Revenue and Profitability - Revenue for Q1 2022 reached ¥552,220,533.56, an increase of 41.16% compared to ¥391,207,729.22 in the same period last year[3] - Net profit attributable to shareholders was ¥128,247,521.34, up 135.93% from ¥54,359,079.83 year-on-year[3] - Basic earnings per share increased to ¥0.1026, reflecting a growth of 135.32% compared to ¥0.0436 in the same quarter last year[3] - Total operating revenue for the current period reached ¥552,220,533.56, a significant increase of 41.2% compared to ¥391,207,729.22 in the previous period[24] - Net profit for the current period was ¥125,796,128.32, representing a substantial increase of 131.1% compared to ¥54,460,883.29 in the same period last year[27] - Earnings per share (EPS) for the current period was reported at ¥0.1026, compared to ¥0.0436 in the previous period, reflecting a growth of 134.6%[30] Cash Flow and Financial Stability - Operating cash flow for the quarter was ¥91,973,048.64, a significant improvement of 195.97% from a negative cash flow of -¥95,833,609.11 in the previous year[3] - Cash flow from operating activities generated ¥91,973,048.64, a turnaround from a negative cash flow of -¥95,833,609.11 in the previous period[31] - Cash and cash equivalents increased by 32.6% due to improved collection of receivables during the reporting period[6] - The net increase in cash and cash equivalents was $201,373,915.96, contrasting with a decrease of $50,535,938.16 in the previous period[33] - The ending balance of cash and cash equivalents stood at $819,179,841.19, up from $465,212,988.18[33] Assets and Liabilities - Total assets at the end of the quarter were ¥2,698,419,871.81, representing a 7.58% increase from ¥2,508,397,996.17 at the end of the previous year[3] - The company's total liabilities increased to RMB 453,810,999.97 from RMB 390,237,603.01, marking an increase of about 16.25%[21] - Current assets rose to RMB 1,711,362,259.14, up from RMB 1,569,941,638.14, indicating an increase of about 8.99%[18] - The company's accounts receivable increased to RMB 419,726,427.58 from RMB 395,723,389.25, reflecting a growth of about 6.06%[15] - The total equity attributable to the parent company rose to RMB 2,256,150,351.03 from RMB 2,127,250,479.33, showing an increase of approximately 6.06%[21] Operating Performance - Operating income growth was driven by increased sales, with operating costs rising by 51.55% in line with revenue growth[6] - Total operating costs amounted to ¥451,115,340.28, up 41.6% from ¥318,396,525.67 in the prior period, with operating costs specifically rising from ¥216,882,527.24 to ¥328,680,881.81[24] - The company reported a total profit of ¥151,803,912.40, which is more than double the ¥68,693,321.89 recorded in the prior period, indicating strong operational performance[27] Other Financial Metrics - Non-recurring gains and losses totaled ¥51,864,824.32, primarily due to asset disposal gains and government subsidies[5] - The company’s tax expenses increased to ¥26,007,784.08 from ¥14,232,438.60, marking an increase of 82.5%[27] - Other comprehensive income after tax for the current period was ¥652,350.36, significantly higher than ¥27,571.26 in the previous period[27] - Investment income improved to a loss of -¥1,018,242.78 from a larger loss of -¥6,546,517.79, showing a positive trend in investment performance[24] Borrowings and Inventory - Short-term borrowings grew by 114.05%, attributed to increased working capital loans for production operations[6] - Inventory decreased to RMB 321,397,381.16 from RMB 400,630,285.02, representing a decline of about 19.73%[18] - Short-term borrowings increased significantly to RMB 191,490,038.61 from RMB 89,461,823.36, indicating a rise of approximately 113.48%[21] - The company reported a decrease in employee compensation payable to RMB 27,276,227.70 from RMB 47,034,847.33, a reduction of approximately 42.03%[21]

Financial Performance - The company reported a total revenue of 1,249,800,000 CNY for the year 2021, with a cash dividend of 1.20 CNY per 10 shares distributed to shareholders[6]. - The company's operating revenue for 2021 was ¥1,874,936,527.14, representing a 12.43% increase compared to ¥1,667,606,597.33 in 2020[29]. - The net profit attributable to shareholders for 2021 was ¥181,079,595.35, a significant recovery from a loss of ¥132,019,990.55 in 2020, marking a 237.16% increase[29]. - The net cash flow from operating activities was ¥103,560,504.98, down 67.36% from ¥317,277,947.19 in the previous year[29]. - Basic earnings per share for 2021 were ¥0.15, a turnaround from a loss of ¥0.11 per share in 2020, reflecting a 236.36% increase[32]. - The company reported a total of ¥56,733,300.75 in non-recurring gains for 2021, compared to a loss of ¥296,012,882.29 in 2020[40]. - The total operating revenue for the reporting period was ¥1,874,936,527.14, representing a year-on-year increase of 12.43% from ¥1,667,606,597.33[74]. - The biopharmaceutical segment accounted for ¥1,873,089,854.48, which is 99.90% of total revenue, with a year-on-year growth of 12.38%[74]. - The company reported a gross margin of 44.44% for its main business, with a year-on-year decrease of 3.15%[78]. - The total operating cost for the biopharmaceutical industry in 2021 was approximately ¥1,040.73 million, representing a year-on-year increase of 19.14% from ¥873.57 million in 2020[83]. Market Position and Strategy - The company is focused on expanding its market presence and enhancing its product offerings through ongoing research and development initiatives[6]. - The company has outlined its strategic plans for potential mergers and acquisitions to further strengthen its market position[6]. - The company is actively involved in the development of a comprehensive pharmaceutical supply guarantee system to meet diverse health needs[45]. - The company is positioned to leverage domestic resources while targeting global markets, focusing on new drug development and innovative therapies[45]. - The company aims to enhance its core competitiveness through continuous innovation and has several innovative drugs at various stages of research[48]. - The company is actively expanding its international market presence, particularly in countries along the Belt and Road Initiative, leveraging opportunities presented by the pandemic[59]. - The company plans to continue optimizing internal management mechanisms to adapt to external environmental changes and improve core competitiveness[72]. - The company aims to achieve sales and profit targets in 2022, focusing on innovation and responding to the challenges in the pharmaceutical industry[121]. - The company plans to enhance its distribution network, aiming to increase the number of distribution partners by 25%[167]. Research and Development - The company has applied for 14 invention patents in the field of biopharmaceutical innovation and has been granted 16 authorized invention patents, indicating a strong commitment to R&D[48]. - The company has established two joint research institutes and an offshore drug research center, enhancing its innovation capabilities and aligning with national technology initiatives[46]. - Research and development expenses increased by 2.95% to ¥71.18 million in 2021, compared to ¥69.14 million in 2020[91]. - The R&D investment amount in 2021 was ¥84.24 million, which accounted for 4.49% of the operating revenue[94]. - The company is currently conducting Phase I clinical trials for several new drugs, including QHRD107 and QHRD110 capsules[91]. - Five new drugs have entered clinical trials, with one classified as a first-class new drug undergoing trials abroad, indicating a robust pipeline for future growth[71]. Corporate Governance - The company has committed to maintaining the accuracy and completeness of its financial reports, ensuring transparency for stakeholders[5]. - The company is committed to enhancing its corporate governance practices and maintaining high standards of accountability[6]. - The company has established a dedicated team for investor relations, ensuring effective communication with shareholders and stakeholders[23]. - The company has a governance structure that complies with relevant laws and regulations, ensuring equal rights for all shareholders[136]. - The company has set up an internal audit department to oversee economic operations and internal controls[138]. - The company has maintained an independent operational capability, ensuring that major decisions are made by the board of directors or shareholders' meetings[136]. Risks and Challenges - The ongoing COVID-19 pandemic poses risks to operations, affecting sales and logistics[128]. - Drug bidding policies may lead to price reductions, impacting the company's financial performance[128]. - New drug development involves high costs and risks, potentially affecting profitability[131]. - Environmental policy changes may introduce uncertainties and risks to operational management[131]. Employee and Management - The total number of employees at the end of the reporting period was 1,151, with 998 in the parent company and 153 in major subsidiaries[198]. - The company has built a stable talent team with over 86% of employees holding a college degree, supporting its strategic development and operational management needs[64]. - The management team has a strong background, with key personnel holding extensive experience in the pharmaceutical industry, ensuring effective leadership[168]. - Total remuneration for directors, supervisors, and senior management during the reporting period amounted to CNY 11.51 million[176]. Future Outlook - Future guidance indicates an expected revenue growth of 15% for the upcoming fiscal year, driven by new product launches and market expansion strategies[163]. - The company has set a future outlook with a revenue target of 1.8 billion RMB for the next fiscal year, indicating a projected growth of 20%[167]. - The company aims to achieve a 30% market share in the biopharmaceutical sector within the next three years through aggressive marketing and sales strategies[162].

Financial Performance - The company's operating revenue for Q3 2021 was ¥495,364,573.66, a decrease of 2.55% compared to the same period last year[3]. - Net profit attributable to shareholders for Q3 2021 was ¥100,772,230.50, an increase of 22.15% year-on-year[3]. - The net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 32.21% to ¥52,019,983.96 compared to the same period last year[3]. - Total operating revenue for the current period reached ¥1,368,373,802.06, an increase of 17.66% compared to ¥1,163,039,382.00 in the previous period[27]. - Total operating costs amounted to ¥1,205,103,296.49, up from ¥997,750,421.88, reflecting a growth of 20.82%[27]. - Operating profit for the current period was ¥216,698,009.41, compared to ¥176,494,913.97 in the previous period, indicating an increase of 22.77%[27]. - Net profit attributable to the parent company was ¥189,922,248.33, up from ¥146,207,871.88, representing a growth of 29.93%[30]. - Basic earnings per share increased to ¥0.1522 from ¥0.1198, reflecting a growth of 27.06%[30]. - The total comprehensive income for the current period was ¥183,962,056.50, compared to ¥135,817,681.36, reflecting an increase of 35.38%[30]. Assets and Liabilities - The company's total assets at the end of Q3 2021 were ¥2,370,051,473.27, a decrease of 3.33% from the end of the previous year[3]. - Total current assets decreased to ¥1,493,529,085.82 from ¥1,557,024,075.58 year-over-year[19]. - Non-current assets totaled ¥876,522,387.45, down from ¥894,755,338.00 in the previous year[19]. - Total liabilities decreased to ¥261,507,962.80 from ¥386,351,466.61, a reduction of 32.38%[23]. - The total equity attributable to shareholders increased to ¥2,129,041,649.31 from ¥2,079,989,811.74, a growth of 2.36%[23]. Cash Flow - Cash flow from operating activities for the year-to-date was ¥7,063,071.14, a significant decrease of 96.80% compared to the same period last year[3]. - Cash inflow from operating activities totaled 1,486,651,144.16 yuan, an increase from 1,323,763,641.67 yuan in the previous period, representing a growth of approximately 12.3%[33]. - Cash outflow from operating activities was 1,479,588,073.02 yuan, compared to 1,102,867,429.96 yuan in the previous period, indicating a significant increase of about 34.2%[33]. - The net cash flow from operating activities was 7,063,071.14 yuan, a decrease from 220,896,211.71 yuan in the previous period[33]. - Cash inflow from investment activities was 465,145,846.67 yuan, down from 902,175,928.88 yuan, reflecting a decline of approximately 48.5%[36]. - Cash outflow from investment activities totaled 321,211,073.04 yuan, compared to 549,714,384.25 yuan in the previous period, showing a decrease of about 41.5%[36]. - The net cash flow from investment activities was 143,934,773.63 yuan, down from 352,461,544.63 yuan, indicating a decline of approximately 59.1%[36]. - Cash inflow from financing activities was 37,006,125.44 yuan, significantly lower than 496,415,327.66 yuan in the previous period, a decrease of about 92.6%[36]. - The net cash flow from financing activities was -149,699,278.54 yuan, an improvement from -344,881,477.13 yuan in the previous period[36]. - The ending balance of cash and cash equivalents was 528,478,815.55 yuan, compared to 429,637,786.00 yuan in the previous period, reflecting an increase of approximately 23.1%[36]. Shareholder Information - The total number of common shareholders at the end of the reporting period was 54,164[11]. - The largest shareholder, Wang Yaofang, holds 19.96% of the shares, totaling 255,402,000 shares[11]. - The company has a plan for employee stock ownership, with significant shares held by key stakeholders[11]. Research and Development - Research and development expenses increased by ¥10,980,600.00 due to ongoing investments in R&D projects[6]. - Research and development expenses for the current period were ¥44,031,958.91, slightly up from ¥43,247,674.11, indicating a focus on innovation[27]. Other Income - The company received government subsidies amounting to ¥8,968,113.23 for the year-to-date, contributing to other income[5]. - The company reported a decrease in other comprehensive income, with a net amount of -¥23,917.76 compared to -¥924,760.34 in the previous period[30]. Market Strategy - The company is exploring new strategies for market expansion and product development[18].

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 873,009,228.40, representing a 33.35% increase compared to CNY 654,688,083.39 in the same period last year[31]. - The net profit attributable to shareholders of the listed company was CNY 89,150,017.83, up 39.94% from CNY 63,706,860.75 year-on-year[31]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 82,102,693.65, reflecting a 55.65% increase from CNY 52,746,677.72 in the previous year[31]. - The basic earnings per share increased by 35.42% to CNY 0.0715 from CNY 0.0528 in the same period last year[31]. - The total assets at the end of the reporting period were CNY 2,250,171,723.33, a decrease of 8.22% compared to CNY 2,451,779,413.58 at the end of the previous year[31]. - The net assets attributable to shareholders of the listed company were CNY 2,028,278,959.30, down 2.49% from CNY 2,079,989,811.74 at the end of the previous year[31]. - The net cash flow from operating activities was negative CNY 35,787,660.33, a decline of 171.06% compared to a positive CNY 50,364,875.72 in the same period last year[31]. - The weighted average return on net assets was 4.25%, an increase of 1.51% from 2.74% in the previous year[31]. Revenue Breakdown - The company achieved a revenue of 873 million yuan in the reporting period, representing a year-on-year growth of 33.35%[42]. - Revenue from the biopharmaceutical sector was ¥871,514,496.32, accounting for 99.83% of total revenue, with a year-on-year growth of 33.17%[67]. - The formulation drug series generated ¥528,737,582.23 in revenue, a significant increase of 59.11% year-on-year[67]. - Domestic revenue amounted to ¥566,430,697.74, which is 64.88% of total revenue, reflecting a 42.91% increase from the previous year[67]. - The raw material drug series generated revenue of 343 million yuan, up 6.41% year-on-year, while the formulation drug series saw revenue of 529 million yuan, an increase of 59.11%[42]. Research and Development - The company’s R&D investment increased by 6.28% to ¥34,154,279.61 from ¥32,134,735.04 in the previous year, reflecting a commitment to innovation[64]. - The company has filed 191 invention patents in biopharmaceutical innovation, with 97 patents granted, indicating strong research capabilities[58]. - The company has obtained three new drug production licenses and five clinical trial approvals for Class I new drugs, demonstrating its strong pipeline[58]. - The company completed the consistency evaluation for Enoxaparin Sodium Injection, which is expected to become a new growth point for future development[42]. - The company has established a biopharmaceutical innovation drug incubation base, which has been included in the national major science and technology projects[58]. Market Position and Strategy - The company is a leader in the biopharmaceutical sector, focusing on innovative drugs and high-value product exports, with a comprehensive product line in heparin preparations[54]. - The company’s heparin sodium injection has maintained the number one market share in China for four consecutive years, with significant market share growth for new products[55]. - The company has established a diversified sales model in the domestic market, including self-operated, commissioned, and channel models, supported by over 600 marketing professionals and a stable partnership with more than 30 certified pharmaceutical marketing companies[48]. - The prevalence of type 2 diabetes in China has increased from 0.67% in 1980 to 11.2% in 2017, driving the growth of the diabetes drug market, with the company's product maintaining a market share of over 80%[48]. - The global market size for heparin preparations was $4.749 billion in 2019, projected to reach $6.545 billion by 2025, with the company holding a leading position in the domestic market[51]. Risks and Challenges - The company faced risks in its daily operations, which are detailed in the management discussion and analysis section[8]. - The company faces significant risks from the ongoing COVID-19 pandemic, particularly affecting the export of heparin raw materials[83]. - Domestic drug access policies are leading to a decline in product sales prices, which poses a substantial risk to the company's operating performance[83]. - Increased investment in new drug research and development presents a risk to profits due to the lengthy and costly nature of the process[83]. - Rising operational costs due to factors such as raw material price increases, labor cost hikes, and currency fluctuations are impacting profitability[86]. Environmental Compliance - The company reported a total pollutant discharge of 2.37 tons/year for COD and 0.04 tons/year for ammonia nitrogen at the Changjiang Road plant, with no exceedance of discharge standards[102]. - At the Yunhe Road plant, the COD discharge was 2.01 tons/year and ammonia nitrogen was 0.09 tons/year, also within the permitted limits[102]. - The company has implemented an environmental monitoring plan, with third-party testing confirming that all pollutant indicators meet discharge standards[105]. - No administrative penalties were imposed on the company during the reporting period due to environmental issues[105]. - The company has established emergency response plans for environmental incidents, filed with local environmental authorities[105]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 49,219, with significant shareholders holding 5% or more of the shares[162]. - Wang Yaofang held 19.96% of the shares, amounting to 255,402,000 shares, while Zhao Gang held 5.41%, totaling 69,301,000 shares[162]. - The company’s total number of restricted shares at the end of the reporting period was 351,676,966, after accounting for the release and repurchase of shares[157]. - The company completed the repurchase and cancellation of 3,076,900 shares from the first batch of the 2017 restricted stock incentive plan on June 7, 2021[157]. - The company’s management has maintained a lock-up period for their shares, with various executives holding significant amounts of restricted stock[157].

Financial Performance - The company's revenue for Q1 2021 was ¥391,207,729.22, representing a 168.23% increase compared to ¥145,850,292.12 in the same period last year[8] - Net profit attributable to shareholders was ¥54,359,079.83, a significant turnaround from a loss of ¥25,354,444.81 in the previous year, marking a 314.40% increase[8] - The net profit after deducting non-recurring gains and losses was ¥49,040,766.23, compared to a loss of ¥31,312,327.41 last year, reflecting a 256.62% improvement[8] - Basic earnings per share increased to ¥0.04 from a loss of ¥0.02, showing a growth of 306.63%[8] - The weighted average return on equity rose to 2.58%, up from -1.09% in the previous year, an increase of 3.67 percentage points[8] - Total operating revenue for the first quarter reached ¥391,207,729.22, a significant increase from ¥145,850,292.12 in the previous period, representing a growth of approximately 168.8%[57] - Net profit for the current period was ¥61,407,210.72, a turnaround from a net loss of ¥15,397,627.08 in the previous period[71] - The total profit for the current period was ¥75,531,154.31, compared to a loss of ¥10,616,895.40 in the previous period[71] - The total comprehensive income attributable to the parent company's owners was ¥54,386,651.09, compared to a loss of ¥26,298,493.85 in the previous period[66] Assets and Liabilities - Total assets at the end of the reporting period were ¥2,365,832,156.57, a decrease of 3.51% from ¥2,451,779,413.58 at the end of the previous year[8] - The company's total assets amounted to ¥2,466,645,007.03, a decrease from ¥2,541,128,465.18 at the end of the previous year[56] - The total liabilities decreased to ¥220,305,377.30 from ¥356,229,796.17, indicating a reduction of about 38.2%[56] - The total equity attributable to shareholders increased to ¥2,246,339,629.73 from ¥2,184,898,669.01, reflecting a growth of approximately 2.8%[56] - The total liabilities and equity amounted to ¥2,466,645,007.03, down from ¥2,541,128,465.18, indicating a decrease of about 2.9%[56] Cash Flow - The company reported a net cash flow from operating activities of -¥95,833,609.11, a decline of 702.71% compared to -¥11,938,804.90 in the same period last year[8] - Net cash flow from operating activities decreased by 83.89 million yuan year-on-year, mainly due to increased raw material purchases to meet sales growth[20] - Cash inflow from operating activities amounted to CNY 474,633,963.69, up from CNY 350,214,020.55 in the previous period, representing a growth of approximately 35.5%[74] - Cash outflow from operating activities totaled CNY 570,467,572.80, compared to CNY 362,152,825.45 in the previous period, indicating an increase of about 57.5%[77] - The net cash flow from investment activities was CNY 35,998,024.10, significantly lower than CNY 302,811,311.85 in the previous period[79] - Cash inflow from financing activities was CNY 2,414,714.05, a decrease from CNY 159,149,997.20 in the previous period[80] - The net cash flow from financing activities was positive CNY 1,851,196.15, compared to negative CNY 49,673,877.06 in the previous period[80] Expenses - Operating costs rose by 194.66% year-on-year, attributed to the corresponding increase in sales[20] - Tax expenses decreased by 36.48% year-on-year, mainly due to increased input tax from raw material purchases[20] - Sales expenses grew by 42.72% compared to the previous year, driven by sales growth[20] - Financial expenses decreased by 8.55 million yuan, primarily due to reduced exchange gains and losses during the reporting period[20] - Investment income decreased by 7.76 million yuan compared to the previous year, primarily due to reduced financial management income[20] - Research and development expenses were ¥11,063,032.30, up from ¥8,595,942.45, reflecting an increase of approximately 28.6%[67] - Tax expenses for the current period were ¥14,123,943.59, compared to ¥4,780,731.68 in the previous period, indicating an increase of approximately 195.5%[71] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 50,178, with the largest shareholder holding 19.96% of the shares[12] - The company reported a basic earnings per share of CNY 0.12 for the first quarter[72] Other Information - The company received government subsidies amounting to ¥5,909,616.31 during the reporting period[8] - The company maintained a stable long-term equity investment of ¥113,071,276.61, unchanged from the previous period[53] - The first quarter report for 2021 was not audited[87] - There were no adjustments needed for the beginning balance sheet items[87] - The company is not applying the new leasing standards retrospectively for prior comparative data[87]

Financial Performance - The company's operating revenue for 2020 was ¥1,667,606,597.33, a decrease of 0.45% compared to ¥1,675,153,096.05 in 2019[22] - The net profit attributable to shareholders of the listed company was -¥132,019,990.55, representing a decline of 150.28% from ¥262,561,171.11 in 2019[22] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥163,992,891.74, down 16.07% from ¥195,394,677.75 in 2019[22] - The net cash flow from operating activities increased by 96.40% to ¥317,277,947.19 from ¥161,547,891.09 in 2019[22] - The diluted earnings per share for 2020 was ¥-0.11, a decline of 152.38% from ¥0.21 in 2019[25] - The total assets decreased by 16.44% to ¥2,451,779,413.58 at the end of 2020, down from ¥2,934,287,067.26 at the end of 2019[25] - The weighted average return on equity was -6.04% for 2020, a significant drop from 10.70% in 2019[25] - The company reported a net asset attributable to shareholders of ¥2,079,989,811.74, a decrease of 10.80% from ¥2,331,861,745.64 in 2019[25] - The cash dividend payout ratio for 2020 was -113.60%, indicating that the dividends exceeded the net profit attributable to ordinary shareholders[127] - The company reported a net profit of -132,019,990.55 for 2020, which was lower than the cash dividends distributed[127] Revenue Breakdown - The biopharmaceutical segment accounted for 99.95% of total revenue, with revenue of approximately ¥1.67 billion, down 0.40% from the previous year[71] - The raw material drug series generated revenue of approximately ¥709.91 million, representing 42.57% of total revenue, a decrease of 5.45% year-on-year[71] - The formulation drug series saw an increase in revenue to approximately ¥956.79 million, accounting for 57.38% of total revenue, up 3.70% from the previous year[71] - Domestic revenue reached ¥1,058,843,677.04, accounting for 63.49% of total revenue, with a year-on-year increase of 4.33%[74] - International revenue was ¥608,762,920.29, representing 36.51% of total revenue, showing a decline of 7.80% year-on-year[74] Product Development and Market Position - The company has a total of 46 product specifications, primarily focusing on biopharmaceuticals, including active enzymes and polysaccharides[36] - The company plans to expand its product offerings in the biopharmaceutical sector, particularly in the active enzyme series and low molecular weight heparin products[36] - The company achieved a 32% sales increase for standard heparin sodium injection, maintaining the top market share in China[43] - The company has developed a comprehensive heparin product line, with a focus on consistency evaluation for low molecular weight heparin products, becoming a significant growth driver[43] - The market share of Qianhong Heparin Sodium Injection has ranked first in China for four consecutive years, with significant growth in low molecular weight heparin preparations and heparin sodium locking injections[47] Research and Development - The company has filed 191 invention patents in biopharmaceutical innovation, with 97 patents granted, and has obtained three drug production licenses and three Class 1 new drug clinical licenses[48] - Research and development (R&D) investment increased by 12.29% to ¥76,693,280.75 in 2020, compared to ¥68,300,464.57 in 2019[89] - The number of R&D personnel rose by 5.56% to 190 in 2020, while the proportion of R&D personnel decreased from 17.31% to 14.22%[89] - Four new Class I drugs are currently in clinical trials, with one entering international clinical trials, enhancing the company's core competitiveness in innovation[63] Risk Management - The company faces various risks including drug bidding risks, new product development risks, and intensified industry competition[6] - Future development outlook and major risks are detailed in the report, emphasizing the need for investors to be aware of investment risks[6] - The company has established a risk control system to manage various operational risks, including quality, financial, and procurement risks[64] - The board has identified several risks, including the impact of COVID-19 on operations, potential price declines due to drug bidding policies, and increased costs associated with new drug development[119] - The company will implement strict risk control measures to ensure operational stability and compliance with GMP standards, aiming to enhance product quality and core competitiveness[120] Corporate Governance and Compliance - The company is committed to ensuring the accuracy and completeness of its financial reports as stated by its management[5] - The company emphasizes compliance and timely disclosure of important information to protect investors' rights, ranking 35th in the "Listed Companies Sincere Return List"[69] - The company has no significant accounting errors that require retrospective restatement during the reporting period[140] - The company has established a comprehensive quality assurance system to ensure the safety and quality of its pharmaceuticals[180] Social Responsibility and Employee Welfare - The company actively engages in social responsibility initiatives, including support for education, culture, and healthcare[178] - The company has received the "Model Worker Home" title from the All-China Federation of Trade Unions, highlighting its commitment to employee welfare[178] - The company emphasizes employee development through internal and external training programs, fostering a harmonious labor relationship[178] Shareholder Relations and Dividends - The company plans to distribute a cash dividend of ¥1.2 per 10 shares (including tax) based on a total of 1,249,800,000 shares[6] - The company distributed cash dividends of RMB 149,976,000 (including tax) for 2020, amounting to RMB 1.2 per 10 shares, based on a total share base of 1,249,800,000 shares[126] - The retained earnings for 2020 were used for the company's operational activities, with no capital reserve fund conversion to increase share capital[126] - The company has committed to sharing its operational results with shareholders while considering their immediate and long-term interests[131] Environmental Management - The company has implemented an ISO 14001 environmental management system since 2008, focusing on effective waste management and energy efficiency[180] - The company reported a total discharge of COD at 13.38 tons per year and ammonia nitrogen at 0.912 tons per year, adhering to pollution discharge standards[180] - The company has implemented energy-saving technologies in its new facilities to enhance energy efficiency and reduce carbon emissions[180]

Financial Performance - Operating revenue for the reporting period was ¥508,351,298.61, an increase of 68.71% year-on-year[8]. - Net profit attributable to shareholders was ¥82,501,011.13, up 78.40% compared to the same period last year[8]. - Net profit attributable to shareholders after deducting non-recurring gains and losses was ¥76,739,648.29, an increase of 171.57% year-on-year[8]. - Basic earnings per share for the reporting period were ¥0.0662, an increase of 72.85% year-on-year[8]. - The operating profit for the period was CNY 93,495,749.10, up from CNY 47,013,879.73, reflecting a growth of approximately 98.8%[80]. - The net profit reached CNY 78,875,505.14, compared to CNY 41,592,149.04 in the previous year, marking an increase of around 89.5%[80]. - Net profit for the current period was ¥90,584,493.54, up from ¥54,219,264.86 in the previous period, reflecting a significant increase[88]. - The total comprehensive income for the current period was ¥90,584,493.54, compared to ¥54,219,264.86 in the previous period[90]. - The total profit for the current period was ¥174,849,767.47, down from ¥257,279,810.40 in the previous period, a decline of about 32.0%[100]. Cash Flow - Net cash flow from operating activities was ¥170,531,335.99, representing a 113.40% increase compared to the previous year[8]. - The cash and cash equivalents at the end of the reporting period increased by 111.65% compared to the beginning of the year, primarily due to the maturity of financial products during the reporting period[22]. - Operating cash flow from operating activities amounted to ¥220,896,211.71, an increase of 61.5% compared to ¥136,704,095.40 in the previous period[107]. - Total cash inflow from operating activities was ¥1,328,085,353.24, while total cash outflow was ¥1,107,244,719.28, resulting in a net cash flow of ¥220,840,633.96[114]. - The net increase in cash and cash equivalents was ¥227,631,514.83, compared to a decrease of -¥110,049,383.07 in the previous period[110]. Assets and Liabilities - Total assets at the end of the reporting period were ¥2,666,128,210.21, a decrease of 9.14% compared to the end of the previous year[8]. - The total liabilities decreased significantly to ¥320,433,950.71 from ¥601,649,743.32, a reduction of 46.80%[62]. - The total current assets amounted to ¥1,862,831,455.94, a decrease of approximately 10.84% from ¥2,089,313,004.41 on December 31, 2019[56]. - The total non-current assets were reported at ¥803,296,754.27, a decline of 4.93% from ¥844,974,062.85[59]. - The total equity attributable to shareholders increased to ¥2,354,384,111.38 from ¥2,331,861,745.64, reflecting a growth of 0.96%[64]. Shareholder Information - The total number of shareholders at the end of the reporting period was 54,358[12]. - The largest shareholder, Wang Yaofang, held 19.96% of the shares, totaling 255,402,000 shares[12]. Research and Development - The development expenditure at the end of the reporting period grew by 142.35% compared to the beginning of the year, attributed to ongoing investments in R&D projects[26]. - Research and development expenses were CNY 15,238,782.86, down from CNY 21,676,549.66, indicating a decrease of approximately 29.8%[77]. - Research and development expenses decreased to ¥7,813,970.30 from ¥11,011,266.24 in the previous period, showing a reduction in R&D spending[83]. - Research and development expenses for the current period were ¥23,582,146.45, down from ¥33,320,461.24 in the previous period, indicating a reduction of approximately 29.2%[101]. Financial Management - The company reported no significant non-recurring gains or losses that would be classified as regular gains or losses[11]. - The company experienced a significant decline in financial product income, which decreased by 84.53% year-on-year, and foreign exchange gains fell by 214.13% compared to the previous year[22]. - The company's financial expenses increased by 101.62 million yuan compared to the same period last year, mainly due to reduced income from financial products and reclassification under financial instrument accounting standards[34]. - The company reported a financial expense of CNY 12,218,250.09, compared to a financial income of CNY 31,191,170.90 in the previous period, reflecting a significant shift in financial performance[77]. - The company incurred interest expenses of ¥7,512,616.90 in the current period, down from ¥14,744,328.48 in the previous period, a decrease of about 49.1%[100]. Inventory and Receivables - The company’s inventory increased to ¥255,662,667.59, up from ¥245,864,287.12, indicating a growth of 3.25%[56]. - Accounts receivable decreased to ¥326,061,624.56, down 23.25% from ¥424,978,680.70[56].

Financial Performance - The company's operating revenue for the first half of 2020 was ¥654,688,083.39, a decrease of 22.32% compared to ¥842,811,529.28 in the same period last year[24]. - The net profit attributable to shareholders was ¥63,706,860.75, down 63.56% from ¥174,839,469.70 year-on-year[24]. - The net profit after deducting non-recurring gains and losses was ¥52,746,677.72, a decline of 54.90% compared to ¥116,967,575.33 in the previous year[24]. - The basic earnings per share decreased by 61.77% to ¥0.0528 from ¥0.1381 in the same period last year[24]. - The company's total revenue for the reporting period was ¥654,688,083.39, a decrease of 22.32% year-on-year due to significant impacts from the COVID-19 pandemic on both domestic and international sales[60]. - The revenue from the raw material drug series was ¥322,136,987.59, accounting for 49.20% of total revenue, reflecting a 27.08% decrease compared to the previous year[63]. - The revenue from the formulation drug series was ¥332,318,820.64, representing 50.76% of total revenue, with a year-on-year decline of 17.08%[63]. - The company reported a significant decrease in short-term loans to ¥318,900,000.00, which is 11.51% of total assets, down from 14.57%[67]. - The company reported a total guarantee amount of 3,000 million CNY, with an actual guarantee amount of 890 million CNY, which accounts for 0.39% of the company's net assets[116]. Cash Flow and Assets - The company reported a net cash flow from operating activities of ¥50,364,875.72, a decrease of 11.32% compared to ¥56,792,195.19 in the same period last year[24]. - Cash and cash equivalents increased to ¥440,975,629.07, representing 15.92% of total assets, up from 4.34% in the previous year[67]. - Accounts receivable decreased to ¥332,898,014.69, accounting for 12.02% of total assets, down from 11.58% year-on-year[67]. - Inventory rose to ¥301,022,342.03, making up 10.87% of total assets, an increase from 7.18% in the previous year[67]. - Total assets at the end of the reporting period were ¥2,770,043,308.83, down 5.60% from ¥2,934,287,067.26 at the end of the previous year[24]. - The net assets attributable to shareholders decreased by 2.53% to ¥2,272,925,524.05 from ¥2,331,861,745.64 at the end of the previous year[24]. Risks and Challenges - The company faces various risks including drug bidding risks, new product development risks, and intensified industry competition[8]. - The implementation of drug bidding policies is expected to result in a continuous decrease in product sales prices, affecting the company's operating performance[86]. - Increased investment in new drug research and development poses a risk to profits due to the lengthy and costly nature of the process[87]. - Rising operational costs are anticipated due to factors such as increased prices of raw materials, labor costs, and R&D expenses, which may impact profitability[87]. - The company anticipates a significant impact on sales due to the ongoing COVID-19 pandemic, which has led to a decline in medical consumption[86]. Marketing and Sales Strategy - The company has established a diversified sales model, including self-operated, agency, and OTC sales, supported by a professional marketing team of over 600 members across more than 20 provinces in China[43]. - The international marketing system has been developed, with networks established in countries such as the USA, Germany, and Japan, focusing on both raw material and high-value product exports[43]. - The marketing strategy has been enhanced through the implementation of modern internet-based marketing approaches, increasing product market coverage and brand recognition[43]. - The company plans to innovate marketing strategies to boost sales and improve overall marketing capabilities[88]. Research and Development - The company has established a new management department for the conversion of research results, focusing on key projects such as QHRD107 and QHRD102, which are currently in phase I clinical trials[53]. - The company continues to focus on product transformation and upgrading as part of its strategic goals in the international market[43]. - The company reported a decrease in research and development expenses to CNY 28,008,891.25 from CNY 32,075,565.49, a reduction of 12.9% year-over-year[188]. Employee and Corporate Governance - The company has completed the first phase of its employee stock ownership plan, aimed at enhancing employee cohesion and supporting sustainable development[55]. - The first phase of the employee stock ownership plan involved transferring 5,999,999 shares at a price of 2.8 CNY per share, with a lock-up period of 36 months[102]. - The second phase of the employee stock ownership plan involved transferring 34,000,000 shares at a price of 4.56 CNY per share, with a lock-up period of 12 months[102]. - The company has not experienced any penalties or corrective actions during the reporting period[101]. Environmental Responsibility - The company has established emergency response plans for environmental incidents, filed with the local environmental authority[125]. - The company operates wastewater treatment facilities at both of its production sites, which are functioning normally[125]. - Environmental monitoring results showed that all pollutant indicators met discharge standards in 2020[128]. - The company conducted daily monitoring of wastewater treatment, including parameters such as pH, COD, ammonia nitrogen, and total phosphorus[128]. Legal and Compliance - The company is currently involved in a legal dispute with Anxin Trust Co., Ltd. regarding a trust financial contract, with the amount in dispute being 433.9476 million CNY[99]. - The company has no significant related party transactions or non-operating fund occupation by controlling shareholders during the reporting period[109][110]. - The company has no major contracts or leasing situations during the reporting period[111][115].

Financial Performance - The company's operating revenue for 2019 was CNY 1,675,153,096.05, representing a 26.74% increase compared to CNY 1,321,678,623.75 in 2018[18]. - The net profit attributable to shareholders for 2019 was CNY 262,561,171.11, an increase of 18.62% from CNY 221,349,044.20 in 2018[18]. - The net profit after deducting non-recurring gains and losses was CNY 195,394,677.75, which is an 80.26% increase from CNY 108,397,272.85 in 2018[18]. - The net cash flow from operating activities reached CNY 161,547,891.09, a significant increase of 534.87% compared to CNY 25,445,967.00 in 2018[19]. - The basic earnings per share for 2019 was CNY 0.21, up 23.53% from CNY 0.17 in 2018[19]. - The total revenue for 2019 was 1,691,851,431.67 CNY, representing a 24.43% increase compared to 1,359,722,528.69 CNY in 2018[77]. - The total operating revenue for 2019 reached ¥1,675,153,096.05, representing a year-on-year increase of 26.74% compared to ¥1,321,678,623.75 in 2018[60]. - The revenue from the biopharmaceutical sector accounted for 99.90% of total revenue, amounting to ¥1,673,476,127.62, with a year-on-year growth of 26.65%[60]. Cash Flow and Investments - The net cash flow from operating activities increased significantly by 534.87%, reaching 161,547,891.09 CNY in 2019, up from 25,445,967.00 CNY in 2018[77]. - The total investment amount for the reporting period was CNY 1,130,278,763.34, a decrease of 14.69% compared to the previous year[87]. - The company reported a significant increase in cash flow from operating activities, indicating improved operational efficiency[78]. - The total committed investment for the heparin raw material and formulation expansion project is CNY 20,711 million, with an adjusted total investment of CNY 21,491 million, achieving 100% investment progress[93]. - The total committed investment for the kininogenase raw material and formulation expansion project is CNY 21,634 million, with an adjusted total investment of CNY 26,284 million, achieving 100% investment progress[93]. - The total committed investment for the asparaginase raw material and formulation expansion project is CNY 4,268 million, with an adjusted total investment of CNY 7,018 million, achieving 100% investment progress[93]. Research and Development - The company has a strong focus on research and development to enhance its product offerings and maintain competitive advantage in the pharmaceutical industry[28]. - The total R&D investment for 2019 was 68,300,464.57 CNY, a slight decrease of 0.39% from 68,565,270.73 CNY in 2018[76]. - The number of R&D personnel increased by 12.50% to 180 in 2019, compared to 160 in 2018[76]. - The company has invested in research and development, resulting in 186 patent applications (83 granted) and the acquisition of three new drug production licenses, enhancing its core competitiveness[42]. - The company is investing heavily in R&D, with a budget allocation of 50 million for the development of new pharmaceutical products[194]. Market and Product Development - The main business includes the production and sales of various pharmaceutical products, including active enzymes and polysaccharides, with a total of 46 product specifications[28]. - The company operates in both domestic and international markets, focusing on expanding its market presence through a dual marketing strategy[32]. - The company has launched new products such as nadroparin calcium injection and heparin sodium locking injection, which are expected to contribute significantly to future revenue growth[52]. - The company has multiple innovative drugs under research, including QHRD107 capsules currently in Phase I clinical trials[75]. - The company is considering strategic acquisitions to enhance its product portfolio, with a target of acquiring at least one company in the next 12 months[194]. Shareholder Returns and Dividends - The company plans to distribute a cash dividend of CNY 2.5 per 10 shares, based on a total of 1,215,975,000 shares[6]. - The total cash dividends for 2019, including other methods, amounted to RMB 613,438,465.61, representing 233.64% of the net profit attributable to ordinary shareholders[122]. - The company has a policy to ensure that cash dividends account for at least 80% of profit distribution during its mature development stage[124]. - The company distributed cash dividends of RMB 303,993,750, which is RMB 2.5 per 10 shares, for the year 2019[123]. - The company repurchased a total of 64,000,000 shares in 2019, completing its share repurchase plan[126]. Risk Management and Compliance - The company faces various risks including drug bidding risks, new product development risks, and increased competition in the industry[6]. - The company is committed to strengthening its internal control system to effectively mitigate enterprise risks[112]. - The company has not faced any penalties or rectification issues during the reporting period[138]. - There were no major lawsuits or arbitration matters reported during the period, with a pending case involving a trust contract dispute amounting to 433.95 million CNY[137]. Corporate Governance and Structure - The company has a significant board structure with multiple directors and supervisors involved in various subsidiaries, indicating a strong governance framework[200]. - No remuneration is received by the directors and supervisors from their positions in other companies, reflecting a focus on corporate governance and alignment of interests[200]. - The actual controller, Wang Yaofang, is a natural person and has not changed in the reporting period[182]. Social Responsibility and Environmental Initiatives - The company actively participates in social responsibility initiatives, including support for education, culture, and healthcare[161]. - The company has implemented an ISO 14001 environmental management system and has taken various measures for energy efficiency and pollution control[163]. - The company has initiated a clean production audit project in 2019 to enhance its environmental performance[164]. - The company has a strong commitment to employee welfare, ensuring compliance with labor laws and providing various training opportunities[159].

Financial Performance - The company's operating revenue for Q1 2020 was ¥145,850,292.12, a decrease of 60.22% compared to ¥366,672,534.19 in the same period last year[8] - The net profit attributable to shareholders was -¥25,354,444.81, representing a decline of 128.37% from ¥89,366,258.70 year-on-year[8] - Basic earnings per share were -¥0.0211, a decrease of 130.01% compared to ¥0.0703 in the same period last year[8] - The net profit after deducting non-recurring gains and losses was -¥31,312,327.41, a decline of 153.15% from ¥58,918,033.69 year-on-year[8] - The net profit for the current period is a loss of CNY 27,333,471.34, compared to a profit of CNY 86,679,216.33 in the previous period[70] - The total comprehensive income for the current period is -¥15,397,627.08, compared to ¥95,110,179.33 in the previous period[79] Cash Flow - The net cash flow from operating activities was -¥11,938,804.90, down 114.99% from ¥79,670,053.96 in the previous year[8] - The cash flow from operating activities shows a net outflow of -¥11,938,804.90, contrasting with a net inflow of ¥79,670,053.96 in the previous period[84] - The net cash flow from operating activities was -13,495,368.07, a significant decrease compared to 84,220,171.84 from the previous period, indicating a decline in operational efficiency[88] - Cash inflow from investment activities totaled 404,477,403.86, a substantial increase from 195,279,780.70 in the prior period, reflecting strong investment recovery efforts[90] - The net cash flow from financing activities was -51,915,605.57, worsening from -41,162,266.69 in the previous period, suggesting increased financial strain[90] Assets and Liabilities - Total assets at the end of the reporting period were ¥2,782,930,109.57, a decrease of 5.16% from ¥2,934,287,067.26 at the end of the previous year[8] - The company's total assets amounted to approximately ¥2.78 billion, a decrease from ¥2.93 billion as of December 31, 2019, reflecting a decline of about 5.1%[56] - The company's total liabilities decreased to approximately ¥461.77 million from ¥601.65 million, a reduction of about 23.3%[51] - The total current liabilities were CNY 522,054,917.86, with employee compensation payable at CNY 38,694,479.20[102] - The total liabilities and equity combined amounted to CNY 2,975,919,423.38[105] Shareholder Information - The company's net assets attributable to shareholders were ¥2,322,363,248.99, a slight decrease of 0.41% from ¥2,331,861,745.64 at the end of the previous year[8] - The top shareholder, Wang Yaofang, holds 19.95% of the shares, with a total of 255,402,000 shares[13] - The equity attributable to shareholders of the parent company was approximately ¥2.32 billion, slightly down from ¥2.33 billion, a decrease of about 0.6%[55] Operational Metrics - Operating revenue decreased by 60.22% year-on-year, primarily due to reduced sales affected by the pandemic[24] - Operating costs decreased by 62.53% year-on-year, mainly due to reduced sales as a result of the pandemic[24] - The company reported a gross profit margin of approximately -18.5% for the current period, compared to a positive margin in the previous period[70] Investment and R&D - Research and development expenses for the current period are CNY 13,111,602.52, compared to CNY 14,587,892.62 in the previous period, showing a decrease of 10.1%[67] - The research and development expenses for the current period are ¥8,595,942.45, slightly down from ¥8,638,491.01 in the previous period[74] Legal and Compliance - The company is currently involved in litigation regarding trust financial contract disputes with Anxin Trust Co., Ltd.[25] - The company has not undergone an audit for the first quarter report[106] - The company is implementing new revenue and leasing standards starting from 2020, with no retrospective adjustments made to prior period data[105]