovation, and smart medical care has gradually developed. From 2016 to 2021, the number of users in China's mobile medical care continued to increase, and in 2021, the number of users increased to 687 million, a year-on-year increase of 3.93%. With the advent of the 5G era, the popularization of remote diagnosis and treatment, electronic medical records, mobile medical software and other developments in the oral medical field will inject new development momentum into traditional oral medical care and help the oral medical industry develop better, faster and more conveniently.
2016-2021 China Mobile Medical Users Scale (100 million people)
Source: iiMediaResearch, Zhiyan Consulting compiled
Judging from the downstream industry of oral medical care in China, the number of dentistry patients in China is increasing, and the downstream consumer group of oral medical care is expanding. At the same time, with the improvement of residents' economy and the increase in health awareness, the willingness of patients with oral diseases will also increase, and oral medical care will continue to develop positively. In addition, with the development of Internet technology, on the one hand oral diagnosis and treatment technology has been strengthened, and on the other hand, the channels for patients to contact diagnosis and treatment are more diversified. Many patients can achieve remote diagnosis and treatment, which reduces the impact of treatment delay caused by factors such as time and distance.
or above data and information can be referred to the "2022-2028 China's Dental Medical Industry Development Situation Analysis and Market Prospects Trend Report" released by Zhiyan Consulting. Zhiyan Consulting is a comprehensive information and intelligence provider in the field of industrial consulting in China. The company takes the brand philosophy of "using information to drive industrial development and empowering corporate investment decisions". Provide professional industrial consulting services to enterprises, including high-quality industry research reports, special customization, monthly special topics, feasibility study reports, business plans, industrial planning, etc.Provide regular reports and customized data such as weekly/monthly/quarterly/annual reports, covering policy monitoring, corporate dynamics, industry data, product price changes, investment and financing overview, market opportunities and risk analysis, etc.
