Financial Performance - The company's operating revenue for the first half of 2020 was RMB 154,617,434.39, representing an increase of 18.59% compared to RMB 130,383,775.54 in the same period last year[18]. - The net profit attributable to shareholders for the first half of 2020 was RMB 60,751,575.88, a significant increase of 55.92% from RMB 38,962,828.85 in the previous year[18]. - The net cash flow from operating activities improved to -RMB 2,860,364.18, a 93.98% increase compared to -RMB 47,485,502.75 in the same period last year[18]. - The company's total assets as of the end of the reporting period were RMB 1,469,243,183.82, reflecting a 1.49% increase from RMB 1,447,626,241.87 at the end of the previous year[18]. - The net assets attributable to shareholders increased by 2.89% to RMB 1,318,328,283.40 from RMB 1,281,295,685.52 at the end of the previous year[18]. - Basic earnings per share for the first half of 2020 were RMB 0.15, up 36.36% from RMB 0.11 in the same period last year[19]. - The company achieved a revenue of 155 million yuan, representing an 18.59% increase compared to the same period last year[63]. - The net profit for the period was 60.75 million yuan, reflecting a growth of 55.92% year-on-year[63]. Research and Development - The R&D expenditure accounted for 10.49% of operating revenue, an increase of 0.95 percentage points compared to 9.54% in the previous year[19]. - The total R&D investment for the first half of 2020 was approximately CNY 16.22 million, accounting for 10.49% of the company's operating revenue[44]. - The company has established multiple technology platforms, including synthetic peptide vaccine, inactivated vaccine, and virus-like particle vaccine platforms, enhancing its R&D capabilities[39][40]. - The company received three authorized invention patents in the first half of 2020, reflecting its commitment to innovation[43]. - The company is developing a dual-type inactivated vaccine for foot-and-mouth disease, with a total expected investment of CNY 20 million, and has already invested CNY 896.54 thousand in the project[46]. - The company has developed a PCR diagnostic kit for African swine fever, which has been approved by the Ministry of Agriculture and Rural Affairs[42]. - The company’s synthetic peptide vaccine technology platform includes several advanced techniques, such as Fmoc/tBu strategy solid-phase synthesis and antigen peptide purification technology[39]. Market Position and Industry Overview - The company specializes in the research, production, and sales of veterinary biological products, primarily focusing on foot-and-mouth disease (FMD) vaccines[24]. - The company is a leader in the domestic FMD peptide vaccine sector and was one of the first to industrialize this type of vaccine globally[26]. - The FMD vaccine market is heavily regulated, with government procurement being the main purchasing method, supplemented by a "first vaccination, then reimbursement" policy[29]. - The market size of China's veterinary biological products industry reached approximately 13.29 billion RMB in 2018, showing a growth of about 114% since 2010[31]. - The total sales of pig biological products in 2018 was 5.92 billion RMB, with the top ten companies holding 58.42% of the market share[33]. - The veterinary biological products industry is subject to high technical barriers, requiring compliance with strict regulations and standards[36]. Shareholder and Governance - The company did not propose any profit distribution plan or capital reserve transfer to increase share capital during the reporting period[5]. - The company has committed to ensuring that any related party transactions are conducted at fair and reasonable terms[103]. - The company will not transfer or delegate management of its shares for 36 months post-IPO, ensuring stability in shareholding[103]. - The company has established measures to stabilize its stock price, with commitments from senior management to avoid misleading statements[101]. - The company has a lock-up period of 12 months for shareholders holding more than 5% of shares, during which no transfer or management delegation of shares is allowed[104]. - The company will enhance its governance structure to ensure the protection of minority shareholders' rights[114]. Environmental Compliance - The company is listed as a key pollutant discharge unit in Shanghai, with wastewater discharge totaling 3,984 tons in the first half of 2020, complying with the pollution discharge standards[130]. - The company reported a total of 47.242 tons of hazardous waste (waste organic solution) disposed of in the first half of 2020[132]. - The company has implemented an emergency response plan for environmental incidents, registered with the Shanghai Municipal Ecology and Environment Bureau[135]. - The company has adhered to environmental protection laws during the construction of the "Suspended Culture Foot-and-Mouth Disease Inactivated Vaccine Project"[133]. Financial Management - The company raised a net amount of 400.175 million yuan from its IPO, with 467.925 million yuan remaining, of which 437.925 million yuan is self-funding and 30 million yuan is from bank loans[90]. - Investment in fundraising projects during the reporting period amounted to 49.8955 million yuan, an increase of 12.9% compared to the same period last year; the cumulative investment in fundraising projects reached 503.08 million yuan, with 134.1825 million yuan paid from raised funds[90]. - The company has established a fundraising management system to ensure the legal and compliant use of raised funds[114]. Risk Factors - The company faces risks related to high customer concentration, as its products are primarily sold through government procurement[74]. - The African swine fever epidemic has had a profound impact on the livestock veterinary drug industry, with the company’s performance closely tied to the scale of pig farming[76]. - The company faces risks related to changes in government procurement policies for vaccines, which could adversely affect profitability[77].

Financial Performance - The company's operating revenue for 2019 was ¥253.81 million, a decrease of 7.75% compared to ¥275.14 million in 2018[20]. - The net profit attributable to shareholders for 2019 was ¥77.96 million, down 10.99% from ¥87.58 million in 2018[20]. - The basic earnings per share for 2019 was ¥0.21, a decline of 19.23% from ¥0.26 in 2018[21]. - The cash flow from operating activities for 2019 was ¥53.81 million, a significant drop of 55.57% compared to ¥121.13 million in 2018[20]. - In 2019, the company achieved sales revenue of 254 million RMB, a decline of only 7.75% compared to 2018, despite the overall industry facing a 21.6% decrease in pig slaughter volume due to African swine fever[44]. - The company reported a net profit of ¥10.03 million from non-recurring gains and losses in 2019, compared to ¥5.38 million in 2018[24]. - The company achieved sales revenue of 254 million yuan in 2019, a decrease of 7.75% compared to 2018, with a net profit of 77.95 million yuan, down 10.99% year-on-year[78]. Research and Development - The company's R&D expenditure as a percentage of operating revenue increased to 10.47% in 2019, up 2.73 percentage points from 7.74% in 2018[21]. - The total R&D investment for the reporting period was approximately ¥26.56 million, accounting for 10.47% of the company's revenue[58]. - The company has filed for 7 invention patents, 3 design patents, and 4 utility model patents during the reporting period, demonstrating its commitment to innovation[52]. - The company has established multiple core technology platforms, including synthetic peptide vaccine technology, inactivated vaccine technology, and virus-like particle vaccine technology, enhancing its competitive edge in the industry[48]. - The company has a total of 63 R&D personnel, representing 21.21% of the total workforce, indicating a strong focus on research and development[58]. - The R&D team comprises 63 members, accounting for 21.21% of the total workforce, with expertise in various relevant fields[72]. - The company is focusing on the development of multivalent and multi-target vaccines to reduce the number of vaccinations required for livestock, addressing new demands in vaccine research[46]. Market Position and Products - The company specializes in the R&D, production, and sales of veterinary biological products, primarily focusing on foot-and-mouth disease vaccines[27]. - The company maintained a market share of 62.79% in the domestic pig foot-and-mouth disease peptide vaccine market in 2018, ranking first in this segment[43]. - The company is one of only two enterprises in China with registration certificates for both the bivalent inactivated vaccine and the bivalent synthetic peptide vaccine for foot-and-mouth disease[32]. - The company launched the only currently marketed bivalent peptide vaccine for pig foot-and-mouth disease (O type and A type) in 2019, which helped mitigate the negative impact of the African swine fever outbreak[44]. - The company has established stable long-term relationships with suppliers to ensure a sufficient and stable supply of raw materials[33]. - The company is actively seeking partnerships for the research and development of African swine fever vaccines due to high technical barriers[144]. Risks and Compliance - The company emphasizes the importance of understanding the risks associated with forward-looking statements regarding future business plans and strategies[7]. - The company faces risks related to increased competition and the need for continuous R&D investment to maintain its market share and user base[84]. - The company faces risks related to environmental protection compliance, as it operates in a heavily regulated industry[92]. - The company is at risk of not achieving expected returns from its fundraising investment projects due to potential changes in industry policies and market conditions[96]. - The company has committed to avoiding competition and reducing related party transactions as part of its governance strategy[154]. - The company has not reported any false records or misleading statements in its financial disclosures, ensuring transparency and accuracy in its reporting[157]. Governance and Shareholder Relations - The company plans to distribute a cash dividend of 0.8 RMB per 10 shares to all shareholders, based on the total share capital on the record date for the distribution plan[6]. - The cash dividend policy stipulates that at least 20% of the distributable profit should be distributed as cash dividends when conditions permit[148]. - The company has a history of cash dividends, with a distribution of 0.8 RMB per share in 2019, amounting to approximately 32.78 million RMB, representing 42.04% of the net profit attributable to ordinary shareholders[152]. - The company has established a long-term commitment to transparency and accountability among its executives and board members[159]. - The company will actively promote profit distribution and cash dividends to enhance shareholder returns, in compliance with relevant regulations[173]. - The company has committed to fulfilling all public commitments made during its initial public offering and listing on the Sci-Tech Innovation Board[174]. Production and Capacity Expansion - The company aims to enhance its vaccine production capabilities, with an initial capacity of 125 million doses expected in 2020[136]. - The company plans to invest RMB 868.1 million in the "Suspended Culture Inactivated Foot-and-Mouth Disease Vaccine Project" over a 6-year construction period, with an expected annual average sales revenue of RMB 502.85 million post-production[135]. - The company is steadily advancing the Lanzhou branch's "Suspended Culture Inactivated Foot-and-Mouth Disease Vaccine Project," aiming to launch the first production line within the year, which is expected to produce approximately 125 million doses of the vaccine[145]. - The company plans to industrialize diagnostic reagents for African swine fever and foot-and-mouth disease, contributing to its product diversification strategy[145]. - The company is focused on expanding its production capacity and product lines to support future growth and market demands[145]. Financial Management and Investments - The company has engaged Da Hua Accounting Firm for auditing services at a fee of RMB 400,000 for a two-year term[187]. - The company has invested in the construction of a bio-safety animal facility, increasing the in-progress construction value by 32.14% to 354,217,119.17 yuan[116]. - The company has engaged in various wealth management products, with a total investment of 288.9 million CNY from self-owned funds and 300 million CNY from raised funds[195]. - The company achieved a maximum single-day balance of 60 million CNY in structured wealth management products with an annualized return of 4.23%[197]. - The company has not reported any overdue amounts in its wealth management investments[195].

Financial Performance - Net profit attributable to shareholders rose by 34.30% to CNY 47,128,914.92 year-on-year[5] - Operating income increased by 3.81% to CNY 98,447,947.58 compared to the same period last year[5] - Basic and diluted earnings per share increased by 20.00% to CNY 0.12[5] - Total profit for Q1 2020 increased by 33.63% to ¥54,621,844.44 compared to ¥40,875,709.23 in Q1 2019, driven by effective internal management and cost-saving measures[12] - Net profit for Q1 2020 rose by 34.30% to ¥47,128,914.92 from ¥35,091,168.20 in the same period last year[18] - The company's total revenue for Q1 2020 was ¥98,447,947.58, an increase of 3.4% compared to ¥94,831,613.01 in Q1 2019[27] - The net profit for Q1 2020 reached ¥47,128,914.92, representing a 34.3% increase from ¥35,091,168.20 in Q1 2019[27] - The company reported an operating profit of ¥52,033,044.44 for Q1 2020, which is an increase from ¥40,875,849.03 in Q1 2019, reflecting a growth of 27.5%[27] Assets and Liabilities - Total assets increased by 2.64% to CNY 1,485,807,194.99 compared to the end of the previous year[5] - The total assets as of March 31, 2020, amounted to ¥1,485,807,194.99, compared to ¥1,447,626,241.87 at the end of 2019, reflecting a growth of 2.6%[24] - The total liabilities decreased to ¥155,216,514.55 in Q1 2020 from ¥166,330,556.35 in Q1 2019, a reduction of 6.7%[24] - The company's total equity increased to ¥1,330,590,680.44 in Q1 2020, up from ¥1,281,295,685.52 in Q1 2019, marking a growth of 3.8%[25] Cash Flow - Net cash flow from operating activities improved by 65.90%, reaching CNY -12,704,566.96[5] - Operating cash flow for Q1 2020 showed a net outflow of ¥12,704,566.96, an improvement of 65.90% compared to a net outflow of ¥37,260,044.16 in Q1 2019[16] - The company's cash flow from operating activities for Q1 2020 was negative at -¥12,704,566.96, an improvement from -¥37,260,044.16 in Q1 2019[31] - Cash received from sales and services in Q1 2020 was ¥39,017,636.20, significantly higher than ¥24,640,725.00 in Q1 2019, showing a growth of 58.1%[31] - Investment activities cash inflow totaled $742.13 million, while cash outflow amounted to $804.45 million, resulting in a net cash flow of -$62.33 million[32] - Financing activities generated a cash inflow of $86.42 thousand, with cash outflow of $3.70 million, leading to a net cash flow of -$3.61 million[32] - The net increase in cash and cash equivalents was -$78.64 million, decreasing the ending balance to $77.13 million[32] - The company reported a significant decrease in cash and cash equivalents compared to the previous period, which had an ending balance of $257.24 million[32] Shareholder Information - The total number of shareholders reached 11,286 at the end of the reporting period[9] - The largest shareholder, Yang Yufang, holds 21.98% of the shares, totaling 90,063,197 shares[9] - UNITED BIOMEDICAL, INC. holds 16.65% of the shares, totaling 68,230,450 shares, with some shares frozen[9] Research and Development - R&D expenditure accounted for 8.64% of operating income, an increase of 2.69 percentage points from the previous year[5] - Research and development expenses for Q1 2020 were ¥7,009,053.43, up from ¥5,639,221.22 in Q1 2019, indicating a 24.3% increase[27] Tax and Donations - The company experienced a significant increase in tax payable, rising by 1,156.55% to ¥11,720,021.45, due to accrued taxes not yet paid[12] - The company donated ¥1,411,200 worth of disinfectant to support COVID-19 prevention efforts[15] Stock Options - The company plans to grant 4,488,000 restricted stocks at a price of ¥8.8 per share to 44 incentive targets, with a total estimated accounting cost of ¥49,906,600[19] Accounting Practices - The company did not apply new revenue and lease standards for the current year, indicating stability in accounting practices[32]