Financial Performance - The company achieved a revenue of 1.475 billion CNY, representing a year-on-year growth of 22.20%[2] - The net profit attributable to shareholders reached 373 million CNY, with a year-on-year increase of 21.17%[2] - The company's revenue for the first half of 2021 reached ¥1,475,429,759.92, representing a 22.20% increase compared to ¥1,207,404,179.39 in the same period last year[19] - The net profit attributable to shareholders for the same period was ¥372,769,630.83, up 21.17% from ¥307,647,505.02 year-on-year[19] - The basic earnings per share for the first half of 2021 was ¥0.66, an increase of 11.86% compared to ¥0.59 in the same period last year[20] - The net profit after deducting non-recurring gains and losses was ¥339,870,808.38, reflecting a 22.03% increase from ¥278,524,951.70 in the previous year[19] - The total comprehensive income of ¥370,569,464.43 for the first half of 2021, up from ¥308,492,312.23 in the previous year, marking a growth of 20.1%[102] Research and Development - Research and development investment amounted to 249 million CNY, accounting for 16.87% of total sales revenue[2] - The company has applied for 108 patents, including 20 domestic invention patents and 14 PCT international patents[35] - The company has established R&D centers in Beijing and Jiangsu, with plans to expand to Europe to enhance its R&D capabilities[34] - The company is committed to enhancing its product competitiveness and expanding its product pipeline to mitigate risks associated with a single product structure[57] Market Expansion - International sales revenue reached 74 million CNY, showing a significant year-on-year growth of 171.70%[3] - The company confirmed revenue of 7.8728 million CNY from a commercial supply agreement with Sanofi for biosimilar insulin products[4] - The company has registered products in 18 countries and has commercial sales in 14 countries, with clinical trials ongoing in 12 countries[3] - The company aims to enhance the accessibility of insulin medications in line with national healthcare policies[2] - The company is focusing on localizing production and operations in emerging markets to enhance competitiveness and market share[38] Production and Operations - The company is expanding its production base in Linyi, which is progressing as planned to become a world-class modern production facility[2] - The company’s insulin products have covered mainstream long-acting, rapid-acting, and premixed products in the market, with sufficient production capacity[2] - The company has successfully launched the Aspart Insulin 30 Injection and the Protamine Human Insulin Mixture Injection (30R), enhancing its competitive position in the domestic market[36] - The company is developing a new production base in Linyi, Shandong, which is its largest investment project to date, aimed at enhancing global insulin supply capabilities[42] Financial Position - The total assets at the end of the reporting period were ¥9,841,483,870.77, an increase of 3.51% from ¥9,507,448,846.15 at the end of the previous year[19] - The net assets attributable to shareholders at the end of the reporting period were ¥9,084,474,077.08, reflecting a 1.63% increase from ¥8,938,520,381.40 at the end of the previous year[19] - The company's total liabilities reached RMB 757,172,300.16, up from RMB 569,090,739.97, indicating a rise of about 33.1%[98] - Cash and cash equivalents stood at RMB 3,012,532,130.89, compared to RMB 2,824,811,610.48, marking an increase of about 6.6%[97] Regulatory and Market Environment - The national centralized procurement of drugs and high-value medical consumables is becoming institutionalized, with the fourth batch of drug procurement results implemented in May 2021[30] - The company is closely monitoring the trends in centralized procurement policies while accelerating the layout of innovative drugs[30] - The establishment of a basic medical insurance outpatient mutual aid guarantee mechanism is expected to improve drug accessibility and increase drug volume[31] - The company faces industry policy risks due to ongoing reforms in China's healthcare system, which may lead to significant changes in the regulatory environment affecting the pharmaceutical market[56] Environmental and Social Responsibility - The company is focused on maintaining a green development approach and has been recognized as a key pollutant discharge unit by environmental protection authorities[67] - The average concentration of chemical oxygen demand (COD) emissions is 150 mg/L, with a total discharge of 52.79 tons in the first half of the year[68] - The wastewater treatment station has a designed processing capacity of 1800 m³/d for clean wastewater and 800 m³/d for heavy wastewater[69] - The company has implemented low-nitrogen combustion technology in new boilers since April 2017 to ensure compliance with nitrogen oxide emission standards[69] Shareholder and Corporate Governance - The controlling shareholder and actual controller Gan Zhongru has committed to not transferring or entrusting the management of shares held before the issuance for 36 months from the date of the company's stock listing[77] - The company has established a commitment to avoid competition with its controlling shareholder, ensuring no conflicts of interest arise[78] - The company has a plan for gradual share reduction by major shareholders after the lock-up period, contingent on market conditions and legal compliance[78] - The company has not engaged in any competitive products or businesses since the signing of the commitment letter[80] Risk Management - The company relies heavily on insulin products for revenue, which poses a risk of revenue volatility if market demand decreases or if competitors introduce superior products[57] - New product development is subject to high risks and long timelines, with potential impacts on profitability if new drugs fail to gain approval or meet market needs[58] - The company is actively seeking partnerships with profitable pharmaceutical firms to enhance its R&D capabilities and expand its product offerings[59]