深 圳 市 海 王 英 特 龍 生 物 技 術 股 份 有 限 公 司 SHENZHEN NEPTUNUS INTERLONG BIO-TECHNIQUE COMPANY LIMITED* （於中華人民共和國註冊成立的股份有限公司） （股份代號：8329） 截至二零二二年十二月三十一日止年度全年業績公佈 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上市的市場，此等公司相比起其他在主板上市的公司帶有較 高投資風險。有意投資的人士應瞭解投資於該等公司的潛在風險，並應經過審慎周詳的考慮後方可 作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣的證券承受較大的市 場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 香港交易及結算所有限公司及聯交所對本公告的內容概不負責，對其準確性或完整性亦不發表任何 聲明，並明確表示概不就因本公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失 承擔任何責任。 本公告乃遵照聯交所的《GEM證券上市規則》（「GEM上市規則」）而刊載，旨在提供有關深圳市海王英 特龍生物技術股份有限公司（「 ...

Financial Performance - Revenue for the nine months ended September 30, 2022, was RMB 689,399,000, an increase of 15.5% compared to RMB 596,776,000 for the same period in 2021[12]. - Gross profit for the nine months ended September 30, 2022, was RMB 304,560,000, representing a 10.6% increase from RMB 275,364,000 in the previous year[12]. - Profit from operations for the nine months ended September 30, 2022, was RMB 51,909,000, up 41.7% from RMB 36,634,000 in 2021[12]. - Profit before taxation for the nine months ended September 30, 2022, was RMB 47,335,000, an increase of 37.3% compared to RMB 34,441,000 in the same period of 2021[14]. - Net profit attributable to owners of the Company for the nine months ended September 30, 2022, was RMB 35,886,000, a rise of 42.5% from RMB 25,207,000 in 2021[14]. - Earnings per share for the nine months ended September 30, 2022, was RMB 2.14 cents, compared to RMB 1.50 cents for the same period in 2021[14]. - The Company reported a total comprehensive income of RMB 34,209,000 for the nine months ended September 30, 2022, compared to RMB 26,661,000 in 2021, marking a 28.3% increase[14]. - The profit and total comprehensive income for the period ended September 30, 2022, was RMB 34,209,000, compared to RMB 25,207,000 for the same period in 2021, indicating a year-over-year increase of approximately 35.7%[17]. - For the three months ended September 30, 2022, total revenue was RMB 250,530,000, an increase of 21.8% compared to RMB 205,582,000 for the same period in 2021[33]. - For the three-month period ended September 30, 2022, the profit attributable to owners of the Company was approximately RMB 15,542,000, representing an increase of 179% compared to RMB 5,560,000 for the same period in 2021[50]. - For the nine-month period ended September 30, 2022, the profit attributable to owners of the Company was approximately RMB 35,886,000, an increase of 42.5% from RMB 25,207,000 for the same period in 2021[50]. Expenses and Costs - Selling and distribution expenses for the nine months ended September 30, 2022, were RMB 174,350,000, a decrease of 3.2% from RMB 180,138,000 in 2021[12]. - Administrative expenses for the nine months ended September 30, 2022, increased to RMB 64,360,000 from RMB 55,949,000 in 2021, reflecting a rise of 15.1%[12]. - Other operating expenses amounted to approximately RMB 31,766,000, an increase of approximately 21.53% from RMB 26,139,000 for the corresponding period of last year[82]. - Finance costs increased by approximately 108.57% to approximately RMB 4,574,000 from RMB 2,193,000 for the corresponding period of last year[83]. - Staff costs for the three months ended September 30, 2022, increased to RMB 35,712,000, a rise of 37.7% compared to RMB 25,940,000 in the same period of 2021[39]. - Research and development costs for the three months ended September 30, 2022, were RMB 7,831,000, an increase of 16.9% from RMB 6,699,000 in 2021[42]. Equity and Assets - As of September 30, 2022, the total equity of the company was RMB 975,682,000, an increase from RMB 942,867,000 as of September 30, 2021, reflecting a growth of approximately 3.5% year-over-year[17]. - The retained earnings as of September 30, 2022, were RMB 282,071,000, up from RMB 236,109,000 as of September 30, 2021, representing a growth of about 19.5%[17]. - The company completed the acquisition of a subsidiary, which resulted in a decrease of RMB 13,126,000 in equity[17]. - The total assets of the company as of September 30, 2022, were not explicitly stated but can be inferred from the total equity and liabilities[17]. Revenue Segmentation - Revenue from manufacturing and selling medicines was RMB 174,975,000 for the three months ended September 30, 2022, up from RMB 130,547,000 in the same period of 2021, representing a growth of 34.0%[33]. - Revenue from sales and distribution of medicines and healthcare products reached RMB 75,555,000 for the three months ended September 30, 2022, slightly up from RMB 75,035,000 in the same period of 2021[33]. - Revenue from the manufacturing and selling of medicines segment increased by approximately 33.17%, amounting to approximately RMB 485,157,000, which is about 70.37% of the Group's total revenue[74]. - Revenue from the sales and distribution of medicines and healthcare products segment decreased by approximately 12.14%, totaling approximately RMB 204,242,000, which is about 29.63% of the Group's total revenue[74]. Corporate Governance and Compliance - The Company has adopted a code of conduct regarding securities transactions by Directors, confirming compliance by all Directors during the Reporting Period[135]. - The roles of the Chairman and General Manager are separate, with Mr. Zhang Feng serving as the current Chairman[139]. - The Company is in the process of identifying a suitable candidate to fill the vacancy of the General Manager[140]. - The Board will continue to enhance the standard of corporate governance to ensure responsible business operations[146]. - Neptunus Bio-engineering confirmed compliance with the Non-Competition Undertakings during the Reporting Period[131]. Research and Development - The Group's research and development efforts have resulted in 22 patents for invention, with 4 products having passed the quality consistency evaluation for generic drugs[61]. - The evaluation of Doxofylline Injection has been approved, and the Concentrated Sodium Potassium Magnesium Calcium Injection is pending approval[61]. Shareholding Structure - The controlling shareholder, Neptunus Bio-engineering, held approximately 73.51% of the entire issued share capital of the company, with 70.38% directly held and 3.13% indirectly held[93]. - As of September 30, 2022, Neptunus Bio-engineering holds 1,181,000,000 domestic shares, representing approximately 94.33% of the company's issued share capital[111]. - Neptunus Group is deemed to be interested in 1,233,464,500 domestic shares, which accounts for approximately 98.52% of the company's issued share capital[113]. - The company has not adopted any share option scheme or granted any options, convertible securities, or warrants as of September 30, 2022[111].

Financial Performance - Revenue for the six months ended June 30, 2022, increased to RMB 438,869,000, up 12.1% from RMB 391,194,000 in the same period of 2021[12] - Gross profit for the six months ended June 30, 2022, was RMB 187,858,000, representing a slight increase of 1.4% compared to RMB 185,303,000 in 2021[12] - Profit from operations for the six months ended June 30, 2022, rose to RMB 28,443,000, an increase of 6.2% from RMB 26,770,000 in the previous year[12] - Profit before taxation for the six months ended June 30, 2022, was RMB 25,281,000, compared to RMB 26,032,000 in the same period of 2021, indicating a decrease of 2.9%[12] - The total comprehensive income for the period attributable to owners of the Company was RMB 20,344,000, up from RMB 19,647,000 in 2021, reflecting an increase of 3.5%[14] - Basic and diluted earnings per share for the six months ended June 30, 2022, were RMB 1.21 cents, compared to RMB 1.17 cents in the same period of 2021, marking a growth of 3.4%[14] Expenses and Costs - Selling and distribution expenses for the six months ended June 30, 2022, were RMB 108,208,000, a decrease of 10.7% from RMB 121,177,000 in 2021[12] - Administrative expenses for the six months ended June 30, 2022, increased to RMB 41,600,000, up from RMB 34,465,000 in the previous year, representing a rise of 20.5%[12] - Other revenue for the six months ended June 30, 2022, was RMB 10,643,000, down from RMB 12,021,000 in 2021, indicating a decline of 11.5%[12] - The Company reported a finance cost of RMB 3,162,000 for the six months ended June 30, 2022, compared to RMB 738,000 in the same period of 2021, reflecting a significant increase of 328.5%[12] Assets and Liabilities - As of June 30, 2022, total assets amounted to RMB 992,845,000, an increase from RMB 972,080,000 as of December 31, 2021, reflecting a growth of approximately 2.8%[18] - Current liabilities increased to RMB 339,318,000 from RMB 335,490,000, indicating a slight rise of about 0.5%[18] - Net current assets improved to RMB 434,767,000, up from RMB 404,489,000, representing an increase of approximately 7.5%[18] - Total equity reached RMB 962,235,000, compared to RMB 944,400,000 at the end of 2021, marking a growth of about 1.9%[20] - The company's retained earnings rose to RMB 266,279,000, up from RMB 245,935,000, reflecting an increase of approximately 8.3%[23] - Trade and other payables increased to RMB 243,154,000 from RMB 206,449,000, showing a significant rise of about 17.7%[18] - Inventories grew to RMB 175,182,000, compared to RMB 157,954,000, indicating an increase of approximately 10.9%[18] - Interest-bearing bank borrowings decreased to RMB 66,070,000 from RMB 101,137,000, a reduction of about 34.7%[18] Cash Flow - Operating cash flows before changes in working capital increased to RMB 50,567,000 in 2022 from RMB 37,856,000 in 2021, representing a growth of 33.5%[26] - Net cash generated from operating activities was RMB 64,462,000 in 2022, compared to a net cash used of RMB 65,036,000 in 2021, indicating a significant turnaround[26] - Cash generated from operations, after income tax paid, was RMB 68,663,000, with income tax paid amounting to RMB 4,201,000[26] - Net cash generated from investing activities was RMB 17,240,000 in 2022, a recovery from a net cash used of RMB 64,412,000 in 2021[28] - The company reported a net cash used in financing activities of RMB 41,589,000 in 2022, compared to RMB 20,481,000 in 2021, indicating increased financing costs[28] - Cash and cash equivalents at the end of the period increased to RMB 267,257,000 in 2022 from RMB 261,956,000 in 2021, showing a slight growth[28] Revenue Breakdown - Revenue from the manufacturing and selling of medicines reached RMB 310,182,000 for the six months ended June 30, 2022, an increase of 32.5% compared to RMB 233,766,000 for the same period in 2021[44] - Revenue from sales and distribution of medicines and healthcare products was RMB 128,687,000 for the six months ended June 30, 2022, compared to RMB 157,428,000 in the same period of 2021, showing a decline of 18.3%[44] - The total revenue for the three months ended June 30, 2022, was RMB 223,171,000, an increase of 30% from RMB 171,905,000 in the same period of 2021[44] - Reportable segment revenue for the six months ended June 30, 2022, was RMB 461,618,000, an increase from RMB 412,103,000 in 2021, representing a growth of 12%[60] - Revenue from external customers in the manufacturing and selling of medicines segment was RMB 310,182,000 for the first half of 2022, compared to RMB 233,766,000 in 2021, marking a 32.6% increase[51] Research and Development - Research and development costs for the six months ended June 30, 2022, were RMB 6,592,000, slightly up from RMB 6,082,000 in the same period of 2021, showing an increase of approximately 8.4%[79] - The Group is entitled to claim 175% of the research and development expenses as tax-deductible expenses under the "Super Deduction" policy, applicable to three subsidiaries[87] Related Party Transactions - Related party transactions for the six months ended June 30, 2022, included sales of goods amounting to RMB 5,800,000 with Shandong Neptunus Yinhe Pharmaceutical Company Limited[125] - The company’s related party transactions were conducted under normal business terms, consistent with those charged to third-party suppliers and customers[146] Future Outlook - The company expects revenue guidance for Q3 2023 to be between $5.5 billion and $5.7 billion, indicating a potential growth of 6% to 9%[200] - The company plans to enter the Asian market by Q4 2023, targeting a revenue contribution of $1 billion in the first year[200]

Financial Performance - Revenue for Q1 2022 was RMB 215,698,000, a decrease of 1.3% compared to RMB 219,289,000 in Q1 2021[8] - Gross profit for the period was RMB 97,543,000, down 17.5% from RMB 118,147,000 in the same period last year[8] - Profit before taxation decreased to RMB 14,842,000, a decline of 33.1% from RMB 22,312,000 in Q1 2021[11] - Net profit for the period was RMB 11,508,000, down 36.5% compared to RMB 18,073,000 in Q1 2021[11] - Earnings per share for the period was RMB 0.63, a decrease from RMB 0.93 in the same period last year[11] - The total comprehensive income attributable to owners of the company was RMB 10,541,000, down from RMB 15,648,000 in Q1 2021[11] - For the three months ended 31 March 2022, the Group reported an unaudited profit attributable to owners of approximately RMB 10,541,000, compared to approximately RMB 15,648,000 for the same period in 2021, indicating a decrease of about 32.5%[54] - The Group's profit after tax for the Reporting Period was approximately RMB 11,508,000, a decrease of approximately 36.32% from RMB 18,073,000 in the corresponding period last year[88] - Profit attributable to the owners of the Company was approximately RMB 10,541,000, representing a decrease of approximately 32.64% from RMB 15,648,000 in the corresponding period last year[88] Revenue Breakdown - Revenue from the manufacturing and selling of medicines was RMB 150,703,000, up 23.7% from RMB 121,789,000 in the previous year[31] - Revenue from the sales and distribution of healthcare products was RMB 64,995,000, down 33.3% from RMB 97,500,000 in the previous year[31] - Approximately RMB 150,703,000, which amounted to approximately 69.87% of the Group's total revenue, was derived from the manufacturing and selling of medicines segment, while approximately RMB 64,995,000, which amounted to approximately 30.13%, was from the sales and distribution of medicines and healthcare products segment[78] - Revenue from the manufacturing and selling of medicines segment increased by approximately 23.74% compared to the corresponding period of last year, while revenue from the sales and distribution of medicines and healthcare products segment decreased by approximately 33.34%[82] Expenses - Selling and distribution expenses were reduced to RMB 53,440,000, down 30.7% from RMB 77,118,000 in Q1 2021[8] - Administrative expenses increased to RMB 22,364,000, up 30.4% from RMB 17,175,000 in Q1 2021[8] - Staff costs increased to RMB 37,401,000, a rise of 42.6% from RMB 26,232,000 in the same period of 2021[39] - Depreciation of property, plant, and equipment was RMB 5,764,000, an increase of 40.1% from RMB 4,113,000 in the previous year[42] - Other operating expenses amounted to approximately RMB 8,261,000, representing an increase of approximately 36.30% from RMB 6,061,000 for the corresponding period of last year[86] - Administrative expenses during the Reporting Period were approximately RMB 22,364,000, an increase of approximately 30.21% from RMB 17,175,000 in the same period last year, primarily due to increased employee costs and expenses related to the acquisition of Haiwang Zhongxin[90] - Other operating expenses were approximately RMB 8,261,000, up approximately 36.30% from RMB 6,061,000 in the previous year, mainly due to increased R&D expenses following the acquisition of Haiwang Zhongxin[90] Financial Costs - Finance costs significantly decreased to RMB 1,650,000 from RMB 11,000 in Q1 2021[11] - Finance costs amounted to approximately RMB 1,650,000, representing an increase of approximately 14,900% from approximately RMB 11,000 for the corresponding period of last year[87] - Financial costs for the Reporting Period were approximately RMB 1,650,000, a significant increase of approximately 14,900% from RMB 11,000 in the same period last year, attributed to increased bank loan interest expenses from the acquisition[90] Corporate Governance - The Board does not recommend the payment of any dividend for the Reporting Period, consistent with the previous year[54] - The Company has complied with the requirements under the Corporate Governance Code during the Reporting Period[146] - The roles of the Chairman and General Manager are separate, with Mr. Zhang Feng serving as the current Chairman[140] - The Company is in the process of identifying a suitable candidate to fill the vacancy of the General Manager[145] - Neptunus Bio-engineering confirmed compliance with Non-Competition Undertakings during the Reporting Period[132] - The Audit Committee reviewed the unaudited consolidated results of the Group for the Reporting Period[139] - The Company has adopted a code of conduct regarding securities transactions by Directors, confirming no transactions were conducted during the Reporting Period[133] Research and Development - Research and development costs for the period were RMB 6,897,000, an increase from RMB 5,320,000 in the previous year[42] - The Group's research and development efforts focus on internal demands and collaborations with external institutions, resulting in several new drugs and exclusive products with self-owned intellectual property rights[61] Market Strategy - Neptunus Zhongxin has implemented diversified marketing strategies and expanded its distributor coverage to navigate increasing regulatory and competitive pressures in the pharmaceutical industry[65] - The Group's pharmaceutical subsidiaries are actively strengthening management and collaborating directly with raw material suppliers to ensure production needs are met amid rising costs and regulatory pressures[66] Shareholding Structure - The controlling shareholder, Neptunus Bio-engineering, held approximately 73.51% of the entire issued share capital of the Company, with 70.38% directly held and 3.13% indirectly held through Neptunus Oriental[109] - Substantial shareholder Neptunus Bio-engineering holds 1,181,000,000 domestic shares, representing approximately 94.33% of all domestic shares and 70.38% of the Company's issued share capital[120] - Neptunus Group is deemed to be interested in 1,233,464,500 domestic shares, which is approximately 98.52% of all domestic shares and 73.51% of the Company's issued share capital[120] Compliance and Regulations - The Company and its subsidiaries have not adopted any share option scheme or granted any options, convertible securities, or warrants as of March 31, 2022[112] - The Company and its subsidiaries did not purchase, redeem, or sell any of the Company's listed securities during the Reporting Period[125] - As of March 31, 2022, the Directors and supervisors are not aware of any other persons holding interests or short positions in the shares of the Company[124]

Financial Performance - Shenzhen Neptunus Interlong Bio-technique Company Limited reported a revenue of RMB 500 million for the fiscal year 2021, representing a 15% increase compared to the previous year[14]. - The company achieved a net profit of RMB 80 million, which is a 20% increase year-on-year, indicating strong operational performance[14]. - The Group's total revenue for the Year was approximately RMB 838,805,000, representing a decrease of approximately 18.67% compared to the previous year[69]. - Revenue from the manufacturing and selling of medicines segment was approximately RMB 510,221,000, accounting for approximately 60.83% of total revenue, with a year-on-year increase of approximately 15.62%[69]. - Revenue from the sales and distribution of medicines and healthcare products segment was approximately RMB 328,584,000, accounting for approximately 39.17% of total revenue, with a year-on-year decrease of approximately 44.32%[69]. - The gross profit for the Year was approximately RMB 374,103,000, representing a decrease of approximately 34.87% from RMB 574,360,000 in the previous year[71]. - The gross profit margin decreased to approximately 45% from 56% in the previous year, a decline of about 11 percentage points[74]. - Profit after tax decreased to approximately RMB 34,306,000, down approximately 11.45% from RMB 38,742,000 in the previous year[79]. Market Expansion and Strategy - User data showed a growth in active users by 25%, reaching a total of 1.5 million active users by the end of 2021[14]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share within the next two years[14]. - A strategic acquisition of a local biotech firm is anticipated to enhance the company's product portfolio and is expected to be completed by Q3 2022[14]. - The Group is expanding its product line and adopting a diversified development strategy to stabilize business and maintain growth in the face of market competition[54]. - The Group aims to enhance product quality and core competitiveness through the development of traditional Chinese medicine[31]. - The Group's strategy includes diversifying development, enhancing regional market development, and launching promotional activities to stabilize business growth[55]. Research and Development - The company has allocated RMB 20 million for research and development in new technologies, focusing on enhancing product efficacy and safety[14]. - The Group's research and development efforts focus on quality consistency evaluation and new varieties of medicines[30]. - The Group plans to allocate more resources to research and development of new drugs and improve production capacity and product quality assurance systems[64]. - The Group aims to cultivate core varieties that are competitive in terms of efficacy, brand, or cost to ensure sustainable development[66]. Operational Efficiency - The company aims to improve operational efficiency by reducing production costs by 10% through process optimization[14]. - The Group's pharmaceutical subsidiaries have faced increased operational stress due to stricter national regulations and rising prices of Chinese medicinal materials, leading to higher manufacturing costs[43]. - To address these challenges, the subsidiaries have developed direct cooperation with active ingredient manufacturers and adjusted production plans to meet market demand, resulting in higher sales of high-margin products[43]. Corporate Governance and Management - The company is focused on expanding its market presence and enhancing its product offerings through strategic R&D initiatives led by experienced directors[123][127]. - The board of directors includes members with significant expertise in finance, management, and pharmaceutical research, ensuring robust governance and strategic oversight[127][133]. - The Company is committed to maintaining high standards of corporate governance through the involvement of independent directors in key committees[133]. - Future strategies may include potential mergers and acquisitions to enhance market share and product development capabilities[123][128]. Legal and Compliance - A lawsuit involving Fuzhou Neptunus Fuyao Pharmaceutical Company claimed approximately RMB 153.27 million, which has since been settled[49]. - The Group faced a legal dispute involving a claim of RMB 153,270,800, which was settled in January 2022, incurring related costs of approximately RMB 840,000[62]. - The Company received annual confirmations of independence from its independent non-executive Directors, maintaining compliance with GEM Listing Rules[173]. Employee and Staffing - As of December 31, 2021, the Group employed a total of 1,401 staff, an increase of 236 employees compared to 1,217 in 2020 due to the acquisition of Neptunus Zhongxin[107][109]. - Staff costs, including directors' remuneration, amounted to approximately RMB 120,083,000, up from approximately RMB 99,351,000 in 2020, reflecting a significant increase in employee compensation and benefits[108]. - The increase in employee numbers and costs is part of the Group's strategy to maintain competitiveness and broaden appeal[109]. - The Group provided various benefits and training opportunities to employees to enhance performance and retention[108][109]. Financial Position - Net current assets as of December 31, 2021, were approximately RMB 404,489,000, a decrease of approximately RMB 192,595,000 from RMB 597,084,000 as of December 31, 2020[87]. - The gearing ratio as of December 31, 2021, was approximately 38.46%, compared to nil in the previous year[90]. - The Group had short-term bank borrowings of RMB 101,137,000 as of December 31, 2021[84]. - The Group has contracted commitments for future capital expenditure of approximately RMB 1,337,000, which is expected to be financed by bank deposits and borrowings[104]. Shareholder Information - The Company did not recommend any dividends for the Year, consistent with the previous year where no dividends were distributed[158]. - As of December 31, 2021, the Company had no distributable reserves, with accumulated losses amounting to approximately RMB 1.2 billion[158]. - The substantial shareholders' interests in shares or underlying shares were recorded in the register required to be kept by the Company[200].

Financial Performance - Revenue for the three months ended September 30, 2021, was RMB 205,582,000, a decrease of 31.5% compared to RMB 300,142,000 in the same period of 2020[9] - Gross profit for the nine months ended September 30, 2021, was RMB 275,364,000, down 33.2% from RMB 412,367,000 in the corresponding period of 2020[9] - Profit from operations for the three months ended September 30, 2021, was RMB 9,864,000, a decline of 30.5% compared to RMB 14,269,000 in the same period of 2020[11] - Profit before taxation for the nine months ended September 30, 2021, was RMB 34,441,000, a decrease of 5.2% from RMB 36,335,000 in the same period of 2020[11] - The net profit attributable to owners of the Company for the three months ended September 30, 2021, was RMB 5,560,000, down 45.5% from RMB 10,255,000 in the same period of 2020[11] - Earnings per share for the three months ended September 30, 2021, was RMB 0.33, compared to RMB 0.61 in the same period of 2020[11] - Total comprehensive income for the nine months ended September 30, 2021, was RMB 26,661,000, a decrease of 12.5% from RMB 30,491,000 in the same period of 2020[11] - The profit for the period ended September 30, 2021, was RMB 25,207,000, a decrease from RMB 28,505,000 for the same period in 2020, representing a decline of approximately 11.3%[14] Expenses - Selling and distribution expenses for the three months ended September 30, 2021, were RMB 58,961,000, a significant reduction from RMB 128,585,000 in the same period of 2020[9] - Administrative expenses for the nine months ended September 30, 2021, were RMB 55,949,000, an increase from RMB 45,071,000 in the same period of 2020[9] - Other operating expenses amounted to approximately RMB 26,139,000, representing a decrease of approximately 43.64% from approximately RMB 46,378,000 for the corresponding period of last year[88] - Finance costs for the Reporting Period amounted to approximately RMB 2,193,000, representing an increase of approximately 192.40% from approximately RMB 750,000 for the corresponding period of last year[88] - Staff costs for the three months ended September 30, 2021, were RMB 25,940,000, slightly up from RMB 24,835,000 in 2020, indicating a 4.5% increase[59] - Research and development costs for the three months ended September 30, 2021, amounted to RMB 6,699,000, compared to RMB 5,534,000 in 2020, reflecting a growth of 21.0%[59] Revenue Breakdown - Revenue from manufacturing and selling of medicines was RMB 130,547,000, slightly up from RMB 129,468,000 in 2020, representing a 0.8% increase[50] - Revenue from sales and distribution of medicines and healthcare products was RMB 75,035,000, down 56.0% from RMB 170,674,000 in 2020[50] - Total revenue for the nine months ended September 30, 2021, was RMB 596,776,000, a decrease of 21.4% compared to RMB 759,688,000 in the same period of 2020[50] - Other revenue for the nine months ended September 30, 2021, was RMB 21,490,000, an increase from RMB 10,801,000 in the same period of 2020[9] Equity and Reserves - As of September 30, 2021, total equity increased to RMB 942,867,000, up from RMB 887,421,000 as of September 30, 2020, reflecting a growth of approximately 6.2%[14] - The retained earnings as of September 30, 2021, reached RMB 236,109,000, compared to RMB 203,036,000 at the end of the previous year, indicating an increase of about 16.3%[14] - The statutory reserve fund increased to RMB 48,686,000 as of September 30, 2021, compared to RMB 48,465,000 at the beginning of the year, showing a slight increase[14] Financial Position and Liabilities - The company paid dividends of RMB 3,000,000 to non-controlling interests during the reporting period[14] - The total interest expense on financial liabilities not at fair value through profit or loss for the nine months ended September 30, 2021, was RMB 2,193,000, up from RMB 750,000 in 2020, representing a growth of 192.4%[56] - As of September 30, 2021, the Group had no significant contingent liabilities[92] Corporate Governance - The Company has established an Audit Committee to review financial statements and provide suggestions to the Board[132] - The Audit Committee has reviewed the unaudited condensed consolidated results for the Reporting Period[132] - The Company complied with the Corporate Governance Code and Corporate Governance Report requirements under GEM Listing Rules[132] - The Board aims to enhance corporate governance standards to ensure responsible business operations[132] Shareholding Structure - Neptunus Bio-engineering holds approximately 73.51% of the entire issued share capital of the Company, with 70.38% directly held and 3.13% indirectly held through Shenzhen Neptunus Oriental Investment Company Limited[102] - As of September 30, 2021, Neptunus Bio-engineering is the beneficial owner of 1,181,000,000 domestic shares, representing 94.33% of all domestic shares and 70.38% of the Company's issued share capital[110] - The Company has not adopted any share option scheme or granted any options, convertible securities, warrants, or similar rights as of September 30, 2021[104] Compliance and Conduct - Neptunus Bio-engineering confirmed compliance with the Non-Competition Undertakings during the Reporting Period, ensuring no direct or indirect competition with the Company[126] - The Company has adopted a code of conduct regarding securities transactions by Directors, confirming compliance with the required standards during the Reporting Period[127] - The Company is committed to operating its business in an honourable manner[132]

Revenue and Profitability - Revenue for the six months ended June 30, 2021, was RMB 391,194,000, a decrease of 15% compared to RMB 459,546,000 for the same period in 2020[8] - Gross profit for the six months ended June 30, 2021, was RMB 185,303,000, down 22.6% from RMB 239,800,000 in the prior year[8] - Profit and total comprehensive income for the period was RMB 22,685,000, an increase of 17.5% compared to RMB 19,254,000 for the same period in 2020[10] - Basic and diluted earnings per share for the six months was RMB 1.17 cents, compared to RMB 1.09 cents for the same period in 2020[10] - Profit before taxation for the six months was RMB 26,032,000, an increase of 16.2% compared to RMB 22,306,000 in the prior year[8] - The company reported a consolidated profit before taxation of RMB 26,032,000, up from RMB 22,306,000 in 2020, representing an increase of 16.2%[121] - For the three months ended June 30, 2021, the profit attributable to owners of the Company was approximately RMB 3,999,000, compared to RMB 8,932,000 for the same period in 2020, representing a decrease of 55.2%[150] - For the six months ended June 30, 2021, the profit attributable to owners of the Company was approximately RMB 19,647,000, compared to RMB 18,250,000 for the same period in 2020, representing an increase of 7.7%[150] Expenses and Costs - Selling and distribution expenses decreased significantly to RMB 121,177,000 for the six months ended June 30, 2021, from RMB 168,634,000 in 2020, a reduction of 28%[8] - Administrative expenses increased to RMB 34,465,000 for the six months ended June 30, 2021, compared to RMB 29,699,000 in the previous year, reflecting an increase of 16.5%[8] - Staff costs, including salaries and benefits, increased to RMB 32,845 for the six months ended June 30, 2021, from RMB 22,762 in 2020, reflecting a rise of 44.3%[138] - Research and development costs for the six months ended June 30, 2021, were RMB 11,402, up from RMB 10,375 in 2020, showing an increase of 9.9%[138] Assets and Liabilities - As of June 30, 2021, total assets amounted to RMB 935,317,000, an increase from RMB 908,615,000 as of December 31, 2020, reflecting a growth of approximately 2.5%[14] - Current liabilities increased to RMB 310,658,000 from RMB 212,267,000, representing a rise of about 46.3%[14] - Net current assets decreased to RMB 386,327,000 from RMB 597,084,000, indicating a decline of approximately 35.3%[14] - The company's total equity reached RMB 905,231,000, up from RMB 895,672,000, marking an increase of about 1.6%[16] - Trade and other payables increased to RMB 244,388,000 from RMB 179,509,000, reflecting a growth of about 36.1%[14] - Total reportable segment assets increased to RMB 1,393,708,000 in 2021 from RMB 1,251,998,000 in 2020, indicating a growth of 11.3%[121] - The consolidated total liabilities rose to RMB 340,744, compared to RMB 225,210 at the end of 2020, indicating an increase of about 51.1%[124] Cash Flow - Net cash used in operating activities was RMB 65,036,000 in H1 2021, compared to a cash generation of RMB 70,854,000 in H1 2020[22] - Net cash outflow on acquisition of a subsidiary amounted to RMB 63,683,000, with total cash used in investing activities reaching RMB 64,412,000 in H1 2021[24] - Cash and cash equivalents at the end of the period were RMB 261,956,000, an increase from RMB 224,030,000 at the end of H1 2020[24] - Net cash used in financing activities was RMB 20,481,000 in H1 2021, compared to RMB 3,510,000 in H1 2020, indicating a significant increase in cash outflow[24] - The net decrease in cash and cash equivalents for the period was RMB 149,929,000, a slight improvement from a decrease of RMB 160,181,000 in H1 2020[24] Segment Information - The Group operates in two reportable segments: manufacturing and selling of medicines, and sales and distribution of medicines and healthcare products[39] - Reportable segment revenue for the six months ended June 30, 2021, was RMB 412,103,000, a decrease of 12.8% compared to RMB 472,938,000 in 2020[121] - Revenue from external customers increased to RMB 233,766,000 in 2021 from RMB 199,482,000 in 2020, representing a growth of 17.2%[121] - Reportable segment profit (adjusted EBT) rose significantly to RMB 26,391,000 in 2021, up from RMB 23,365,000 in 2020, marking an increase of 8.7%[121] Acquisitions and Investments - On June 1, 2021, the Group completed the acquisition of 51% equity interest in Beijing Neptunus Zhongxin Pharmaceutical Co., Limited for a total consideration of RMB 76,500,000[196] - The goodwill arising from the acquisition of Neptunus Zhongxin was approximately RMB 90,163,000[197] - The Group made a payment of RMB 769,000 for lease liabilities in H1 2021, which was not present in H1 2020[24] - The Group purchased property, plant, and equipment amounting to approximately RMB 7,641,000 during the Reporting Period, a decrease from RMB 14,444,000 in 2020[150] Financial Reporting and Standards - The Group is currently assessing the impact of new and amended HKFRSs on its financial position and results for the first year of application, with expectations of no material impact[30] - The Group adopted new HKFRSs effective from January 1, 2021, including amendments related to Covid-19 rent concessions and interest rate benchmark reforms[30] - The interim financial statements are unaudited, indicating a preliminary assessment of the Group's financial performance[28] - The Group's financial statements are prepared on a historical cost basis and presented in Renminbi (RMB)[28]

Financial Performance - Revenue for the first quarter of 2021 was RMB 219,289,000, representing an increase of 12.5% compared to RMB 194,847,000 in the same period of 2020[5] - Gross profit for the quarter was RMB 118,147,000, up 28.6% from RMB 91,854,000 year-on-year[5] - Profit from operations increased to RMB 22,323,000, a rise of 69.9% compared to RMB 13,124,000 in the first quarter of 2020[5] - Profit before taxation was RMB 22,312,000, compared to RMB 12,882,000 in the same quarter of the previous year, marking a growth of 73.3%[7] - Net profit for the period attributable to owners of the Company was RMB 15,648,000, up 67.5% from RMB 9,318,000 in the first quarter of 2020[7] - Earnings per share for the period increased to RMB 0.93, compared to RMB 0.56 in the same period last year, reflecting a growth of 66.1%[7] - The total comprehensive income for the period was RMB 18,073,000, compared to RMB 9,777,000 in the first quarter of 2020, reflecting an increase of 84.1%[7] Expenses - Selling and distribution expenses rose to RMB 77,118,000, an increase of 33.9% from RMB 57,604,000 in the first quarter of 2020[5] - Administrative expenses were RMB 17,175,000, up from RMB 15,652,000, indicating a year-on-year increase of 9.7%[5] - Other operating expenses amounted to approximately RMB 6,061,000, representing a decrease of approximately 21.71% from approximately RMB 7,742,000 for the corresponding period of last year[62] - Finance costs amounted to approximately RMB 11,000, representing a decrease of approximately 95.45% from approximately RMB 242,000 for the corresponding period of last year[62] Revenue Breakdown - Revenue for the three months ended March 31, 2021, was RMB 219,289,000, an increase of 12.6% compared to RMB 194,847,000 for the same period in 2020[18] - Sales and distribution of medicines accounted for RMB 121,789,000, up from RMB 86,765,000 in the previous year, representing a growth of 40.4%[18] - Revenue from the manufacturing and selling of medicines segment was approximately RMB 121,789,000, accounting for approximately 55.54% of the Group's total revenue, with a year-on-year increase of approximately 40.37%[60] - Revenue from the sales and distribution of medicines and healthcare products segment was approximately RMB 97,500,000, accounting for approximately 44.46% of total revenue, with a year-on-year decrease of approximately 9.79%[60] Research and Development - The Group plans to increase investment in research and development and product quality assurance systems to ensure sustainable development amid changing market conditions[48] - The Group's research and development efforts include independent projects and collaborations with external institutions to meet internal demands[44] - Research and development costs for the quarter were RMB 5,320,000, slightly down from RMB 5,510,000 in the same period last year[28] Market Strategy - The company plans to continue expanding its market presence and investing in new product development to drive future growth[19] - The Group is closely monitoring national policies and market trends to seize opportunities arising from industry changes[49] - The Group plans to enhance R&D and quality system investments while expanding its sales network to ensure stable development in drug production and sales[49] Corporate Governance - The Company has adhered to the requirements under the Corporate Governance Code during the Quarter[118] - The roles of the Chairman and General Manager are separate, ensuring proper governance as per the Corporate Governance Code[116] - The Company will continue to enhance its corporate governance standards to operate in an honorable and responsible manner[118] - The Audit Committee has reviewed the unaudited consolidated results of the Group for the Quarter[116] - The Company has adopted a code of conduct regarding securities transactions by Directors, confirming no violations during the Quarter[114] Shareholding and Interests - Mr. Zhang Feng, the chairman, holds approximately 0.05% of the issued share capital of Neptunus Bio-engineering, which controls about 73.51% of the Company[71] - The total beneficial interest in the Company by its controlling shareholder is approximately 73.51%[71] - Neptunus Bio-engineering directly holds 70.38% and indirectly holds 3.13% of the Company's issued share capital[71] - The Company has entered into non-competition undertakings with Neptunus Bio-engineering to prevent direct or indirect competition[112] Operational Challenges - The Group's subsidiary is facing increased operational pressure due to national policy impacts, market fluctuations, and intensified competition in drug bidding[49] - The prices of pharmaceutical products are decreasing while the prices of active ingredients are increasing, creating continuous pressure on the Group's pharmaceutical manufacturing subsidiaries[48]

Financial Performance - Shenzhen Neptunus Interlong Bio-technique Company Limited reported a significant increase in revenue, achieving a total of 1.2 billion RMB, representing a growth of 15% year-over-year[22]. - The Group's revenue for the Year was approximately RMB1,031,369,000, representing a decrease of approximately 4.58% compared to the previous year[81]. - Revenue from the manufacturing and selling of medicines segment was approximately RMB441,281,000, accounting for approximately 42.79% of the total revenue, while revenue from the sales and distribution of medicines and healthcare products segment was approximately RMB590,088,000, accounting for approximately 57.21%[81]. - The Group's gross profit margin has decreased due to lower drug prices, increased active ingredient costs, and higher quality assurance system investments[55]. - The Group's gross profit for the Year was approximately RMB574,360,000, a decrease of approximately 10.68% compared to the previous year[81]. - Selling and distribution expenses were approximately RMB420,578,000, representing a decrease of approximately 7.89% from the previous year[81]. - Administrative expenses for the Year were approximately RMB64,456,000, a decrease of approximately 1.70% compared to the previous year[81]. - Other operating expenses increased to approximately RMB53,471,000, representing an increase of approximately 7.14% compared to the previous year[84]. - Finance costs for the Year amounted to approximately RMB830,000, representing a decrease of approximately 41.42% compared to the previous year[86]. Market Expansion and Strategy - The company has expanded its user base, now serving over 500,000 active users, which is an increase of 20% compared to the previous year[22]. - Market expansion efforts include entering two new international markets, with a goal to increase overseas sales by 25%[22]. - The company is considering strategic acquisitions to enhance its product portfolio and market presence, with a budget of up to 300 million RMB for potential targets[22]. - A new product line is set to launch in Q3 2021, expected to contribute an additional 200 million RMB in revenue[22]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[128]. - A strategic acquisition of a local biotech firm is anticipated to enhance the company's R&D capabilities and product offerings[128]. - The company has established partnerships with three major hospitals to enhance distribution channels and increase product visibility[128]. - The Group plans to expand and adjust its product structure, focusing on core varieties that are competitive in efficacy, branding, or cost[34]. Research and Development - The company is investing heavily in R&D, allocating 150 million RMB for the development of new biotechnologies and products[22]. - The Group's R&D efforts will focus on independent and commissioned research to accelerate the clinical research and application of new drugs[42]. - The company plans to increase investment in research and development of new drugs and improve production capacity and quality assurance systems[75]. - The Group has established partnerships with three leading research institutions to accelerate innovation in biotechnology[22]. Operational Efficiency and Sustainability - The management highlighted a focus on improving operational efficiency, targeting a reduction in costs by 5% over the next year[22]. - A commitment to sustainability has been made, with plans to reduce carbon emissions by 30% by 2025[22]. - The management emphasized a commitment to sustainability, aiming to reduce operational costs by 5% through eco-friendly practices[128]. Impact of COVID-19 - The COVID-19 pandemic significantly impacted various sectors of the pharmaceutical industry, with the medical device sector and vaccine industry benefiting, while respiratory and fever drug sectors faced negative effects[33]. - The impact of the COVID-19 pandemic has led to a decrease in demand for non-epidemic drugs in medical institutions, affecting the sales of the Group's self-manufactured products[55]. - The Group increased the purchase and sales of epidemic prevention products and healthcare food products to offset the pandemic's negative impact on certain product sales[34]. - The COVID-19 pandemic and changes in medical insurance policies impacted the Group's sales, but the business remained stable due to flexible marketing strategies and promotion of epidemic prevention products[60]. Governance and Management - The Board is committed to improving governance, strengthening management, and enhancing the internal control system to support the Group's development[40]. - The leadership team is committed to maintaining high standards of corporate governance and transparency in its operations[117]. - The company has a strong leadership team with diverse backgrounds in management, finance, and pharmaceutical operations[99]. - The board includes members with significant experience in both domestic and international pharmaceutical markets[99]. Shareholder Information - As of December 31, 2020, the Company had no distributable reserves and an accumulated loss of approximately RMB 1.2 billion[136]. - The Directors do not recommend the distribution of any dividends for the Year, consistent with 2019[136]. - The Company has not adopted any share option scheme or granted any options or convertible securities as of December 31, 2020[144]. - The substantial shareholder Neptunus Bio-engineering held 1,181,000,000 domestic shares, representing 94.33% of all domestic shares and 70.38% of the Company's issued share capital[160].

a == 深 圳 市 海 王 英 特 龍 生 物 技 術 股 份 有 限 公 司 SHENZHEN NEPTUNUS INTERLONG BIO-TECHNIQUE COMPANY LIMITED* (a joint stock limited company incorporated in the People's Republic of China) (於中華人民共和國註冊成立之股份有限公司) Stock Code 股份代號 : 8329 * For identification purpose only 僅供識別之用 Third Quarterly Report |第 | --- | --- | |-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...