成都华神科技集团股份有限公司 2021 年第一季度报告全文 成都华神科技集团股份有限公司 2021 年第一季度报告 2021-034 2021 年 04 月 1 成都华神科技集团股份有限公司 2021 年第一季度报告全文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人黄明良、主管会计工作负责人王晓梅及会计机构负责人(会计主 管人员)郭婷声明：保证季度报告中财务报表的真实、准确、完整。 2 成都华神科技集团股份有限公司 2021 年第一季度报告全文 第二节 公司基本情况 一、主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期 | 上年同期 | 本报告期比上年同期增 | | --- | --- | --- | --- | | | | | 减 | | 营业收入（元） | 148,511,424.02 | 129,229,750.18 | 14.92% | | 归属于上市公司股东的净利润（元 ...

Financial Performance - The company's operating revenue for 2020 was CNY 759,307,481.01, representing a 1.87% increase compared to CNY 745,340,799.08 in 2019[16]. - The net profit attributable to shareholders for 2020 was CNY 37,503,531.51, a decrease of 39.15% from CNY 61,632,302.42 in 2019[16]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 46,834,417.52, down 22.81% from CNY 60,677,086.08 in the previous year[16]. - The net cash flow from operating activities was CNY 13,495,800.83, a significant decline of 79.25% compared to CNY 65,027,238.40 in 2019[16]. - The basic earnings per share for 2020 was CNY 0.06, a decrease of 40.00% from CNY 0.10 in 2019[16]. - The diluted earnings per share for 2020 was CNY 0.06, a decrease of 40.00% compared to CNY 0.10 in 2019[17]. - The weighted average return on equity was 4.15%, down from 7.11% in the previous year, reflecting a decline of 2.96%[17]. - Total assets at the end of 2020 amounted to CNY 1,140,012,121.38, a slight increase of 0.13% from CNY 1,138,495,537.52 at the end of 2019[17]. - Net assets attributable to shareholders increased by 3.56% to CNY 912,050,796.35 from CNY 880,710,870.48 in 2019[17]. - The company reported a significant decrease in cash flow, indicating potential challenges in operational efficiency[16]. Dividend Policy - The company plans to distribute a cash dividend of CNY 0.1 per 10 shares to all shareholders, based on a total of 616,360,564 shares[5]. - The cash dividend amount distributed was CNY 6,163,605.64, which accounted for 100% of the total profit distribution[89]. - The cash dividend distribution plan is based on the undistributed profits as of December 31, 2020, amounting to CNY 138,754,933.58[89]. - The total number of shares for the cash dividend distribution in 2020 was based on 616,360,564 shares, with no stock dividends or capital reserve transfers[86]. - The company has implemented a cash dividend policy, distributing a cash dividend of 0.10 yuan per 10 shares for both 2019 and 2020, maintaining shareholder rights[85][86]. Business Strategy and Operations - The company continues to focus on high-tech product development and production, as well as the production of traditional Chinese and Western medicines[15]. - The company is focusing on optimizing its business structure and enhancing its operational management to adapt to changes in the pharmaceutical industry[24]. - The company aims to expand its market presence by promoting its flagship product, Sanqi Tongshu Capsule, and enhancing its brand recognition[24]. - The company is advancing the registration project for Sanqi Tongshu capsules in the EU and has published research on its anti-platelet aggregation mechanism[52]. - The company plans to establish a "three-in-one" chain clinic model integrating medical services, aesthetic medicine, and health products[76]. - The company is developing a stem cell application research center in collaboration with research institutions and universities[76]. - The company aims to achieve a net profit not lower than 120% of the 2019 level for 2020[77]. - The company is focusing on building a regional health industry ecosystem centered around major urban clusters in China[75]. - The company will continue to promote and complete the non-public stock issuance to leverage its platform advantages for business expansion and R&D enhancement[78]. Research and Development - The company holds 28 invention patents, including 4 international patents, and has made significant advancements in research and development[29]. - The company is focused on expanding its product range and improving product quality to enhance sales and market presence[34]. - The company plans to increase R&D investment in biomedicine, modern traditional Chinese medicine, and stem cell fields, aiming to enhance product competitiveness and expand its product pipeline[78]. - The number of R&D personnel increased by 23.85% to 161 in 2020 from 130 in 2019[53]. - Total R&D investment amounted to ¥26.87 million in 2020, down 8.99% from ¥29.53 million in 2019[54]. - Research and development expenses increased by 20%, totaling 150 million yuan, focusing on biotechnology innovations[166]. Market Performance - The pharmaceutical manufacturing segment experienced a revenue decline of 12.72%, totaling CNY 565.53 million, due to the impact of COVID-19 on hospital operations[35]. - The construction steel structure business saw a significant revenue increase of 110.28%, reaching CNY 178.15 million, driven by enhanced market expansion efforts[35]. - The sales volume of traditional Chinese and Western medicine products decreased by 20.47%, totaling 20,552,578 boxes in 2020 compared to 25,841,925 boxes in 2019[42]. - The company reported a decrease in overall gross margin by 8.74 percentage points due to changes in revenue structure[35]. - The company achieved a total revenue of CNY 759.31 million, representing a year-on-year growth of 1.87%[77]. Corporate Governance - The company has engaged in over 315 investor communications during the reporting period, addressing inquiries primarily related to production and operations[82]. - The company emphasizes the importance of creating an innovative atmosphere and enhancing employee value creation to support its development[79]. - The company has established a robust internal control system to improve management and risk prevention capabilities[178]. - The independent directors of the company attended 5 board meetings, with 2 in person and 3 by proxy, and attended 1 shareholders' meeting[183]. - The company reported no objections raised by independent directors regarding company matters during the reporting period[184]. - The company has a structured approach to governance, with clear roles for independent directors and supervisors[169]. Environmental and Social Responsibility - The company donated a total of 5.1632 million yuan to support social efforts against the COVID-19 pandemic, earning recognition as a "Most Caring Enterprise" by the Sichuan Red Cross[131]. - The company reported a total of 5.46 tons/year of COD emissions from wastewater, which is below the regulatory limit of 21.11 tons/year[132]. - The company achieved a 75% reduction in nitrogen oxide emissions following the boiler low-nitrogen transformation completed in 2019[133]. - The company has established a comprehensive wastewater treatment system and a corresponding exhaust gas treatment system, both of which are operating normally[133]. - The company is focusing on sustainability initiatives, with plans to reduce carbon emissions by 30% by 2025[160]. Shareholder Information - The total number of shareholders at the end of the reporting period was 40,646[144]. - The largest shareholder, Sichuan Huasheng Group Co., Ltd., holds 18.08% of the shares, totaling 111,431,281 shares[144]. - The report indicates that there were no changes in the number of shares held by the top 10 shareholders during the reporting period[146]. - The company has not conducted any repurchase transactions among the top 10 shareholders during the reporting period[146]. - The company has not issued any new shares or conducted any stock splits during the reporting period[143]. Management and Personnel - The total remuneration for directors, supervisors, and senior management in 2020 amounted to 3.6281 million yuan (pre-tax), with independent directors receiving a total of 283,300 yuan (pre-tax) in allowances[171]. - The company has a total of 13 current directors, supervisors, and senior management, with 26 individuals receiving remuneration during the reporting period[171]. - The company emphasizes a people-oriented approach in its compensation policy, aiming to align salaries with business performance and employee contributions[174]. - The company is committed to continuous employee training to enhance capabilities and optimize performance[175]. - The total number of employees in the company is 707, with 369 in the parent company and 338 in major subsidiaries[173].

Financial Performance - The company's operating revenue for Q1 2021 was ¥148,511,424.02, representing a 14.92% increase compared to ¥129,229,750.18 in the same period last year[7]. - Net profit attributable to shareholders was ¥11,715,714.45, an increase of 82.76% from ¥6,410,500.38 year-on-year[7]. - The net profit after deducting non-recurring gains and losses was ¥13,899,723.69, up 31.91% from ¥10,536,884.02 in the previous year[7]. - Total operating revenue for Q1 2021 was ¥148,511,424.02, an increase of 14.87% compared to ¥129,229,750.18 in the previous period[40]. - Net profit for Q1 2021 reached ¥11,865,391.51, representing a 85.66% increase from ¥6,410,500.38 in the same period last year[41]. - Operating profit for Q1 2021 was ¥15,539,049.78, a slight increase of 9.43% compared to ¥14,199,590.39 in the previous period[41]. - The company reported a total profit of ¥15,552,423.31 for Q1 2021, which is a 70.56% increase from ¥9,117,563.50 in the previous period[41]. Cash Flow - The net cash flow from operating activities was -¥57,536,200.29, a decrease of 203.44% compared to -¥18,961,142.53 in the same period last year[7]. - The net cash flow from operating activities recorded a deficit of CNY 57.54 million, an increase in deficit of CNY 38.58 million year-on-year, driven by increased cash receipts from sales and higher payments for raw materials and labor[16]. - Total cash inflow from operating activities was 195,544,500.14 CNY, while cash outflow was 253,080,700.43 CNY, resulting in a net cash outflow of 57,536,200.29 CNY[49]. - The company experienced a net decrease in cash and cash equivalents of -144,907,087.00 CNY in Q1 2021, compared to -17,040,920.41 CNY in Q1 2020[51]. - The total cash outflow for operating activities was 253,080,700.43 CNY, which is an increase of approximately 53% compared to the previous year's outflow of 165,677,426.67 CNY[49]. Assets and Liabilities - The company's total assets at the end of the reporting period were ¥1,177,794,235.13, a 3.31% increase from ¥1,140,012,121.38 at the end of the previous year[7]. - Total liabilities increased to CNY 253,475,321.57 from CNY 227,558,599.33, reflecting a growth of about 11.4%[34]. - Current liabilities rose to CNY 221,571,216.37 from CNY 214,089,643.51, marking an increase of approximately 3.5%[34]. - The company's long-term equity investments increased to CNY 217,490,000.00 from CNY 167,490,000.00, representing a growth of 29.9%[37]. - The company's retained earnings increased to CNY 150,470,648.03 from CNY 138,754,933.58, an increase of approximately 8.8%[35]. Investments and Expenditures - The company established a new subsidiary, Hainan Huasheng Development Holdings Group Co., Ltd., incurring costs of ¥15,291,700 for office building purchases and land auction deposits[15]. - Cash and cash equivalents decreased by 35.76% to ¥14,488.73 million, primarily due to investments in new business developments[15]. - Net cash flow from investing activities showed a deficit of CNY 87.37 million, a decrease in deficit of CNY 89.29 million year-on-year, mainly due to prepayments and deposits for office buildings and land purchases in Hainan by subsidiary Hainan Huashen Development Holding Group[16]. - Cash outflow from investment activities was 92,165,926.86 CNY, compared to only 37,600.00 CNY in the same period last year[50]. Operational Metrics - The basic earnings per share increased to ¥0.02, doubling from ¥0.01 in the previous year[7]. - The weighted average return on net assets was 1.28%, up from 0.73% year-on-year[7]. - Research and development expenses for Q1 2021 were ¥2,063,937.22, down 33.51% from ¥3,103,927.14 in the previous period[40]. - Sales expenses for Q1 2021 were ¥57,150,934.85, a decrease of 11.43% compared to ¥64,372,523.96 in the previous period[40]. - The company experienced a foreign exchange loss of ¥2,084,538.00 in Q1 2021[40].

Financial Performance - Operating revenue for the reporting period was CNY 221,757,719.59, an increase of 21.91% year-on-year[9] - Net profit attributable to shareholders was CNY 8,296,073.59, a decrease of 48.59% compared to the same period last year[9] - Basic earnings per share were CNY 0.0135, down 48.47% year-on-year[9] - Operating profit decreased by 22.44 million CNY, a reduction of 34.61%, attributed to a decline in gross profit margin by 11.90 percentage points and a decrease in sales expenses by 42.70 million CNY[17] - Net profit for Q3 2020 was CNY 8,296,073.59, compared to CNY 16,136,932.63 in the same period last year, representing a decrease of approximately 48.7%[50] - The total profit for Q3 2020 was CNY 37,182,614.71, down from CNY 64,905,188.91 in Q3 2019, a decline of about 42.7%[58] - The company’s total comprehensive income for Q3 2020 was CNY 30,846,841.36, down from CNY 52,991,308.82 in the previous year, a decrease of approximately 41.9%[60] Cash Flow - Net cash flow from operating activities was CNY 10,000,195.63, a significant increase of 4,805.50% compared to the previous year[9] - Net cash flow from operating activities showed a deficit of 6.96 million CNY, a decrease of 26.90 million CNY compared to the same period last year[18] - Net cash flow from investing activities recorded a deficit of 29.51 million CNY, a decrease of 34.05 million CNY year-on-year, mainly due to increased cash payments for trading financial assets[18] - Net cash flow from financing activities showed a deficit of 6.16 million CNY, a reduction of 10.72 million CNY compared to the previous year, primarily due to a decrease in dividend payments[18] - The cash flow from operating activities for Q3 2020 was negative at approximately -6.96 million CNY, compared to a positive cash flow of 19.94 million CNY in Q3 2019[68] - The cash flow from financing activities was negative at approximately -6.16 million CNY in Q3 2020, compared to -16.88 million CNY in the same period last year[68] Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,104,551,014.23, a decrease of 2.98% compared to the end of the previous year[9] - The total liabilities decreased to CNY 199,156,908.03 from CNY 257,784,667.04, representing a decline of about 22.7%[42] - The company's current assets decreased to CNY 832,356,308.50 from CNY 854,109,247.24, reflecting a decline of approximately 2.9%[40] - The total assets amounted to 1,138,495,537.52 CNY, with current assets totaling 854,109,247.24 CNY and non-current assets at 284,386,290.28 CNY[77] - Total liabilities were reported at 257,784,667.04 CNY, with current liabilities comprising 243,695,145.92 CNY[77] - The total liabilities amounted to CNY 132,676,974.82, with current liabilities at CNY 126,287,453.70[80] Shareholder Information - The total number of shareholders at the end of the reporting period was 42,781[13] - The largest shareholder, Sichuan Huasheng Group, holds 18.08% of the shares, amounting to 111,431,281 shares[13] - The company's equity attributable to shareholders increased to CNY 905,394,106.20 from CNY 880,710,870.48, showing an increase of approximately 2.6%[43] Compliance and Governance - The company has committed to avoiding any competition with its affiliate, Taihe Health, and will not utilize information obtained from it for competitive purposes[26] - The company will prioritize transferring business opportunities to Taihe Health or its subsidiaries, ensuring compliance with legal and regulatory requirements[27] - The company has pledged to strictly adhere to relevant laws and regulations to protect the interests of Taihe Health and its minority shareholders[29] - The company aims to avoid related party transactions with Taihe Health and will ensure that any necessary transactions are conducted at fair market prices[28] - The company has committed to various strategies, including asset restructuring and business adjustments, to mitigate potential negative impacts from competition[25] - The company has confirmed that all commitments made during the asset restructuring process are being fulfilled as scheduled[30] Research and Development - The company reported R&D expenses of CNY 10,759,824.11 for Q3 2020, significantly higher than CNY 1,905,757.21 in the same period last year, indicating a focus on innovation[49] - Research and development expenses for Q3 2020 amounted to CNY 18,160,280.09, an increase from CNY 14,689,605.50, reflecting a growth of approximately 23.4%[58] Other Financial Metrics - The company reported a financial loss from fair value changes of CNY -6,944,335.80 in Q3 2020[58] - The company reported a loss of 6.71 million yuan in fair value changes for certain securities during the reporting period[30] - The company’s tax expenses for Q3 2020 were CNY 6,335,773.35, compared to CNY 11,913,880.09 in the same period last year, a decrease of approximately 46.8%[58] - Other income for Q3 2020 was CNY 1,168,508.74, significantly higher than CNY 391,431.52 in Q3 2019, indicating a growth of about 198.5%[58]

Financial Performance - The company's operating revenue for the first half of 2020 was CNY 312,273,442.44, a decrease of 8.80% compared to CNY 342,405,515.66 in the same period last year[19]. - The net profit attributable to shareholders was CNY 22,550,767.77, down 38.81% from CNY 36,854,376.19 in the previous year[19]. - The net cash flow from operating activities was negative at CNY -16,962,117.57, a decline of 185.95% compared to CNY 19,736,004.58 in the same period last year[19]. - The total assets at the end of the reporting period were CNY 1,099,249,285.74, a decrease of 3.45% from CNY 1,138,495,537.52 at the end of the previous year[19]. - The net assets attributable to shareholders increased by 1.86% to CNY 897,098,032.61 from CNY 880,710,870.48 at the end of the previous year[19]. - The weighted average return on net assets decreased to 2.51% from 4.32% in the previous year[19]. - The overall gross profit margin decreased by 8.9% year-on-year, influenced by changes in the revenue structure of subsidiaries[38]. - The company reported a total of CNY -3,253,035.06 in non-recurring losses, primarily due to donations made during the pandemic[23]. Revenue Segments - The pharmaceutical manufacturing business saw a revenue decline of 21.91% due to the impact of COVID-19, with some hospital departments halting consultations[37]. - The construction steel structure business experienced a significant revenue increase of 310.6%, attributed to enhanced market expansion and a substantial rise in project undertakings[37]. - The pharmaceutical manufacturing segment saw a revenue decline of 21.91% to $252.33 million, impacted by the COVID-19 pandemic[42]. - The gross profit margin for the pharmaceutical manufacturing segment was 71.88%, a slight decrease of 0.27% year-over-year[43]. Cash Flow and Investments - Cash and cash equivalents decreased by 423.96% to -$19.30 million, reflecting the combined impact of operating, investing, and financing activities[41]. - Investment cash flow increased by 23.10% to $3.82 million compared to $3.10 million last year[41]. - The company reported a significant increase in revenue from the construction steel structure segment, which rose by 310.60% to $54.53 million[42]. - The company’s accounts receivable decreased by 4.63% to $238.66 million, while inventory increased by 3.25% to $116.39 million[48]. Shareholder and Equity Information - The company will not distribute cash dividends or issue bonus shares for the reporting period[9]. - The total number of shares is 616,360,564, with 99.90% being unrestricted shares[104]. - The largest shareholder, Sichuan Huasheng, holds 18.08% of the total shares, amounting to 111,431,281 shares[106]. - The company’s equity attributable to shareholders reached CNY 950,313,290.81, an increase from CNY 940,133,792.55 at the end of 2019[130]. Strategic Focus and Future Plans - The company plans to focus on enhancing its core business and optimizing product and business structure, particularly in the modern Chinese medicine and biopharmaceutical sectors[25]. - The company aims to promote its brand and academic outreach for its flagship product, Sanqi Tongshu Capsule, and enhance its international presence[25]. - The company plans to continue focusing on the pharmaceutical industry, enhancing product innovation and management innovation to expand market channels and fill market gaps[61]. - The company plans to enhance its research and development efforts, focusing on innovative technologies to improve product offerings[150]. Compliance and Governance - The company guarantees strict compliance with laws and regulations to protect the interests of Taihe Health and its minority shareholders[71]. - The company has committed to avoiding related transactions with Taihe Health and its subsidiaries, ensuring fair and reasonable pricing based on market standards[70]. - The company has not engaged in any major related party transactions during the reporting period[85]. - The half-year financial report was not audited[78]. Environmental and Social Responsibility - The pharmaceutical plant has reduced VOCs emissions through facility upgrades, complying with national and provincial standards[97]. - The wastewater treatment process has achieved tertiary discharge standards, allowing treated water to enter the municipal sewage system[98]. - The company contributed a total of CNY 534.14 million in donations and materials to support social efforts against the pandemic[38]. - Environmental monitoring is conducted quarterly by a third-party company to ensure compliance with regulations[99]. Operational Challenges - The company has committed to addressing risks related to drug price reductions and product development challenges[61]. - The company’s subsidiary Huasheng Biological reported a net loss of ¥3,487,613.36, indicating challenges in its operations[60]. - The company experienced significant changes in its board of directors and management due to a change in actual control, with multiple resignations and appointments occurring on March 30, 2020[118]. Financial Reporting and Accounting - The financial statements are prepared in accordance with the accounting standards for enterprises, ensuring a true and complete reflection of the financial status and operating results[169]. - The company recognizes investment income based on the fair value of previously held equity interests at the acquisition date[178]. - The company assesses expected credit losses based on the risk of default for financial assets measured at amortized cost and those measured at fair value with changes recognized in other comprehensive income[197].

成都华神科技集团股份有限公司 2020 年第一季度报告全文 成都华神科技集团股份有限公司 2020 年第一季度报告 2020-027 2020 年 04 月 1 成都华神科技集团股份有限公司 2020 年第一季度报告全文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人黄明良、主管会计工作负责人王晓梅及会计机构负责人(会计主 管人员)郭婷声明：保证季度报告中财务报表的真实、准确、完整。 2 成都华神科技集团股份有限公司 2020 年第一季度报告全文 第二节 公司基本情况 一、主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期 | 上年同期 | 本报告期比上年同期增减 | | --- | --- | --- | --- | | 营业收入（元） | 129,229,750.18 | 156,742,829.38 | -17.55% | | 归属于上市公司股东的净利润（元） | 6,410, ...

Financial Performance - The company's operating revenue for 2019 was CNY 745,340,799.08, representing a 17.67% increase compared to CNY 633,417,693.18 in 2018[20]. - The net profit attributable to shareholders for 2019 was CNY 61,632,302.42, a significant increase of 97.73% from CNY 31,169,352.95 in the previous year[20]. - The basic earnings per share for 2019 was CNY 0.1000, reflecting a 97.63% increase compared to CNY 0.0506 in 2018[21]. - The total assets at the end of 2019 amounted to CNY 1,138,495,537, which is a 5.02% increase from CNY 1,084,104,689 at the end of 2018[21]. - The net assets attributable to shareholders increased by 5.40% to CNY 880,710,870.48 at the end of 2019 from CNY 835,551,092.94 at the end of 2018[21]. - The net cash flow from operating activities for 2019 was CNY 65,027,238.40, which represents a decrease of 39.64% compared to CNY 107,736,443.01 in 2018[21]. - The weighted average return on equity for 2019 was 7.11%, up from 3.75% in 2018[21]. - Total revenue for the fourth quarter reached ¥221,034,083.80, showing a significant increase compared to previous quarters[25]. - Net profit attributable to shareholders for the fourth quarter was ¥8,640,993.60, a decrease of 65.9% from the second quarter[25]. - The net cash flow from operating activities in the fourth quarter was ¥45,087,377.18, indicating a strong cash generation capability[25]. Dividend Distribution - The company plans to distribute a cash dividend of CNY 0.1 per 10 shares, based on a total of 616,360,564 shares[6]. - The company implemented a cash dividend policy for 2019, distributing CNY 0.1 per 10 shares (including tax), totaling CNY 6,163,605.64[77]. - The cash dividend for 2018 was CNY 0.3 per 10 shares, amounting to CNY 16,809,833.58, which represented 53.93% of the net profit attributable to shareholders[81]. - The cash dividend payout ratio for 2019 was 5.54% of the distributable profit[81]. Research and Development - The company continues to focus on high-quality development in the health pharmaceutical industry, leveraging modern Chinese medicine and biopharmaceuticals[40]. - The company holds a total of 28 invention patents, 47 utility model patents, and 4 design patents as of the end of the reporting period[37]. - The company has established a collaborative platform with numerous universities and research institutions to enhance its R&D capabilities[37]. - The company is focusing on enhancing its research and development capabilities to strengthen its competitive edge in the pharmaceutical industry[72]. - The company is investing heavily in R&D, with an allocation of 200 million yuan for the development of new technologies and products in the upcoming year[150]. Market Strategy and Expansion - The company aims to expand its market presence and enhance brand influence through internationalization efforts[34]. - The company continues to focus on modern traditional Chinese medicine and biopharmaceuticals, maintaining a dual business model[30]. - The pharmaceutical industry in China is expected to grow, driven by economic development and an aging population, despite increasing regulatory pressures[31]. - Chengdu Huasheng plans to enter new markets, targeting Southeast Asia and Europe, with an expected market entry by Q3 2024[150]. - A new product line is set to launch in Q2 2024, anticipated to contribute an additional 100 million yuan in revenue[150]. Corporate Governance - The company has a commitment to maintaining a strong governance structure with independent directors actively involved in oversight[146]. - The management team includes professionals with significant experience in both corporate governance and operational management[145]. - The company has made commitments to its minority shareholders, which have been fulfilled on time[90]. - The company reported no changes in its controlling shareholder or actual controller during the reporting period, ensuring stability in governance[132]. - The company has not engaged in any competitive business activities that could conflict with its operations[84]. Environmental Responsibility - The company is classified as a key pollutant discharge unit and has implemented measures for pollution control and compliance with environmental standards[117]. - In December 2019, the company was recognized as a provincial-level "Environmental Integrity Enterprise" by the Sichuan Provincial Department of Ecology and Environment[120]. - The wastewater treatment station achieved tertiary discharge standards after implementing advanced treatment processes, ensuring compliance with environmental regulations[118]. - The company actively engaged in energy-saving projects, including the introduction of new production equipment and the implementation of a closed-loop water system[118]. - The company has established and improved environmental management systems and emergency response plans for pollution incidents[119]. Financial Position - Cash and cash equivalents increased to 403.76 million yuan, accounting for 35.46% of total assets, up from 31.92% at the beginning of the year[60]. - Accounts receivable decreased to 265.07 million yuan, representing 23.28% of total assets, down from 27.85%[60]. - Inventory increased slightly to 85.56 million yuan, maintaining a stable proportion of 7.52% of total assets[60]. - The total share capital increased from 560,327,786 shares to 616,360,564 shares after the 2018 dividend distribution[77]. - The company reported a total of 780 shares held by senior management at the beginning of the period, with an increase of 858 shares by the end of the period[142]. Audit and Compliance - The audit report confirmed that the financial statements fairly reflect the financial position and operating results of the company for the year ended December 31, 2019[184]. - The internal control audit report issued on April 17, 2020, provided a standard unqualified opinion, confirming the effectiveness of financial reporting internal controls[180]. - The company has established effective internal controls as per the requirements of the Basic Norms for Internal Control[181]. - There were no significant deficiencies identified in non-financial reporting controls, ensuring compliance with internal control standards[180]. - The company has not been subject to any significant penalties from securities regulatory authorities in the past three years[152].

Financial Performance - Net profit attributable to shareholders was ¥16,136,932.63, representing a significant increase of 155.60% year-on-year[7]. - Operating revenue for the period was ¥181,901,199.62, reflecting an 8.89% increase compared to the same period last year[7]. - Basic earnings per share were ¥0.0262, up 156.86% from the previous year[7]. - The company reported a net profit of ¥52,991,308.82 for the year-to-date, an increase of 234.66% compared to the same period last year[7]. - Operating profit increased by CNY 39.64 million, a growth of 157.31%, driven by a 21.70% increase in sales volume and a 1.07 percentage point increase in gross profit margin[15]. - The company reported a significant increase in accounts receivable, which rose to ¥138,357,015.89 from ¥109,629,032.84, an increase of 26.2%[34]. - The company achieved a profit before tax of CNY 16,805,291.42, a turnaround from a loss of CNY 4,152,381.58 in the same period last year[43]. - The total comprehensive income for the period was CNY 52,991,308.82, compared to CNY 15,834,479.61 in the same quarter last year[51]. Assets and Liabilities - Total assets at the end of the reporting period reached ¥1,132,480,403.67, an increase of 4.46% compared to the previous year[7]. - Total liabilities as of September 30, 2019, amounted to CNY 260.75 million, compared to CNY 248.55 million at the end of 2018[31]. - The company's total liabilities decreased to ¥132,344,551.84 from ¥147,216,104.95 year-over-year, indicating improved financial stability[36]. - The company's total equity increased to ¥919,298,344.54 from ¥885,291,569.44, showing a growth of 3.8%[37]. - The company’s total current assets were CNY 687,132,554.84[67]. - Non-current assets totaled CNY 345,375,119.55[67]. Cash Flow - Net cash flow from operating activities for the year-to-date was ¥19,939,861.22, down 26.49% year-on-year[7]. - Net cash flow from investment activities increased by CNY 45.69 million, mainly due to reduced cash payments for fixed assets and other long-term assets compared to the previous year[15]. - The cash flow from operating activities generated a net amount of CNY 19,939,861.22, down from CNY 27,126,981.39 in Q3 2018[55]. - The net cash flow from operating activities was negative at CNY -24,755,202.56, worsening from CNY -17,344,705.08 in the previous period[57]. - The total cash inflow from operating activities was CNY 523,113,374.85, slightly down from CNY 535,435,480.31 in the same quarter last year[55]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 43,578[11]. - The largest shareholder, Sichuan Huashen Group, held 18.08% of the shares, amounting to 111,431,281 shares[11]. Research and Development - Research and development expenses for Q3 2019 were ¥1,905,757.21, a decrease of 84.4% compared to ¥12,212,708.56 in Q3 2018[39]. - Research and development expenses decreased to CNY 584,641.04 from CNY 7,616,896.60 year-over-year, indicating a strategic shift in R&D investment[43]. - Research and development expenses decreased to CNY 5,844,318.32 from CNY 9,165,305.81 year-over-year, indicating a reduction of approximately 36.5%[51]. Other Financial Metrics - The weighted average return on net assets was 1.91%, an increase of 1.17% compared to the previous year[7]. - Cash and cash equivalents decreased to ¥282,926,986.71 from ¥315,126,829.30, reflecting a reduction of 10.2%[34]. - Inventory levels increased to ¥63,688,767.33, up from ¥55,338,061.45, marking a rise of 15.5%[34]. - The total operating costs for the quarter were CNY 40,407,214.26, down from CNY 48,066,884.18 year-over-year[43]. - Sales expenses were reduced to CNY 38,195,369.41 from CNY 59,024,081.56, reflecting cost control measures[43].

Financial Performance - The company's operating revenue for the reporting period reached ¥342,405,515.66, representing a year-on-year increase of 29.81% compared to ¥263,778,127.50 in the same period last year[19]. - The net profit attributable to shareholders of the listed company was ¥36,854,376.19, a significant increase of 287.08% from ¥9,521,109.49 in the previous year[19]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥36,652,117.52, up 371.57% from ¥7,772,421.02 in the same period last year[19]. - The net cash flow from operating activities was ¥19,736,004.58, an increase of 85.82% compared to ¥10,620,846.72 in the previous year[19]. - Basic earnings per share were ¥0.0598, reflecting an increase of 288.31% from ¥0.0154 in the same period last year[19]. - The company achieved total revenue of RMB 342.41 million, an increase of RMB 78.63 million, or 29.81% year-on-year[37]. - The main business revenue from traditional Chinese and Western medicine reached RMB 319.53 million, up RMB 72.15 million, or 29.17% year-on-year[37]. - The biopharmaceutical sector generated revenue of RMB 3.59 million, an increase of RMB 1.42 million, or 65.19% year-on-year[37]. - The steel structure industry reported revenue of RMB 13.28 million, up RMB 2.56 million, or 23.86% year-on-year[37]. Assets and Liabilities - Total assets at the end of the reporting period amounted to ¥1,107,095,998.41, a 2.12% increase from ¥1,084,104,689.47 at the end of the previous year[19]. - The net assets attributable to shareholders of the listed company were ¥855,595,635.55, up 2.40% from ¥835,551,092.94 at the end of the previous year[19]. - The company's total current assets reached CNY 818,379,445.04, up from CNY 786,745,272.37 at the end of 2018, reflecting a growth of approximately 4.04%[130]. - The company's total liabilities as of June 30, 2019, were CNY 251,500,362.86, compared to CNY 248,553,596.53 at the end of 2018, representing a marginal increase of about 0.78%[132]. - The company's total equity rose to ¥905,572,164.35 from ¥885,291,569.44, an increase of 2.9%[137]. Cash Flow - The company reported a net cash increase of ¥5,958,535.01, a significant improvement compared to a net decrease of ¥139,871,694.82 in the previous year[40]. - Cash generated from operating activities rose significantly by 85.82% to ¥19,736,004.58, attributed to increased sales and reduced tax payments[39]. - The cash and cash equivalents increased to CNY 353,357,869.28 from CNY 346,085,862.03, showing a slight increase of about 2.4%[129]. - The company recorded a net cash outflow from financing activities of CNY 16,882,676.19, compared to a net outflow of CNY 146,697,551.97 in the same period of 2018[150]. Research and Development - Research and development expenses decreased by 22.93% to ¥13,044,103.78, indicating a reduction in investment in R&D[39]. - Investment in R&D for new technologies increased by 30%, focusing on health tech innovations and digital health solutions[73]. - Research and development expenses surged to ¥12,783,848.29, compared to ¥4,788,908.98 in the previous year, indicating a 167.1% increase[140]. Strategic Plans and Market Expansion - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[74]. - The company aims to enhance its core competitiveness by focusing on the pharmaceutical industry and optimizing resource allocation[60]. - The company is exploring potential mergers and acquisitions to enhance its growth strategy[162]. - The company plans to continue expanding its market presence and developing new products to enhance growth prospects[169]. Shareholder Information - The company increased its total share capital from 560,327,786 shares to 616,360,564 shares following a stock dividend distribution of 1 share for every 10 shares held[110]. - The number of shareholders at the end of the reporting period is 41,428[114]. - Sichuan Huashen Group holds 111,431,281 shares, representing 18.08% of the total shares[115]. Compliance and Governance - The company has committed to maintaining compliance with regulatory standards to protect shareholder interests and ensure fair trading practices[77]. - The financial statements are prepared based on the going concern principle, indicating no significant issues affecting the company's ability to continue operations for at least 12 months[177]. - The company has not engaged in any major litigation or arbitration matters during the reporting period[89]. Risks and Challenges - The company faced risks related to drug price reductions and challenges in product development and clinical research projects[57]. - The company acknowledges risks associated with product development due to long cycles, high difficulty, and increased regulatory requirements[60].

Financial Performance - The company's operating revenue for Q1 2019 was ¥156,742,829.38, representing a 19.73% increase compared to ¥130,912,247.37 in the same period last year[9] - Net profit attributable to shareholders was ¥12,302,591.47, a significant increase of 132.74% from ¥5,286,093.77 year-on-year[9] - The net profit after deducting non-recurring gains and losses reached ¥12,220,691.95, up 231.85% from ¥3,682,574.11 in the previous year[9] - Basic and diluted earnings per share were both ¥0.0220, reflecting a 134.04% increase from ¥0.0094 in the previous year[9] - The total comprehensive income for the period was CNY 12,302,591.47, compared to CNY 5,286,093.77 in the same period last year, marking a significant increase[46] Cash Flow - The net cash flow from operating activities improved to ¥5,374,968.56, a turnaround from a negative cash flow of ¥30,174,246.59 in the same quarter last year, marking a 117.81% increase[9] - Net cash flow from operating activities increased by CNY 35.55 million compared to the same period last year, driven by a CNY 15.36 million increase in cash received from sales[18] - The cash flow from operating activities generated a net amount of CNY 5,374,968.56, recovering from a net outflow of CNY -30,174,246.59 in the previous year[50] - The company recorded a cash inflow from operating activities of CNY 158,594,624.03, compared to CNY 142,694,049.07 in the previous year[50] - Net cash flow from investing activities decreased by CNY 76.39 million compared to the same period last year, mainly due to the absence of equity transfer payments received in the previous year[18] - Cash outflow from investing activities totaled $15,133,063.00, slightly decreased from $15,871,284.51 in the previous period[55] - Net cash flow from investing activities was negative $13,589,006.47, a significant decline from positive $67,700,856.90 in the previous period[55] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,098,404,605.42, a 1.32% increase from ¥1,084,104,689.47 at the end of the previous year[9] - Total current assets as of March 31, 2019, amounted to CNY 805.20 million, an increase from CNY 786.75 million at the end of 2018[32] - Total liabilities as of March 31, 2019, were CNY 250.55 million, slightly up from CNY 248.55 million at the end of 2018[33] - Total assets as of March 31, 2019, were CNY 1,098.40 million, compared to CNY 1,084.10 million at the end of 2018[32] - Total liabilities were CNY 150,086,373.12, slightly increased from CNY 147,216,104.95 at the end of 2018, indicating a growth of 1.3%[38] Shareholder Information - The company reported a total of 44,536 common shareholders at the end of the reporting period[13] - The largest shareholder, Sichuan Huashen Group Co., Ltd., held 18.08% of the shares, totaling 101,301,165 shares[13] - Net assets attributable to shareholders amounted to ¥847,853,684.41, up 1.47% from ¥835,551,092.94 at the end of the last year[9] Dividends and Compliance - The company plans to distribute a cash dividend of CNY 0.30 per 10 shares, along with a bonus share issue of 1 share for every 10 shares held[19] - The company has not reported any non-compliance with external guarantees during the reporting period[25] Research and Development - Research and development expenses for Q1 2019 were CNY 3,547,484.93, slightly down from CNY 3,598,557.46 in Q1 2018, indicating a decrease of 1.4%[40] - Research and development expenses rose to CNY 787,967.86, up from CNY 657,825.58, indicating a focus on innovation[45] Financial Standards - The company has implemented new financial instrument standards, which may affect future financial reporting[59] - The company adopted new financial instrument standards effective January 1, 2019, impacting the classification and measurement of financial instruments[62] Cost Management - The company reported total operating costs of CNY 139,162,182.83, which is an increase of 14.3% from CNY 121,700,557.34 in the previous year[40] - The company reported a decrease in sales expenses to CNY 25,772,822.08 from CNY 5,108,475.88, reflecting improved cost management[45]