Group 1: Company Development Overview - The company was restructured and listed in 2018, gradually evolving from a regional pharmaceutical distribution enterprise to a national group in the industry, covering all 31 provinces, municipalities, and autonomous regions in China by Q3 2022 [2][3] - The company has over 200 subsidiaries and has achieved a compound annual growth rate (CAGR) of approximately 27% in revenue over the past five years [2][3] - The proportion of sales outside the home region increased from 34% to 57% in the last five years, indicating effective implementation of the national layout strategy [2][3] Group 2: Strategic Goals - The company's "14th Five-Year Plan" aims for a sales scale exceeding 100 billion yuan, driven by both organic growth and external expansion [3] - The strategy includes completing layouts in 300 prefecture-level cities and enhancing capabilities in marketing, supply chain, IT, and auxiliary diagnosis [3] Group 3: Business Segmentation and Performance - The company operates in four segments: pure sales (69.4%), distribution (17.4%), terminal (9.5%), and retail (3.7%), with year-on-year growth rates of 8%, 11%, 27%, and 16% respectively as of Q3 2022 [3] - Sales of pharmaceuticals and medical devices account for 85.5% and 14.5% of total sales, respectively, with traditional Chinese medicine and narcotic drugs making up about 3% and 1.4% of pharmaceutical sales [3] Group 4: Industrial Layout and R&D - The company has entered the pharmaceutical manufacturing sector through equity participation, notably in Chongqing Yaoyou Pharmaceutical Co., which is a national high-tech enterprise [4] - The company is enhancing collaboration with domestic and international R&D institutions to develop new products that align with its strategic goals [4]

Group 1: Company Overview - Chongqing Pharmaceutical Holdings is a large modern pharmaceutical distribution enterprise serving the entire pharmaceutical industry chain, involved in pharmaceutical research and development, medical device production, and investment in pharmaceutical industry collaboration [2][3] - The company operates under the Chongqing Pharmaceutical (Group) Co., Ltd., established in 1950, and is one of the few national wholesale enterprises for anesthetics and first-class psychotropic drugs in China [2][3] Group 2: Strategic Planning - The company's 14th Five-Year Plan aims for high-quality development, targeting sales exceeding 100 billion yuan by 2025, with a focus on "internal growth and external expansion" [3] - The strategic goal includes establishing a presence in 300 prefecture-level cities and enhancing capabilities in marketing, supply chain, IT, and auxiliary diagnosis [3] Group 3: Business Model Advantages - The integrated wholesale and retail model reduces operational costs and enhances supply chain advantages, facilitating the introduction of various drug categories into retail channels [3][4] - The company has established over 100 specialized pharmacies nationwide, promoting a new business model for prescription drug sales through internet hospitals [4] Group 4: Mergers and Acquisitions - The company's mergers and acquisitions during the 13th Five-Year Plan have expanded its national network and increased profitability, with profits from outside Chongqing rising from approximately 35% in 2018 to about 60% by 2021 [4] Group 5: Logistics and Supply Chain - The company boasts an advanced logistics distribution system, focusing on pharmaceutical supply chain services, with multiple distribution centers established in various provinces [4][5] - Chongqing Pharmaceutical Group's logistics subsidiary aims to create the largest third-party distribution and pharmaceutical logistics business in the western region [5]

Group 1: Company Development Strategy - The company aims for high-quality development during the 14th Five-Year Plan, focusing on optimizing industrial structure and accelerating innovation, targeting sales exceeding 100 billion CNY by 2025 [3] - The strategic guidance includes "One Thousand, Two Doubles, Three Hundreds Cities, Three Transformations, Four Capabilities, Five Troops," with plans to establish a presence in 300 prefecture-level cities nationwide [3] - The company will enhance its service capabilities in marketing, supply chain, IT, and auxiliary diagnosis, focusing on five key profit-contributing strategic areas: medical devices, professional pharmacies, traditional Chinese medicine health products, third-party storage, and emerging businesses [3] Group 2: Business Segments Development - The medical device segment is the second-largest product category, with over 110 companies engaged in this business, establishing long-term distribution relationships with international manufacturers [3] - The retail segment operates mainly through self-operated pharmacies and franchise pharmacies, with over 800 retail stores across 19 provinces, focusing on integrated wholesale and retail strategies [3][4] - The traditional Chinese medicine business is a key development area, with plans to build top-tier TCM clinics and improve distribution services for TCM decoction pieces [4] Group 3: Financial Management and Risks - The company is one of the few national wholesalers of narcotic and psychotropic drugs, with a stable sales network covering all 31 provinces and regions [4] - Accounts receivable are significant due to the nature of the business, primarily involving public hospitals, but the company maintains a low risk of collection [4] - Measures to improve cash flow include strengthening accounts receivable management and enhancing procurement management [4] Group 4: Future Growth and Mergers - The company plans to continue pursuing mergers and acquisitions during the 14th Five-Year Plan, focusing on high-quality targets and expanding its commercial wholesale investments in blank areas [5] - There will be an emphasis on acquiring and strategically cooperating in medical devices, retail chains, and traditional Chinese medicine sectors to enhance national network coverage [5]

Group 1: Fraud Warning - The company has never launched any financial management apps or crowdfunding activities, nor authorized any individuals or entities to conduct such businesses [2] - Investors are advised to rely solely on information disclosed through the company's official channels, including the China Securities Regulatory Commission and the official website [2] Group 2: Company Information - The registered name of the company is Chongqing Pharmaceutical Holding Co., Ltd., with the official website being www.cqphar.com [2] - The company's investor reception hotline is 023-63910671 [2] Group 3: Legal Action - The company strongly condemns any fraudulent activities impersonating the company or its subsidiaries and reserves the right to take legal action against such entities [2] - Investors are urged to report any impersonation incidents to local law enforcement [2]

Group 1: Strategic Planning - The company's "14th Five-Year" strategic plan aims for revenue exceeding 100 billion by 2025, with a focus on dual internal and external growth [2] - The plan includes a nationwide commercial network covering over 300 regions, emphasizing integrated retail and wholesale, product diversification, and digital business [2] - Key capabilities targeted include marketing solutions, supply chain solutions, IT solutions, and clinical support solutions [2] Group 2: Business Segments - The medical device segment is a crucial part of the business, with goals to establish a nationwide network and achieve scale effects during the "14th Five-Year" period [3] - The company aims to transition to a service-driven and technology-driven medical device service provider, enhancing its competitive position in the market [3] - The company plans to leverage regional advantages in areas like Guizhou and Sichuan to gain national influence in specific segments such as orthopedics and maternal and child health [3] Group 3: Logistics and Supply Chain - The company has a sophisticated logistics distribution system focused on pharmaceutical supply chain services, with multiple distribution centers across various provinces [3][4] - The logistics company manages over 90,000 square meters of central warehouse space in Chongqing, adhering to GSP and international storage standards [4] - The central distribution center located in the Chongqing Free Trade Zone offers advantages such as local customs clearance [4] Group 4: Investor Relations Activity - The investor relations activity on January 11, 2023, involved discussions on the company's strategic planning and business performance [2][5] - No undisclosed significant information was leaked during the activity, ensuring compliance with disclosure regulations [5]

Group 1: Event Details - The event will take place on December 23, 2022, from 15:00 to 17:00 [1] - The online platform for the event is provided by Shenzhen Panorama Network Co., Ltd., accessible at http://rs.p5w.net [1] Group 2: Participants - The company's representatives include the acting chairman, Mr. Yuan Quan (General Manager), and Mr. Qiu Tian (Board Secretary and CFO) [1] - The format of the communication will be "one-to-many," allowing for interaction with multiple investors [1] Group 3: Purpose and Assurance - The event aims to enhance investor relations and facilitate interaction with a broad range of investors [1] - The company guarantees the announcement's content is true, accurate, and complete, with no false statements or significant omissions [1]

Financial Performance - The company's operating revenue for Q3 2022 reached ¥17,855,668,091.93, representing a 10.67% increase year-over-year[6] - Net profit attributable to shareholders was ¥378,811,421.27, a significant increase of 55.41% compared to the same period last year[6] - The company reported a basic earnings per share of ¥0.22, marking a 57.14% increase year-over-year[6] - The company experienced a 9.33% increase in total operating revenue for the year-to-date period, totaling ¥50,530,650,217.01[12] - Total operating revenue for the current period reached ¥50,530,650,217.01, an increase of 9.4% from ¥46,218,544,640.38 in the previous period[29] - Net profit for the current period was ¥997,525,931.24, compared to ¥886,828,361.67 in the previous period, representing an increase of 12.5%[33] - The net profit attributable to shareholders of the parent company was ¥779,783,934.66, up from ¥681,536,777.92, marking a growth of 14.5%[33] - The company reported a basic earnings per share of ¥0.45, up from ¥0.39 in the previous period[35] Assets and Liabilities - Total assets at the end of the reporting period amounted to ¥56,296,485,256.09, reflecting a 13.27% increase from the end of the previous year[6] - The company's total assets increased to ¥56,296,485,256.09 from ¥49,700,081,320.97, reflecting a growth of 13.0%[28] - Total liabilities increased to ¥43,738,227,793.04 from ¥37,933,537,693.05, reflecting a rise of 15.0%[28] - Total equity rose to ¥12,558,257,463.05, compared to ¥11,766,543,627.92, indicating an increase of 6.7%[28] Cash Flow - The net cash flow from operating activities showed a net outflow of ¥3,881,826,418.20, which is an increase of 36.61% in outflow compared to the previous year[15] - The net cash flow from operating activities for the current period is -3,881,826,418.20 CNY, compared to -2,841,522,531.92 CNY in the previous period, indicating a decline of approximately 36.7%[39] - Total cash inflow from operating activities reached 52,102,274,106.81 CNY, up from 46,904,271,277.26 CNY, reflecting an increase of about 9.4%[39] - Cash outflow from operating activities totaled 55,984,100,525.01 CNY, compared to 49,745,793,809.18 CNY in the previous period, representing an increase of approximately 12.5%[39] - The net cash flow from financing activities was ¥2,453,485,512.99, reflecting a slight decrease of 2.87% compared to the previous year[15] - The net cash flow from financing activities is 2,453,485,512.99 CNY, slightly down from 2,526,070,755.47 CNY in the previous period[39] Accounts Receivable and Inventory - The company's accounts receivable increased by 21.53% to ¥31,579,635,890.44, attributed to the expansion of the sales network and stable business growth[11] - Accounts receivable increased to approximately ¥31.58 billion from ¥25.98 billion, reflecting a growth of about 21.5%[24] - Inventory levels rose by 24.49% to ¥7,532,884,202.32, driven by the expansion of national distribution operations[11] - Inventory as of September 30, 2022, was approximately ¥7.53 billion, an increase from ¥6.05 billion, indicating a growth of about 24.5%[24] Shareholder Information - The total number of common shareholders at the end of the reporting period was 53,335[16] - The largest shareholder, Chongqing Pharmaceutical Health Industry Co., Ltd., holds 38.14% of shares, totaling 664,900,806 shares[16] Other Financial Metrics - The weighted average return on equity was 3.66%, an increase of 1.06% compared to the previous year[6] - The company has adjusted its accounting estimates for bad debt provisions, which will not affect previously disclosed financial reports[20] - The company reported a significant increase in prepayments, which rose to approximately ¥1.97 billion from ¥1.36 billion, reflecting a growth of about 45.5%[24] - The company’s goodwill increased to approximately ¥1.54 billion from ¥1.46 billion, showing a growth of about 5.5%[24] - Research and development expenses for the current period were ¥1,159,339.66, down from ¥4,152,443.80, a decrease of 72.0%[33] - The company’s other comprehensive income after tax was -¥321,236.49, compared to -¥2,640,134.24 in the previous period, showing an improvement[35] Cash and Cash Equivalents - The company’s cash and cash equivalents as of September 30, 2022, were approximately ¥4.18 billion, down from ¥5.66 billion at the beginning of the year, representing a decrease of about 26.2%[24] - The ending balance of cash and cash equivalents is 1,804,412,676.04 CNY, up from 1,483,558,995.36 CNY in the previous period[41] - The company reported a total cash and cash equivalents net decrease of 1,626,335,584.58 CNY for the current period, compared to a decrease of 1,124,448,856.81 CNY in the previous period[41]

Financial Performance - The company's operating revenue for the first half of 2022 was ¥32,674,982,125.08, representing an increase of 8.51% compared to ¥30,111,291,419.34 in the same period last year[30]. - Net profit attributable to shareholders of the listed company decreased by 8.41% to ¥400,972,513.39 from ¥437,782,229.49 year-on-year[30]. - The net profit after deducting non-recurring gains and losses was ¥329,583,858.64, down 8.29% from ¥359,389,291.38 in the previous year[30]. - Basic earnings per share decreased by 8.00% to ¥0.23 from ¥0.25 year-on-year[30]. - The total assets at the end of the reporting period were ¥53,365,780,409.85, an increase of 7.38% from ¥49,700,081,320.97 at the end of the previous year[30]. - Net assets attributable to shareholders of the listed company increased by 2.93% to ¥10,108,838,750.47 from ¥9,820,972,464.88 at the end of the previous year[30]. - The weighted average return on net assets was 4.02%, down from 4.83% in the previous year[30]. - The cost of goods sold increased by 8.99% to ¥29,908,729,991.17 from ¥27,442,783,423.74, in line with the growth in operating revenue[42]. - Sales expenses rose by 4.60% to ¥931,767,071.87, attributed to increased employee compensation and marketing costs due to business expansion[42]. - Management expenses increased by 14.57% to ¥560,595,550.70, reflecting higher employee salaries and depreciation costs[42]. - The gross profit margin for the pharmaceutical wholesale segment was 7.97%, a slight decrease from 8.30% in the previous year[45]. - The company reported an investment income of ¥145,105,037.94, accounting for 23.95% of total profit, indicating a sustainable income source[46]. Cash Flow and Financial Position - The net cash flow from operating activities was -¥2,994,650,844.89, a decline of 9.96% compared to -¥2,723,443,074.25 in the same period last year[30]. - The total accounts receivable increased to ¥29,077,950,514.66, accounting for 54.49% of total assets, up from 52.28% the previous year[50]. - The company's cash and cash equivalents decreased to ¥5,168,540,248.50, representing 9.69% of total assets, down from 11.40%[50]. - The total financial assets at the beginning of the period were CNY 846,044,699.73, with a net increase to CNY 814,880,599.64 by the end of the period, reflecting a decrease of approximately 3.68%[51]. - The company reported a significant decrease in investment amounting to CNY 205,453,478.87, down 61.44% compared to CNY 532,766,544.56 in the same period last year[56]. - The total restricted assets at the end of the period amounted to CNY 5,537,549,808.11, with cash and cash equivalents contributing CNY 2,547,865,794.62[55]. Strategic Initiatives and Market Position - The company operates a comprehensive pharmaceutical distribution business, covering over 20,000 varieties of products including drugs, medical devices, health products, and cosmetics[38]. - The logistics base in Chongqing processes nearly CNY 33 billion in logistics volume annually, with a total warehouse area exceeding 492,000 square meters[38]. - The company is actively developing an "Internet + healthcare" platform, integrating online and offline services to enhance supply chain solutions[38]. - The company maintains long-term strategic partnerships with over 10,000 suppliers and several Fortune 500 pharmaceutical companies[38]. - The company has invested in a comprehensive pharmaceutical R&D system, focusing on high-value chemical drugs, traditional Chinese medicine, and medical devices[38]. - The company aims to improve drug distribution efficiency and reduce costs for residents through centralized logistics and smart technology[38]. - The company is expanding its logistics capabilities by establishing a modern logistics base and multi-level regional logistics nodes to enhance drug distribution across Southwest China and nationwide[72]. - The company is exploring market expansion strategies to increase its footprint in the pharmaceutical sector[171]. Risk Management and Compliance - The company acknowledges potential risks related to industry competition, operations and management, market conditions, and national policies[5]. - The company emphasizes risk management for accounts receivable, particularly focusing on credit management for clients outside public medical institutions[74]. - The company is enhancing its management capabilities through refined processes and advanced information management platforms to ensure drug safety and compliance[75]. - The company has implemented measures to ensure that any related transactions are conducted fairly and transparently[104]. - The company guarantees the independence of its management team, ensuring that senior executives do not hold positions in related enterprises and that financial personnel are independent[104]. Social Responsibility and Community Engagement - The company is committed to fulfilling its social responsibilities by ensuring the supply of medical materials and supporting emergency medical supplies during the COVID-19 pandemic[96]. - The company has established a social responsibility leadership group to oversee its social responsibility initiatives, focusing on stakeholder communication and community health[95]. - The company has contributed a total of 17,384 yuan to poverty alleviation efforts in Wuxi County, Chongqing, as part of its rural revitalization initiatives[98]. Shareholder and Corporate Governance - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company has implemented a stock incentive plan, with the list of incentive recipients publicly disclosed and no objections raised during the review period[86]. - The company received approval from the Chongqing State-owned Assets Supervision and Administration Commission for its 2020 restricted stock incentive plan, allowing the implementation of the plan[87]. - The company adjusted the number of restricted stocks from 15,408,595 shares to 15,182,641 shares, with the number of incentive recipients reduced from 251 to 247 due to voluntary forfeiture by 4 recipients[88]. - The performance assessment period for the 2020 restricted stock incentive plan spans from 2021 to 2023, with corresponding unlock periods for each year[88]. - The company has fulfilled all commitments made during the major asset restructuring, including obligations related to share issuance and performance commitments[102]. - The company has retained 14,498,692 shares as part of its commitment during the major asset restructuring process[107]. Guarantees and Liabilities - The company reported a guarantee amount of 8,000 million CNY to Guizhou Provincial Pharmaceutical Group Co., Ltd. on April 29, 2022, with a guarantee period from April 2022 to April 2023[133]. - The total external guarantee amount approved during the reporting period was 986 million CNY, with the actual occurrence of external guarantees also totaling 986 million CNY[133]. - The company has a joint liability guarantee of 6,000 million CNY to Qinghai Provincial Pharmaceutical Co., Ltd. on April 29, 2022, with a guarantee period from March 2022 to March 2023[133]. - The company has a joint liability guarantee of 5,000 million CNY to Shaanxi Huashi Pharmaceutical Co., Ltd. on April 29, 2022, with a guarantee period from June 2022 to March 2023[133]. - The company has a total of 21,000 in collateral guarantees as of March 9, 2022, indicating a significant financial commitment[139]. - The company has pledged 10,000 in collateral guarantees on April 1, 2022, reflecting ongoing financial strategies[139]. - The company has a total of 5,000 million in contingent liability guarantees for the period from March 2022 to March 2023[199]. - The guarantees are primarily related to shareholder equity pledges and contingent liabilities, with no additional guarantees noted[199].

Financial Performance - The company's operating revenue for Q1 2022 was ¥15,878,655,477.15, representing a 9.80% increase compared to ¥14,461,217,356.50 in the same period last year[4] - Net profit attributable to shareholders was ¥111,888,762.43, a 40.70% increase from ¥79,524,791.42 year-on-year[4] - Total operating revenue for the current period reached ¥15,878,655,477.15, an increase of 9.8% compared to ¥14,461,217,356.50 in the previous period[26] - Net profit for the current period was ¥144,327,904.72, compared to ¥133,286,652.92 in the previous period, representing an increase of 8.0%[29] - The net profit attributable to the parent company was ¥111,888,762.43, up from ¥79,524,791.42, indicating a significant growth of 40.6%[30] - The total comprehensive income for the current period was ¥144,327,904.72, compared to ¥133,286,652.92 in the previous period, showing an increase of 8.0%[30] Cash Flow - The net cash flow from operating activities was -¥3,159,107,305.23, reflecting a 24.01% increase in outflow compared to -¥2,547,529,457.48 in the previous year[11] - Operating cash flow net amount was -3,159,107,305.23, compared to -2,547,529,457.48 in the previous period, indicating a decline in cash flow from operations[33] - Cash inflow from operating activities totaled 15,384,982,283.54, an increase from 13,271,781,013.99[33] - Cash outflow from operating activities was 18,544,089,588.77, compared to 15,819,310,471.47 in the previous period[33] - Investment activities generated a net cash flow of 74,238,524.35, a significant improvement from -370,370,973.25 in the prior period[36] - Cash inflow from investment activities was 190,848,493.61, significantly higher than 43,858,621.55 in the prior period[36] - Cash outflow from investment activities totaled 116,609,969.26, down from 414,229,594.80 year-over-year[36] - Financing activities produced a net cash flow of 2,583,847,229.80, up from 2,086,407,203.98 year-over-year[36] - Cash inflow from financing activities was 7,179,947,756.00, slightly lower than 7,352,747,582.06 in the previous period[36] Assets and Liabilities - The total assets at the end of the reporting period were ¥52,383,341,339.08, up 5.40% from ¥49,700,081,320.97 at the end of the previous year[4] - The company's total current assets increased to approximately 43.97 billion RMB from 41.34 billion RMB at the beginning of the year, reflecting a growth of about 6.36%[18] - The total assets of the company reached approximately 52.38 billion RMB, up from 49.70 billion RMB, indicating an increase of about 5.36%[21] - The total liabilities of the company increased to approximately 33.67 billion RMB from 31.72 billion RMB, indicating a growth of about 6.14%[21] - Total liabilities increased to ¥40,472,842,190.39 from ¥37,933,537,693.05, marking a rise of 6.4%[26] - The company's total liabilities increased, with short-term borrowings rising by 2.07% to ¥12,219,952,344.04, while long-term borrowings decreased by 2.04% to ¥4,513,864,679.26[7] - The company’s total non-current liabilities increased to ¥6,806,996,055.93 from ¥6,209,456,696.33, reflecting a growth of 9.6%[26] Shareholder Information - The total number of common shareholders at the end of the reporting period is 65,555[12] - The largest shareholder, Chongqing Pharmaceutical Health Industry Co., Ltd., holds 38.14% of shares, totaling 664,900,806 shares[12] - The company reported a significant pledge of shares by major shareholders, with Chongqing Pharmaceutical Health Industry Co., Ltd. pledging 109,867,400 shares[12] Earnings and Expenses - The basic earnings per share rose by 20.00% to ¥0.06 from ¥0.05 in the same period last year[4] - Research and development expenses were recorded at ¥76,038.11, a decrease from ¥3,265,576.96 in the previous period[27] - Total operating costs amounted to ¥15,646,178,783.59, up from ¥14,590,776,932.08, reflecting a year-over-year increase of 7.2%[27]