Financial Performance - The company's operating revenue for 2018 was CNY 544,581,046.24, representing an increase of 8.67% compared to CNY 501,139,716.54 in 2017[16] - The net profit attributable to shareholders for 2018 was CNY 72,918,229.16, a decrease of 1.59% from CNY 74,092,782.60 in 2017[16] - The net profit after deducting non-recurring gains and losses was CNY 47,486,099.13, down 23.85% from CNY 63,975,867.08 in 2017[16] - The net cash flow from operating activities was CNY 36,663,112.05, a decline of 44.80% compared to CNY 66,423,062.38 in 2017[16] - The total assets at the end of 2018 were CNY 2,524,001,178.54, an increase of 7.41% from CNY 2,349,825,160.17 at the end of 2017[16] - The net assets attributable to shareholders at the end of 2018 were CNY 1,440,427,890.80, up 5.98% from CNY 1,359,148,202.64 at the end of 2017[16] - The basic earnings per share for 2018 were CNY 0.1428, a slight decrease of 0.28% from CNY 0.1451 in 2017[16] - The weighted average return on equity for 2018 was 5.21%, down from 5.58% in 2017[16] Dividend Distribution - The company plans to distribute a cash dividend of CNY 0.13 per 10 shares, totaling CNY 66,375,000 based on 510,657,000 shares[5] - The company approved a cash dividend distribution plan for 2018, proposing to distribute a cash dividend of 0.13 yuan per share, totaling 6,638,541.00 yuan, which represents 100% of the distributable profit[96][99] - The cash dividend for 2017 was also 0.13 yuan per share, amounting to 6,638,541.00 yuan, reflecting a consistent dividend policy over the years[96][99] - The cash dividends for 2016 were 0.12 yuan per share, totaling 6,127,884.00 yuan, indicating a gradual increase in shareholder returns[96][99] - The company emphasizes compliance with its cash dividend policy, ensuring that the decision-making process is transparent and considers the interests of minority shareholders[95] Market Expansion and Strategy - The company plans to enhance its international marketing network and increase product registration efforts to expand into international markets[35] - The company is actively participating in basic drug bidding and intensifying hospital market development to optimize market layout and product structure[28] - The company has a strong brand presence, with its products exported to over 28 countries and regions, maintaining a leading position in the Chinese traditional medicine export sector[33] - The company is leveraging the "Belt and Road" initiative to promote internationalization of traditional Chinese medicine and expand its market reach[30] - The company is focused on expanding its market presence in traditional Chinese medicine through new projects[65] Research and Development - The company has established three key R&D platforms and strengthened collaborations with top research institutions to boost innovation capabilities[37] - The company has initiated several R&D projects, including the development of innovative traditional Chinese medicine and classic prescriptions, enhancing its product offerings[57] - The number of R&D personnel increased by 3.38% to 153, indicating a commitment to innovation and product development[58] - New drug development is characterized by high starting points, significant difficulty, and long cycles, which introduces various uncertainties; the company will conduct risk assessments at key project milestones to control R&D investments[88] Operational Performance - The company produced 110+ products across 11 dosage forms, holding 467 drug production approvals, including 10 exclusive products nationwide[36] - The pharmaceutical industry revenue accounted for 99.65% of total revenue, with domestic sales contributing 95.52%[46] - The company’s gross margin for the pharmaceutical sector was 32.31%, up by 2.67% from the previous year[48] - The new automated production line in the Lanzhou New Area has been officially put into operation, addressing capacity shortages and enhancing profitability[36] - The company completed the construction of the Lanzhou New Area Pharmaceutical Technology Industrial Park, which is now fully operational[42] Financial Management - The total operating costs for the pharmaceutical industry amounted to ¥369,733,919.57 in 2018, an increase from ¥352,086,341.28 in 2017, reflecting a year-on-year growth of 5.00%[51] - The company's sales expenses increased by 43.27% year-on-year to ¥64,541,232.32, primarily due to higher market development and sales personnel costs[55] - Research and development (R&D) expenses rose by 13.07% to ¥19,517,245.10, accounting for 3.58% of total operating revenue[58] - The net cash flow from financing activities improved significantly by 273.37% to ¥6,665,493.11, mainly due to the recovery of guarantee deposits from previously issued acceptance bills[59] Corporate Governance - The company is committed to maximizing shareholder value and ensuring sustainable returns through effective governance and operational improvements[84] - The company has maintained stability in its leadership with no new appointments or significant departures aside from the retirement mentioned[152] - The company has established a performance evaluation and incentive mechanism for directors and senior management, linking their compensation directly to the company's operating performance[173] - The company has a dedicated financial accounting department and an independent accounting system, allowing for independent financial decision-making and tax obligations[177] Social Responsibility - The company donated 102,000 CNY for infrastructure improvements in rural areas during the reporting period[128] - The company established traditional Chinese medicine planting bases and livestock breeding bases in poverty-stricken areas, enhancing local income levels[128] - The company invested 34.2 million CNY in total for poverty alleviation efforts, including 40.6 million CNY specifically for industrial development projects[129] - The company is actively involved in social responsibility initiatives, including donations to the Gansu Poverty Alleviation Foundation and support for educational resources[128] Risk Management - The company faces risks related to pharmaceutical policies, market fluctuations, raw material price volatility, and new product development[5] - The company plans to strengthen market research on raw materials and optimize procurement processes to mitigate risks associated with price fluctuations of traditional Chinese medicine materials and donkey hides[86] - The company is focused on optimizing management capabilities in production, marketing, quality control, and risk management to address potential management risks associated with its expansion[90]

Financial Performance - The company's operating revenue for Q1 2021 was ¥177,434,087.22, representing a 28.61% increase compared to ¥137,964,409.24 in the same period last year[8]. - Net profit attributable to shareholders was ¥23,105,239.34, an increase of 87.63% from ¥12,314,230.92 year-on-year[8]. - Basic earnings per share rose to ¥0.0452, a 73.36% increase compared to ¥0.0261 in the same period last year[8]. - Net profit for Q1 2021 was ¥23,102,526.78, up from ¥12,238,296.64 in the same period last year, representing an increase of approximately 89.0%[41]. - The company's operating revenue for the current period is ¥142,145,866.81, an increase from ¥98,732,914.87 in the previous period, representing a growth of approximately 43.8%[44]. - The net profit for the current period is ¥24,591,109.52, compared to ¥10,932,009.61 in the previous period, indicating a significant increase of about 125.5%[45]. - The operating profit for the current period is ¥28,909,580.66, up from ¥13,046,073.60 in the previous period, reflecting an increase of approximately 121.5%[46]. Cash Flow - The net cash flow from operating activities reached ¥29,491,155.97, up 112.38% from ¥13,886,124.13 in the previous year[8]. - The net cash flow from operating activities increased by 112.38% to ¥29,491,155.97 compared to the previous year, primarily due to reduced cash payments for purchases and services[17]. - The net cash flow from investing activities decreased by 161.67% to -¥47,277,799.97, mainly due to increased investment expenditures from purchasing short-term financial products[18]. - The net cash flow from financing activities decreased by 285.52% to -¥20,315,380.81, attributed to a reduction in cash received from borrowings compared to the previous year[18]. - The company reported a total operating cash inflow of ¥189,824,807.94, compared to ¥178,208,912.98 in the previous period, an increase of about 6.5%[47]. - The total operating cash outflow for the current period is ¥160,333,651.97, slightly down from ¥164,322,788.85 in the previous period, a decrease of about 2.0%[49]. - The total cash and cash equivalents at the end of the period is ¥381,859,384.39, down from ¥425,205,240.58 in the previous period, a decrease of approximately 10.2%[50]. Assets and Liabilities - Total assets at the end of the reporting period were ¥2,419,600,456.04, reflecting a 6.73% increase from ¥2,267,132,508.63 at the end of the previous year[8]. - The total liabilities increased to ¥806,098,570.01 from ¥670,964,161.33, reflecting a rise in both current and non-current liabilities[32]. - The company's cash and cash equivalents decreased to ¥381,859,384.39 from ¥419,961,409.20, indicating a reduction in liquidity[30]. - Current liabilities totaled ¥401,452,337.77, an increase from ¥324,841,218.46, which is a rise of approximately 23.5%[37]. - The total liabilities of the company as of March 31, 2021, were ¥760,500,483.55, up from ¥656,078,767.30, indicating an increase of about 15.9%[37]. Shareholder Information - The total number of shareholders at the end of the reporting period was 32,715[11]. - The company's retained earnings increased to ¥655,061,776.28 from ¥640,020,346.51, reflecting ongoing profitability[33]. Compliance and Standards - The company reported no significant non-compliance issues or overdue commitments during the reporting period[19]. - The company did not undergo an audit for the first quarter report[55]. - The company did not apply the new leasing standards for the first quarter of 2021[54]. Other Financial Metrics - The company received government subsidies amounting to ¥17,042,969.46 during the reporting period[9]. - The company incurred research and development expenses of ¥3,021,963.41, a decrease from ¥6,409,579.19 in the previous period, representing a reduction of approximately 52.9%[44]. - The company reported other income of ¥16,984,589.46, compared to ¥5,694,652.73 in the previous period, indicating an increase of about 198.5%[44]. - The company's financial expenses show a net income of -¥3,037,732.43, compared to -¥3,438,459.53 in the previous period, reflecting an improvement of approximately 11.7%[44].

兰州佛慈制药股份有限公司 2019 年年度报告全文 兰州佛慈制药股份有限公司 2019 年年度报告 2022 年 3 月更新 1 兰州佛慈制药股份有限公司 2019 年年度报告全文 第一节重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证年度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或重大遗漏，并承担个别和连 带的法律责任。 公司负责人石爱国、主管会计工作负责人吕芝瑛及会计机构负责人(会计主 管人员)夏小勇声明：保证年度报告中财务报告的真实、准确、完整。 所有董事均已出席了审议本报告的董事会会议。 本年度报告涉及未来计划等前瞻性陈述，不构成公司对投资者的实质承诺， 请投资者注意投资风险。 公司存在医药政策和市场风险、原材料价格波动风险、人力资源风险以及 经营管理风险，具体详见" 第四节 经营情况讨论与分析" "之"九、公司未来发 展的展望"，敬请广大投资者注意投资风险。 公司经本次董事会审议通过的利润分配预案为：以 510,657,000 为基数，向 全体股东每 10 股派发现金红利 0.6 元（含税），送红股 0 股（含税），不以公积 金转增股本。 2 | 目录 | | - ...

Financial Performance - The company's operating revenue for 2020 was approximately ¥668.05 million, representing a 6.24% increase compared to ¥628.82 million in 2019[16]. - The net profit attributable to shareholders for 2020 was approximately ¥108.02 million, a significant increase of 51.91% from ¥71.11 million in 2019[16]. - The net profit after deducting non-recurring gains and losses was approximately ¥13.17 million, a remarkable increase of 311.69% compared to a loss of ¥6.22 million in 2019[16]. - The net cash flow from operating activities for 2020 was approximately ¥62.89 million, up 31.50% from ¥47.82 million in 2019[16]. - The basic earnings per share for 2020 was ¥0.2115, reflecting a 51.94% increase from ¥0.1392 in 2019[16]. - Total assets at the end of 2020 were approximately ¥2.39 billion, a slight decrease of 0.56% from ¥2.40 billion at the end of 2019[16]. - The net assets attributable to shareholders at the end of 2020 were approximately ¥1.58 billion, an increase of 5.13% from ¥1.50 billion at the end of 2019[16]. - The company reported a weighted average return on equity of 6.98% for 2020, up from 4.95% in 2019[16]. - The company experienced a quarterly revenue of ¥137.96 million in Q1, ¥190.52 million in Q2, ¥173.82 million in Q3, and ¥165.75 million in Q4 of 2020[20]. - The company reported a significant increase in investment cash inflow by 429.72% to ¥237,628,396.47, while cash outflow from investment activities rose by 191.08% to ¥299,513,717.60[63]. Dividends and Shareholder Returns - The company plans to distribute a cash dividend of ¥1.20 per 10 shares, based on a total of ¥510.66 million as the base[4]. - The cash dividend distribution for 2020 represents 56.73% of the net profit attributable to the company's ordinary shareholders[94]. - The company has experienced a significant increase in cash dividends over the past three years, from 0.13 yuan per 10 shares in 2018 to 1.20 yuan in 2020[92]. - The company has maintained compliance with its cash dividend policy, ensuring the protection of minority shareholders' rights[91]. - The company has not proposed any stock bonus or capital reserve conversion for the 2020 fiscal year, focusing solely on cash dividends[92]. Market and Product Development - The company’s main business includes the research, production, and sales of traditional Chinese medicine and health products, with a focus on various therapeutic categories[25]. - The company has expanded its international market presence, exporting products to 29 countries and regions, including the United States and Canada, maintaining a strong position among China's top ten traditional Chinese medicine exporters[26]. - The company is actively integrating its drug approval resources to optimize product structure and enhance profitability[32]. - The company is focusing on research and development innovation, collaborating with Shanghai University of Traditional Chinese Medicine to develop new products and enhance its core competitiveness[80]. - The company is actively exploring the development of high-value health products and daily chemical products to cultivate a cluster of health products[79]. Operational Efficiency and Management - The company has established a large-scale automated production line in the Lanzhou New Area, significantly enhancing production capacity and positioning itself as the largest modern Chinese medicine manufacturer in Northwest China[33]. - The company has streamlined its operations by reducing personnel by 30 and has achieved certifications for environmental and occupational health safety management systems[46]. - The company has implemented a performance evaluation system to improve overall employee quality[85]. - The company has established a comprehensive performance evaluation system for employees and provides regular health check-ups[120]. - The company emphasizes employee training, aligning career development with strategic goals, and has a comprehensive training plan[168]. Social Responsibility and Community Engagement - The company donated over 6 million yuan worth of epidemic prevention materials during the COVID-19 pandemic[122]. - The company provided 400,000 yuan for infrastructure improvement in poverty alleviation efforts[124]. - The company helped 22 registered impoverished individuals to escape poverty through its poverty alleviation projects[125]. - The company planted 5,000 acres of Angelica sinensis and established a processing workshop, creating 100 jobs, including 80 for local impoverished farmers[124]. - The company actively engages in social responsibility initiatives, including health lectures and free medical consultations in communities[122]. Governance and Compliance - The company has maintained a stable governance structure with no changes in its actual controller or major shareholders[142]. - The company emphasizes the protection of stakeholders' rights, balancing the interests of shareholders, employees, and society[174]. - The independent directors attended board meetings and shareholder meetings, with no objections raised regarding company matters during the reporting period[181]. - The company has not faced any significant discrepancies in governance practices compared to regulatory standards[176]. - The company has implemented changes in accounting policies effective from January 1, 2020, which resulted in a decrease of 13,416,092.95 CNY in advance receipts and an increase of 11,872,648.63 CNY in contract liabilities[98]. Research and Development - The company has developed a comprehensive research and development platform, collaborating with several universities and research institutions to enhance innovation in traditional Chinese medicine[36]. - The company has increased its research and development efforts, focusing on new product development and improving product quality standards, and has been recognized as an advanced collective in scientific and technological work in Gansu Province[45]. - Research and development expenses totaled CNY 15,382,727.22, a decrease of 25.49% from CNY 20,645,052.06 in 2019, representing 2.30% of total revenue[60]. Financial Health and Risk Management - The company has maintained effective internal controls over financial reporting as of December 31, 2020, with no significant deficiencies reported[191]. - The audit opinion issued was a standard unqualified opinion, confirming that the financial statements fairly represent the company's financial position[196]. - The company has not reported any financial report deficiencies, with zero instances of significant or important deficiencies noted[196]. - The company has established a strategic reserve for commonly used raw materials to reduce procurement risks[84]. - The company will conduct thorough market research on raw material prices to manage procurement costs effectively[84].

兰州佛慈制药股份有限公司 2021 年半年度报告 2022 年 03 月更新 1 兰州佛慈制药股份有限公司 2021 年半年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的 真实、准确、完整，不存在虚假记载、误导性陈述或重大遗漏，并承担个别和 连带的法律责任。 兰州佛慈制药股份有限公司 2021 年半年度报告全文 公司在本报告" 第三节 经营情况讨论与分析" 中分析了公司发展可能面 临的风险因素和应对措施，敬请广大投资者予以关注。 公司计划不派发现金红利，不送红股，不以公积金转增股本。 2 | 第一节 | 重要提示、目录和释义 错误！未定义书签。 | | | --- | --- | --- | | 第二节 | 公司简介和主要财务指标 错误！未定义书签。 | | | 第三节 | 管理层讨论与分析 | 9 | | 第四节 | 公司治理 | 20 | | 第五节 | 环境和社会责任 | 21 | | 第六节 | 重要事项 | 23 | | 第七节 | 股份变动及股东情况 | 27 | | 第八节 | 优先股相关情况 | 30 | | 第九节 | 债券相关情况 ...

兰州佛慈制药股份有限公司 2021 年第三季度报告 证券代码：002644 证券简称：佛慈制药 公告编号：2021-030 兰州佛慈制药股份有限公司 2021 年第三季度报告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没 有虚假记载、误导性陈述或重大遗漏。 重要内容提示: 1.董事会、监事会及董事、监事、高级管理人员保证季度报告的真实、准确、完整，不存在 虚假记载、误导性陈述或重大遗漏，并承担个别和连带的法律责任。 2.公司负责人、主管会计工作负责人及会计机构负责人(会计主管人员)声明：保证季度报告中 财务信息的真实、准确、完整。 3.第三季度报告是否经过审计 □ 是 √ 否 一、主要财务数据 (一)主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期 | 本报告期比上年同期增 | 年初至报告期末 | 年初至报告期末比上年 | | --- | --- | --- | --- | --- | | | | 减 | | 同期增减 | | 营业收入（元） | 277,343,937.75 | 59.56% | 664,170,475.25 | 32.22% ...

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 386,826,537.50, representing a 17.76% increase compared to CNY 328,486,630.90 in the same period last year[19]. - The net profit attributable to shareholders of the listed company decreased by 49.21% to CNY 49,549,794.96 from CNY 97,551,377.03 year-on-year[19]. - The net profit after deducting non-recurring gains and losses increased by 67.34% to CNY 31,299,708.74 compared to CNY 18,704,039.31 in the previous year[19]. - The net cash flow from operating activities was CNY 57,946,798.12, up 60.92% from CNY 36,008,660.72 in the same period last year[19]. - The basic earnings per share were CNY 0.0970, down 49.21% from CNY 0.1910 in the same period last year[19]. - The diluted earnings per share were also CNY 0.0970, reflecting the same percentage decrease as the basic earnings per share[19]. - The weighted average return on net assets was 3.15%, down 3.10% from 6.25% in the previous year[19]. - The operating cost increased by 18.24% to CNY 280,388,837.33 from CNY 237,138,355.89 in the previous year[53]. - The company reported a net profit of CNY 49,405,563.57, a decrease of 49.32% from CNY 97,483,984.79 in the previous year[54]. - The gross profit margin for the pharmaceutical sector was 27.36%, a slight decrease of 0.42% compared to the previous year[58]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 2,359,951,623.83, a 4.09% increase from CNY 2,267,132,508.63 at the end of the previous year[19]. - The net assets attributable to shareholders of the listed company decreased by 0.73% to CNY 1,579,494,338.45 from CNY 1,591,159,687.97 at the end of the previous year[19]. - The company's total assets amounted to CNY 2,234,246,371.36 as of the end of the reporting period, slightly down from CNY 2,244,864,912.52 at the end of the previous period[139]. - The total liabilities were CNY 656,787,963.36, which is comparable to CNY 656,078,767.30 from the previous period[139]. - The company's total liabilities at the end of the current period are 436,300,000, reflecting a decrease from the previous period[159]. Market Presence and Product Development - The company has 467 drug approval numbers and produces over 110 products across 11 dosage forms, including proprietary products like Shenrong Gu Ben Huan and Compound Huangqi Jianpi Oral Liquid[27]. - The company has established a strong market presence, exporting products to 29 countries and regions, including the US, Canada, and Australia, and ranks among the top ten Chinese traditional medicine exporters[28]. - The company is expanding its international business, with ongoing drug registration efforts in countries like Malaysia and Uzbekistan, and has launched new health products that have performed well in online sales[34]. - The production capacity for traditional Chinese medicine has increased, with a focus on concentrated pills and formula granules, and the company is set to complete new production lines by the end of the year[35]. - The company is optimizing its market layout, enhancing its presence in regions like Xinjiang and establishing localized teams in Jiangsu and Zhejiang[36]. - The company has a strong commitment to R&D, with a focus on developing new products and technologies to meet market demands[31]. Financial Management and Governance - The company is implementing cost control measures and enhancing management systems to improve operational efficiency and governance[37]. - The company is actively exploring mergers and acquisitions to strengthen its market position and expand its product offerings[34]. - The company has established multiple research platforms in collaboration with universities and research institutions to enhance innovation[51]. - The company has implemented a systematic human resources management system and performance evaluation framework to protect employee rights[87]. - The company’s board of directors and supervisory board did not issue any non-standard audit reports for the previous year[97]. Social Responsibility and Compliance - The company actively engaged in social responsibility initiatives, including providing 300,000 yuan for poverty alleviation projects and supporting over 2,000 households in mountainous areas[90]. - There were no major environmental issues or administrative penalties reported during the period, and all major pollutants were discharged in accordance with national environmental standards[85]. - The company has no significant litigation or arbitration matters during the reporting period[99]. - The company’s actual controller and major shareholders maintained a good integrity status, with no significant debts or court judgments unmet[100]. Strategic Focus and Future Plans - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company aims to enhance the "Foci" brand as a carrier for the output of traditional medicine, participating in national events and increasing brand promotion efforts[39]. - The company plans to release production capacity at the Lanzhou New Area and Weiyuan Industrial Park, focusing on traditional Chinese medicine slices and formula granules[40]. - The company targets to cultivate over 1 billion market segments in regions such as Shanghai, Jiangsu, Zhejiang, Guangdong, and internationally, while also developing over 1 billion single products[42]. - The company plans to continue its focus on research and development of new products and technologies to enhance market expansion[158].

2 兰州佛慈制药股份有限公司 2021 年第一季度报告全文 兰州佛慈制药股份有限公司 2021 年第一季度报告全文 兰州佛慈制药股份有限公司 2021 年第一季度报告 2021 年 04 月 1 兰州佛慈制药股份有限公司 2021 年第一季度报告全文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人石爱国、主管会计工作负责人姚毅磊及会计机构负责人(会计主 管人员)徐先凯声明：保证季度报告中财务报表的真实、准确、完整。 3 兰州佛慈制药股份有限公司 2021 年第一季度报告全文 第二节 公司基本情况 一、主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期 | 上年同期 | 本报告期比上年同期增减 | | | --- | --- | --- | --- | --- | | 营业收入（元） | 177,434,087.22 | 137,964,409.24 | | 28.61% | | 归属 ...

Financial Performance - The company's operating revenue for 2020 was approximately ¥668.05 million, representing a 6.24% increase compared to ¥628.82 million in 2019[23]. - The net profit attributable to shareholders for 2020 was approximately ¥111.98 million, a significant increase of 49.60% from ¥74.85 million in 2019[23]. - The net cash flow from operating activities for 2020 was approximately ¥62.89 million, reflecting a 31.50% increase from ¥47.82 million in 2019[23]. - The basic earnings per share for 2020 was ¥0.2193, up 49.59% from ¥0.1466 in 2019[23]. - The total assets at the end of 2020 were approximately ¥2.27 billion, a decrease of 2.06% from ¥2.31 billion at the end of 2019[23]. - The net assets attributable to shareholders at the end of 2020 were approximately ¥1.59 billion, an increase of 5.37% from ¥1.51 billion at the end of 2019[23]. - The weighted average return on equity for 2020 was 7.15%, up from 5.06% in 2019[23]. - The company reported a significant increase in net profit after deducting non-recurring gains and losses, reaching approximately ¥18.73 million compared to a loss of ¥0.96 million in 2019, marking a 2,047.18% increase[23]. - In 2020, the company reported a net profit of CNY 61,278,840, representing a 54.72% increase compared to CNY 30,639,420 in 2019[106]. Revenue Breakdown - The total operating revenue for 2020 was ¥668,051,013.92, representing a year-on-year increase of 6.24% compared to ¥628,815,164.07 in 2019[61]. - The pharmaceutical sector accounted for ¥661,798,080.51, or 99.06% of total revenue, with a year-on-year growth of 5.99%[61]. - The food sector saw significant growth, with revenue increasing by 40.97% to ¥6,252,933.41 from ¥4,435,525.68 in 2019[61]. - Domestic sales contributed ¥600,343,576.29 (89.86% of total revenue), while international sales surged by 139.05% to ¥67,707,437.63 (10.14% of total revenue)[62]. Cash Flow and Investments - The net cash flow from operating activities increased by ¥15,065,200.00, reaching ¥62,888,162.80, a 31.50% increase compared to the previous year[74]. - Total cash inflow from operating activities decreased by 4.13% to ¥717,874,562.53, while cash outflow decreased by 6.56% to ¥654,986,399.73[75]. - Investment activities generated a net cash outflow of ¥61,885,321.13, with cash inflow increasing by 429.72% to ¥237,628,396.47[75]. - Financing activities resulted in a net cash outflow of ¥23,546,999.25, with cash inflow increasing by 585.54% to ¥22,910,733.40[75]. Dividend Distribution - The company plans to distribute a cash dividend of ¥1.20 per 10 shares, based on a total of 510,657,000 shares[7]. - The cash dividend distribution plan for 2020 is CNY 1.20 per 10 shares, totaling CNY 61,278,840, which accounts for 100% of the distributable profit[106]. - The company did not propose any stock dividends or capital reserve transfers for the 2020 profit distribution[106]. Operational Developments - The company has established a large-scale automated production line in the Lanzhou New Area, significantly increasing production capacity and addressing capacity bottlenecks[43]. - The company has implemented a diversified sales model, combining distributor sales, direct supply to chain pharmacies, and international cooperation[37]. - The company has launched an online platform "上医良药" and is utilizing new marketing strategies through social media platforms to enhance its sales channels[55]. - The company has expanded its marketing team by 100 personnel in 2020 to enhance its marketing capabilities and improve market penetration in the northwest region[55]. Research and Development - Research and development expenses decreased by 25.49% to ¥15,382,727.22 from ¥20,645,052.06 in 2019[71]. - The number of R&D personnel increased slightly by 0.66% to 153 in 2020, accounting for 10.84% of total employees[72]. - The company plans to enhance its R&D capabilities through strategic cooperation with Shanghai University of Traditional Chinese Medicine, aiming to develop new products such as traditional Chinese medicine sustained-release agents and high-end customized decoction pieces[92]. Social Responsibility and Community Engagement - The company donated over 6 million CNY worth of epidemic prevention materials during the COVID-19 pandemic, including 75% ethanol disinfectant and protective masks[134]. - The company provided 4 million CNY for infrastructure improvements in poverty alleviation efforts during the reporting period[136]. - The company actively participates in social welfare activities, including health lectures and free clinics, to support vulnerable groups in society[134]. - The company will continue to actively fulfill its social responsibility in poverty alleviation, providing financial, technical, and material support to impoverished areas[140]. Governance and Compliance - The company has maintained a good integrity status, with no outstanding court judgments or significant debts due[117]. - The company has not experienced any major accounting errors requiring retrospective restatement during the reporting period[112]. - The company has established an audit committee under the board of directors to oversee internal and external audits, ensuring the authenticity and completeness of financial information[188]. - The company has not faced significant discrepancies in governance compared to the regulatory standards set by the China Securities Regulatory Commission[190]. Future Outlook - Future outlook includes a projected revenue growth of 15% for the next fiscal year, driven by new product launches and market expansion strategies[172]. - Market expansion efforts are focused on increasing presence in Southeast Asia, targeting a 25% increase in market share within the next two years[172]. - The company plans to enhance its digital marketing efforts, aiming for a 40% increase in online sales channels[172].

Financial Performance - Operating revenue for the reporting period was CNY 173,818,223.22, representing an increase of 11.52% year-on-year[7] - Net profit attributable to shareholders of the listed company decreased by 62.80% to CNY 10,592,825.93[7] - Basic earnings per share were CNY 0.0208, down 62.66% compared to the same period last year[7] - The weighted average return on net assets was 0.66%, a decrease of 65.26% year-on-year[7] - The company reported a 104258.92% increase in asset disposal income to 70,488,406.03, attributed to increased gains from land use rights transfers[15] - The total profit for the third quarter was CNY 12,383,249.64, a decrease from CNY 33,490,510.98 in the previous year[39] - The net profit for the third quarter was CNY 10,518,784.41, down from CNY 28,474,435.16 year-over-year, representing a decrease of approximately 63.0%[40] - The company's net profit for Q3 2020 reached CNY 108,002,769.20, a significant increase of 47.8% compared to CNY 72,986,598.62 in the same period last year[47] - The total profit for the quarter was CNY 127,396,758.10, an increase of 48.5% from CNY 85,757,123.62 in Q3 2019[47] Assets and Liabilities - Total assets at the end of the reporting period were CNY 2,301,344,798.61, a decrease of 0.59% compared to the end of the previous year[7] - The company’s total liabilities decreased by 0.57% to 1,081,033,504.93 compared to the beginning of the year[29] - Total liabilities reached CNY 802,874,677.23, with current liabilities at CNY 440,899,949.58 and non-current liabilities at CNY 361,974,727.65[65] - Owner's equity totaled CNY 1,512,017,421.17, including CNY 510,657,000.00 in share capital and CNY 569,728,890.20 in undistributed profits[65] - The total liabilities to total assets ratio stands at approximately 34.6%, indicating a moderate level of leverage[65] Cash Flow - The net cash flow from operating activities was negative CNY 51,277,532.57, a decline of 538.71%[7] - The net cash flow from operating activities decreased by 87.98% to -15,268,871.85, mainly due to a reduction in government subsidies received compared to the previous year[16] - Total cash inflow from operating activities was 533,761,694.93 CNY, while cash outflow was 549,030,566.78 CNY, resulting in a net cash flow deficit[55] - The net cash flow from financing activities was -18,418,548.78 CNY, compared to -23,037,041.00 CNY in the previous period, showing an improvement in financing cash flow[56] Shareholder Information - Net assets attributable to shareholders of the listed company increased by 5.13% to CNY 1,587,507,066.54[7] - The total number of common shareholders at the end of the reporting period was 35,529[11] - The largest shareholder, Lanzhou Foci Pharmaceutical Industry Development Group Co., Ltd., held 61.63% of the shares, with 80,000,000 shares pledged[11] Operational Highlights - Total operating costs increased to CNY 167,731,806.44 from CNY 149,360,772.33 year-on-year[38] - The company reported a decrease in research and development expenses to CNY 4,030,562.33 from CNY 5,083,619.44[38] - Research and development expenses for the third quarter were CNY 4,030,562.33, down from CNY 5,083,619.44 year-over-year[42] - The company is focusing on new product development, particularly in traditional Chinese medicine, to enhance its market position[71] Future Outlook - Future outlook remains positive, with the company projecting a continued growth rate of approximately 25% for the next fiscal year[71] - The management emphasized the importance of strategic partnerships to drive innovation and market reach[71] - Overall, the company is committed to enhancing shareholder value through sustainable growth strategies[71]