Financial Performance - The company reported a total revenue of RMB 1.2 billion for the year 2019, representing a year-on-year increase of 15%[19] - The net profit attributable to shareholders was RMB 200 million, an increase of 10% compared to the previous year[19] - The company's operating revenue for 2019 was ¥1,774,968,109.63, a decrease of 46.06% compared to ¥3,290,827,592.18 in 2018[27] - The net profit attributable to shareholders for 2019 was ¥336,921,030.17, down 63.79% from ¥930,525,670.98 in 2018[29] - The basic earnings per share for 2019 was ¥0.1519, a decrease of 63.50% from ¥0.4162 in 2018[29] - The net cash flow from operating activities increased by 310.45% to ¥1,558,808,735.93 in 2019, compared to ¥379,780,870.11 in 2018[29] - The company reported a significant increase in government subsidies, amounting to ¥20,818,355.57 in 2019, compared to ¥2,935,394.79 in 2018[38] - The company reported a net profit of ¥336,921,030.17 for the fiscal year 2019, with a negative retained earnings of ¥741,955,606.09 after accounting for previous losses[134] - The company did not distribute any cash dividends for 2019 due to negative retained earnings and the need to comply with legal regulations regarding profit distribution[135] Market Expansion and Strategy - User data showed a growth in active users by 25%, reaching a total of 5 million active users by the end of 2019[19] - The company plans to expand its market presence in Southeast Asia, targeting a revenue contribution of 20% from this region by 2021[19] - Future guidance indicates a projected revenue growth of 20% for 2020, driven by new product introductions and market expansion efforts[19] - The company is exploring potential mergers and acquisitions to enhance its product portfolio and market reach, with a budget of RMB 100 million set aside for this purpose[19] - The company aims to shift its marketing focus from hospitals to retail chains, anticipating significant sales potential in the retail market[125] - The company plans to rapidly sign contracts with major retail pharmacies to ensure extensive market coverage and brand presence[125] Research and Development - The company has allocated RMB 50 million for research and development of new technologies in the healthcare sector for the upcoming year[19] - The company is focusing on increasing R&D investment, particularly in the development of innovative drugs, including Class 1 innovative drugs[1] - The company has filed three new invention patents during the reporting period, collaborating with Tsinghua University and Tianjin University[83] - The number of R&D personnel increased to 135, representing 14.09% of the total workforce[84] - The company is actively engaged in the development of new drugs, including BRM and WYY, with significant progress reported in 2019[80] Product and Quality Management - The main business of the company is the research, production, and sales of pharmaceuticals, with its core product "Aler" (Atorvastatin Calcium Tablets) leading the domestic lipid-lowering drug market[42] - "Aler" is the first domestic product to pass the consistency evaluation of Atorvastatin Calcium and successfully entered the first batch of "4+7" city centralized procurement, ranking first in the domestic lipid-lowering drug market[42] - The company has maintained a market share of approximately 9% in the domestic lipid-lowering drug sector, positioning "Aler" among the top three[47] - The company has implemented a strict procurement management system to ensure drug quality safety, adhering to GMP certification requirements[43] - The company maintained a product quality compliance rate of 100% in market inspections, with no production violations reported during the year[59] Operational Challenges and Risks - The company has identified key risks in its operational strategy, including regulatory changes and market competition, and has outlined measures to mitigate these risks[6] - The implementation of the "4+7" centralized procurement policy has increased operational pressures on pharmaceutical companies, necessitating higher quality standards[123] - The company is facing significant market and policy risks due to ongoing reforms in the pharmaceutical industry, including centralized procurement and stricter regulations[1] - The company is managing production cost risks by optimizing supplier relationships and innovating production technologies[1] Investments and Acquisitions - The company has actively sought quality targets for investment and acquisitions in 2019 to expand its product line and create new profit points for sustainable development[139] - The company established several new subsidiaries, including Meirui Wana Food and Beverage Co., Ltd. with a registered capital of 20 million, and holds a 60% stake[71] - The company also set up Dejiakang (Beijing) Biotechnology Co., Ltd. with a 67% ownership, focusing on technology development and health management services[71] - The company is actively pursuing new business opportunities in the industrial hemp sector and has engaged in acquisitions to expand its product offerings[1] Corporate Governance and Compliance - The company has not made any adjustments or restatements to previous years' financial data[27] - The company has established independent financial departments and accounting systems to ensure financial independence[162] - The company has a legal obligation to disclose information regarding related transactions in accordance with stock exchange regulations[158] - The company has committed to minimizing related party transactions and ensuring they are conducted at market prices[162] Future Outlook - The company plans to adjust its strategic focus from generic drugs to innovative drugs and diversified products, responding to significant changes in the pharmaceutical industry[110] - The company plans to launch the hydrochloride trimebutine tablets by December 2021[83] - The company has initiated clinical trials for several new drugs, including the hydrochloride amiodarone tablets, with 100 cases observed in phase III trials[82]

Financial Performance - The company's operating revenue for Q1 2020 was ¥470,318,621.70, a decrease of 2.21% compared to ¥480,934,229.19 in the same period last year[9] - The net profit attributable to shareholders for Q1 2020 was ¥91,561,632.00, down 24.21% from ¥120,802,841.01 in the previous year[9] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥73,029,190.26, a decline of 39.15% compared to ¥120,017,665.13 in the same period last year[9] - The basic earnings per share for Q1 2020 was ¥0.0413, down 24.22% from ¥0.0545 in the same period last year[9] - The diluted earnings per share for Q1 2020 was also ¥0.0413, reflecting a decrease of 24.22% compared to ¥0.0545 in the previous year[9] - The weighted average return on equity was 1.62%, down from 2.26% in the same period last year, a decrease of 0.64%[9] - The total comprehensive income for the current period is CNY 91,064,829.49, down from CNY 120,802,841.01 in the previous period[71] - The net profit for the current period is -11,571,500.94, compared to -4,781,453.42 in the previous period, indicating a significant increase in losses[75] - The total comprehensive income for the current period is -11,571,500.94, compared to -4,781,453.42 in the previous period, reflecting a worsening financial position[78] Cash Flow - The net cash flow from operating activities increased by 18.14% to ¥455,715,435.22 from ¥385,741,120.49 in the previous year[9] - Cash inflow from operating activities is 686,602,468.33, down from 951,154,755.35 in the previous period, showing a decline of approximately 27.8%[79] - The net cash flow from operating activities is 455,715,435.22, an increase from 385,741,120.49 in the previous period, representing a growth of about 18.1%[82] - The company reported a net cash flow from financing activities of CNY 0.00, down from a negative CNY 5.55 million in the previous period, primarily due to stock repurchases[24] - The net cash flow from investing activities is -948,338,137.51, worsening from -783,861,171.85 in the previous period[82] - The total cash outflow for operating activities is 230,887,033.11, significantly lower than 565,413,634.86 in the previous period, indicating improved cash management[82] - The net cash flow from financing activities was $24,664,890.41, a recovery from a negative cash flow of -$5,546,260.58 in the previous period[89] Assets and Liabilities - The total assets at the end of the reporting period were ¥6,191,654,551.65, reflecting a growth of 4.45% from ¥5,927,795,521.33 at the end of the previous year[9] - The total assets amount to CNY 11,213,801,743.09, an increase from CNY 11,187,870,638.23 in the previous period[60] - Total liabilities increased to CNY 457,241,242.11 from CNY 316,152,923.63, marking a rise of approximately 44.6%[50] - The total liabilities amount to CNY 1,486,002,711.91, an increase from CNY 1,448,500,106.11 in the previous period[60] - The company's equity attributable to shareholders reached CNY 5,704,422,256.92, up from CNY 5,612,860,624.92, an increase of about 1.6%[52] - The company's equity attributable to shareholders was $5,612,860,624.92, remaining unchanged[97] Investments and Acquisitions - The company completed the acquisition of a 20% stake in Yunnan Suma Biotechnology Co., Ltd. for CNY 100 million, with the registration completed by December 31, 2019[25] - The company signed a framework agreement for the acquisition of 100% of Jincheng Pharmaceutical Co., Ltd. on September 25, 2019, with an initial agreement valid until November 4, 2019, later extended to January 4, 2020[26] - On March 23, 2020, the company signed an investment agreement to acquire 70% equity of Beijing Changjiang Mai Pharmaceutical Technology Co., Ltd. for RMB 770 million[29] - The company agreed to pay an investment intention fee of RMB 230 million to Dai Yanzhen for acquiring 51.6873% equity in Changjiang Mai Company, with a subsequent agreement to increase the prepayment to RMB 200 million[26] Research and Development - R&D expenses increased by 33.10% to CNY 15.57 million from CNY 11.70 million, reflecting increased investment in R&D projects[21] - Research and development expenses for the current period are CNY 15,569,693.37, up from CNY 11,697,601.46 in the previous period, marking an increase of approximately 33.3%[65] Other Financial Metrics - The company reported a government subsidy of ¥417,610.03 during the reporting period[9] - The company experienced a 539.99% increase in taxes payable, rising to CNY 32.83 million from CNY 5.13 million, mainly due to increased income tax payable[21] - The company reported an investment income of CNY 20.76 million, compared to CNY 0.00 in the same period last year, primarily from financial product returns[21] - The company has no overdue commitments from actual controllers, shareholders, or related parties during the reporting period[29] - There were no securities investments during the reporting period[30] - The company has not engaged in derivative investments during the reporting period[37] - The company did not conduct any research, communication, or interview activities during the reporting period[38] - There were no violations regarding external guarantees during the reporting period[39]

Financial Performance - Operating revenue for the reporting period was approximately ¥482.51 million, down 51.07% year-on-year[8]. - Net profit attributable to shareholders of the listed company was approximately ¥96.30 million, a decrease of 66.37% compared to the same period last year[8]. - The net profit after deducting non-recurring gains and losses was approximately ¥77.98 million, down 72.60% year-on-year[8]. - Basic earnings per share were ¥0.0434, a decrease of 66.09% compared to the same period last year[8]. - The weighted average return on net assets was 1.73%, down 3.89% year-on-year[8]. - Total operating revenue for the current period is ¥482,506,209.18, a decrease of 51.1% compared to ¥986,089,744.94 in the previous period[63]. - Net profit for the current period is ¥95,754,034.85, a decline of 66.6% from ¥286,390,150.79 in the previous period[66]. - Total operating revenue for the current period is ¥1,404,387,771.12, a decrease of 47% compared to ¥2,647,093,599.10 in the previous period[80]. - Net profit for the current period is ¥337,687,727.29, a decline of 54% from ¥730,112,461.91 in the previous period[82]. - The company reported a profit before tax of ¥406,099,027.57, compared to ¥850,767,599.39 in the previous period[82]. Assets and Liabilities - Total assets at the end of the reporting period were approximately ¥5.89 billion, a decrease of 0.56% compared to the end of the previous year[8]. - Total assets amounted to ¥11,023,057,707.39, an increase from ¥10,362,774,134.64 in the previous period[62]. - Total liabilities were CNY 274,874,043.14, down from CNY 640,152,430.60 year-over-year[49]. - Current liabilities reached CNY 255,722,765.02, significantly lower than CNY 623,790,558.88 in the prior year[49]. - The company reported a total asset value of ¥5,921,638,285.93[143]. - The total current assets increased to ¥2,076,909,614.31, reflecting a rise of ¥400,000,000.00[145]. - The total liabilities were reported at ¥608,458,447.31 for the current liabilities section[151]. Cash Flow - The net cash flow from operating activities for the year-to-date was approximately ¥1.43 billion, an increase of 534.70% compared to the same period last year[8]. - The net cash flow from operating activities increased by 534.70% to ¥1,433,007,121.50 from ¥225,776,379.62, mainly due to the collection of receivables and reduced sales expenses[24]. - The net cash flow from operating activities was 1,433,007,121.50 yuan, a substantial increase from 225,776,379.62 yuan in the prior year[126]. - The company reported a cash and cash equivalents balance of 765,309,134.71 yuan at the end of the period, down from 2,146,175,777.44 yuan at the end of the previous period[126]. - Cash inflow from investment activities totaled $1,712,137,354.89, significantly up from $122,141,906.30, indicating a substantial increase in investment returns[130]. Investments and Strategic Initiatives - The company plans to strengthen cooperation with HanZhong Group and HanMa Investment in the hemp health industry[25]. - The company signed a strategic cooperation framework agreement with HanZhong Enterprise Management Group and HanMa Investment Group for equity acquisition and comprehensive strategic cooperation[27]. - The company plans to establish a joint venture, "DeYi Pharmaceutical Co., Ltd." in Kunming, Yunnan, with a registered capital of RMB 10 million[27]. - The company has invested a total of RMB 10 billion in various financial products, including structured deposits and wealth management products, to manage idle funds[27]. - The company has signed multiple agreements for structured deposits, including RMB 3 billion with Ningbo Bank and RMB 2 billion with Ping An Bank[27]. Research and Development - Research and development expenses increased by 40.48% to ¥90,050,914.59 from ¥64,101,881.59, reflecting increased investment in R&D projects[24]. - Research and development expenses for the current period amount to ¥90,050,914.59, an increase from ¥64,101,881.59 in the previous period[80]. Shareholder Equity - Net assets attributable to shareholders of the listed company increased by 6.30% to approximately ¥5.61 billion[8]. - Owner's equity increased to CNY 5,613,627,322.04 from CNY 5,281,485,855.33, reflecting a growth in retained earnings[53]. - Total equity attributable to shareholders reached ¥5,281,485,855.33, while total equity was also ¥5,281,485,855.33[143]. Other Financial Metrics - The company received government subsidies amounting to approximately ¥16.10 million during the reporting period[8]. - The company reported a significant increase in other payables, which reached CNY 1,294,477,549.07 compared to CNY 608,284,435.20 in the previous year[59]. - The company has confirmed a bad debt provision of RMB 2.58 million related to a financial product from Baoshang Bank, with a total of RMB 145.6 million guaranteed by the People's Bank of China[34].

Financial Performance - The company's operating revenue for the first half of 2019 was CNY 921,881,561.94, a decrease of 44.50% compared to CNY 1,661,003,854.16 in the same period last year[26]. - The net profit attributable to shareholders of the listed company was CNY 241,933,692.44, down 45.48% from CNY 443,722,311.12 year-on-year[26]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 230,630,842.12, a decline of 47.64% compared to CNY 440,490,401.11 in the previous year[26]. - The basic earnings per share were CNY 0.1091, a decrease of 44.90% from CNY 0.1980 in the previous year[26]. - The diluted earnings per share were also CNY 0.1091, reflecting the same decline of 44.90% compared to the previous year[26]. - The weighted average return on net assets was 4.48%, down 4.83% from 9.31% in the same period last year[26]. - Total assets at the end of the reporting period were CNY 5,748,857,870.24, a decrease of 2.92% from CNY 5,921,638,285.93 at the end of the previous year[26]. - The net assets attributable to shareholders of the listed company increased to CNY 5,517,873,287.19, up 4.48% from CNY 5,281,485,855.33 at the end of the previous year[26]. - The gross margin for the pharmaceutical sector was 86.55%, a decrease of 5.89% compared to the same period last year[59]. - The company reported a net cash flow from operating activities of RMB 778,614.06 million, an increase of 465.20% year-on-year, mainly due to the collection of accounts receivable[55]. - The company’s cash and cash equivalents decreased by RMB 1,005,456.70 million, a decline of 462.01% year-on-year[59]. - The company’s investment activities resulted in a net cash outflow of RMB 1,778,524.49 million, a decrease of 1,357.42% compared to the previous year[55]. - The company reported a significant decrease in cash flow, which may affect its operational capabilities moving forward[198]. Business Operations - The main business of the company focuses on the research, production, and sales of cardiovascular drugs, with the core product "Alo" (Atorvastatin Calcium Tablets) being a leading product in the domestic market[38]. - "Alo" has achieved significant market share growth, becoming the top atorvastatin product in the "4+7" cities following the implementation of the centralized procurement policy[38]. - The company has implemented a marketing model based on distributor promotion and a production model of "sales-driven production" to enhance operational efficiency[38]. - The company has established a robust quality risk management system to ensure drug safety and compliance with GMP standards[38]. - The company has maintained a consistent focus on R&D, particularly in cardiovascular, oncology, and metabolic disease areas, with a strategy of combining generic drug development with innovative drug partnerships[38]. - The company has improved the quality standards for Atorvastatin calcium and tablets, raising the entry threshold for generic drugs and enhancing its core competitiveness[43]. - The main product "Aler" saw a significant market share increase of 10 percentage points from January to May 2019, reaching a market share of nearly 68% in 11 pilot cities, surpassing competitors[51]. - The company has established two pharmaceutical research institutions and has achieved multiple successful domestic exclusive products, with nine major products meeting advanced domestic production technology standards[43]. - The production yield of the main product "Aler" reached 98.72%, an increase of 0.70% compared to the previous year, while the overall yield was 97.22%, also up by 0.70%[51]. - The company has initiated one new drug research project and has three new drug projects under development, along with several other projects in progress[51]. - The company has actively adjusted its marketing strategy, increasing training programs and enhancing coverage in grassroots hospitals[43]. - The company has established a strong marketing channel by selecting and nurturing quality agents, ensuring a stable and professional promotional team[47]. Research and Development - Research and development expenses amounted to RMB 49,745.82 million, a decrease of 9.14% compared to the previous year[55]. - The company has filed one new patent application related to its collaboration with Tsinghua University, bringing the total number of authorized invention patents to 14[51]. - The company plans to increase R&D investment to enhance product quality and competitive advantage in response to pricing pressures from centralized procurement[78]. Corporate Governance and Compliance - The company plans not to distribute cash dividends or issue bonus shares[8]. - The company held two shareholder meetings during the reporting period, with participation rates of 69.15% and 68.15% respectively[83]. - The actual controller and shareholders have fulfilled their commitments during the reporting period, with no breaches reported[84]. - The company has committed to avoiding unnecessary related transactions with Xinjiang Tianshan Wool Textile Co., Ltd. and ensuring fairness and transparency in any unavoidable transactions[84]. - The commitments made by the company are legally binding and will remain in effect until the approval of the major asset restructuring by the China Securities Regulatory Commission[99]. - The company has established a framework for timely and detailed information disclosure regarding any future related party transactions[99]. - The company has not engaged in any related party transactions during the reporting period[126]. - No related party transactions involving asset or equity acquisitions or sales occurred during the reporting period[127]. - No joint external investment related party transactions occurred during the reporting period[128]. - No related party debt transactions occurred during the reporting period[129]. - No other significant related party transactions occurred during the reporting period[130]. - The company has not experienced any penalties or rectification issues during the reporting period[122]. - The half-year financial report has not been audited[120]. Environmental and Social Responsibility - The company is not classified as a key pollutant discharge unit by environmental protection authorities[139]. - The company has established comprehensive waste management protocols in compliance with environmental regulations[142]. - The company has a comprehensive emergency response plan for environmental incidents, conducting at least one drill annually[146]. - The company has obtained all necessary environmental approvals and permits for wastewater discharge into municipal networks[145]. - The company has not initiated any targeted poverty alleviation work during the reporting period and has no subsequent plans[148]. - The company employs a self-monitoring and third-party testing approach for pollution control, regularly reporting data as required[147]. Shareholder Information - The total number of shares before the change was 2,241,481,800, with 51.79% being restricted shares[158]. - The company repurchased a total of 23,612,228 shares, accounting for 1.0534% of the total share capital, with a total payment of RMB 199,999,764.80[161]. - The largest shareholder, Meilin Holdings Group, holds 30.20% of the shares, totaling 676,825,475 shares[166]. - The second-largest shareholder, Shanghai Yueye Equity Investment Management, holds 18.48% of the shares, totaling 414,138,066 shares[166]. - The company has a total of 36,533 shareholders holding more than 5% of the shares[166]. - The total number of unrestricted shares after the change was 1,080,569,413, representing 48.21% of the total shares[158]. - The total number of restricted shares after the change was 1,160,912,387, remaining at 51.79%[158]. - The company’s total share capital remains unchanged at 2,241,481,800 shares[158].

证券代码：000813 证券简称：德展健康 公告编号：2019-035 德展大健康股份有限公司关于参加"2019 年新疆辖区上市 公司投资者集体接待日活动"的公告 本公司及其董事会全体成员保证信息披露内容的真实、准确、完整，没有 虚假记载、误导性陈述或重大遗漏。 德展大健康股份有限公司（以下简称"公司"）为便于广大投资者更深入全 面地了解公司情况、发展战略、经营状况、融资计划、股权激励、可持续发展等 投资者所关心的问题，公司定于 2019 年 7 月 26 日下午 15:00-17:30 参加由新疆 上市公司协会联合深圳市全景网络有限公司组织开展的"2019 年新疆辖区上市 公司投资者集体接待日活动"。现将有关事项公告如下： 本次集体接待日活动将在深圳市全景网络有限公司提供的网上平台，采取网 络 远 程 的 方 式 举 行 ， 投 资 者 可 以 登 录 " 全 景 · 路 演 天 下 " 网 站 （http://rs.p5w.net/）或关注微信公众号：全景财经（微信号：p5w2012），参 与公司本次投资者集体接待日活动，活动时间为 2019 年 7 月 26 日（星期五）15:00 至 17:30。 出 ...

Financial Performance - The company reported a total revenue of RMB 1.2 billion for the year 2018, representing a year-on-year growth of 15%[20] - The net profit attributable to shareholders was RMB 200 million, an increase of 10% compared to the previous year[20] - The company's operating revenue for 2018 was ¥3,290,827,592.18, representing a 48.22% increase compared to ¥2,220,294,818.62 in 2017[30] - The net profit attributable to shareholders for 2018 was ¥930,525,670.98, which is a 16.73% increase from ¥797,177,693.48 in 2017[30] - The net profit after deducting non-recurring gains and losses for 2018 was ¥924,031,064.44, up 17.14% from ¥788,841,122.62 in 2017[30] - The basic earnings per share for 2018 was ¥0.4162, reflecting a 17.04% increase from ¥0.3556 in 2017[30] - The total assets at the end of 2018 amounted to ¥5,921,638,285.93, a 15.23% increase from ¥5,138,977,267.94 at the end of 2017[30] - The net assets attributable to shareholders at the end of 2018 were ¥5,281,485,855.33, which is a 16.19% increase from ¥4,545,411,997.30 at the end of 2017[30] - The company reported a net cash flow from operating activities of ¥379,780,870.11 in 2018, a slight decrease of 1.26% from ¥384,636,714.90 in 2017[30] - The company achieved a net profit of approximately ¥930.53 million for the year 2018, with an undistributed profit balance of ¥3.80 billion as of December 31, 2018[127] Market Expansion and Strategy - User data indicated a growth in active users by 25%, reaching a total of 5 million users by the end of 2018[20] - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share within the next two years[20] - The company has set a performance guidance for 2019, aiming for a revenue growth of 20% and a net profit margin of 15%[20] - The company plans to leverage the opportunities from volume-based procurement to enhance its business and develop new products in the cerebrovascular field[114] - The company aims to increase its market share in public hospitals and expand its presence in the endocrine market in 2019[116] - The company intends to accelerate its capital operations and implement acquisition strategies for rapid expansion in various therapeutic areas[114] Research and Development - The company has allocated RMB 100 million for research and development in new technologies for the upcoming fiscal year[20] - The company plans to continue its research and development efforts, focusing on consistency evaluations for additional products[52] - The total R&D investment amounted to ¥86,683,891.04, representing a 58.62% increase compared to ¥54,649,653.49 in the previous year[76] - The proportion of R&D investment to operating revenue increased to 2.63% from 2.46%, a change of 0.17%[76] - The company has established two research institutions focused on technological innovation and product development, achieving several successful domestic exclusive products[44] Product Performance - The main business of the company is the research, production, and sales of pharmaceuticals, with its core product "Aler" (Atorvastatin Calcium Tablets) ranking first among domestic lipid-lowering drugs[40] - "Aler" has achieved a market share of approximately 9% in the lipid-lowering drug sector and is the first domestic product to pass the consistency evaluation for Atorvastatin Calcium[44] - The company's production capacity for "Aler" has significantly increased following the commissioning of projects in Tianjin Wuqing and Tongzhou Xiji[40] - The gross profit margin for pharmaceutical sales was 99.82%, with a 48.44% increase in sales compared to the previous year[57] - The company's main product, "Aler," sold 191 million boxes during the year, with a 13.69% increase in inventory compared to the previous year[52] Risk Management - The company has identified potential risks in regulatory changes and market competition, with strategies in place to mitigate these risks[20] - The company faces market and policy risks due to ongoing medical reforms and stricter regulations, which may impact production and operations[118] - The company recognizes the risks associated with new business ventures, particularly in the industrial hemp sector, and will proceed cautiously[123] Dividend Policy - The board has decided not to distribute cash dividends for the year, opting to reinvest profits into business expansion[20] - The company will not distribute profits for 2018, as it aims to cover previous losses and adapt to significant industry changes due to policy reforms[128] - The company has not distributed cash dividends for three consecutive years (2016-2018), with net profits fully offsetting previous losses[133] - Future cash dividends will be considered based on the company's operational situation and funding needs, ensuring alignment with shareholder interests[133] Corporate Governance - The company has made long-term commitments to avoid direct or indirect competition with its subsidiaries, ensuring independence in operations and management[147] - The company guarantees the independence of its operations, assets, and finances from its controlling shareholders, with specific measures to maintain this separation[149] - The company has not reported any significant changes in the feasibility of its investment projects[101] Compliance and Regulatory Issues - The company has received a warning from the Beijing Food and Drug Administration regarding compliance issues, which has been rectified prior to the warning being issued[158] - The company emphasizes the importance of strict quality control in response to new regulations and standards in the pharmaceutical industry[122]

Financial Performance - The company's operating revenue for Q1 2019 was ¥480,934,229.19, a decrease of 38.92% compared to ¥787,375,642.93 in the same period last year[9]. - Net profit attributable to shareholders was ¥120,802,841.01, down 32.09% from ¥177,880,864.50 year-on-year[9]. - Basic earnings per share decreased by 31.36% to ¥0.0545 from ¥0.0794 in the same period last year[9]. - Total operating revenue for the first quarter was CNY 480,934,229.19, a decrease of approximately 38.8% compared to CNY 787,375,642.93 in the same period last year[65]. - Net profit for the first quarter was CNY 120,802,841.01, a decline of 32.2% compared to CNY 177,880,864.50 in the previous year[68]. - The total comprehensive income for the period was -4,781,453.42 CNY, compared to 1,799,966.18 CNY in the previous period[79]. - The company reported a net loss of -4,781,453.42 CNY for the period, compared to a net profit of 1,799,966.18 CNY in the previous period[79]. Cash Flow and Assets - The net cash flow from operating activities increased significantly to ¥385,741,120.49, a rise of 49,575.07% compared to ¥776,528.55 in the previous year[9]. - The cash flow from operating activities showed a remarkable increase of 49,575.07%, reaching 385,741,120.49 RMB, mainly due to the collection of accounts receivable[25]. - As of March 31, 2019, the company's total current assets amounted to ¥5,018,832,866.28, an increase from ¥4,758,447,495.18 at the end of the previous year[45]. - The company's cash and cash equivalents decreased from ¥1,444,695,850.79 to ¥1,041,028,620.36 during the same period[45]. - The total cash inflow from operating activities was 951,154,755.35 CNY, compared to 661,543,422.37 CNY in the previous period[83]. - The total cash outflow from operating activities was 565,413,634.86 CNY, down from 660,766,893.82 CNY in the previous period[83]. - The ending balance of cash and cash equivalents was 619,216,079.95, down from 1,230,396,714.59 in the prior period[93]. - The company reported a decrease in cash and cash equivalents by 94,447,418.31 during the period[93]. Shareholder Information - The top ten shareholders held a significant portion of shares, with the largest shareholder holding 30.20%[13]. - The company completed its share repurchase plan, utilizing a total of 200 million RMB to buy back shares at a price not exceeding 12 RMB per share[26]. - The company repurchased a total of 23,612,228 shares, accounting for 1.0534% of the total share capital before the repurchase, with a total payment of approximately ¥200 million[33]. - The repurchased shares will be used for employee stock ownership plans or equity incentive plans, subject to board authorization[33]. Assets and Liabilities - Total assets at the end of the reporting period were ¥5,762,403,637.76, a decrease of 2.69% from ¥5,921,638,285.93 at the end of the previous year[9]. - The company's total assets as of March 31, 2019, were ¥5,762,403,637.76, compared to ¥5,921,638,285.93 at the end of the previous year[54]. - Total liabilities decreased from ¥640,152,430.60 to ¥365,661,202.00 during the same period[51]. - The company's total equity increased from ¥5,281,485,855.33 to ¥5,396,742,435.76[54]. - The company has no overdue commitments or securities investments during the reporting period[34][35]. Operational Developments - The company reported a significant increase in prepayments, which rose by 198.88% to 31,544,069.20 RMB due to increased technology development fees and project payments[25]. - Other receivables surged by 10,767.16% to 100,062,075.53 RMB, primarily due to payments made for cooperation earnest money[25]. - The company experienced a 47.09% increase in construction in progress, amounting to 81,024,345.59 RMB, attributed to increased investment in subsidiary production lines[25]. - The company’s subsidiary, Jialin Pharmaceutical, received a GMP certificate, allowing its new production base to commence operations[27]. - The company signed a strategic cooperation framework agreement with Hanma Group for equity acquisition and collaboration in research[27]. Financial Adjustments - The company reported a significant increase in current assets, totaling ¥2,076,909,614.31, an increase of ¥400,000,000.00[106]. - The company adjusted financial reporting, reclassifying certain financial products, impacting non-current assets by ¥400,000,000.00[105]. - The company has adjusted financial products previously classified as other current assets to trading financial assets under new financial instrument standards[113]. - The company has not applied the retrospective adjustment for the new financial instrument and lease standards[114]. Management and Governance - The chairman of the board is Zhang Yong, and the report was released on April 25, 2019[117]. - The first quarter report has not been audited[116]. - The report indicates that the company is focused on health and wellness sectors[115].

Financial Performance - Operating revenue for the reporting period reached CNY 986,089,744.94, a 73.88% increase year-on-year [8] - Net profit attributable to shareholders increased by 38.87% to CNY 286,390,150.79 for the reporting period [8] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 284,629,591.43, up 38.38% year-on-year [8] - Basic earnings per share rose by 39.13% to CNY 0.1280 [8] - The weighted average return on equity was 5.62%, an increase of 0.81% compared to the previous year [8] Asset and Shareholder Information - Total assets increased by 13.87% to CNY 5,851,977,645.74 compared to the end of the previous year [8] - The total number of shareholders at the end of the reporting period was 17,393 [12] - The top ten shareholders held a combined 73.62% of the company's shares, with the largest shareholder owning 30.20% [12] Cash Flow and Expenses - Cash flow from operating activities decreased by 46.08% to CNY 225,776,379.62 year-to-date [8] - The net cash flow from operating activities decreased by 46.08% to ¥225,776,379.62 from ¥418,689,199.10, mainly due to increased promotional expenses [16] - Research and development expenses surged by 183.42% to ¥64,101,881.59 from ¥22,617,100.94, reflecting increased investment in R&D [16] - The company reported a 331.02% increase in selling expenses, totaling ¥1,400,428,764.76 compared to ¥324,908,549.84 in the previous year [16] Share Repurchase and Financial Management - The company repurchased a total of 15,450,767 shares, accounting for 0.6893% of the total share capital, with a total expenditure of ¥124,300,981.86 [18] - The company plans to use up to ¥200 million for share repurchase within six months from the approval date [18] - The total amount of entrusted financial management reached ¥175,750,602.86, with ¥75,000,000 in bank financial products and ¥100,750,602.86 in broker financial products [24] - There are no overdue amounts or uncollectible principal expected from entrusted financial management [24] Receivables and Prepayments - Accounts receivable increased by 33.53% to ¥2,636,110,781.12 from ¥1,974,136,774.52, primarily due to sales growth and the impact of the two-invoice system [16] - Prepayments increased by 66.05% to ¥32,725,685.07 from ¥19,708,878.73, mainly due to increased prepayments for R&D and conference expenses [16] - Other receivables decreased by 50.76% to ¥1,580,953.67 from ¥3,211,035.35, primarily due to the recovery of interest from the previous period [16] Compliance and Governance - The company has not reported any overdue commitments from actual controllers, shareholders, or related parties during the reporting period [19] - The company did not engage in any derivative investments during the reporting period [24] - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period [27] - The company did not conduct any research, communication, or interview activities during the reporting period [25] - There were no instances of illegal external guarantees during the reporting period [26]

Financial Performance - The company's operating revenue for the first half of 2018 was CNY 1,661,003,854.16, representing a 108.86% increase compared to CNY 795,269,667.18 in the same period last year[18]. - The net profit attributable to shareholders of the listed company was CNY 443,722,311.12, a 3.83% increase from CNY 427,347,813.67 year-on-year[18]. - The net profit after deducting non-recurring gains and losses was CNY 440,490,401.11, up 4.11% from CNY 423,103,479.11 in the previous year[18]. - The basic earnings per share for the reporting period was CNY 0.1980, a 3.83% increase from CNY 0.1907 in the same period last year[18]. - The diluted earnings per share also stood at CNY 0.1980, reflecting the same growth of 3.83% year-on-year[18]. - The total operating revenue for the first half of 2018 was CNY 1,661,003,854.16, a significant increase from CNY 795,269,667.18 in the same period of 2017, representing a growth of approximately 109.1%[136]. - The net profit for the first half of 2018 was CNY 443,722,311.12, compared to CNY 426,054,842.99 in the previous year, reflecting a slight increase of approximately 4.1%[136]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 5,546,290,223.38, an increase of 7.93% from CNY 5,138,977,267.94 at the end of the previous year[18]. - The net assets attributable to shareholders of the listed company increased by 9.76% to CNY 4,989,134,308.42, compared to CNY 4,545,411,997.30 at the end of the previous year[18]. - The total assets of the company amounted to 554,629.02 million yuan, reflecting a growth of 7.93% year-on-year[42]. - The total liabilities decreased from CNY 593,565,270.64 to CNY 557,155,914.96, a reduction of approximately 6.1%[129]. - The owner's equity increased from CNY 4,545,411,997.30 to CNY 4,989,134,308.42, representing a growth of about 9.7%[129]. Cash Flow - The net cash flow from operating activities decreased by 52.03% to CNY 137,758,254.36, down from CNY 287,161,217.54 in the same period last year[18]. - The company's net cash and cash equivalents increased by CNY 277,742,230.11, although this represented a decline of 34.98% compared to the previous period[45]. - The cash flow from operating activities shows a positive trend, with total cash inflows significantly exceeding outflows[148]. - The cash flow from investment activities has a net outflow of -116,678,512.80 yuan, indicating ongoing investments despite previous higher expenditures[148]. Market Position and Products - The main product, Atorvastatin Calcium Tablets, ranks second in the atorvastatin category and first among domestic lipid-lowering drugs, with a market share of approximately 9%[30]. - The company’s subsidiary, Jialin Pharmaceutical, has maintained its leading position in the domestic lipid-lowering market for several consecutive years, with advanced product quality and production technology[25]. - Jialin Pharmaceutical's Atorvastatin Calcium Tablets have passed the consistency evaluation, enhancing their competitive edge against imported drugs and improving market sales potential[27]. - The domestic lipid-lowering market remains stable, with statins holding over 90% market share, indicating a strong demand for the company's products[26]. Research and Development - Research and development expenses surged to CNY 54,749,621.43, marking a significant increase of 510.56% from CNY 8,967,127.50, primarily due to enhanced investment in ischemic stroke treatment research[44]. - The company has established two pharmaceutical research institutions focused on technological innovation and product development, achieving multiple successful domestic exclusive products[31]. - The company has established partnerships with various academic institutions for innovative drug development, including collaborations with Tsinghua University and the Chinese Academy of Medical Sciences[41]. Corporate Governance and Compliance - The company plans not to distribute cash dividends or issue bonus shares for this reporting period[5]. - The company is committed to improving R&D levels and managing projects scientifically to mitigate risks associated with drug development[59]. - The company is currently in compliance with all commitments made during the restructuring process[68]. - The company will ensure that senior management is exclusively employed by the company and not hold positions in related enterprises[70]. Environmental Compliance - 嘉林药业废水处理采用UASB厌氧反应器和MBR膜生物反应器，确保污水水质合格后排入市政管网[94]. - 嘉林药业锅炉废气中氮氧化物排放量为0.39吨，符合低氮排放标准[95]. - 嘉林药业拥有完整的环境影响评价和污水排入许可证，确保环保合规[97]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 18,862[110]. - The largest shareholder, Meilin Holdings Group, holds 30.20% of the shares, with a total of 676,825,475 shares[110]. - The company has a total share count of 2,241,481,800, with 51.79% being limited sale condition shares[108]. Risks and Challenges - The company faces market and policy risks due to ongoing pharmaceutical reforms and stricter regulations, which may impact production and management[58]. - Rising production costs due to increased prices of raw materials, logistics, and labor are a concern for the company's operational expenses[60]. - Significant investment in new drug research and development is required annually, leading to high uncertainty and potential project failure risks[59].

Financial Performance - The company's operating revenue for 2017 was ¥2,220,294,818, representing a 53.87% increase compared to ¥1,442,998,625 in 2016[20]. - Net profit attributable to shareholders for 2017 was ¥797,177,693.48, a 20.48% increase from ¥661,671,880.16 in 2016[20]. - The net cash flow from operating activities increased by 46.61% to ¥384,636,714.90 in 2017 from ¥262,356,181.05 in 2016[20]. - Total assets at the end of 2017 reached ¥5,138,977,267, a 30.86% increase from ¥3,926,931,218 at the end of 2016[20]. - The net assets attributable to shareholders increased by 21.10% to ¥4,545,411,997 in 2017 from ¥3,753,305,344 in 2016[20]. - Basic earnings per share for 2017 was ¥0.3556, reflecting a 20.46% increase compared to ¥0.2952 in 2016[20]. - The weighted average return on equity for 2017 was 19.20%, down from 35.71% in 2016, indicating a decline of 16.51%[20]. - The company reported a total of ¥857,925,156.75 in operating revenue for Q4 2017, the highest quarterly revenue for the year[24]. - The company experienced a net profit of ¥163,604,731.36 in Q4 2017, contributing to the overall annual profit growth[25]. - In 2017, the company achieved a total revenue of ¥2,220,294,818.62, representing a year-on-year growth of 53.87%[44]. - The net profit attributable to shareholders reached ¥79,717.77 million, an increase of 20.48% compared to the previous year[44]. Asset Restructuring - Dezhang Health reported a significant asset restructuring with a total value of 757,021.10 million RMB, involving the exchange of assets with Meilin Holdings[11]. - The total amount of supporting funds raised during the asset restructuring is capped at 150,948.88 million RMB[11]. - The company underwent significant asset restructuring in 2016, transitioning from textile and mining industries to the pharmaceutical sector, which has influenced its financial performance[20]. - The company has a lock-up period of 36 months for shares obtained through major asset restructuring, which will not be transferred during this period[95]. - After the first year of the major asset restructuring, 50% of the shares will be released from lock-up upon fulfilling profit compensation obligations[97]. - In the second year, an additional 25% of the shares will be released from lock-up after meeting profit compensation obligations[97]. - The remaining 25% of the shares will be released from lock-up after all profit compensation obligations are fulfilled[97]. - The company has a structured plan for the gradual release of shares post-restructuring based on performance[97]. Research and Development - The main business of the company is the research, production, and sales of pharmaceuticals, with a focus on cardiovascular drugs, including core product "Alo" (Atorvastatin Calcium Tablets), which ranks among the top three in the lipid-lowering market in 2017[28]. - The company has increased R&D investment, leading to improved operational efficiency and profitability, while also expanding its influence in the industry[29]. - The company has two pharmaceutical R&D institutions, focusing on product upgrades and new technology development, with over 100 new drug varieties completed or in development[34]. - Research and development investment increased by 5.45% to ¥54,649,653.49 in 2017, while the proportion of R&D investment to operating income decreased to 2.46%[60]. - The number of R&D personnel increased by 61.45% to 134, enhancing the company's research capabilities[60]. - The company has initiated clinical trials for several new drugs, including a new antihypertensive drug and an anti-tumor supportive medication[58]. Market Position and Strategy - The company has maintained a market share of approximately 9% for "Alo," positioning it as a leading domestic lipid-lowering drug[32]. - The pharmaceutical industry in China is experiencing growth due to economic development, population aging, and healthcare system improvements, presenting both opportunities and challenges[30]. - The company has established long-term partnerships with various hospitals and experts for clinical research, enhancing its R&D capabilities[34]. - The company plans to focus on brand management and academic promotion for its key product, Alale, particularly in the cardiovascular and cerebrovascular disease sectors, with increased market resource investment[79]. - The company aims to enhance product strategy and academic image by implementing refined management and tailored action plans for different regions[80]. - The company anticipates that the pharmaceutical industry will undergo significant changes due to supply-side reforms, with a projected capacity reduction exceeding 50% in the chemical drug sector post-2018[79]. - The company has identified the aging population in China as a major opportunity for growth in pharmaceutical demand, particularly for generic drugs[79]. - The company plans to transfer existing business to its wholly-owned subsidiary, Beijing Jialin Huikang Pharmaceutical Co., Ltd., to ensure rapid growth while maintaining compliance[80]. Financial Management and Governance - The financial report is guaranteed to be true, accurate, and complete by the company’s management[3]. - The company has committed to increasing resource investment in the promotion of statins, addressing the low treatment rates among new patients[79]. - The company has a three-year shareholder return plan in place to ensure a stable dividend policy in the future[87]. - The company recognizes the need for significant investment in drug research and development, which poses uncertainties in future growth[82]. - The company will assess the possibility of cash dividends from its subsidiary, Jialin Pharmaceutical, based on its operational performance and funding needs[90]. - The company has fulfilled all commitments made by its actual controllers and shareholders during the reporting period[95]. - The company is committed to avoiding unnecessary related party transactions and ensuring fairness and transparency in transactions[95]. - The company has established a complete business system with independent assets, personnel, and capabilities to ensure continuous operations[102]. - The company has established a comprehensive governance structure, including a board of directors with 9 members and 3 independent directors[188]. - The company has implemented various training programs, including safety management and market marketing management, to enhance employee skills[182]. Shareholder Information - The company’s total share capital as of December 31, 2016, was 1,494,321,200 shares[92]. - The company’s shareholding structure showed that 73.73% of shares were subject to restrictions before the changes, which decreased to 51.79% after the capital increase[144]. - The company’s total unrestricted shares increased to 1,080,570,000, representing 48.21% of the total shares post-capital increase[144]. - The company has a total of 292,616,244 shares held by Shanghai Yueye, with 219,462,183 shares released from lock-up on October 19, 2017, and the remaining shares to be released based on performance commitments in 2018 and 2019[149]. - The company has issued new shares for asset acquisitions, with a total of 12,688,654 shares held by Quan Wei, 9,516,490 shares released from lock-up on October 19, 2017, and the rest to be released in 2018 and 2019 based on performance commitments[151]. Compliance and Risk Management - The company has established a legal commitment to ensure independence in operations, assets, finance, and business aspects post-restructuring[100]. - The commitment to avoid related party transactions includes ensuring fair market pricing in dealings with Tianshan Textile[99]. - The company has outlined specific measures to ensure compliance with laws and regulations in its operations[100]. - The company has not faced any administrative penalties related to unregistered properties as of the date of the commitment letter[103]. - The company has not experienced any major accounting errors requiring retrospective restatement during the reporting period[111]. - The company has not engaged in any related party transactions during the reporting period[119]. - The company has not faced any situations that could lead to suspension or termination of listing[115].