Core Points - Tai Long Pharmaceutical announced a board meeting on December 26, 2023, to approve the transfer of fund shares and change of fund manager [2] - The company’s wholly-owned subsidiary, Hangzhou Tai Long Jin Tang Enterprise Management Co., Ltd., will acquire 0.67% of the ordinary partnership shares of the Beijing-Hong Kong Advanced Manufacturing Industry Equity Investment Fund for RMB 2.1979 million [2] - The subsidiary will also acquire 82.33% of the limited partnership shares of Zhengzhou Longhua Pharmaceutical Industry Fund for RMB 190.9653 million, increasing its total holding to 55% [2] - The fund manager will be changed to Tibet Jinyuan Investment Management Co., Ltd., with the change already filed with the Asset Management Association of China [2]

2023年12月26日，河南太龙药业股份有限公司（以下简称"公司"） 召开的第九届董事会第二十次会议，审议通过了《关于联合关联方共 同受让产业基金份额、变更基金管理人的议案》，同意公司下属全资 子公司杭州太龙金棠企业管理有限公司（以下简称"太龙金棠"）以 人民币219.79万元受让河南京港先进制造业股权投资基金（有限合 伙）（以下简称"京港基金"）0.67%普通合伙份额，公司全资子公 司合计持有55%合伙份额的郑州龙华医药产业基金合伙企业（有限合 伙）（以下简称"龙华医药产业基金"）以人民币19,096.53万元受 让京港基金82.33%有限合伙份额；将京港基金的执行事务合伙人、管 理人变更为西藏金缘投资管理有限公司（以下简称"西藏金缘"）。 截至2024年8月，太龙金棠、龙华医药产业基金按《基金份额转 让协议》约定完成交易价款支付、标的份额交割，并与全体合伙人重 新签署《合伙协议》，将京港基金执行事务合伙人及基金管理人变更 为西藏金缘，且京港基金完成工商注册登记手续并取得营业执照。具 体内容详见公司分别于2023年12月27日、2024年8月16日在上海证券 交易所网站（www.sse.com.cn）披露的 ...

Core Insights - The traditional Chinese medicine sector experienced a rise of 0.84% on November 11, with Weikang Pharmaceutical leading the gains [1] - The Shanghai Composite Index closed at 4002.76, down 0.39%, while the Shenzhen Component Index closed at 13289.0, down 1.03% [1] Company Performance - Weikang Pharmaceutical (300878) closed at 29.30, up 12.69% with a trading volume of 93,800 shares and a transaction value of 260 million [1] - Te Yi Pharmaceutical (002728) closed at 12.76, up 10.00% with a trading volume of 869,700 shares and a transaction value of 1.056 billion [1] - Tai Long Pharmaceutical (600222) closed at 7.51, up 9.96% with a trading volume of 630,600 shares and a transaction value of 461 million [1] - Yi Ling Pharmaceutical (002603) closed at 20.47, up 6.61% with a trading volume of 1,882,100 shares and a transaction value of 1.758 billion [1] - Zhongsheng Pharmaceutical (002317) closed at 21.25, up 4.17% with a trading volume of 893,600 shares and a transaction value of 1.854 billion [1] Market Dynamics - The traditional Chinese medicine sector saw a net inflow of 178 million from institutional investors, while retail investors experienced a net outflow of 1.3583 million [2] - The main capital flow for Te Yi Pharmaceutical showed a net inflow of 225 million, while retail investors had a net outflow of 127 million [3] - Tai Long Pharmaceutical had a net inflow of 83.56 million from main capital, with retail investors seeing a net outflow of 472.73 million [3]

Core Insights - The flu season in China is expected to start earlier than usual, with respiratory diseases entering a high incidence period [1][4] - A surge in flu-related stocks has been observed in the A-share market, with significant gains for companies like Weikang Pharmaceutical and Te Yi Pharmaceutical [2][3] Industry Overview - The China CDC has reported an increase in flu activity in southern provinces, indicating a potential early onset of the flu season [4] - Experts predict that the peak of the flu epidemic may occur in late December to early January, with a notable shift in circulating strains from H1N1 to H3N2, leading to lower immunity in the population [5][6] Market Response - Flu concept stocks have shown strong performance, with Weikang Pharmaceutical rising over 12% and several other companies reaching their daily limit [2][3] - The demand for antiviral medications is expected to surge as the flu season approaches, prompting pharmaceutical companies to ramp up production [8] Investment Opportunities - The year 2025 is anticipated to be a pivotal year for domestic flu medications, with several innovative drugs expected to receive approval, presenting both short-term and long-term investment opportunities [8] - The low vaccination rates in China highlight the urgent need for a comprehensive flu management system, which could benefit key sectors such as vaccine development, infection control, and antiviral drug production [8]

Group 1 - The flu season in China is expected to peak earlier this year, potentially in late December to early January, due to rising flu activity in southern provinces and different circulating strains compared to last year [4][5]. - The dominant strain this year is expected to be H3N2, which may lead to lower immunity in the population compared to last year's H1N1 strain [5]. - The demand for antiviral medications is anticipated to surge as the flu peak approaches, with several pharmaceutical companies ramping up production [8]. Group 2 - A-share flu-related stocks have shown strong performance, with notable increases in companies such as Weikang Pharmaceutical (+12.08%), Te Yi Pharmaceutical (+10.00%), and Renmin Tongtai (+9.97%) [2][3]. - The flu vaccine and antiviral drug sectors are expected to benefit from the anticipated increase in flu cases, highlighting a dual opportunity for investors in both short-term pandemic catalysts and long-term innovation [8]. - The overall flu-related industry, including vaccine development, infection control, and antiviral drugs, is likely to see a demand surge and value reassessment during the flu season [8].

Core Viewpoint - Tai Long Pharmaceutical experienced a 5.12% increase in stock price, reaching 7.18 CNY per share, with a trading volume of 1.29 billion CNY and a turnover rate of 3.21%, resulting in a total market capitalization of 4.121 billion CNY [1] Company Overview - Tai Long Pharmaceutical Co., Ltd. is located in Zhengzhou, Henan Province, and was established on August 31, 1998, with its listing date on November 5, 1999 [1] - The company operates in the pharmaceutical manufacturing industry, focusing on traditional Chinese medicine pieces, Chinese patent medicines, chemical drug manufacturing, and pharmaceutical wholesale, as well as preclinical research services [1] - The revenue composition of the company is as follows: 70.59% from drug manufacturing, 14.71% from drug research services, 14.42% from drug material circulation, and 0.28% from other sources [1] Shareholder Information - Among the top ten circulating shareholders of Tai Long Pharmaceutical, a fund under Huatai PineBridge holds a position. The Huatai Zhongzheng Traditional Chinese Medicine ETF (560080) entered the top ten circulating shareholders in the third quarter, holding 2.8616 million shares, which accounts for 0.5% of the circulating shares [2] - The Huatai Zhongzheng Traditional Chinese Medicine ETF (560080) was established on September 26, 2022, with a current scale of 2.489 billion CNY. Year-to-date, it has a return of 1.89%, ranking 4143 out of 4216 in its category; over the past year, it has incurred a loss of 5.38%, ranking 3855 out of 3922; since inception, it has achieved a return of 11.22% [2]

Core Viewpoint - The A-share market is experiencing a strong performance in flu-related stocks, driven by expectations of a flu outbreak in the upcoming winter season [1] Group 1: Market Performance - Flu concept stocks in the A-share market have shown significant gains, with Te Yi Pharmaceutical hitting the daily limit, Tai Long Pharmaceutical and Nanxin Pharmaceutical rising over 7%, Weikang Pharmaceutical increasing over 5%, and Peking University Pharmaceutical up nearly 4% [1] - Yiling Pharmaceutical has also seen an increase of almost 4% [1] Group 2: Health Forecast - The China Center for Disease Control and Prevention (CDC) predicts that the peak of the flu epidemic in China this autumn and winter may occur in mid-December to early January [1] - The CDC is actively monitoring and assessing flu activity across the country, indicating that the overall flu activity in China is currently on the rise [1] - The H3N2 subtype of the influenza virus accounts for over 95% of the cases, with a small presence of H1N1 and B-type influenza viruses circulating simultaneously [1]

Core Viewpoint - The flu sector has experienced a significant rally, with notable stock price increases among several pharmaceutical companies [1] Company Summaries - Special One Pharmaceutical has reached its daily limit increase in stock price [1] - Nanxin Pharmaceutical's stock has risen by over 6% [1] - Tailong Pharmaceutical, Hendi Pharmaceutical, and Zhongsheng Pharmaceutical have also seen stock price increases [1]

Core Viewpoint - TaiLong Pharmaceutical has shown a significant stock price increase of 36.94% year-to-date, with recent trading activity indicating positive market sentiment and liquidity [1][2]. Financial Performance - For the period from January to September 2025, TaiLong Pharmaceutical reported a revenue of 1.187 billion yuan, representing a year-on-year decrease of 11.47%. The net profit attributable to shareholders was 25.33 million yuan, down 12.36% compared to the previous year [2]. - The company has cumulatively distributed 112 million yuan in dividends since its A-share listing, with 15.53 million yuan distributed over the last three years [3]. Stock Market Activity - As of November 11, TaiLong Pharmaceutical's stock price was 6.97 yuan per share, with a market capitalization of 4 billion yuan. The stock experienced a trading volume of 50.41 million yuan and a turnover rate of 1.28% [1]. - The stock has seen a net inflow of 2.36 million yuan from main funds, with large orders accounting for 22.95% of total purchases [1]. Shareholder Information - As of September 30, 2025, the number of shareholders for TaiLong Pharmaceutical was 40,400, a decrease of 1.08% from the previous period. The average number of tradable shares per shareholder increased by 1.09% to 14,190 shares [2]. - Among the top ten circulating shareholders, Guangfa Pension Index A held 2.9719 million shares, a decrease of 264,000 shares from the previous period, while Huatai-PineBridge CSI Traditional Chinese Medicine ETF entered as a new shareholder with 2.8616 million shares [3].

Core Viewpoint - Tai Long Pharmaceutical announced the completion and termination of its third employee stock ownership plan, with all shares held under this plan sold [1] Summary by Relevant Sections - **Company Announcement** - Tai Long Pharmaceutical Co., Ltd. has fully sold all shares held under its third employee stock ownership plan [1] - The implementation of the third employee stock ownership plan has been completed and is now terminated [1] - **Regulatory Compliance** - The company’s actions are in accordance with the "Guidance on the Pilot Implementation of Employee Stock Ownership Plans for Listed Companies" and the "Self-Regulatory Guidelines for Listed Companies on the Shanghai Stock Exchange" [1] - The termination of the plan follows the relevant regulations outlined in the third employee stock ownership plan documentation [1]