贵阳新天药业股份有限公司 2021 年第三季度报告 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。 债券代码：128091 债券简称：新天转债 3.第三季度报告是否经过审计 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。 □ 是 √ 否 重要内容提示: 证券代码：002873 证券简称：新天药业 公告编号：2021-134 贵阳新天药业股份有限公司 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。 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） | 291,233,395.74 | 21.86% | 745,264,628.80 | 37.54% | ...

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 454,031,233.06, representing a 49.91% increase compared to CNY 302,862,307.16 in the same period last year[20]. - The net profit attributable to shareholders of the listed company reached CNY 46,837,320.12, an increase of 85.83% from CNY 25,204,359.22 year-on-year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 46,590,801.43, up 90.36% from CNY 24,475,388.50 in the previous year[20]. - The basic earnings per share increased to CNY 0.4100, an 86.96% rise from CNY 0.2193 in the same period last year[20]. - The diluted earnings per share were CNY 0.3811, reflecting an increase of 84.37% compared to CNY 0.2067 in the previous year[20]. - The weighted average return on equity was 5.57%, up from 3.41% in the same period last year, an increase of 2.16%[20]. - The company reported a significant increase in financial expenses, which rose by 554.25% to ¥8,208,493.53, primarily due to increased loan interest and reduced government subsidies[54]. - The company reported a net profit of 4,659.08 million yuan for the current period, representing a 90.36% increase compared to the same period last year[154]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,534,079,519.74, a slight decrease of 0.12% from CNY 1,535,933,766.56 at the end of the previous year[20]. - The total liabilities decreased to 481,262,685.67 yuan from 513,639,094.28 yuan in the previous year[160]. - The company's total assets at the end of the reporting period amounted to 1,190 million yuan, showing a growth from the previous period's total assets of 1,313.8 million yuan[188]. - The total liabilities at the end of the reporting period were 373.89 million yuan, a decrease from 846.22 million yuan in the previous period, indicating a reduction of approximately 56%[188]. Cash Flow - The net cash flow from operating activities was CNY 59,736,164.46, showing a decrease of 3.00% compared to CNY 61,586,412.45 in the same period last year[20]. - The net cash flow from investment activities improved by 102.66%, reaching ¥5,672,551.43, mainly due to the maturity of financial products[54]. - The net cash flow from operating activities generated a net amount of CNY 59,736,164.46, slightly down from CNY 61,586,412.45 in the first half of 2020[177]. - The total cash and cash equivalents at the end of the period stood at ¥234,174,509.64, down from ¥245,929,798.90 at the end of the previous period, indicating a decrease in liquidity[182]. Research and Development - The company focuses on the research, development, production, and sales of traditional Chinese medicine, with a product line that includes eight dosage forms and two production lines for traditional Chinese medicine pieces[28]. - Research and development investment amounted to ¥11,889,702.71, reflecting a 5.25% increase from ¥11,296,412.99, indicating continued commitment to innovation[54]. - The company emphasizes a strategy of "producing one generation, reserving one generation, and developing one generation" for its R&D efforts[36]. - The company has three new traditional Chinese medicine products that have completed Phase III clinical trials and 445 varieties of traditional Chinese medicine formula granules in clinical research[36]. Market and Sales - The company aims to leverage its brand advantage to enhance market promotion of its exclusive products and attract top talent for technological innovation[46]. - The marketing strategy emphasizes professional academic promotion, enhancing product visibility and trust among healthcare professionals through various academic forums and clinical trials[40]. - Gynecology products generated ¥323,202,853.44, making up 71.19% of total revenue, with a significant increase of 55.66% year-on-year[56]. - The company has established a strong market presence with its leading products, including Kuntai capsules and Ningpitai capsules, achieving over ¥100 million in market scale for several key products[46]. Environmental Compliance - The company has two wastewater treatment plants, with the old plant having a daily processing capacity of 2,000 tons and the new plant 720 tons[84]. - The wastewater treatment process for the old plant includes UASB, biological contact oxidation, and two-stage filtration, ensuring compliance with discharge standards[84]. - The company has obtained pollution discharge permits for both old and new plants, with the old plant's permit valid until June 28, 2023, and the new plant's until May 24, 2025[87]. - The company reported no exceedances in pollutant emissions for COD and ammonia nitrogen at both plants[83]. Shareholder and Equity Information - The company plans to distribute 4 additional shares for every 10 shares held, using capital reserves, with no cash dividends proposed[4]. - The company has allocated 15,021,170.80 yuan for share repurchase during the reporting period, with total cash dividends amounting to 15,021,170.80 yuan, accounting for 100% of the distributable profit[77]. - The total number of ordinary shareholders at the end of the reporting period was 11,954[132]. - The largest shareholder, Guiyang Xintian Biological Technology Development Co., Ltd., holds 38.89% of the shares, with a reduction of 6 million shares during the reporting period[132]. Corporate Governance - The company has not experienced any changes in its board of directors, supervisors, or senior management during the reporting period[76]. - The company emphasizes the protection of investor rights and has established a reasonable dividend plan to actively return profits to shareholders[92]. - The company has not reported any significant litigation or arbitration matters during the reporting period[101].

Financial Performance - The company's operating revenue for Q1 2021 was CNY 214,656,599.98, representing a 113.84% increase compared to CNY 100,379,992.91 in the same period last year[8] - Net profit attributable to shareholders reached CNY 25,366,384.98, a significant increase of 714.60% from CNY 3,113,965.50 year-on-year[8] - The net profit after deducting non-recurring gains and losses was CNY 24,867,023.76, up 494.51% from CNY 4,182,758.45 in the previous year[8] - Basic earnings per share rose to CNY 0.2215, marking a 717.34% increase from CNY 0.0271 in the same quarter last year[8] - The company reported a significant increase in other equity instruments from CNY 183,644,362.39 to CNY 233,644,362.39, a rise of approximately 27%[30] - The total comprehensive income for the period was CNY 15,044,870.29, reflecting the same figure as the net profit[44] Assets and Liabilities - The company's total assets at the end of the reporting period were CNY 1,525,743,416.24, a slight decrease of 0.66% from CNY 1,535,933,766.56 at the end of the previous year[8] - Total liabilities decreased from CNY 707,636,495.11 to CNY 687,024,626.73, a decrease of approximately 2.9%[31] - Non-current assets increased from CNY 723,053,744.10 to CNY 794,202,565.56, an increase of about 9.8%[30] - Total liabilities decreased to CNY 673,758,824.02 from CNY 701,494,768.15, while total equity increased slightly to CNY 819,848,473.14 from CNY 819,748,469.77[38] - The total assets increased from 1,535,933,766.56 CNY to 1,547,596,915.49 CNY, reflecting an adjustment of 11,663,148.93 CNY[54] Cash Flow - The net cash flow from operating activities was CNY 16,766,677.68, down 52.65% from CNY 35,411,350.35 in the same period last year[8] - The company's net cash flow from investment activities improved by 72.76% to -CNY 65,463,297.81, mainly due to an increase in the redemption of bank wealth management products[15] - The net cash flow from investment activities was -76,595,269.29 CNY, a decrease from -252,781,090.14 CNY year-over-year[51] - The cash inflow from financing activities was 13,000,000.00 CNY, down from 214,800,000.00 CNY in the previous year[51] - The cash outflow for repaying debts was 48,000,000.00 CNY, compared to 25,000,000.00 CNY in the previous year[51] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 12,517[11] - The largest shareholder, Guiyang Xintian Biotechnology Development Co., Ltd., held 38.90% of the shares, with 45,568,962 shares pledged[11] - The company repurchased a total of 3,170,012 shares, accounting for 2.71% of the total share capital, with a total expenditure of CNY 25,498,647.29[19] Expenses - The company's financial expenses surged by 264.26% to CNY 3,787,069.84, primarily due to a decrease in interest subsidies received[15] - The company's research and development expenses decreased by 33.72% to CNY 1,287,534.50, reflecting a reduction in capitalized R&D expenditures[15] - Total operating costs amounted to ¥183,991,577.13, compared to ¥94,727,324.68 in the previous year, reflecting a rise in sales expenses to ¥105,947,606.46 from ¥49,789,784.22[38] Other Financial Metrics - The company received government subsidies amounting to CNY 766,142.44 during the reporting period[9] - The company incurred a credit impairment loss of CNY -780,480.80 during the quarter[46] - The company adjusted its financial statements to comply with new leasing standards, impacting the balance sheet[52] - The first quarter report was not audited, which may affect the reliability of the financial data presented[59]

Financial Performance - The company's operating revenue for 2020 was CNY 750,946,390.31, a decrease of 2.90% compared to CNY 773,337,464.67 in 2019[16]. - The net profit attributable to shareholders for 2020 was CNY 74,103,210.31, representing an increase of 3.75% from CNY 71,422,165.77 in 2019[16]. - The net profit after deducting non-recurring gains and losses was CNY 70,977,065.18, up by 3.37% from CNY 68,660,960.23 in the previous year[16]. - The net cash flow from operating activities surged to CNY 175,767,527.16, a significant increase of 421.13% compared to CNY 33,728,459.89 in 2019[16]. - The basic earnings per share for 2020 was CNY 0.6447, an increase of 4.27% from CNY 0.6183 in 2019[16]. - The diluted earnings per share decreased by 2.65% to CNY 0.6019 from CNY 0.6183 in the previous year[16]. - The total assets at the end of 2020 were CNY 1,535,933,766.56, reflecting a growth of 41.74% from CNY 1,083,647,584.75 at the end of 2019[16]. - The weighted average return on net assets was 9.76%, down from 10.72% in 2019[16]. - The company reported a total of 32 drug production licenses, including 10 in the national medical insurance catalog and 1 in the national essential drug catalog[26]. Market and Product Development - The company is focused on expanding its market presence in gynecology and urology, leveraging rich traditional Chinese medicine resources[25]. - The leading product, Kuntai Capsule, is a national essential drug and ranked 2nd in the gynecology medication field in the 2018 national Chinese medicine competition[26]. - The company has developed a unique product, Kucan Gel, which is the first vaginal carbomer gel in China, aimed at treating chronic gynecological inflammation[27]. - The company has maintained a steady growth trajectory in the traditional Chinese medicine market, ranking 70th among Chinese traditional medicine companies in 2019[25]. - The company is currently producing 12 main traditional Chinese medicine products, with 4 products in small-scale production and 2 products planned for future production[30]. - The company has completed Phase III clinical trials for three new traditional Chinese medicine products and is advancing related follow-up work as planned[31]. - The company has 421 traditional Chinese medicine formula granules in clinical research, with three new drug products having completed phase III clinical trials[45][46]. Research and Development - The company has 36 invention patents, 1 utility model patent, and 10 design patents, with 11 national new drug certificates and 32 drug approval numbers as of the reporting period[31]. - The company is enhancing its R&D capabilities through the establishment of a new R&D center, which is expected to facilitate the transformation of research results into marketable products[54]. - The total R&D investment was CNY 28,430,751.42, which is 3.79% of operating revenue, a decrease of 0.20% from the previous year[72]. - The number of R&D personnel increased by 9.92% to 144, representing 13.66% of the total workforce[72]. - The capitalized R&D investment increased by 55.68% to CNY 15,135,456.00, accounting for 53.24% of total R&D investment[72]. Cash Flow and Financing - The total cash inflow from financing activities rose by 86.63% to ¥568,300,000.00, driven by increased short-term borrowings and the issuance of convertible bonds[73]. - The net cash flow from financing activities surged by 2,389.32% to ¥299,330,832.63 from ¥12,024,602.25 in the previous year[73]. - The cash and cash equivalents increased by 250.00% to ¥148,430,922.07 from ¥42,409,015.61 in 2019[73]. - The company raised a total of RMB 31,702.02 million from its initial public offering, with a net amount of RMB 28,969.23 million after deducting issuance costs[88]. - The company has committed to invest RMB 7,337 million in a new traditional Chinese medicine extraction production line, with an investment progress of 20.41%[90]. Dividend and Shareholder Returns - The company plans to distribute a cash dividend of CNY 1.2 per 10 shares (including tax) to all shareholders[4]. - The total cash dividend (including other methods) amounted to RMB 16,377,461.28, representing 100% of the distributable profit[112]. - In 2020, cash dividends accounted for 22.10% of the net profit attributable to ordinary shareholders, compared to 39.78% in 2019 and 30.64% in 2018[110]. - The company has a commitment to maintain a minimum cash dividend ratio of 20% during its growth phase[112]. Corporate Governance and Compliance - The company has established strict limitations on financial transactions between the controlling shareholder and the company, prohibiting the use of company funds for personal expenses[114]. - The company has committed to transparency in any financial dealings with its controlling shareholder, ensuring compliance with relevant regulations[114]. - The company has not encountered any issues with the use of raised funds or other situations during the reporting period[93]. - The company has not reported any significant accounting errors that require retrospective restatement during the reporting period[122]. - The company is under the supervision of regulatory bodies and self-regulatory organizations to ensure compliance with commitments made[117]. Social Responsibility and Environmental Compliance - In 2020, the company donated a total of CNY 2 million to support COVID-19 prevention efforts and various poverty alleviation initiatives[152]. - The company has established a scientific and reasonable incentive mechanism to protect employee rights and interests[149]. - The company has implemented a comprehensive pollution prevention strategy, including the use of clean energy for boilers, resulting in emissions below the standards set by GB13271-2014[161]. - The company conducts annual emergency response training and drills as part of its environmental incident management plan[163]. - The company has reported no exceedances in pollutant discharge limits for key pollutants such as COD and ammonia nitrogen[159].

贵阳新天药业股份有限公司 2020 年第三季度报告全文 贵阳新天药业股份有限公司 2020 年第三季度报告 2020-140 2020 年 10 月 1 贵阳新天药业股份有限公司 2020 年第三季度报告全文 □ 是 √ 否 | | 本报告期末 | 上年度末 | | 本报告期末比上年度末增减 | | --- | --- | --- | --- | --- | | 总资产（元） | 1,400,651,996.88 | 1,083,647,584.75 | | 29.25% | | 归属于上市公司股东的净资产 | 778,060,464.99 | 707,444,132.04 | | 9.98% | | （元） | | | | | | | 本报告期 | 本报告期比上年同期 | 年初至报告期末 | 年初至报告期末比上 | | | | 增减 | | 年同期增减 | | 营业收入（元） | 238,999,443.50 | 6.49% | 541,861,750.66 | -8.04% | | 归属于上市公司股东的净利润 | 35,851,694.95 | 3.71% | 61,056,054.17 | -12.26 ...

Financial Performance - The company's operating revenue for the first half of 2020 was ¥302,862,307.16, a decrease of 16.98% compared to ¥364,808,638.53 in the same period last year[18]. - The net profit attributable to shareholders of the listed company was ¥25,204,359.22, down 28.03% from ¥35,018,982.62 in the previous year[18]. - Basic earnings per share decreased by 27.58% to ¥0.2193, compared to ¥0.3028 in the same period last year[18]. - Diluted earnings per share decreased by 31.74% to ¥0.2067, compared to ¥0.3028 in the same period last year[18]. - The weighted average return on net assets was 3.41%, down from 5.24% in the previous year[18]. - The gross margin for the main business was 77.71%, with a year-on-year decrease of 1.01%[45]. - The company achieved a revenue of CNY 302.86 million in the first half of 2020, a decrease of 16.98% compared to the same period last year[41]. - The net profit attributable to shareholders was CNY 25.20 million, down 28.03% year-on-year[41]. - The company's total assets increased to CNY 1.35 billion as of June 30, 2020, compared to CNY 1.06 billion at the end of 2019, reflecting a growth of 27.3%[161]. - The company's total liabilities increased to CNY 590.07 million, up 55.6% from CNY 378.99 million at the end of 2019[162]. Cash Flow and Investments - The net cash flow from operating activities increased by 69.68% to ¥61,586,412.45, compared to ¥36,294,987.06 in the same period last year[18]. - Cash and cash equivalents amounted to ¥292,550,723.22, accounting for 21.62% of total assets, showing a slight decrease of 0.03% from the previous year[49]. - The company reported a significant increase in investment income to CNY 35,693,913.15 from CNY 1,840,276.37, reflecting a growth of 1,837.5%[169]. - The company raised CNY 166,800,000.00 from new investments and CNY 216,000,000.00 from borrowings during the first half of 2020[173]. - The cash flow from operating activities totaled 329,916,498.96 CNY in H1 2020, down from 409,648,103.44 CNY in H1 2019, indicating a decline in operational efficiency[174]. Research and Development - The company has a robust R&D team and has established a tiered project structure to support future development[26]. - The company has completed Phase III clinical trials for three new traditional Chinese medicine products, indicating a strong pipeline for future growth[34]. - Research and development investment amounted to CNY 11.30 million, a decrease of 20.83% compared to the previous year[43]. - The company emphasizes modern technology in its research and development, leveraging rich local herbal resources[26]. - The company holds 11 national new drug certificates and 36 invention patents, with 321 varieties of traditional Chinese medicine granules currently in clinical research[35]. Market Position and Products - The company operates in the traditional Chinese medicine manufacturing industry, with 32 drug production licenses, including 10 in the national medical insurance directory and 1 in the national essential drug list[26]. - The main products include Kun Tai capsules, Ning Pi Tai capsules, Ku Shen gel, and Xia Ku Cao oral liquid, all of which are unique domestic varieties with significant market advantages[28]. - The Kun Tai capsule is included in the national essential drug list and has won multiple awards for its efficacy in treating ovarian function decline[28]. - The Ning Pi Tai capsule is a unique product for treating urinary tract infections and prostatitis, also included in the national medical insurance directory[29]. Shareholder and Stock Management - The company plans not to distribute cash dividends or issue bonus shares[5]. - The company will implement stock price stabilization measures if the stock price falls below 120% of the latest audited net asset value per share[84]. - The controlling shareholder will increase their holdings at a price not exceeding 120% of the previous year's audited net asset value to stabilize the stock price[82]. - The company plans to repurchase shares at a price not exceeding 120% of the previous year's audited net asset value, with a minimum repurchase amount of RMB 5 million[82]. - Directors and senior management are committed to increasing their holdings using at least 30% of their annual salary, not exceeding their total salary[82]. Environmental and Social Responsibility - The company has implemented a wastewater treatment process that includes UASB and biological contact oxidation methods[114]. - The company has ongoing projects for capacity enhancement and R&D center construction, with environmental assessments approved[115]. - The company contributed 66,400 RMB to poverty alleviation by purchasing forest chickens from a poverty-stricken county[119]. - The company plans to develop future poverty alleviation initiatives based on local government needs, focusing on healthcare, education, and agriculture[121]. Legal and Compliance - The company reported no major litigation or arbitration matters during the reporting period[90]. - The semi-annual financial report has not been audited[88]. - The company has not engaged in any significant related party transactions during the reporting period[96]. - There were no penalties or rectification measures imposed on the company during the reporting period[94].

Financial Performance - The company's operating revenue for Q1 2020 was ¥100,379,992.91, a decrease of 38.09% compared to ¥162,134,733.73 in the same period last year[7] - The net profit attributable to shareholders was ¥3,113,965.50, down 82.04% from ¥17,339,683.60 year-on-year[7] - The net profit after deducting non-recurring gains and losses was ¥4,182,758.45, representing a 75.21% decrease from ¥16,870,507.43 in the previous year[7] - The basic earnings per share decreased by 81.70% to ¥0.0271 from ¥0.1481 in the same period last year[7] - Total revenue decreased by 38.09% to CNY 100,379,992.91 compared to CNY 162,134,733.73 in the previous period, primarily due to macroeconomic impacts[14] - The company's total equity increased to CNY 730,958,835.01 from CNY 707,444,132.04, an increase of 3.3%[32] - The total operating costs for Q1 2020 were CNY 94,727,324.68, a decrease of 33.7% from CNY 142,728,151.30 in the previous year[41] - The total profit for Q1 2020 was CNY 5,096,667.69, a decrease of 75.6% from CNY 20,864,029.10 in the previous year[41] Assets and Liabilities - The total assets at the end of the reporting period were ¥1,239,994,713.80, an increase of 14.43% from ¥1,083,647,584.75 at the end of the previous year[7] - Non-current liabilities rose significantly to CNY 184,250,634.05 from CNY 42,193,343.49, marking an increase of 336.5%[31] - Current liabilities decreased to CNY 324,785,244.74 from CNY 332,696,307.79, a reduction of 2.7%[31] - The total liabilities of the company were reported at ¥374,889,651.28, reflecting a stable financial position[52] - The total liabilities and owner's equity combined amounted to CNY 1,062,948,504.63[55] Cash Flow - The net cash flow from operating activities was ¥35,411,350.35, up 17.93% from ¥30,027,733.48 in the same period last year[7] - The cash inflow from operating activities in Q1 2020 was CNY 174,925,614.02, a decrease of 14.3% from CNY 204,307,420.05 in the same period last year[44] - The net cash flow from investing activities was -¥240,316,927.22, compared to -¥30,481,222.23 in Q1 2019, reflecting a significant increase in investment outflows[45] - The net cash flow from financing activities increased dramatically by 1670.82% to CNY 183,676,048.01 from CNY -11,692,968.43, mainly due to funds raised from issuing convertible bonds[14] - The total cash inflow from financing activities was ¥214,800,000.00, significantly higher than ¥28,496,052.72 in the previous year, indicating a substantial increase in financing efforts[46] Shareholder Information - The company reported a total of 18,334 common shareholders at the end of the reporting period[10] - The largest shareholder, Guiyang Xintian Biotechnology Development Co., Ltd., holds 44.04% of the shares, amounting to 51,568,962 shares[10] - The company did not engage in any repurchase transactions among the top 10 shareholders during the reporting period[11] - The company repurchased a total of 1,582,500 shares, representing 1.35% of the total share capital, for a total payment of CNY 25,498,647.29[15] - The company plans to use repurchased shares for future employee stock incentive plans[17] Operational Metrics - Accounts receivable decreased by 50.15% to CNY 30,567,171.12 from CNY 61,314,173.32, mainly due to the maturity of bills receivable[14] - The company reported a significant increase in financing receivables, rising by 109.30% to CNY 16,009,256.98 from CNY 7,648,807.97, attributed to increased financing needs[14] - Research and development expenses decreased by 57.92% to CNY 1,942,446.86 from CNY 4,615,701.14, reflecting reduced R&D activities during the period[14] - The company's sales expenses for Q1 2020 were CNY 49,789,784.22, a decrease of 37.3% compared to CNY 79,327,479.52 in the same period last year[41] - The company reported a credit impairment loss of CNY 1,018,351.59 in Q1 2020, indicating potential challenges in asset quality[41] Compliance and Standards - The company has no reported violations regarding external guarantees or non-operating fund occupation by major shareholders during the reporting period[22][23] - The company has not undergone an audit for the first quarter report[56] - The company implemented new revenue and lease standards starting in 2020, with retrospective adjustments not applicable[56]

Financial Performance - The company's operating revenue for 2019 was ¥773,337,464.67, representing an increase of 11.39% compared to ¥694,259,400.60 in 2018[16]. - The net profit attributable to shareholders for 2019 was ¥71,422,165.77, a slight increase of 0.63% from ¥70,975,496.22 in 2018[16]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥68,660,960.23, which is a 16.24% increase from ¥59,070,611.08 in 2018[16]. - The total assets at the end of 2019 were ¥1,083,647,584.75, reflecting a growth of 10.09% from ¥984,313,099.51 at the end of 2018[17]. - The net assets attributable to shareholders increased by 7.40% to ¥707,444,132.04 from ¥658,718,793.62 at the end of 2018[17]. - The company reported a significant increase in intangible assets by 62.00% due to the purchase of land use rights[27]. - The company achieved a revenue of CNY 773.34 million in 2019, representing a year-on-year growth of 11.39%[40]. - The net profit attributable to shareholders was CNY 71.42 million, reflecting a slight increase of 0.63% compared to the previous year[40]. - Total revenue for 2019 reached ¥773.34 million, representing an 11.39% increase compared to ¥694.26 million in 2018[43]. - The main business revenue accounted for ¥772.66 million, also reflecting an 11.39% year-on-year growth[46]. Cash Flow and Investments - The net cash flow from operating activities decreased by 29.13% to ¥33,728,459.89 from ¥47,592,579.48 in 2018[16]. - The company reported a net cash flow from operating activities of ¥33,728,459.89 in 2019, a decrease of 29.13% compared to ¥47,592,579.48 in 2018[59]. - The company’s total investment in 2019 was ¥156,074,923.66, a significant increase of 284.98% compared to ¥40,541,290.13 in the previous year[66]. - The company’s cash and cash equivalents increased by ¥42,409,015.61, a decrease of 19.59% from ¥52,743,329.57 in 2018[60]. - The company’s total assets included cash of ¥181,656,480.92, which accounted for 16.76% of total assets, up from 14.15% at the beginning of the year[63]. - The company’s fixed assets increased to ¥286,922,018.68, representing 26.48% of total assets, compared to 23.05% at the beginning of the year[63]. - The company’s investment activities generated a net cash outflow of ¥3,344,046.53, an improvement of 87.52% from a net outflow of ¥26,794,659.31 in 2018[60]. Research and Development - The company emphasizes the importance of R&D, with 11.32% of its workforce dedicated to research and development[34]. - The company operates three R&D platforms, focusing on formula granules, classic prescriptions, and new drug research[34]. - The company has developed 11 national new drug certificates and holds 36 invention patents[34]. - The company has 54 drug production licenses, including 27 in the national medical insurance catalog and 10 in the national essential drug list[26]. - The company has a total of 269 traditional Chinese medicine formula granules currently in clinical research[34]. - The company’s R&D expenses decreased by 33.72% to ¥21.10 million, attributed to reduced expenditures on R&D activities[54]. - Research and development (R&D) investment amounted to ¥30,823,012.06 in 2019, representing 3.99% of operating revenue, down from 4.60% in 2018[57]. - The number of R&D personnel decreased by 14.94% to 131 in 2019, while the proportion of R&D personnel increased to 11.32%[57]. Market and Product Development - The company focuses on the development of unique products, including Ningpitai capsules and Kucan gel, which are listed in the national medical insurance directory[32][33]. - The company has developed several proprietary traditional Chinese medicine products, including "Shu Yu Tong Granules" and "Long Qin Pelvic Comfort Granules," which are expected to enhance its market position and economic benefits[56]. - The company plans to enter the small molecule drug field, focusing on generic and innovative drugs for diseases such as tumors and cardiovascular issues, aiming for sustainable growth[85]. - The company has approved 269 types of traditional Chinese medicine formula granules, which offer efficient and convenient product advantages compared to traditional medicine slices, indicating a broad market prospect[85]. - The company plans to quickly launch marketing activities for other advantageous products to cultivate new performance growth points[85]. - The company plans to enhance its digital marketing efforts, allocating 50 million yuan to improve online engagement and sales conversion rates[186]. - A new strategic partnership with a leading healthcare provider is expected to drive growth in the prescription drug segment, potentially increasing sales by 15%[186]. Shareholder and Dividend Policies - The company reported a cash dividend total of RMB 28.41 million for 2019, including other cash distributions, which is 39.78% of the consolidated net profit attributable to shareholders[96]. - The cash dividend for 2019 is set at RMB 1.00 per 10 shares, totaling RMB 11.49 million, which represents 63.22% of the total distributable profit[97]. - The company has maintained a cash dividend policy that aligns with its articles of association and has not made any adjustments during the reporting period[93]. - The maximum cash dividend to shareholders will not exceed 50% of the previous year's audited net profit attributable to the parent company[102]. Compliance and Governance - The company emphasizes the importance of accurate financial reporting, with key personnel confirming the authenticity and completeness of the annual report[3]. - The company has committed to not transferring or entrusting the management of its shares for 36 months since the listing date, ensuring normal compliance[98]. - The controlling shareholder has committed to not reducing their shareholdings below the issuance price during the lock-up period, with a normal compliance status[99]. - The company has established a mechanism to ensure compliance with stock price stabilization commitments[102]. - The company has a dedicated investor relations manager to oversee communication with shareholders and manage information disclosure[199]. - The company adheres to strict information disclosure practices, ensuring timely and accurate communication with shareholders[199]. Environmental and Social Responsibility - The company is committed to environmental compliance and has implemented effective waste management practices to mitigate environmental risks[89]. - The company has established a long-term mechanism for poverty alleviation, focusing on healthcare, education, and agriculture[134]. - The company has made significant contributions to social responsibility, including donations and participation in community welfare activities[133]. - The company has implemented environmental protection measures, ensuring that all pollution control facilities are operating normally and meeting discharge standards[140]. Corporate Structure and Management - The company has established a robust internal audit system to effectively control daily operations and significant related transactions[200]. - The board of directors consists of 9 members, including 3 independent directors[179]. - The company’s supervisory board includes employee representatives, ensuring a diverse governance structure[179]. - The company has a structured approach to employee rights protection, focusing on fair compensation and a competitive talent system[132]. - The company has implemented a training program that includes on-the-job training, internal training, and external training to enhance organizational capabilities[194].

Financial Performance - Net profit attributable to shareholders was ¥34,567,925.02, reflecting a year-on-year growth of 7.60%[8] - Operating revenue for the period was ¥224,431,070.25, representing an increase of 11.22% compared to the same period last year[8] - The net profit after deducting non-recurring gains and losses was ¥34,696,708.04, up 9.63% year-on-year[8] - The company reported a total profit of ¥45,018,977.14, compared to ¥37,106,021.58 in the previous period, which is an increase of approximately 21.5%[38] - The net profit for the current period was ¥34,203,866.45, up from ¥31,962,830.77, which is an increase of around 7.8%[39] - The net profit for the period was ¥69,085,362.97, representing a 6.43% increase from ¥64,845,284.57 in the same period last year[46] Earnings and Shareholder Information - Basic earnings per share decreased by 5.88% to ¥0.2992[8] - Basic and diluted earnings per share for the current period were both ¥0.2992, down from ¥0.3179 in the previous period, reflecting a decrease of about 5.5%[39] - Basic and diluted earnings per share were both ¥0.6020, down from ¥0.8168 in the previous period[47] - The total number of shareholders at the end of the reporting period was 13,564[12] - The largest shareholder, Guiyang Xintian Biotechnology Development Co., Ltd., held 44.04% of the shares[12] Assets and Liabilities - Total assets at the end of the reporting period reached ¥1,126,444,464.17, an increase of 14.44% compared to the previous year[8] - Current assets rose to CNY 705,332,081.48, compared to CNY 628,299,976.31, reflecting an increase of about 12.3%[28] - Non-current assets totaled CNY 421,112,382.69, up from CNY 356,013,123.20, marking a growth of approximately 18.3%[28] - Current liabilities increased to CNY 366,238,071.04 from CNY 296,763,762.35, which is an increase of around 23.3%[29] - Total liabilities reached CNY 412,069,890.93, compared to CNY 323,724,363.99, indicating a rise of approximately 27.4%[29] - Owner's equity rose to CNY 714,374,573.24 from CNY 660,588,735.52, reflecting an increase of about 8.1%[30] Cash Flow and Investments - The net cash flow from operating activities decreased significantly by 95.04% to ¥1,821,421.82[8] - Cash and cash equivalents increased by 83.56% to ¥255.61 million, primarily due to the redemption of financial products[17] - Cash flow from investing activities showed a net inflow of ¥25.19 million, a turnaround from a net outflow of ¥58.74 million in the previous period[17] - The total cash flow from operating activities was ¥584,514,487.57, compared to ¥519,555,684.35 in the previous period[53] - The company received CNY 280,000,000.00 from investment recoveries, down from CNY 513,000,000.00 in the previous year[58] Expenses - Total operating costs amounted to ¥177,452,084.68, up from ¥164,922,189.08, reflecting a growth of about 7.4%[37] - Research and development expenses decreased to ¥8,370,809.73 from ¥9,360,309.12, a reduction of approximately 10.6%[37] - Sales expenses increased to ¥92,136,035.99 from ¥88,846,250.90, marking an increase of about 2.9%[37] - The income tax expense for the current period was ¥10,815,110.69, significantly higher than ¥5,143,190.81 in the previous period, indicating an increase of about 109.5%[38] - The company recorded an asset impairment loss of ¥1,997,872.34, compared to ¥1,207,867.59 in the previous period, reflecting an increase of approximately 65.3%[39] Share Buyback - The company repurchased 1,582,500 shares for a total of ¥25.50 million during the buyback period[19] - The company plans to continue repurchasing shares with a budget of between ¥10 million and ¥20 million, at a price not exceeding ¥20 per share[19]

Financial Performance - The company's operating revenue for the first half of 2019 was RMB 364,808,638.53, representing a 13.92% increase compared to RMB 320,222,597.34 in the same period last year[16]. - The net profit attributable to shareholders of the listed company was RMB 35,018,982.62, up 6.50% from RMB 32,882,453.80 year-on-year[16]. - The basic earnings per share decreased by 36.57% to RMB 0.3028 from RMB 0.4774 in the same period last year[16]. - The gross margin for the main business was 78.72%, with a slight increase of 0.08% year-on-year[46]. - The total operating revenue for the first half of 2019 was CNY 364,976,413.77, an increase of 13.9% compared to CNY 320,295,134.46 in the same period of 2018[152]. - The net profit for the first half of 2019 reached CNY 41,059,759.15, representing a growth of 21.5% from CNY 33,774,270.22 in the first half of 2018[153]. - The total profit for the first half of 2019 was CNY 48,483,506.66, an increase from CNY 39,569,662.78 in the first half of 2018[152]. Cash Flow - The net cash flow from operating activities surged to RMB 36,294,987.06, a significant increase of 343.32% compared to RMB 8,187,095.86 in the previous year[16]. - Cash inflow from operating activities was CNY 409,792,685.06 in the first half of 2019, compared to CNY 320,615,181.92 in the same period of 2018[156]. - The net cash flow from operating activities increased to ¥88,272,924.07, up from ¥19,840,309.98 in the same period last year, representing a growth of approximately 345%[160]. - Total cash and cash equivalents at the end of the period reached ¥215,746,279.21, compared to ¥108,095,742.71 at the end of the previous year, marking an increase of about 99.5%[161]. Assets and Liabilities - Total assets at the end of the reporting period were RMB 1,011,151,383.31, reflecting a 2.73% increase from RMB 984,313,099.51 at the end of the previous year[16]. - The company's total liabilities increased to CNY 353,785,848.98 from CNY 322,189,799.95, which is a rise of 9.8%[145]. - Cash and cash equivalents at the end of the reporting period amounted to RMB 218,949,666.20, representing 21.65% of total assets, an increase of 7.14% compared to the previous year[48]. - Accounts receivable reached RMB 182,873,649.89, accounting for 18.09% of total assets, with a year-on-year increase of 0.60%[48]. Research and Development - The company has a strong R&D team and has established a tiered project structure for product development, ensuring robust future growth[24]. - The R&D investment decreased by 17.71% to RMB 14.27 million compared to the previous year[43]. - The company's research and development expenses for the first half of 2019 were CNY 11,605,224.71, down from CNY 17,204,918.25 in the same period of 2018, indicating a decrease of 32.6%[147]. Product Development - The company operates in the traditional Chinese medicine manufacturing industry, with over 50 drug production licenses and 13 exclusive products, including Kun Tai capsules and Ning Pi Tai capsules, which are unique in China[24]. - The company currently has 11 products in production, with 4 major products and plans to transition 7 products from small-scale to bulk production in the future[32]. - The company has received approval to produce "Xiao Yu Jiang Zhi capsules," a new type of traditional Chinese medicine with a broad market prospect, targeting hyperlipidemia[32]. - The company maintains a diversified product pipeline, with plans for future production of 2 additional products, including a syrup and a capsule targeting specific health conditions[33]. Investment and Funding - The company invested a total of RMB 70,996,516.18 during the reporting period, marking a significant increase of 229.10% compared to the previous year[50]. - The total amount of raised funds was RMB 28,969.23 million, with RMB 3,213.42 million invested during the reporting period[57]. - The company plans to invest a total of 28,969.23 million CNY in various projects, with 5,974.23 million CNY allocated for bank loan repayment and working capital[60]. Risk Management - The company has outlined its major risks and countermeasures in the report, emphasizing the importance of investor awareness regarding investment risks[4]. - The company faces risks related to potential price reductions in pharmaceuticals due to government policies, which could affect profit margins[71]. - The company has implemented measures to strengthen the collection of accounts receivable, including increasing the assessment of the marketing team's performance and terminating cooperation with poorly rated pharmaceutical companies[73]. Environmental Responsibility - The company has effectively managed pollution emissions during production, but future regulatory changes may increase environmental costs[74]. - The company has implemented a clean energy boiler system, using natural gas, ensuring emissions are below the standards set by GB13271-2014[101]. - The company has developed emergency response plans for environmental incidents, with annual training and drills conducted[102]. Shareholder Information - The company plans to issue convertible bonds with a total amount not exceeding 177.30 million RMB, secured by property and stock pledges[91]. - The company approved a share repurchase plan with a budget of 25 million to 50 million RMB, with a maximum price of 20 RMB per share[117]. - The total number of ordinary shareholders at the end of the reporting period was 10,785[122].