Group 1: Company Performance - The company achieved operating revenue of ¥706,043,743.51 in the first three quarters, an increase of 71.26% compared to the same period last year [2] - Net profit attributable to shareholders reached ¥87,784,562.99, up 538.68% year-on-year [2] - Deducting non-recurring gains and losses, the net profit was ¥83,076,138.59, reflecting a significant increase of 1,176.44% compared to the previous year [2] Group 2: Operational Strategies - The company has implemented a dynamic monitoring system for operational indicators, focusing on revenue, net profit, gross margin, and expenses [2] - Emphasis on market expansion and cost control has led to improved asset utilization efficiency [2] - The company has adopted a diversified product strategy and flexible production models to enhance operational efficiency [2] Group 3: Response to Challenges - The company has activated contingency plans in response to the COVID-19 pandemic, ensuring smooth logistics and supply chain management [1] - Measures include strengthening supplier relationships and optimizing inventory management to mitigate risks [1] Group 4: Market Opportunities - The gelatin business is expected to grow due to its wide applications in medical, food, and health products [2] - The company is expanding its market reach by diversifying product applications and enhancing product value [2] - The collagen market is experiencing rapid growth, with increasing applications in health, food, and cosmetics [3] Group 5: Raw Material Management - The company is facing price fluctuations in raw materials due to increased production costs and logistics [3] - Strategies to mitigate risks include diversifying suppliers, optimizing procurement structures, and signing long-term contracts to stabilize prices [3] Group 6: Future Outlook - The company aims to leverage the growth opportunities in the gelatin and collagen markets, focusing on high-quality development and product chain extension [3] - The company is enhancing its marketing efforts through e-commerce and brand promotion strategies to boost sales [4]

Financial Performance - The company's revenue for Q3 2022 reached ¥229,684,681.49, representing a 69.39% increase year-over-year[5] - Net profit attributable to shareholders was ¥29,809,651.68, a significant increase of 381.33% compared to the same period last year[5] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥27,672,248.86, up 479.52% year-over-year[5] - The basic earnings per share for the period was ¥0.0502, reflecting a 321.85% increase compared to the same quarter last year[5] - The company's operating revenue for Q3 2022 reached ¥706,043,743.51, an increase of 71.26% compared to ¥412,267,239.59 in the same period last year[12] - Operating profit for the quarter was ¥107,490,911.86, compared to ¥17,011,668.55 in the previous year, reflecting a substantial growth[31] - The net profit for the third quarter of 2022 was ¥92,439,092.18, a significant increase from ¥13,670,658.88 in the same period last year, representing a growth of approximately 576%[32] - The net profit attributable to shareholders of the parent company was ¥87,784,562.99, compared to ¥13,744,660.50 in the previous year, indicating a year-over-year increase of about 537%[32] - The basic and diluted earnings per share for the third quarter were both ¥0.1479, up from ¥0.0248 in the prior year, reflecting an increase of approximately 497%[32] Assets and Liabilities - Total assets as of September 30, 2022, amounted to ¥2,219,279,610.42, a 5.07% increase from the end of the previous year[5] - Total liabilities decreased to ¥486,400,284.44 from ¥508,580,671.06, showing improved financial stability[29] - The company's equity attributable to shareholders increased to ¥1,506,877,799.19 from ¥1,422,692,834.57, reflecting a growth of 5.9%[29] - Current assets totaled ¥971,578,588.47, an increase of 8.8% from ¥892,592,899.38[29] - Non-current assets rose to ¥1,247,701,021.95, compared to ¥1,219,647,603.86 at the start of the year[29] Cash Flow - The company's cash flow from operating activities for the year-to-date was ¥126,730,842.75, showing a 401.86% increase[5] - The net cash flow from operating activities increased significantly by 401.86% to ¥126,730,842.75, compared to ¥25,252,201.87 in the previous year[13] - Cash inflow from sales of goods and services was ¥496,962,022.72, compared to ¥249,580,843.04 in the previous year, indicating an increase of about 99.4%[34] - The net cash flow from financing activities was ¥127,868,845.94, down from ¥254,532,800.08 in the same period last year, reflecting a decrease of about 50%[36] - The company reported cash outflows from investing activities totaling ¥167,582,255.61, a decrease from ¥334,263,088.04 in the previous year, showing a reduction of approximately 50%[35] Research and Development - R&D expenses surged by 149.80% to ¥17,057,544.09, up from ¥6,828,546.10, driven by increased investment in research and the inclusion of Yiqing Bio in the consolidated financial statements[12] - Research and development expenses for the quarter were ¥17,057,544.09, significantly higher than ¥6,828,546.10 in the same period last year, indicating a focus on innovation[31] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 23,574, with no preferred shareholders[15] - The top shareholder, Qingdao Guoen Technology Co., Ltd., holds 21.18% of the shares, amounting to 125,711,022 shares[15] Other Financial Metrics - The company reported a significant increase in contract liabilities, which rose by 40.54% to ¥6,741,472.07, indicating higher prepayments from customers[10] - The income tax expense rose dramatically by 362.14% to ¥15,439,361.35, up from ¥3,340,873.70, due to increased profits[12] - The company experienced a significant increase in other income, which rose by 2376.26% to ¥642,902.56, compared to ¥25,962.63 in the previous year[12] - The company reported a net loss from investments of ¥718,952.78, an improvement of 57.09% from a loss of ¥1,675,448.37 in the prior period[12] Corporate Developments - The company completed the employee stock ownership plan, enhancing employee cohesion and corporate culture[21][22] - The company successfully increased capital for its subsidiary Yiqing Bio, completing the industrial and commercial change registration[23] - The company established two new subsidiaries to advance its multi-point terminal business strategy and launched new products including collagen peptide drinks and enzyme powders[25] - The company is actively developing e-commerce live streaming to promote star products and strengthen terminal operations[25] - The company optimized raw material procurement and production efficiency, contributing to improved operational performance[20] - The company merged with its subsidiary Yiqing Bio, resulting in increased sales revenue and profit[20] Audit and Reporting - The third quarter report was not audited, indicating that the figures presented are preliminary and subject to change[37]

Financial Performance - The company's operating revenue for the reporting period was ¥476,359,062.02, representing a 72.18% increase compared to ¥276,670,413.54 in the same period last year[26]. - Net profit attributable to shareholders reached ¥57,974,911.31, a significant increase of 667.73% from ¥7,551,503.43 year-on-year[26]. - The net profit after deducting non-recurring gains and losses was ¥55,403,889.73, up 3,096.24% from ¥1,733,408.58 in the previous year[26]. - The net cash flow from operating activities was ¥108,230,931.16, a remarkable increase of 1,721.51% compared to -¥6,674,707.77 in the same period last year[26]. - Basic and diluted earnings per share were both ¥0.0977, reflecting a 588.03% increase from ¥0.0142[26]. - Total assets at the end of the reporting period were ¥2,187,662,627.21, a 3.57% increase from ¥2,112,240,503.24 at the end of the previous year[26]. - The company's revenue for the reporting period reached ¥476,359,062.02, representing a year-on-year increase of 72.18% due to steady growth in gelatin and collagen product sales[86]. - The operating costs increased to ¥352,976,047.34, a rise of 44.44% compared to the previous year, primarily driven by the increase in revenue[87]. - Research and development expenses surged by 121.01% to ¥20,242,699.19, reflecting the company's commitment to innovation and the inclusion of its subsidiary Yiqing Bio's R&D costs[87]. Market and Industry Trends - The company operates in the biopharmaceutical and health industry, which is a strategic emerging industry encouraged by national policies[34]. - The collagen protein application areas include health food, functional food, cosmetics, and industrial applications, with a projected CAGR of 6.55% for the health food market from 2020 to 2025[37]. - The overall market sales are improving, benefiting the health market's sustained and stable development[37]. - The retail sales of consumer goods in China decreased by 11.1% year-on-year, but in June, it turned positive with a growth of 3.1% year-on-year and 0.53% month-on-month, benefiting the company's product promotion and brand building[38]. - The collagen market is in a rapid development phase, with increasing applications in pharmaceuticals, food and beverages, and cosmetics, presenting growth opportunities for the company[40]. Product Development and Innovation - The company plans to launch a new gelatin product by the end of the year and is expecting clinical approval for its hemostatic materials project[35]. - The company has launched multiple new products in 2022 and established new channels and platforms to enhance its market presence[40]. - New retail products launched in 2022 include collagen peptide powders and various health supplements, catering to diverse consumer needs[51]. - The company is committed to research and development of new products, including functional fertilizers and plant growth stimulants, to support modern agricultural development[49]. - The company launched a series of new products in 2022, including collagen peptide powder and probiotics, aiming to establish a breakthrough in terminal business[62]. - The company is focusing on optimizing production processes and reducing costs while developing high-value-added new products[68]. Strategic Acquisitions and Partnerships - The company has strengthened its core competitiveness and industry leadership by acquiring Yiqing Bio, extending its industrial chain[39]. - Yiqing Bio, a subsidiary, has initiated a new intelligent industrialization project for hollow capsules to meet the growing demand in the pharmaceutical and health product markets[41]. - The company is actively collaborating with high-quality production enterprises to expedite the market launch of the "Yuan Su" series of new products[71]. Marketing and Brand Development - The company has appointed a celebrity spokesperson to boost brand awareness and has implemented diverse promotional strategies[62]. - The company aims to enhance its market influence and increase market share through comprehensive brand promotion strategies[128]. - The company is focusing on building a strong domestic collagen brand, "Yuan Su," to capture a larger market share[128]. Environmental and Social Responsibility - The company is committed to low-carbon green manufacturing, aligning with national strategic planning to reduce carbon emissions[70]. - The company has established an environmental protection management committee and has implemented a comprehensive environmental monitoring plan[141]. - The company actively participates in social responsibility initiatives, contributing over 200,000 yuan in products to aid pandemic relief efforts[144]. Governance and Compliance - The company emphasizes the protection of investor rights and has improved its information disclosure practices[143]. - The company has committed to avoiding unfair related-party transactions, ensuring transparency and fairness in all dealings[149]. - The company has established a governance structure that allows for independent operation and decision-making by its board and management[149]. Future Outlook - The company provided an optimistic outlook for the second half of 2022, projecting a revenue growth of 25% based on current market trends and product demand[152]. - Future guidance indicates a focus on sustainability initiatives, with plans to reduce carbon emissions by 25% over the next three years[152].

Production Capacity and Expansion - The company expanded its production capacity to 13,500 tons/year for gelatin and 4,300 tons/year for collagen, but faces sales risks due to market conditions and inventory levels [9]. - The company plans to expand its production capacity with new projects, including a 3,500-ton gelatin construction project and a 2,000-ton collagen project [31]. - The company plans to expand its capsule production capacity from 30 billion to 60 billion capsules over the next three years, indicating strong growth potential [72]. - The company has committed to invest 114,814.05 million RMB in various projects, with a significant portion allocated to the gelatin expansion project [170]. Financial Performance - The company's operating revenue for 2021 was ¥612,165,671.91, representing a 36.39% increase compared to ¥448,827,791.89 in 2020 [31]. - The net profit attributable to shareholders for 2021 was ¥36,484,130.69, a significant increase of 97.74% from ¥18,450,301.36 in 2020 [31]. - The net profit after deducting non-recurring gains and losses was ¥26,920,029.36, up 127.03% from ¥11,857,395.88 in 2020 [31]. - The total assets at the end of 2021 reached ¥2,112,240,503.24, marking a 48.97% increase from ¥1,417,934,200.36 at the end of 2020 [31]. - The net cash flow from operating activities for 2021 was ¥51,501,086.21, a decrease of 18.42% from ¥63,129,603.25 in 2020 [31]. Product Development and Innovation - In 2021, the company launched new products including beef bone collagen peptides and collagen protein sodium hyaluronate vitamin C powder, with plans for further product releases in 2022 [12]. - The company is focusing on technological innovation and product development in the fields of gelatin and collagen to enhance its competitive edge [48]. - The company is actively developing new products and enhancing its market presence, including launching new products and utilizing celebrity endorsements [48]. - The company has successfully developed a new collagen protein product, "shredded meat" plant-based product, and has made significant progress in the development of ultra-low endotoxin gelatin preparation technology [115]. Market Strategy and Presence - The company aims to strengthen its market presence by establishing trade offices in cities like Hangzhou, Shanghai, and Qingdao to boost sales of raw collagen products [9]. - The company is implementing a "Collagen+" strategy to enhance brand visibility and market share, including the use of celebrity endorsements [13]. - The company is actively expanding its market presence by optimizing product structure and launching new products, while enhancing channel and brand development [58]. - The company plans to enhance its online and offline sales channels, leveraging e-commerce and live streaming platforms to boost brand visibility [181]. Research and Development - The company has invested significantly in R&D, ranking among the top in the industry for new technologies and processes related to collagen and its derivatives [81]. - The company has established multiple research and development platforms, including key laboratories and innovation centers in Inner Mongolia and Qingdao [81]. - The company is collaborating with research institutions to enhance its R&D capabilities, particularly in the field of collagen peptides and their applications [88]. - The company is committed to maintaining high standards in product safety and efficacy, as demonstrated by its research on the toxicological safety of collagen peptides [96]. Acquisitions and Partnerships - The acquisition of Yiqing Bio has been integrated into the company's consolidated financial statements, expanding its operational scale and product range [7]. - The company acquired 60% of Qingdao Yiqing Biotechnology Co., Ltd. on November 30, 2021, which specializes in the production and sales of medicinal capsules, enhancing its position in the biopharmaceutical supply chain [135]. - The company has established partnerships with several universities and research institutions to support the development of bio-organic fertilizers and other products [116]. - The company is exploring potential mergers and acquisitions to enhance its product portfolio and market reach, with a focus on complementary businesses [92]. Governance and Compliance - The company has established a sound governance structure that complies with the regulations set forth by the China Securities Regulatory Commission [197]. - The board of directors consists of 7 members, including 3 independent directors, and operates in compliance with legal and regulatory requirements [196]. - The company actively communicates with stakeholders, ensuring the protection of their legal rights and interests [197]. - There are no significant discrepancies between the company's governance practices and the relevant laws and regulations [197]. Sustainability and Social Responsibility - The company is focused on sustainable practices, promoting a circular economy and resource recycling systems in line with national policies [56]. - The organic fertilizer segment is gaining traction due to government policies promoting sustainable agriculture, with the company positioned to benefit from this trend [51]. - The company is entering the fertilizer market with a resource utilization project, leveraging unique product advantages to capture opportunities in the agricultural sector [188]. - The company is committed to fostering a corporate culture that aligns with its parent company, enhancing employee engagement and operational efficiency [190].

包头东宝生物技术股份有限公司 2022 年第一季度报告全文 证券代码：300239 证券简称：东宝生物 公告编号：2022-018 包头东宝生物技术股份有限公司 2022 年第一季度报告 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.第一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 | 上年同期 | 本报告期比上年同期增减 | | --- | --- | --- | --- | | 营业收入（元） | 228,169,864.35 | 138,178,161.95 | 65.13% | | 归属于上市公司股东的净利润（元） | 23,723,318.02 | 4,6 ...

Financial Performance - The company's revenue for Q3 2021 reached ¥135,596,826.05, representing an increase of 18.65% compared to the same period last year[3] - Net profit attributable to shareholders for Q3 2021 was ¥6,193,157.07, a significant increase of 64.31% year-on-year[3] - The basic earnings per share for Q3 2021 was ¥0.0119, up by 65.28% compared to the same quarter last year[3] - Operating revenue increased to ¥412,267,239.59, up 36.93% from ¥301,069,330.26, primarily due to increased sales of gelatin and collagen products[10] - The company achieved operating revenue of ¥412,267,239.59, an increase of 36.93% year-over-year, and a net profit attributable to shareholders of ¥13,744,660.50, up 30.30% year-over-year[20] - Net profit for Q3 2021 was CNY 13,670,658.88, representing a 31.0% increase from CNY 10,369,752.85 in Q3 2020[29] Assets and Liabilities - Total assets as of September 30, 2021, amounted to ¥1,615,264,326.62, reflecting a growth of 13.92% from the end of the previous year[3] - The company's total liabilities decreased to CNY 215,370,256.95 from CNY 419,750,969.84 year-on-year[28] - The company reduced short-term borrowings to ¥39,825,314.15 from ¥90,916,828.04 at the end of 2020[26] Cash Flow - The company's cash flow from operating activities for the year-to-date period decreased by 24.99% to ¥25,252,201.87[3] - Cash received from operating activities decreased by 45.16% to ¥7,662,867.40 from ¥13,972,579.86, mainly due to reduced government subsidies[11] - The net cash flow from operating activities for Q3 2021 was ¥25,252,201.87, a decrease from ¥33,666,271.86 in the previous year[33] - The net cash flow from investing activities was -¥121,263,088.04, compared to -¥120,247,612.20 in the same period last year[33] - The net cash flow from financing activities increased to ¥254,532,800.08 from ¥86,936,547.36 year-over-year[33] Equity and Shareholding - The company reported a 41.41% increase in total equity attributable to shareholders, reaching ¥1,399,894,069.67 compared to the end of the previous year[3] - The number of ordinary shareholders at the end of the reporting period was 28,272, with no preferred shareholders[14] - The company has a shareholding structure where the top 10 shareholders include significant stakes from state-owned and private entities, indicating a diverse ownership base[15] - The report indicates that the company has implemented a three-year unlocking schedule for equity incentive shares, with unlocking ratios of 40%, 30%, and 30%[18] Investments and Expenditures - Research and development expenses increased by 80.76% to ¥10,133,540.77, driven by new project investments[8] - The company completed the acquisition of a 60% stake in Qingdao Yiqing Biotechnology Co., Ltd. for a total consideration of ¥27,186.39 million, aiming to enhance its health industry layout and core competitiveness[22] - Investment cash outflows surged by 1230.59% to ¥74,406,780.00 from ¥5,592,000.00, primarily due to increased equity investment expenditures[11] Other Financial Metrics - Other income surged by 79.18% to ¥8,303,857.10 from ¥4,634,464.64, mainly due to increased government subsidies and deferred income[10] - Investment income reported a loss of ¥1,675,448.37, worsening by 47.28% compared to a loss of ¥1,137,626.38, attributed to recognized investment losses from long-term equity investments[10] - Cash paid for various taxes increased by 149.30% to ¥28,605,143.89 from ¥11,474,236.26, driven by higher operating revenue and profit[11] Share Restrictions and Governance - The report highlights that the company is subject to restrictions on share transfers for executives, limiting annual transfers to 25% of their holdings[18] - The company has not disclosed any related party relationships among the top shareholders, which may impact governance and control[15] - The report indicates that the company is preparing for the release of restricted shares on December 15, 2021, for several shareholders, which may affect stock liquidity[18]

Production Capacity and Expansion - The company's gelatin and collagen production capacity reached 13,500 tons/year and 4,300 tons/year respectively, with full production requiring time due to market conditions and inventory levels, potentially impacting profits [9]. - The company plans to expand its production capacity with projects aimed at increasing gelatin production from 3,500 tons to 7,000 tons annually [33]. - The company is in the process of acquiring a 60% stake in Qingdao Yiqing Biotechnology Co., which will become a subsidiary upon completion of the acquisition [33]. - The company has increased its gelatin production capacity to 13,500 tons and collagen production capacity to 4,300 tons, maintaining a leading position in the industry [89]. Financial Performance - The company's operating revenue for the first half of 2021 was approximately ¥276.67 million, representing a 48.12% increase compared to ¥186.78 million in the same period last year [33]. - The net profit attributable to shareholders for the same period was approximately ¥7.55 million, an increase of 11.39% from ¥6.78 million year-on-year [33]. - The net profit after deducting non-recurring gains and losses decreased by 54.91% to approximately ¥1.73 million, down from ¥3.84 million in the previous year [33]. - The company's total assets at the end of the reporting period were approximately ¥1.69 billion, a 19.35% increase from ¥1.42 billion at the end of the previous year [33]. - The net assets attributable to shareholders increased by 40.78% to approximately ¥1.39 billion, compared to ¥989.96 million at the end of the previous year [33]. - The company reported a negative net cash flow from operating activities of approximately ¥6.67 million, a decline of 135.96% compared to a positive cash flow of ¥18.56 million in the same period last year [33]. - The basic earnings per share for the reporting period was ¥0.0142, reflecting a 10.08% increase from ¥0.0129 in the previous year [33]. Market Strategy and Development - The company aims to strengthen its market expansion efforts by collaborating with educational institutions and research organizations, focusing on product quality improvement and new product development [10]. - The company is actively seeking to develop strategic partnerships in economically developed regions to explore new sales paths for retail products [14]. - The company is focusing on the development of its collagen product line, targeting markets such as middle-aged and elderly consumers, women, and health-conscious individuals [14]. - The company recognizes the risks associated with potential mismatches between investment and returns in the retail product market and is taking steps to enhance brand building and market penetration [14]. - The company is committed to leveraging new consumption trends and expanding its market presence to meet evolving consumer demands [10]. Research and Development - The company is actively increasing investment in technological innovation and product development, particularly in small peptide applications to meet consumer upgrade demands [43]. - The company has made significant progress in key R&D projects, including the development of ultra-low endotoxin gelatin, which is aimed at the medical field and is expected to enhance the development of medical devices in China [79]. - The company has established key laboratories and research centers, including the first batch of key laboratories for gelatin in China [91]. - The company has published several research papers on gelatin and collagen peptides, contributing to its industry leadership in research and development [94]. Corporate Governance and Compliance - The company has established a robust internal control system to protect the rights of shareholders and creditors, ensuring compliance with relevant laws and regulations [152]. - The company has committed to avoiding any competitive products or similar businesses during the reporting period, ensuring compliance with the commitment made on June 28, 2021 [156]. - The company guarantees that its senior management will work exclusively for the listed company and will not hold positions in other companies controlled by the major shareholders [158]. - The company has established a sound corporate governance structure, ensuring independent operation and decision-making processes [158]. Environmental Responsibility - The company reported a total discharge of 147.61 tons/year of COD and 19.21 tons/year of ammonia nitrogen, all within the approved emission standards [146]. - The company has established an Environmental Protection Management Committee and implemented a comprehensive environmental monitoring plan to ensure compliance with environmental regulations [147]. - The company maintains a commitment to environmental protection, with no instances of exceeding pollution discharge limits reported [147]. - The company has received environmental impact assessment approvals for all construction projects, ensuring compliance with environmental standards [148]. Shareholder Engagement and Financial Management - The company will not distribute cash dividends, issue bonus shares, or increase share capital from reserves [16]. - The company has committed to fulfilling its obligations regarding immediate return measures to protect investor interests [162]. - The company plans to enhance market expansion efforts to increase sales revenue and future earnings [164]. - The company has initiated a share buyback program, with a budget of 100 million RMB, to enhance shareholder value and stabilize stock prices [193].

证券代码：300239 证券简称：东宝生物 公告编号：2021-064 包头东宝生物技术股份有限公司 关于举行2021年投资者网上集体接待日活动的公告 本公司及董事会全体成员保证信息披露内容的真实、准确、完整，没有虚假 记载、误导性陈述或重大遗漏。 包头东宝生物技术股份有限公司（以下简称"公司"）定于 2021 年 8 月 4 日（星期三）15：00—17：00 采用网络远程方式举行 2021 年投资者网上集体接 待日活动，现将有关事项公告如下： 本次投资者网上集体接待日活动将在深圳市全景网络有限公司提供的网上 平台采 用 网 络 远 程 的 方 式 举 行 ， 投 资 者 可 以 登 录 " 全 景 · 路 演 天 下 " （http://rs.p5w.net）参与本次互动交流。 欢迎广大投资者积极参与。 特此公告。 包头东宝生物技术股份有限公司 董事会 2021 年 7 月 29 日 ...

Financial Performance - The company's operating revenue for Q1 2021 was ¥138,178,161.95, representing a 53.56% increase compared to ¥89,993,866.50 in the same period last year[8] - Net profit attributable to shareholders was ¥4,628,670.64, up 36.59% from ¥3,508,687.40 in the previous year[8] - Basic and diluted earnings per share increased to ¥0.0089, reflecting a growth of 36.92% compared to ¥0.0067 in the previous year[8] - The company's net profit after deducting non-recurring gains and losses decreased by 10.31% year-on-year to CNY 2,282,380.49[23] - The net profit for the first quarter of 2021 was CNY 4,975,091.72, an increase of 76% compared to CNY 2,831,763.81 in the same period last year[63] - Operating profit reached CNY 6,343,741.66, up from CNY 3,525,775.07, reflecting a growth of 80% year-over-year[63] - The total profit amounted to CNY 6,347,193.29, compared to CNY 3,507,468.36 in the previous year, indicating a 81% increase[63] Cash Flow - The net cash flow from operating activities improved significantly to ¥3,278,714.69, a 209.95% increase from a negative cash flow of ¥2,350,379.61 in the same period last year[8] - Cash flow from operating activities generated a net amount of CNY 3,278,714.69, a significant recovery from a negative cash flow of CNY -2,982,028.40 in the prior year[67] - The net cash flow from investment activities was -11,965,847.06 CNY in Q1 2021, compared to -8,250,707.52 CNY in Q1 2020, indicating a decline in investment cash flow[71] - The net cash flow from financing activities was -8,059,928.22 CNY in Q1 2021, contrasting with a positive net cash flow of 18,883,375.32 CNY in Q1 2020[71] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,425,806,725.14, a slight increase of 0.56% from ¥1,417,934,200.36 at the end of the previous year[8] - Total liabilities increased to CNY 422,506,385.20 from CNY 419,750,969.84, reflecting a growth of about 0.60%[51] - The company's equity attributable to shareholders reached CNY 994,642,078.94, up from CNY 989,956,482.67, indicating an increase of approximately 0.17%[52] Shareholder Information - The total number of shareholders at the end of the reporting period was 30,374[12] - The largest shareholder, Inner Mongolia Dongbao Economic and Trade Co., Ltd., held 26.60% of the shares, totaling 138,823,422 shares[12] - The company did not engage in any repurchase transactions among the top 10 shareholders during the reporting period[13] Government Subsidies - The company received government subsidies amounting to ¥2,696,854.35, primarily related to asset-related government grants[9] - Cash received from government subsidies increased by 48.18% to CNY 2,599,306.80 compared to the previous period[22] Operational Costs and Expenses - The gross profit margin decreased due to a significant rise in operating costs, which amounted to ¥121,070,448.96, reflecting a 66.23% increase from ¥72,831,984.74[20] - Tax expenses increased by 79.48%, amounting to ¥2,181,946.29, due to higher sales leading to increased VAT and other taxes[20] - Selling expenses decreased by 39.30% to ¥2,135,151.99, as transportation costs were reclassified into operating costs under new revenue recognition standards[20] - Financial expenses surged by 135.50%, reaching ¥2,085,829.42, primarily due to increased interest on working capital loans[20] Future Outlook and Strategy - The company plans to continue expanding its product lines and market reach, focusing on gelatin and collagen products[20] - Future guidance indicates a positive outlook for revenue growth driven by increased sales volume and market demand[20] - The company plans to focus on innovation, operational strengthening, and new product promotion to drive growth[29] - The company aims to enhance product quality and development by collaborating with research institutions and downstream customers, focusing on new consumption trends and market expansion[31] Research and Development - The company is advancing the development of ultra-low endotoxin gelatin, aimed at applications in medical devices and tissue engineering[23] - A collaboration project with Shanghai Lanwei Medical Technology Co., Ltd. has been signed to expand the application of gelatin in high-value sectors[25] - The R&D project for artificial meat products has completed development, with a small production line in trial operation[27] - The company has initiated research on bioactive peptides derived from collagen, targeting applications in various fields[28] Production Capacity and Risks - The company has expanded its collagen production capacity to 13,500 tons/year for gelatin and 4,300 tons/year for collagen, but faces sales risks due to market conditions affecting full production ramp-up[30] - The company is addressing raw material procurement risks by optimizing supply chain management and exploring new sourcing channels[32] Compliance and Management - The company has received the "High-tech Enterprise Certificate" from relevant authorities, reaffirming its status as a high-tech enterprise[35] - The company is committed to improving its management efficiency and operational capabilities in response to the challenges posed by its expanded business scale[30] - The company has established a pandemic response team to mitigate the impact of COVID-19 on its operations and supply chain[34]

Financial Performance - The company's operating revenue for 2020 was approximately ¥448.83 million, a decrease of 8.79% compared to the previous year[30]. - The net profit attributable to shareholders for 2020 was approximately ¥18.45 million, representing a decline of 43.94% year-over-year[30]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately ¥11.86 million, down 55.21% from the previous year[30]. - The net cash flow from operating activities for 2020 was approximately ¥63.13 million, a significant increase of 251.86% compared to the previous year[30]. - The total assets at the end of 2020 amounted to approximately ¥1.42 billion, reflecting a growth of 7.80% year-over-year[30]. - The net assets attributable to shareholders at the end of 2020 were approximately ¥989.96 million, showing a slight increase of 0.06% compared to the previous year[30]. - The basic earnings per share for 2020 were ¥0.0353, a decrease of 45.61% from the previous year[30]. - The diluted earnings per share for 2020 were also ¥0.0353, reflecting the same decline of 45.61% year-over-year[30]. - The company reported a quarterly revenue increase, with Q4 2020 revenue reaching approximately ¥147.76 million, the highest for the year[32]. - The company achieved total operating revenue of CNY 448,827,791.89, a decrease of 8.79% year-on-year[47]. Production Capacity and Expansion - The company's collagen production capacity reached 13,500 tons/year for gelatin and 4,300 tons/year for collagen, with potential short-term profit impacts due to fixed costs after project completion[8]. - The company has initiated projects to expand gelatin production capacity from 3,500 tons to 7,000 tons, which was affected by the pandemic[48]. - The company completed a 2000-ton collagen protein project and upgraded its production line from 1000 tons to 2300 tons, enhancing product quality and expanding capacity[77]. - The company plans to expand its collagen protein peptide supplement production capacity from 1,000 tons to 2,300 tons[123]. - The annual average net profit for the 2,000 tons collagen project is projected to be CNY 22.86 million once fully operational[132]. - The first-year capacity utilization rate for the 2,000 tons collagen project is expected to reach 60%, with an estimated net profit of CNY 8.319 million[132]. Research and Development - The company is committed to developing new products and enhancing quality to meet the evolving consumer demands in the market[9]. - The company is actively involved in the research and development of new technologies and products to lead innovation in the collagen field[50]. - Research and development expenditures have surged by 159.62% compared to the previous period, indicating a strong commitment to innovation[52]. - The company has obtained 19 authorized patents, including 11 Chinese invention patents and 1 U.S. invention patent, showcasing its focus on technological advancement[58]. - The company is focusing on enhancing product quality, R&D capabilities, and expanding application fields and marketing channels[44]. - The company is focusing on developing new health products in collaboration with top universities and research institutions, including projects related to low-endotoxin and antimicrobial peptides[148]. Market Strategy and Sales Channels - The company plans to enhance its market expansion efforts by collaborating with educational institutions and research organizations, aiming for breakthroughs in retail sales of collagen products[9]. - The company has established a sales platform in Hangzhou to promote retail product channel development and business expansion, leveraging both online and offline resources[14]. - The company is exploring new sales channels and partnerships in economically developed areas to improve retail product sales efficiency[14]. - The company is actively developing diverse sales channels, including retail and e-commerce, to capitalize on the growing health market[78]. - The company aims to leverage its trademark portfolio to enhance market penetration and brand recognition in competitive sectors[65]. Financial Management and Investments - The company has not planned to distribute cash dividends or issue bonus shares for the year[16]. - The company reported a total distributable profit of approximately 123.63 million RMB for the year[160]. - The company has committed to not infringing on the interests of shareholders, particularly minority shareholders, by not distributing dividends[164]. - The company has fulfilled all commitments made by actual controllers and shareholders during the reporting period[165]. - The company has made commitments to not interfere with its operational management and to protect its interests[176]. - The company will strictly implement its dividend policy to ensure shareholder returns[178]. Risk Management and Operational Efficiency - The company is focusing on optimizing its supply chain management to mitigate procurement price volatility risks, especially for key raw materials[12]. - The company is addressing management risks associated with its expanded operational scale by optimizing management models and forming core business teams[6]. - The company is committed to maintaining high standards in product safety and efficacy, as demonstrated by its research on the toxicological safety of collagen products[63]. - The company is committed to improving production, quality, and supply chain management while accelerating the certification process for key products and licenses[152]. Regulatory Compliance and Corporate Governance - The company has committed to ensuring that any new regulatory requirements from the China Securities Regulatory Commission will be met[167]. - The company has established a linkage between the execution of its compensation system and the measures to fill immediate returns[168]. - The company confirmed that all commitments made to minority shareholders were fulfilled on time[182]. - The company will comply with the latest regulations from the China Securities Regulatory Commission regarding shareholder and executive stock reduction[173]. Industry Trends and Market Position - The health and biopharmaceutical industry is experiencing rapid growth, supported by government policies and increasing consumer health awareness[49]. - The company’s market position is expected to improve as domestic technology levels and brand recognition increase, indicating significant growth potential in the collagen market[51]. - The company is benefiting from favorable government policies and the rapid development of the health service industry, which is expected to create better market opportunities for its collagen business[141]. - The company is positioned as a leading enterprise in the collagen industry, with a comprehensive production and sales system covering the entire collagen industry chain[140].