Core Insights - The company, Jiuzhoutong, reported strong performance across all business segments in the first half of 2025, with significant growth in sales and revenue [1] Business Segment Performance - The core pharmaceutical distribution business achieved sales revenue of 67.634 billion yuan, representing a year-on-year growth of 6.04% [1] - The pharmaceutical manufacturing segment, including self-produced and OEM products, generated sales revenue of 1.593 billion yuan, with a year-on-year increase of 10.77% [1] - The new retail pharmaceutical business recorded sales revenue of 1.493 billion yuan, with a notable growth in franchise stores reaching 31,535, and sales to franchise stores amounting to 3.418 billion yuan, up 41.30% year-on-year [1] - The digital logistics and supply chain solutions segment achieved business revenue of 587 million yuan, reflecting a year-on-year growth of 24.66% [1] Additional Business Developments - The company’s brand promotion business (CSO) focused on introducing new products and increasing sales of existing products, reaching a sales scale of 9.591 billion yuan in the first half of the year [1] - The B2B e-commerce platform, Yaojiu Jiu, and retail e-commerce services for outpatient digital distribution experienced rapid growth, with revenue of 10.636 billion yuan, marking a year-on-year increase of 21.08% [1]

Core Viewpoint - The company demonstrated steady growth in revenue and net profit in the first half of 2025, despite industry challenges, by focusing on its core business and enhancing asset liquidity through securitization [1] Financial Performance - In the first half of 2025, the company achieved operating revenue of 81.106 billion yuan, representing a year-on-year increase of 5.10% [1] - The net profit attributable to shareholders reached 1.446 billion yuan, reflecting a year-on-year growth of 19.70% [1] - The net cash flow from operating activities increased by 380 million yuan compared to the same period last year, primarily due to enhanced collection of accounts receivable [1] Operational Strategy - The company maintained a focus on its main business operations while actively managing its assets to drive growth [1] - The expectation for the full year is that the net cash flow from operating activities will align positively with the company's performance [1]

Core Viewpoint - The company, Jiuzhoutong, reported a significant growth in its traditional Chinese medicine segment, with a sales revenue of 2.83 billion yuan in the first half of 2025, marking a year-on-year increase of 19.05% [1] Group 1: Financial Performance - In the first half of 2025, the traditional Chinese medicine segment achieved a sales revenue of 2.83 billion yuan, including 1.22 billion yuan from self-produced medicinal slices, which represents a year-on-year growth of 13.16% [1] Group 2: Business Development - Jiuxin Chinese Medicine Group, a subsidiary, focuses on the development of authentic medicinal materials and medicinal slices, aiming to cover the entire industry chain of traditional Chinese medicine [2] - The company offers a diverse range of products under various brands, including ordinary slices, refined slices, directly consumable slices, toxic slices, and health foods, catering to market demands [2] - The OTC business features both refined and ordinary medicinal slices, with the refined slices covering 100 varieties and 300 specifications, while ordinary slices encompass 480 varieties and 1,500 specifications [2] Group 3: Brand and Product Strategy - Jiuxin Chinese Medicine has initiated a brand strategy overhaul and strategic expansion of product categories, focusing on the core concept of "Authentic Medicine Made by Jiuxin" [3] - The company aims to enhance its brand core competitiveness and market penetration by developing core flagship products and expanding into health-related products [3]

Core Insights - The company held a semi-annual performance briefing on September 3, 2025, where executives discussed the significance of the new product strategy as a key component of the "Three New and Two Transformations" strategy [1] - The company has established a new product business organization matrix centered around CSO, utilizing various methods such as exclusive agency, equity cooperation, buyout rights, and independent research and development to acquire new products with clinical value and market potential [1] Sales Performance - The total brand promotion business (CSO) has significantly advanced the introduction of new products and increased sales of existing products, achieving a sales scale of 9.591 billion yuan in the first half of the year [1] - The pharmaceutical manufacturing and OEM business has focused on creating a competitive product cluster, contributing to the implementation of the "new product" strategy, with sales revenue reaching 1.593 billion yuan, representing a year-on-year growth of 10.77% [1] Investment Initiatives - The company has established a new product strategy-related fund, "Wuhan Jiuying Venture Capital Fund Partnership (Limited Partnership)," which completed registration on January 7, 2025, with a fund size of 500 million yuan [1] - The investment focus of the fund is primarily on innovative drugs, high-end generic drugs, and other new products, aiming to actively introduce valuable domestic and international innovative drugs, modified new drugs, and high-end generic drugs [1]

Group 1 - The company held its 2025 semi-annual performance briefing on September 3, highlighting a strong growth in its medical device business, with total sales revenue reaching 19.529 billion yuan, a year-on-year increase of 18.34% [1] - The company benefited from the State Council's policy on promoting large-scale equipment updates and the "old-for-new" consumption scheme, leading to rapid growth in both OTC and medical device sales [1] - The OTC business has established strategic partnerships with well-known brands such as Yuyue, Omron, Sanofi, and Durex, leveraging a comprehensive online and offline channel network [1] Group 2 - In the medical device sector, the company focuses on major surgical, vascular intervention, orthopedics, IVD, nursing consumables, and other high-value consumables, collaborating with over 60% of the world's top 100 multinational companies and over 80% of domestic top 100 industrial enterprises [2] - The medical device sales revenue reached 3.64 billion yuan in the first half of the year, reflecting a year-on-year growth of 41% due to the "old-for-new" policy [2] - The company has signed contracts for 23 SPD projects in the first half of the year, with a cumulative total of 132 SPD projects awarded [2]

Group 1 - The company held its 2025 semi-annual performance briefing on September 3, where executives reported steady progress in its new medical strategy, with over 2,400 clinic member stores established by the end of July 2025, aiming to achieve a network of 10,000 clinics within three years [1] Group 2 - The company's subsidiary, Jiuyi Clinics, focuses on a business model that integrates "medical services + supply chain," primarily based on supply chain operations, promoting products and forming a member alliance across clinics [2] - The company has introduced over 260 new products in the first half of the year, enhancing the product structure for clinics by collaborating with multiple upstream manufacturers, including Taiji, China Resources Sanjiu, Changfeng Pharmaceutical, Jilin Aodong, and Tianyao Pharmaceutical [2] - The company has developed and launched the Jiuyi SaaS Clinic Manager system, providing intelligent operational value-added services to clinic clients, enabling quick documentation and billing processes, with 1,525 clinic member stores currently using the system [2] - The company partnered with Tencent Cloud to develop the Jiuyi Clinic AI-assisted diagnosis platform, which integrates Tencent's medical AI reasoning, covering nearly 3,000 diseases and 110,000 drug knowledge, with an average of 51,000 monthly uses of the AI-assisted diagnosis platform across member stores [2]

Core Viewpoint - The company, Jiuzhoutong, has achieved a significant upgrade in its credit rating to AAA, the highest domestic credit rating, reflecting strong recognition of its comprehensive strength in the capital market [1] Credit Rating Upgrade - On August 25, 2025, Jiuzhoutong was rated AAA by China Chengxin International Credit Rating Co., Ltd., with a stable outlook [1] - Jiuzhoutong is now the only private enterprise in the pharmaceutical distribution sector to hold an AAA credit rating [1] Impact of Credit Rating - The upgrade in credit rating is expected to lower the company's financing costs [1] - It will enhance the liquidity of the company's related bonds [1] - The upgrade is anticipated to boost investor confidence and participation in bond investments [1]

Group 1 - The company held an online performance briefing for the first half of 2025 on September 2, 2025 [1] - The company is actively participating in public construction, renovation, and emerging overseas market projects [1] - The Nanning intelligent manufacturing base has completed the main workshop construction and has entered the trial production phase [1]

Group 1 - The company held an online performance briefing for the first half of 2025 on September 2, 2025 [1] - The company indicated that expanding its elevator business into smart home and smart building sectors may become a future development direction [1] - The company aims to actively adapt to industry development trends and promote sustainable and healthy growth [1]

Group 1 - The company emphasizes the importance of technological innovation and is increasing its R&D investment to develop products with independent intellectual property rights that integrate cutting-edge technology [1] - The company aims to enhance the integration of artificial intelligence with elevator technology, creating an innovative system that provides users with a safer, more efficient, and smarter elevator experience [1] - The focus on innovation is intended to further strengthen the company's technological leadership and market competitiveness within the industry [1]