Financial Performance - Operating revenue for the reporting period was CNY 879,074,205.93, an increase of 19.22% year-on-year[11] - Net profit attributable to shareholders was CNY 70,192,335.25, representing a significant increase of 93.51% compared to the same period last year[11] - Basic earnings per share increased by 60.00% to CNY 0.16[11] - Total operating revenue for Q1 2021 reached ¥879,074,205.93, an increase of 19.2% compared to ¥737,328,516.12 in Q1 2020[52] - Net profit for Q1 2021 was ¥70,276,993.94, compared to ¥36,108,507.54 in Q1 2020, representing an increase of 94.5%[52] - The company's operating revenue for Q1 2021 reached ¥658,134,194.91, a 34.3% increase from ¥490,357,040.12 in Q1 2020[54] - Net profit for Q1 2021 was ¥40,622,404.16, compared to ¥15,500,178.11 in Q1 2020, representing a 161.3% increase[58] - Total comprehensive income for Q1 2021 was ¥40,622,404.16, compared to ¥15,500,178.11 in Q1 2020, indicating a significant growth[58] Cash Flow - The net cash flow from operating activities was negative at CNY -7,797,646.28, a decrease of 114.98% compared to the previous year[11] - The net cash flow from operating activities decreased by 114.98% to -¥7,797,646.28, primarily due to increased marketing and advertising expenses[28] - The company reported a net cash flow from operating activities of -¥7,797,646.28 in Q1 2021, a decrease from ¥52,057,480.29 in Q1 2020[62] - The cash inflow from operating activities totaled ¥1,097,135,969.96 in Q1 2021, up from ¥876,750,946.90 in Q1 2020[62] - The cash outflow from operating activities was ¥785,095,020.96, up from ¥643,930,539.23 in Q1 2020, reflecting an increase of approximately 21.9%[64] - The company reported a net cash flow from investing activities of -¥339,333,670.64 in Q1 2021, compared to ¥17,730,305.52 in Q1 2020, indicating a significant increase in cash outflow[66] Assets and Liabilities - Total assets at the end of the reporting period were CNY 5,216,886,446.80, a decrease of 4.40% compared to the end of the previous year[11] - Total liabilities decreased from 1,871,102,363.29 to 1,560,714,944.57, a decline of about 16.6%[40] - Current liabilities decreased from 1,779,168,640.95 to 1,444,797,770.51, a reduction of about 18.8%[39] - Cash and cash equivalents decreased from 2,337,846,231.61 to 2,026,831,331.24, a decrease of approximately 13.3%[42] - Accounts receivable decreased from 476,083,914.84 to 319,842,082.93, a decline of around 32.8%[42] - Total liabilities amounted to ¥1,871,102,363.29, with current liabilities totaling ¥1,779,168,640.95[72] - The total assets of the company as of the end of Q1 2021 amounted to ¥5,456,996,871.58, a slight decrease from ¥5,472,888,736.84 at the end of the previous year[68] Shareholder Information - The total number of shareholders at the end of the reporting period was 30,826[16] - The largest shareholder, Fuyang Jingyue Yongshun Information Consulting Co., Ltd., held 40.05% of the shares[16] - Shareholders' equity increased from 3,585,894,508.29 to 3,656,171,502.23, an increase of approximately 2.0%[40] - Total equity attributable to shareholders reached ¥3,580,924,323.01, while total equity was ¥3,585,894,508.29[74] Expenses - Research and development expenses accounted for 4.17% of operating revenue, an increase of 0.38 percentage points year-on-year[11] - The company’s sales expenses rose by 40.95% to ¥391,028,556.61, attributed to increased product marketing efforts[28] - Total operating costs for Q1 2021 were ¥800,319,681.90, up from ¥695,352,587.41 in Q1 2020, reflecting a rise of 15.1%[52] - Research and development expenses for Q1 2021 amounted to ¥32,487,090.30, an increase from ¥23,807,981.81 in Q1 2020, showing a growth of 36.5%[52] - The company’s financial expenses decreased significantly by 216.26% to -¥6,010,780.12, due to loan repayments and increased interest income from raised funds[28] Future Outlook - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[67]

Financial Performance - The company's total revenue for 2020 was approximately CNY 4.34 billion, representing a year-on-year increase of 1.20% compared to CNY 4.29 billion in 2019[31]. - The net profit attributable to shareholders for 2020 was approximately CNY 442.14 million, a significant increase of 54.89% from CNY 285.45 million in 2019[31]. - The net cash flow from operating activities reached approximately CNY 697.66 million, reflecting a substantial increase of 114.71% compared to CNY 324.94 million in 2019[31]. - The company's net assets attributable to shareholders increased by 219.36% to approximately CNY 3.58 billion at the end of 2020, up from CNY 1.12 billion at the end of 2019[31]. - The total assets of the company grew by 57.39% to approximately CNY 5.46 billion at the end of 2020, compared to CNY 3.47 billion at the end of 2019[31]. - The basic earnings per share for 2020 were CNY 1.23, representing a 55.70% increase from CNY 0.79 in 2019[31]. - The net profit attributable to the parent company increased by 54.89% year-on-year, while the net profit excluding non-recurring gains and losses grew by 45.84%[32]. - Basic earnings per share rose by 55.70% year-on-year, and the basic earnings per share excluding non-recurring gains and losses increased by 45.33%[32]. - Total assets grew by 57.39% compared to the beginning of the reporting period, and equity attributable to the parent company surged by 219.36%[35]. - Net cash flow from operating activities increased by 114.71% year-on-year, driven by significant net profit growth and improved accounts receivable recovery[35]. R&D and Innovation - The company has established a comprehensive R&D system focusing on high-end chemical drugs, covering various dosage forms and therapeutic areas[39]. - The company emphasizes innovation through collaboration with domestic and international research institutions, enhancing its drug development capabilities[40]. - The total R&D investment for the year reached approximately ¥155.71 million, representing a 4.92% increase from the previous year[72]. - The proportion of R&D investment to operating income increased by 0.13 percentage points to 3.59%[72]. - The company has applied for a total of 344 patents, including 278 invention patents, with 137 patents granted as of December 31, 2020[66]. - The company has established four core technology platforms, including controlled-release formulation technology and drug crystal research technology, which are crucial for its revenue generation[61]. - The company has developed high-end pharmaceutical excipients, with unique products that outperform traditional excipients in terms of performance, safety, and cost[1]. - The company is involved in several major new drug creation projects, including the clinical research of new indications for ginkgo biloba extract injection[67]. - The company is actively pursuing the development of new drugs with contraceptive and therapeutic effects, indicating a strategic expansion into reproductive health[67]. - The company has established a dynamic quality management model for drug production, ensuring product quality stability[86]. Market and Industry Trends - The pharmaceutical manufacturing industry in China achieved a revenue of CNY 2,485.73 billion, with a year-on-year growth of 4.5%[52]. - The total profit of the pharmaceutical manufacturing industry reached CNY 350.67 billion in 2020, reflecting a year-on-year increase of 12.8%[52]. - The profit margin for the pharmaceutical manufacturing industry was approximately 14.11%, an increase of 1.06 percentage points compared to the previous year[52]. - The biopharmaceutical sector showed a revenue growth of 7.6% in the first half of 2020, with total profits increasing by 13.5%[60]. - The ongoing trend of centralized procurement and medical insurance negotiations is expected to accelerate industry consolidation and drive innovation among pharmaceutical companies[58]. - The global pharmaceutical market size increased from $1 trillion in 2014 to $1.3 trillion in 2018, projected to reach approximately $2.1 trillion by 2030[183]. - China's total health expenditure rose from CNY 2.4346 trillion in 2011 to an estimated CNY 6.5196 trillion in 2019, with a compound annual growth rate (CAGR) of 13.1%[186]. Corporate Governance and Risk Management - The audit report issued by the accounting firm was a standard unqualified opinion, ensuring the accuracy of the financial statements[7]. - The company has outlined various operational risks and corresponding mitigation strategies in the report[5]. - The report includes a forward-looking statement risk declaration, indicating that future plans do not constitute a commitment to investors[9]. - The company has confirmed that all board members attended the board meeting, ensuring governance integrity[6]. - The company does not have any non-operating fund occupation by controlling shareholders or related parties[10]. - There are no violations of decision-making procedures regarding external guarantees[10]. - The company has not disclosed any special arrangements for corporate governance[12]. - Risks associated with new drug market promotion include potential negative impacts on business operations if the market acceptance of new drugs is insufficient[98]. - The company faces operational risks related to compliance and potential negative impacts on brand reputation due to improper commercial behavior by downstream clients or employees[103]. - The company is subject to industry risks, including the impact of national procurement policies on drug pricing and market competitiveness[107]. - Global economic fluctuations and the ongoing effects of the COVID-19 pandemic pose macroeconomic risks that could adversely affect the company's profitability[113]. Sales and Marketing - The sales model involves participating in centralized procurement projects, with products sold through distributors to medical institutions and retail outlets[46]. - The marketing network is well-established, with a professional marketing team ensuring stable sales growth[87]. - The company plans to expand its market presence, particularly in the cardiovascular and diabetes product lines, due to increasing sales volumes[119]. - The company's total sales revenue from the top five customers reached CNY 126,602.30 million, accounting for 29.17% of the annual total sales[127]. - The top five suppliers contributed to a procurement amount of CNY 65,843.39 million, representing 51.30% of the annual total procurement[131]. - The sales expenses increased compared to the previous year due to the transition from a promotional distributor model to a delivery distributor model[178]. Financial Management and Capital Structure - The company completed its IPO on the Sci-Tech Innovation Board, raising a net amount of 2,017.52 million yuan to support ongoing R&D and commercialization efforts[96]. - The company's financing activities generated a net cash flow of ¥1,636,018,483.27, a significant increase from the previous year[118]. - The net cash flow from financing activities increased significantly due to the completion of the company's IPO, with funds raised amounting to 2,534,922,501.23 CNY, representing 46.45% of total assets[138]. - Cash and cash equivalents rose by 542.16% compared to the previous period, from 394,748,388.05 CNY to 2,534,922,501.23 CNY[138]. - The company's short-term borrowings decreased by 63.33%, from 436,971,040.42 CNY to 160,240,356.94 CNY[138]. - The company executed a new revenue recognition standard on January 1, 2020, impacting the classification of certain receivables and liabilities[138]. Shareholder Returns - The company plans to distribute cash dividends of RMB 4.50 per 10 shares, totaling approximately RMB 202.5 million, which represents 45.80% of the net profit attributable to shareholders for 2020[8]. - The company has established a profit distribution policy that emphasizes reasonable returns to shareholders, ensuring transparency and stability in profit distribution[199]. - The minimum cash dividend ratio for mature companies without significant capital expenditure is set at 80% of the profit distribution[200]. - For mature companies with significant capital expenditure, the minimum cash dividend ratio is set at 40% of the profit distribution[200]. - For growth-stage companies with significant capital expenditure, the minimum cash dividend ratio is set at 20% of the profit distribution[200].