博腾股份(300363) - 2022 Q4 - 年度财报

Company Overview Company Basic Information Porton Pharma aims to be a global pharmaceutical service platform, offering end-to-end CDMO services across APIs, formulations, and gene and cell therapy, with extensive disease coverage and advanced technology platforms - Company positioned as a global leading pharmaceutical service platform, providing API, formulation, and gene and cell therapy CDMO services[263] - Company's technology platforms cover crystallization, biocatalysis, flow chemistry, gene and cell therapy, etc., with over 20 operating sites and approximately 2,100 m³ API production capacity[196][264][226] Company Service Capability Overview | Indicator | Details | | :--- | :--- | | Cumulative global customers served | ~800 | | New customers introduced | 164 | | Cumulative projects delivered | 2200+ | | Innovative drugs supported for listing | 3 | | GCT customers supported for IND application | 2 | Risk Factors The company faces diverse operational risks, including declining demand for major orders, market fluctuations for innovative drugs, fixed asset investments, environmental safety, exchange rate volatility, and new business investment challenges - The company received an approximately $897 million small molecule innovative drug CDMO service order from a large US pharmaceutical company; if future demand decreases, company performance may decline[234] - Over 70% of the company's revenue in the past three years came from commercial-stage CDMO services; delisting, recall, or declining market demand for innovative drugs may lead to performance fluctuations[234] Fixed Asset Investment and Depreciation | Indicator | 2022 (CNY 100 million) | 2021 (CNY 100 million) | 2020 (CNY 100 million) | | :--- | :--- | :--- | :--- | | Book value of fixed assets | 21.20 | 17.48 | 13.63 | | Depreciation of fixed assets | 3.31 | - | - | | Book value of construction in progress | 10.29 | - | - | - Improper treatment of pollutants such as wastewater, exhaust gas, and solid waste during drug R&D and production, or improper handling of flammable and explosive materials, may lead to major environmental and safety accidents[238] Exchange Gain/Loss | Year | Exchange Gain/Loss (CNY 10,000) | | :--- | :--- | | 2022 | 5,024.64 | | 2021 | 1,078.90 | | 2020 | -3,976.78 | - The two new business segments, formulation CDMO and gene and cell therapy CDMO, collectively reduced the company's consolidated net profit by approximately CNY 163 million; market development falling short of expectations may have a negative impact[260] Management Discussion and Analysis Industry Overview The pharmaceutical outsourcing services industry is driven by global R&D growth, new technologies, and China's pharmaceutical industry transformation, with long-term supply chain restructuring but limited short-term large-scale changes - Global pharmaceutical R&D investment continues to grow, projected to reach $417.7 billion by 2030; global CDMO market size is projected to reach $231 billion by 2030[343] - New technologies and therapies (e.g., mRNA drugs, ADCs, gene and cell therapy, AI drug discovery) continue to drive the pharmaceutical industry chain development, improving R&D and manufacturing efficiency[345] - China's pharmaceutical industry is transforming from generic drugs to innovative drugs, and is expected to maintain effective growth in the long term, promoting the development of the pharmaceutical outsourcing services industry[347] - Influenced by China-US relations and geopolitical factors, global supply chain restructuring may become a "slow variable" affecting the pharmaceutical outsourcing services industry, but large-scale changes are unlikely in the short term[348] Company's Main Businesses During the Reporting Period As a global CDMO organization, the company's core businesses encompass API, formulation, and gene and cell therapy CDMO, providing comprehensive R&D and manufacturing services to nearly 800 clients worldwide - The company's main businesses include API CDMO, formulation CDMO, and gene and cell therapy CDMO, offering end-to-end services[349] - The company has served nearly 800 customers and successfully delivered over 2,200 projects, covering major disease treatment areas such as antiviral and anti-tumor[350] Core Competitiveness Analysis The company's core competitiveness stems from its comprehensive, end-to-end service capabilities, global multi-site presence, stringent compliance systems, and a "customer first" culture, establishing its leading position in the CDMO industry - The company has established capabilities covering three major business segments: API CDMO, formulation CDMO, and gene and cell therapy CDMO, providing multi-category, full-lifecycle services[351] - The company has 8 R&D centers (in China and the US), 1,676 R&D technical personnel, and continues to expand service capabilities in North America and Europe[352][353][355] - The company possesses global-standard EHS management, quality management, and intellectual property protection systems, and empowers operational management through digitalization[356][357][358][359] - With 17 years of deep cultivation in the CDMO industry, the company has accumulated rich project and customer service experience, establishing business relationships with nearly 800 customers, forming a "first-mover" competitive barrier[360] - Adhering to a "customer first, pursuit of excellence" corporate culture, the company has received industry recognition such as the Roche 2021 CDMO Award, building strong brand trust[361] Main Business Analysis In 2022, the company's main business saw substantial growth, with operating revenue increasing by 127% due to large orders and high-margin products, while new CDMO segments also achieved significant revenue contributions and the company continued strategic investments and social responsibility initiatives 2022 Key Financial Indicators | Indicator | Amount/Ratio | | :--- | :--- | | Operating Revenue | CNY 7.035 billion (127% YoY growth) | | Net Profit attributable to parent | CNY 2.005 billion (283% YoY growth) | | Non-recurring net profit attributable to parent | CNY 1.979 billion (294% YoY growth) | | Overall Gross Margin | 51.96% (up 10.6 percentage points YoY) | | Net Profit Margin | 27.53% (up 12.21 percentage points YoY) | - The API CDMO business introduced 118 new customers, received over 1,300 inquiries, signed 573 projects, and delivered 449 projects[366][367] API Product Development | Indicator | 2022 | | :--- | :--- | | Number of API products served | 127 (up 22 YoY) | | API product revenue | CNY 392 million (35% YoY growth) | - The formulation CDMO business provided R&D services for 80 formulation projects for 64 customers, with new orders signed totaling CNY 119 million, a 67% YoY increase; the first phase of the formulation factory was completed and put into operation, with 5 production lines[423] - The gene and cell therapy CDMO business introduced 27 new customers, 52 new projects, with new orders signed totaling CNY 159 million, a 25% YoY increase; Porton Bio's industrialization base was completed, expanding capacity to 10 viral vector and 12 cell therapy production lines[423][426] - The company's R&D expenditure was CNY 520 million, a 96.92% YoY increase; the R&D team size reached 1,330 people, a 45.67% increase; 82 invention patents have been authorized[427] - The company's total employee count reached 5,332 people, a 41% increase; 59 R&D technical, management, and BD personnel at director level or above were introduced[429] - The company received titles such as "2022 Chongqing Top 100 Private Enterprises" and "Environmental Integrity Enterprise", and its ESG rating achieved CSI ESG AA and CUFE A+[431][433] Revenue and Cost Analysis In 2022, operating revenue surged by 126.55% to CNY 7.035 billion, driven by chemical drug R&D and manufacturing, with clinical late-stage and commercialization businesses contributing nearly 90% of revenue, and the company expanded its consolidated scope through new subsidiaries Operating Revenue Composition (2022 vs 2021) | Indicator | 2022 Amount (CNY) | 2022 Share | 2021 Amount (CNY) | 2021 Share | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 7,034,801,054.11 | 100% | 3,105,149,629.68 | 100% | 126.55% | | Chemical Drug R&D and Manufacturing Services | 6,955,672,121.48 | 98.88% | 3,089,399,794.49 | 99.49% | 125.15% | | Clinical Late-Stage and Commercialization Business | 6,282,219,788.22 | 89.30% | 2,038,566,810.06 | 65.65% | 208.17% | | Overseas Revenue | 6,322,166,084.77 | 89.87% | 2,426,119,045.43 | 78.13% | 160.59% | Operating Cost Composition (2022 vs 2021) | Industry Category | Item | 2022 Amount (CNY) | 2022 Share | 2021 Amount (CNY) | 2021 Share | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Chemical Drug R&D and Manufacturing Services | Direct Materials | 2,311,710,646.42 | 68.40% | 1,137,221,405.36 | 62.46% | 129.51% | - During the reporting period, the company expanded its consolidated scope by establishing or acquiring subsidiaries including Chongqing Yaoling Technology Co., Ltd., Porton Denmark ApS, Kaihui Pharma (Shanghai) Co., Ltd., Boxin Pharma, and Porton Slovenia d.o.o[443][444] Expense Analysis In 2022, the company experienced significant increases in selling, general and administrative, and R&D expenses, while financial expenses decreased substantially due to favorable exchange rate fluctuations Period Expense Changes (2022 vs 2021) | Item | 2022 Amount (CNY) | 2021 Amount (CNY) | YoY Change | Major Change Explanation | | :--- | :--- | :--- | :--- | :--- | | Selling Expenses | 203,292,576.22 | 97,019,085.71 | 109.54% | Increased marketing investment, sales business growth, increased sales commissions and personnel scale | | General and Administrative Expenses | 604,371,878.17 | 289,613,425.52 | 108.68% | Increased number of management personnel, increased year-end bonuses and equity incentive expenses | | Financial Expenses | -38,626,797.65 | -1,889,400.52 | -1,944.39% | Exchange rate fluctuations generated income | | R&D Expenses | 519,509,086.31 | 263,822,606.48 | 96.92% | Increased number of R&D personnel, increased year-end bonuses and continuous investment in R&D technology platforms | R&D Investment In 2022, the company's R&D investment reached CNY 520 million, representing 7.38% of operating revenue and a 96.92% year-on-year increase, supported by a growing and highly qualified R&D team R&D Investment and Personnel Composition (2022 vs 2021) | Indicator | 2022 | 2021 | Change Ratio | | :--- | :--- | :--- | :--- | | Number of R&D personnel (people) | 1,330 | 913 | 45.67% | | R&D personnel ratio | 24.94% | 24.14% | 0.80% | | R&D investment amount (CNY) | 519,509,086.31 | 263,822,606.48 | 96.92% | | R&D investment as % of operating revenue | 7.38% | 8.50% | -1.12% | | R&D personnel with Master's degree or above | 1,063 | - | - | | R&D personnel under 30 years old | 684 | - | - | Cash Flow Analysis In 2022, the company experienced a substantial increase in net cash inflow from operating activities, while net cash outflow from investing activities also rose, and net cash inflow from financing activities decreased Cash Flow Changes (2022 vs 2021) | Item | 2022 (CNY) | 2021 (CNY) | YoY Change | | :--- | :--- | :--- | | Subtotal of cash inflows from operating activities | 7,218,663,648.74 | 2,699,352,987.45 | 167.42% | | Subtotal of cash outflows from operating activities | 4,654,244,707.69 | 2,219,179,900.35 | 109.73% | | Net cash flow from operating activities | 2,564,418,941.05 | 480,173,087.10 | 434.06% | | Subtotal of cash inflows from investing activities | 19,604,095.03 | 117,631,389.37 | -83.33% | | Subtotal of cash outflows from investing activities | 1,455,904,798.41 | 1,033,801,178.55 | 40.83% | | Net cash flow from investing activities | -1,436,300,703.38 | -916,169,789.18 | -56.77% | | Subtotal of cash inflows from financing activities | 1,806,948,537.50 | 789,647,920.52 | 128.83% | | Subtotal of cash outflows from financing activities | 1,546,109,663.23 | 439,430,650.20 | 251.84% | | Net cash flow from financing activities | 260,838,874.27 | 350,217,270.32 | -25.52% | | Net increase in cash and cash equivalents | 1,437,998,164.05 | -94,826,349.96 | 1,616.45% | Asset and Liability Status Analysis At the end of 2022, the company's total assets grew by 54.59% to CNY 10.144 billion, driven by increased monetary funds and construction in progress, while fixed assets and long-term borrowings also saw significant increases Major Changes in Asset Composition (End of 2022 vs Beginning of 2022) | Item | End of 2022 Amount (CNY) | % of Total Assets | Beginning of 2022 Amount (CNY) | % of Total Assets | % Change | Major Change Explanation | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 2,850,419,010.56 | 28.10% | 1,216,870,789.10 | 18.54% | 9.56% | Increased sales in current period | | Construction in Progress | 1,029,021,600.29 | 10.14% | 341,581,208.41 | 5.21% | 4.93% | Investment in formulation CDMO factory phase I, Sangtiandao, Changshou factory 301 workshop and other projects | | Fixed Assets | 2,120,257,371.67 | 20.90% | 1,748,203,062.70 | 26.64% | -5.74% | New fixed assets from acquisition of 100% equity in Kaihui Pharma | | Long-term Borrowings | 312,912,245.62 | 3.08% | 23,999,996.00 | 0.37% | 2.71% | Increased long-term borrowings such as mortgage loans, pledge loans, credit loans | - As of the end of the reporting period, the company's restricted assets included monetary funds, intangible assets, and construction in progress, totaling CNY 493 million[171][787][488] Investment Status Analysis In 2022, the company's total investment increased by 41.63% to CNY 1.433 billion, driven by the acquisition of Kaihui Pharma and active derivative investments, while some fund-raising projects saw changes in use due to policy adjustments Investment Amount Changes | Indicator | 2022 (CNY) | 2021 (CNY) | Change Rate | | :--- | :--- | :--- | :--- | | Investment amount during reporting period | 1,432,989,604.53 | 1,011,815,424.69 | 41.63% | - The company acquired 100% equity in Kaihui Pharma (Shanghai) Co., Ltd. for CNY 241 million to expand CRO business capacity and develop domestic business[492] - The company engaged in forward foreign exchange contract derivative investments, with a notional amount of $840 million, for hedging purposes to manage exchange rate risks[495] Use of Raised Funds (2018 Non-public Issuance) | Total Raised Funds (CNY 10,000) | Used in Current Period (CNY 10,000) | Cumulative Used (CNY 10,000) | Cumulative Change of Use Ratio | Unused (CNY 10,000) | | :--- | :--- | :--- | :--- | :--- | | 146,202.76 | 2,315.59 | 114,835.91 | 100.00% | 31,366.85 | - The original fund-raising project "Jiangxi Porton Pharma Co., Ltd. Multi-functional Pharmaceutical Intermediate and API Project Phase I" was terminated due to park nature restrictions and temporary unclear environmental policies; part of the raised funds will be used for the "Pharmaceutical Intermediate Project Phase I (Workshop 301) Project" and "New Drug Service Outsourcing Base R&D Center Project (Phase II)"[501][531] Future Development Outlook The company is initiating a new three-year strategic cycle in 2023, focusing on six key strategies, with planned capital expenditures of CNY 1.4-1.7 billion for capacity and R&D, alongside continuous organizational and operational improvements - In 2023, the company will focus on six strategies, including breaking through key business opportunities, developing new businesses, breaking through key technologies, marketing transformation, digital transformation, and global layout[535] - Capital expenditures are expected to be CNY 1.4-1.7 billion in 2023, mainly for the Slovenia R&D and production base, Shanghai Minhang R&D center, digitalization, and synthetic macromolecule capability building[537] - The company will continue to promote organizational, process, talent, and cultural innovation, including group control, human resource management model optimization, cadre management system construction, and "One Porton" culture building[539] - The company will continue to promote operational excellence, enhancing capacity utilization of new sites through business development and lean management to achieve cost reduction and efficiency improvement[542] Corporate Governance Basic Status of Corporate Governance The company consistently adheres to legal and regulatory frameworks, enhancing its governance structure, internal controls, and information transparency to safeguard shareholder interests and ensure sustainable development - The company strictly adheres to laws and regulations such as the Company Law and Securities Law, improving governance structure, strengthening internal controls, and ensuring company independence[546] - The company's general meeting of shareholders provides online voting, ensuring equal exercise of legal rights for small and medium shareholders; the board of directors and supervisory board operate in a standardized manner, with directors and supervisors diligently performing their duties[546][547] - The company highly values information disclosure and investor relations management, ensuring fair access to information for investors through various channels and actively engaging in interaction[548] Company Independence The company maintains complete independence from its controlling shareholders and actual controllers across all aspects of business, personnel, assets, organization, and finance - The company's controlling shareholders and actual controllers are three natural persons: Ju Nianfeng, Zhang Hebing, and Tao Rong; the company is completely independent from them in terms of business, personnel, assets, organization, and finance[550] General Meeting of Shareholders During the reporting period, the company convened three general meetings, including two extraordinary and one annual meeting, with investor participation rates ranging from 37.71% to 52.60%, and all resolutions were duly announced General Meeting of Shareholders During the Reporting Period | Session | Meeting Type | Investor Participation Rate | Date Held | Disclosure Date | Meeting Resolution | | :--- | :--- | :--- | :--- | :--- | :--- | | First Extraordinary General Meeting of 2022 | Extraordinary General Meeting | 37.71% | March 16, 2022 | March 16, 2022 | "Resolution Announcement of the First Extraordinary General Meeting of 2022" (Announcement No.: 2022-025) | | 2021 Annual General Meeting | Annual General Meeting | 52.60% | April 18, 2022 | April 18, 2022 | "Resolution Announcement of the 2021 Annual General Meeting" (Announcement No.: 2022-053) | | Second Extraordinary General Meeting of 2022 | Extraordinary General Meeting | 49.72% | May 10, 2022 | May 10, 2022 | "Resolution Announcement of the Second Extraordinary General Meeting of 2022" (Announcement No.: 2022-067) | Directors, Supervisors, and Senior Management The company's board, supervisory board, and senior management team experienced significant changes during the reporting period, with new appointments and detailed disclosures of their professional backgrounds and remuneration, totaling CNY 31.5529 million in 2022 - During the reporting period, Tao Rong, Han Chu, Guo Yongqing, Lai Jihong, Li Xingming, Sun Min, Yu Yongmei, and other directors, supervisors, and senior management left due to term expiration[14][20] - Hu Lina, Cao Guojun, Yuan Lin, Pang Jinwei, and Wu Yuchen were elected as members of the new board of directors and supervisory board; Chen Hui, Wang Fengping, Wang Zhongneng, Wang Rui, Bai Yinchun, Zhu Po, and Pi Wei were newly appointed as senior management[20][23] - Current Chairman and General Manager Ju Nianfeng, Directors Li Yi, Xue Ying, Yang Weiqiang, Hu Lina, Cao Guojun, Independent Directors Cao Guohua, Yuan Lin, Pang Jinwei, etc., all possess rich industry experience and professional backgrounds[24][25][26][27][30] 2022 Remuneration for Directors, Supervisors, and Senior Management | Indicator | Amount (CNY 10,000) | | :--- | :--- | | Total remuneration actually paid to directors, supervisors, and senior management in 2022 | 3,155.29 | Performance of Duties by Directors During the reporting period, the company's board of directors held 15 meetings, diligently approving key proposals and providing professional advice, with all directors attending on time and raising no objections 2022 Board of Directors Meetings | Session | Date Held | Disclosure Date | Meeting Resolution | | :--- | :--- | :--- | :--- | | 39th Extraordinary Meeting of the 4th Board of Directors | February 10, 2022 | February 10, 2022 | Juchao Information Network "Resolution Announcement of the 39th Extraordinary Meeting of the 4th Board of Directors" (Announcement No.: 2022-006) | | 7th Meeting of the 5th Board of Directors | August 18, 2022 | August 20, 2022 | Juchao Information Network "Resolution Announcement of the 7th Meeting of the 5th Board of Directors" (Announcement No.: 2022-096) | | 11th Extraordinary Meeting of the 5th Board of Directors | December 20, 2022 | December 21, 2022 | Juchao Information Network "Resolution Announcement of the 11th Extraordinary Meeting of the 5th Board of Directors" (Announcement No.: 2022-128) | Attendance of Directors at Board and General Meetings | Director Name | Number of Board Meetings to Attend in Current Period | Number of On-site Board Meetings Attended | Number of Board Meetings Attended by Communication | Number of Board Meetings Attended by Proxy | Number of Board Meetings Missed | Whether Two Consecutive Board Meetings Were Not Attended in Person | Number of General Meetings Attended | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Ju Nianfeng | 15 | 1 | 14 | 0 | 0 | No | 1 | | Li Yi | 15 | 1 | 14 | 0 | 0 | No | 0 | | Xue Ying | 15 | 1 | 14 | 0 | 0 | No | 0 | | Yang Weiqiang | 15 | 0 | 15 | 0 | 0 | No | 0 | | Hu Lina | 11 | 1 | 10 | 0 | 0 | No | 0 | | Cao Guojun | 11 | 1 | 10 | 0 | 0 | No | 0 | | Cao Guohua | 15 | 1 | 14 | 0 | 0 | No | 1 | | Yuan Lin | 11 | 1 | 10 | 0 | 0 | No | 0 | | Pang Jinwei | 11 | 1 | 10 | 0 | 0 | No | 0 | | Tao Rong | 4 | 0 | 4 | 0 | 0 | No | 2 | | Han Chu | 4 | 0 | 4 | 0 | 0 | No | 0 | | Guo Yongqing | 4 | 0 | 4 | 0 | 0 | No | 0 | | Lai Jihong | 4 | 0 | 4 | 0 | 0 | No | 0 | - During the reporting period, the company's directors diligently performed their duties, actively participated in major decisions, offered professional advice, and all directors raised no objections to company matters[44][52] Status of Board's Special Committees During the Reporting Period During the reporting period, the board's audit, nomination, and remuneration and appraisal committees diligently fulfilled their duties, reviewing and unanimously approving all significant matters in accordance with their respective rules of procedure - The Fourth Audit Committee reviewed matters such as the 2021 Annual Report, internal control evaluation report, and financial final accounts report[53] - The Fifth Audit Committee reviewed the 2022 Semi-Annual Report and Third Quarterly Report[53] - The Nomination Committee reviewed matters related to the re-election of the board of directors and supervisory board, and the appointment of senior management[53] - The Remuneration and Appraisal Committee reviewed matters such as director allowance schemes, senior management performance summaries and remuneration schemes, and restricted stock incentive plans[53][54] Work of the Supervisory Board During the reporting period, the company's supervisory board conducted its oversight activities without identifying any risks - The supervisory board found no risks in the company during its oversight activities in the reporting period[54] Company Employee Status As of the reporting period, the company employed 5,332 individuals, predominantly in production and R&D, with a strong focus on talent development through a performance-based remuneration system and comprehensive training programs Employee Count, Professional Composition, and Educational Background | Indicator | Quantity (people) | | :--- | :--- | | Total employees at end of reporting period | 5,332 | | Production personnel | 2,728 | | R&D technical personnel | 1,676 | | Master's degree or above | 1,063 | | Bachelor's degree | 2,088 | | Junior college or below | 2,181 | - The company has established a remuneration system that is internally fair and externally market-competitive, adopting a combination of short-term, medium-term, and long-term incentive models[56] - The company has established an effective talent training system and a dual-channel job-rank system for employee career development, enhancing employee capabilities through professional academy construction, cadre leadership courses, internal expert sharing, and mentorship[59] Labor Outsourcing | Indicator | Amount | | :--- | :--- | | Total labor outsourcing hours (hours) | 42,190.22 | | Total remuneration paid for labor outsourcing (CNY) | 1,486,111.04 | Company Profit Distribution and Capital Reserve Conversion to Share Capital In 2022, the company distributed a cash dividend of CNY 1.93 per 10 shares, and in March 2023, proposed a 2022 annual cash dividend of CNY 11.06 per 10 shares, totaling CNY 602 million, representing 100% of the profit distribution - In April 2022, the company implemented the 2021 annual profit distribution, distributing a cash dividend of CNY 1.93 (tax inclusive) per 10 shares[60] 2022 Annual Profit Distribution Plan | Indicator | Amount | | :--- | :--- | | Dividend per 10 shares (CNY) (tax inclusive) | 11.06 | | Share capital base for distribution plan (shares) | 544,005,076 | | Cash dividend amount (CNY) (tax inclusive) | 601,669,614.06 | | Ratio of total cash dividend (including other methods) to total profit distribution | 100.00% | - The company's cash dividend policy complies with the articles of association, with clear dividend standards, complete decision-making procedures, diligent performance by independent directors, and full protection of small and medium shareholders' rights[61] Implementation of Company Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures During the reporting period, the company actively implemented its 2022 restricted stock incentive plan, granting 5.702 million shares to 211 recipients at CNY 41.31/share, while also adjusting and settling prior incentive plans and linking senior management remuneration to performance - In 2022, the company implemented the 2022 restricted stock incentive plan, initially granting 5.702 million restricted shares to 211 incentive recipients at a grant price of CNY 41.31 per share[68][706][750] - The conditions for lifting restrictions on multiple equity incentive plans from 2019, 2020, and 2021 have been met, involving the exercise of stock options and the unlocking of restricted shares[69][71][72][701][705][866][894][897] - Due to the departure of incentive recipients, the company repurchased and cancelled some granted but unvested restricted shares, including 42,000 shares from the 2020 plan and 72,400 shares from the 2021 plan[65][73][700][706] Equity Incentive for Directors, Supervisors, and Senior Management (End of 2022) | Name | Position | Number of Stock Options Held at Period End (shares) | Number of Restricted Shares Held at Period End (shares) | | :--- | :--- | :--- | :--- | | Ju Nianfeng | Chairman, General Manager | - | 500,000 | | Ji Yaohui | Senior Vice General Manager | - | 200,000 | | Chen Hui | Vice General Manager, CFO | 60,000 | 150,000 | | Zhu Po | Vice General Manager | 60,000 | 180,000 | | Bai Yinchun | Vice General Manager | - | 72,000 | | Wang Fengping | Vice General Manager | - | 81,450 | | Wang Zhongneng | Vice General Manager | - | 141,000 | | Wang Rui | Vice General Manager | - | 52,500 | | Pi Wei | Vice General Manager, Board Secretary | 45,000 | 107,000 | | Total | -- | 165,000 | 1,483,600 | - Senior management remuneration consists of basic salary and annual performance-based salary, linked to the company's economic benefits and annual operating plans, with remuneration distribution determined by performance appraisal[75] Construction and Implementation of Internal Control System During the Reporting Period During the reporting period, the company continuously enhanced its internal control system, including risk oversight by the risk management committee, internal audit defect rectification, and compliance training for all personnel, to ensure standardized operations - The company continuously improves its internal control system, strengthens internal control mechanisms, and has a Risk Management Committee to supervise operational risks[83] - The internal audit department strengthens supervision over the implementation of internal control systems, promptly tracks and rectifies defects, ensuring effective implementation[83] - The company strengthens compliance training for actual controllers, directors, supervisors, senior management, and employees to enhance overall compliance awareness and standardized operation levels[83] Management and Control of Subsidiaries During the Reporting Period In 2022, the company acquired 100% equity in Kaihui Pharma for CNY 241 million, which is currently undergoing renovation and is expected to commence operations in phases in 2023 - The company approved the acquisition of 100% equity in Kaihui Pharma (Shanghai) Co., Ltd. in March 2022, and completed the industrial and commercial registration change in April[84] - The total transaction consideration has been adjusted to CNY 241 million; Kaihui Pharma's factory buildings and facilities are currently being renovated and are expected to be put into use in phases in 2023[79][84] Internal Control Self-Evaluation Report or Internal Control Audit Report The company's 2022 internal control self-evaluation report, covering 100% of consolidated assets and revenue, defined deficiency standards and reported no significant or important deficiencies - The company's 2022 annual internal control self-evaluation report was disclosed on March 25, 2023, with an evaluation scope covering 100% of the company's consolidated financial statement assets and operating revenue[86] - The report detailed qualitative and quantitative standards for significant, important, and general deficiencies in financial and non-financial reporting[86][87][89] - During the reporting period, the number of significant and important deficiencies in the company's financial and non-financial reporting was zero[90] Environmental and Social Responsibility Major Environmental Issues As a key pollutant-discharging unit, the company strictly adheres to environmental regulations, with all production bases meeting emission standards and no major pollution incidents, while actively investing in environmental governance and carbon reduction - The company and its subsidiaries are designated key pollutant-discharging units by environmental protection authorities, strictly adhering to multiple national and local environmental laws, regulations, and industry standards[95] - In 2022, the Changshou, Jiangxi Yichun, and Hubei Yingcheng production bases obtained or renewed environmental impact approvals and national pollutant discharge permits; the Shanghai Fengxian production base obtained environmental impact approval[96] Chongqing Porton Pharma Tech Co., Ltd. Main Pollutant Emission Status (2022) | Pollutant Type | Pollutant Name | Emission Method | Emission Concentration/Intensity | Execution Standard | Total Emission | Approved Total Emission | Exceedance Status | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Wastewater | Chemical Oxygen Demand | Indirect Discharge | < 500mg/L | "Integrated Wastewater Discharge Standard" GB8978-1996 | 90.43 tons | 211.45 tons | None | | Wastewater | Ammonia Nitrogen | Indirect Discharge | < 45mg/L | "Wastewater Discharge Standard into Urban Sewers" (GB/T 31962-2015) | 5.71 tons | 19.03 tons | None | | Exhaust Gas | Volatile Organic Compounds | Direct Discharge after Treatment | < 100mg/m3 | "Emission Standard of Air Pollutants for Pharmaceutical Industry" GB37823-2019 | 24.58 tons | 67.492 tons | None | - All company production bases (Chongqing Changshou, Jiangxi Yichun, Hubei Yingcheng, Shanghai Fengxian) are equipped with wastewater treatment plants, employing multi-stage processes to treat wastewater, meeting park discharge standards or national emission standards[138][139][140][141] - Exhaust gas from each production base is treated through various processes such as condensation, spraying, activated carbon adsorption, and RTO incineration to meet emission standards[142][143][146] - Noise sources are controlled through comprehensive measures including foundation vibration reduction, building sound insulation, and distance attenuation, ensuring compliance with factory boundary noise standards[146][147] - Solid waste (including hazardous waste and domestic waste) is collected and disposed of separately; hazardous waste is entrusted to qualified institutions for treatment, and domestic waste is entrusted to local sanitation departments[147][148][208] - The company has developed a comprehensive environmental self-monitoring plan for monthly, quarterly, semi-annual, or annual monitoring of exhaust gas, wastewater, noise, etc[149][152][155][158][209] - The company has prepared the "Environmental Emergency Incident Risk Assessment Report" and "Environmental Emergency Incident Response Plan", which have been filed with the local ecological environment bureau[160] Environmental Governance and Protection Investment and Environmental Protection Tax | Indicator | Amount | | :--- | :--- | | Environmental investment | CNY 104 million | | Environmental protection tax paid | CNY 232,500 | - During the reporting period, the company effectively reduced carbon emissions through process optimization, raw material reduction, and energy saving, responding to the Paris Agreement goals[161] - During the reporting period, the company and its subsidiaries had no major environmental violations or major environmental pollution accidents[148][162] Social Responsibility Status The company's 2022 Social Responsibility Report details its comprehensive efforts across governance, risk management, integrity, innovation, employee development, environmental health, and community engagement, addressing stakeholder concerns - The company has released its "2022 Social Responsibility Report", detailing its initiatives in fulfilling corporate social responsibility across multiple dimensions[163] Consolidation and Expansion of Poverty Alleviation Achievements and Rural Revitalization During the reporting period, the company actively supported national rural revitalization efforts through its subsidiary Jiangxi Porton's volunteer activities - The company actively responded to the rural revitalization strategy, with its subsidiary Jiangxi Porton organizing volunteers to participate in support activities at the Majiaguan E-commerce Poverty Alleviation Base in Zhaxia Village, Songbu Town, Fengxin County[164] Significant Matters Fulfillment of Commitments The company's directors, supervisors, senior management, controlling shareholders, and actual controllers have consistently fulfilled all commitments made during public offerings or refinancing, including share lock-ups, repurchases, and related-party transaction avoidance - The company's directors, supervisors, and senior management committed to transferring no more than 25% of their total shares held annually during their tenure, with different share lock-up periods after resignation[167] - The company and its controlling shareholders committed to repurchasing all newly issued shares from the initial public offering if the prospectus contained false records, misleading statements, or major omissions[167] - Controlling shareholders, actual controllers, and directors, supervisors, and senior management committed to avoiding horizontal competition and minimizing related-party transactions; if related-party transactions occur, they will strictly comply with the company's articles of association and regulations[175][177] - Controlling shareholders and actual controllers committed to bearing potential losses from certain prior related-party transactions and to making supplementary payments for social insurance and housing provident funds for relevant employees[177] - All commitments were fulfilled on time, with no overdue unfulfilled commitments[179] Profit Forecast and Fulfillment Beijing Haibu Pharmaceutical Technology Co., Ltd. successfully met its committed performance, achieving cumulative operating revenue of CNY 293 million from 2020-2022, following the company's capital increase approval in October 2020 Beijing Haibu Pharmaceutical Technology Co., Ltd. Profit Forecast Fulfillment | Profit Forecast Asset or Project Name | Forecast Start Date | Forecast End Date | Committed Performance | Actual Performance | Reason for Not Meeting Forecast | Original Forecast Disclosure Date | Original Forecast Disclosure Index | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Beijing Haibu Pharmaceutical Technology Co., Ltd. | January 01, 2020 | December 31, 2022 | Cumulative operating revenue for 2020-2022 not less than CNY 279 million | Revenue for 2020-2022 was CNY 83.99 million, CNY 104.96 million, CNY 104.10 million respectively, totaling CNY 293.05 million | Not applicable | October 27, 2020 | "Announcement on Proposed Capital Increase and Equity Participation in Beijing Haibu Pharmaceutical Technology Co., Ltd." (Announcement No.: 2020-084) | - Haibu Pharmaceutical achieved cumulative operating revenue of CNY 293 million from 2020-2022, meeting its committed performance[180] Non-operating Fund Occupation by Controlling Shareholders and Other Related Parties During the reporting period, there was no non-operating fund occupation by controlling shareholders or other related parties of the listed company - During the reporting period, there was no non-operating fund occupation by controlling shareholders and other related parties of the listed company[181] Irregular External Guarantees During the reporting period, the company did not engage in any irregular external guarantees - During the reporting period, there were no irregular external guarantees by the company[181] Board's Explanation on Changes in Accounting Policies, Accounting Estimates, or Correction of Major Accounting Errors During the Reporting Period The company updated its accounting policies in line with new interpretations from the Ministry of Finance, covering fixed asset sales, onerous contracts, equity instrument dividends, and deferred tax, with no significant impact on financial statements - The company implemented the provisions of "Interpretation No. 15 of Enterprise Accounting Standards" regarding accounting treatment for output sales of fixed assets and judgment of onerous contracts from January 1, 2022[181][183] - The company implemented the provisions of "Interpretation No. 16 of Enterprise Accounting Standards" regarding income tax effects related to equity instrument dividends and reclassification of cash-settled share-based payments to equity-settled share-based payments from November 30, 2022[183] - The company implemented the provisions of "Interpretation No. 16 of Enterprise Accounting Standards" regarding the non-applicability of initial recognition exemption for deferred income tax in single transactions from January 1, 2023[183] - The aforementioned changes in accounting policies had no impact on the company's financial statements[183] Explanation of Changes in Consolidated Scope Compared to Prior Year's Financial Report In 2022, the company expanded its consolidated financial statement scope by adding five new subsidiaries through establishment or acquisition, strategically advancing its CDMO platform, global presence, and business development - The company established Chongqing Yaoling Technology Co., Ltd. (60% owned) to advance its CDMO pharmaceutical service platform strategy and digital transformation[184] - The company's wholly-owned subsidiary Porton Switzerland established a wholly-owned second-tier subsidiary, Porton Denmark ApS, in Denmark to strengthen overseas business expansion[184] - The company acquired 100% equity in Kaihui Pharma (Shanghai) Co., Ltd. from Shanghai ChemPartner Co., Ltd. to meet the development needs of preclinical and early clinical businesses[184] - The company's wholly-owned subsidiary Porton Pharma established a wholly-owned second-tier subsidiary, Chongqing Boxin Pharma Co., Ltd., in Chongqing Liangjiang New Area[184] - The company established a wholly-owned subsidiary, Porton Slovenia d.o.o., in Slovenia to further expand its global operational layout[184] Appointment and Dismissal of Accounting Firms During the reporting period, the company retained Tianjian Certified Public Accountants (Special General Partnership) as its domestic auditor for the 14th consecutive year, with an audit fee of CNY 1.45 million Accounting Firm Appointment Status | Indicator | Details | | :--- | :--- | | Name of domestic accounting firm | Tianjian Certified Public Accountants (Special General Partnership) | | Remuneration of domestic accounting firm (CNY 10,000) | 145 | | Consecutive years of audit service by domestic accounting firm | 14 | | Names of domestic accounting firm's certified public accountants | Chen Yingjue, Huang Na | | Consecutive years of audit service by domestic accounting firm's certified public accountants | 5 | - The company did not change its accounting firm during the reporting period[185] Major Litigation and Arbitration Matters During the reporting period, the company had various litigation cases totaling CNY 2.112 million, some concluded and enforced, others ongoing, none of which met the threshold for major disclosure or had a significant impact Summary of Major Litigation and Arbitration Matters | Basic Information of Litigation (Arbitration) | Amount Involved (CNY 10,000) | Whether Provision for Liabilities Formed | Litigation (Arbitration) Progress | Outcome and Impact of Litigation (Arbitration) | Enforcement Status of Litigation (Arbitration) Judgment | Disclosure Date | Disclosure Index | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Summary of other litigation not meeting major litigation disclosure standards | 211.2 | No | Some cases have been concluded and enforced according to judgment, some cases are still in progress | No significant impact | Cases with final judgments have been enforced according to judgment | Not applicable | Not applicable | Penalties and Rectification During the reporting period, the company had no penalties or rectification situations - During the reporting period, there were no penalties or rectification situations for the company[189] Integrity Status of the Company, its Controlling Shareholders, and Actual Controllers During the reporting period, the company, its controlling shareholders, and actual controllers maintained a good integrity record, with no unfulfilled court judgments or significant overdue debts - During the reporting period, the integrity status of the company, its controlling shareholders, and actual controllers was good, with no unfulfilled court judgments, large overdue debts, or other similar situations[189] Major Related-Party Transactions During the reporting period, the company engaged in various related-party transactions, including property leasing with Runsheng Pharma, joint ventures with actual controllers, equity transfers for subsidiary incentives, and significant capital increases and financing activities for Suzhou Porton - The company signed a house leasing agreement with Runsheng Pharma, with an annual rent of CNY 702,100, lease term until May 7, 2023; CNY 520,000 was received during the reporting period[199] - The company, along with actual controller Ju Nianfeng and others, jointly invested to establish Shanghai Yaolu Information Technology Co., Ltd., with the company subscribing CNY 4 million and holding 20% equity[199] - Controlling subsidiary Suzhou Porton implemented equity incentives for core personnel, with shares sourced from related party Boxin Bio's transfer of 7.76% equity in Suzhou Porton at a CNY 0 consideration[1] - The company invested CNY 12 million of its own funds with related parties to jointly establish Chongqing Yaoling Technology Co., Ltd., with the company subscribing CNY 12 million and holding 60% equity[1] - Suzhou Porton completed Series B financing totaling CNY 520 million; the company increased its capital contribution to Porton Bio Research Institute by CNY 120 million for further capital increase in Suzhou Porton, reducing the company's shareholding in Suzhou Porton from 50.10% to 42.78%[210][265] Major Guarantees During the reporting period, the company's external guarantees (excluding those to subsidiaries) were not applicable, while guarantees to subsidiaries totaled CNY 374.381 million, with an approved limit of CNY 967.5 million, representing 4.94% of net assets - The company and its subsidiaries' external guarantees (excluding guarantees to subsidiaries) were not applicable[5] Company Guarantees to Subsidiaries (2022) | Name of Guaranteed Party | Disclosure Date of Guarantee Limit Announcement | Guarantee Limit (CNY 10,000) | Actual Occurrence Date | Actual Guarantee Amount (CNY 10,000) | Guarantee Type | Fulfilled | Related Party Guarantee | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Suzhou Porton BioPharma Co., Ltd. | March 28, 2020 | 5,000 | June 15, 2020 | 4,050 | Joint and Several Liability Guarantee | No | No | | Porton Hong Kong Limited | February 10, 2022 | 3,630 | February 25, 2022 | 3,300 | Joint and Several Liability Guarantee | Yes | No | | Chongqing Porton Pharma Co., Ltd. | March 26, 2022 | 35,000 | March 29, 2022 | 23,607.69 | Joint and Several Liability Guarantee | No | No | | Shanghai Feiteng Pharmaceutical Technology Co., Ltd. | September 09, 2022 | 15,000 | - | - | Joint and Several Liability Guarantee | No | No | | Chongqing Yaoling Technology Co., Ltd. | September 09, 2022 | 2,200 | - | - | Joint and Several Liability Guarantee | No | No | | Jiangxi Porton Pharma Co., Ltd. | November 24, 2022 | 11,000 | - | - | Joint and Several Liability Guarantee | No | No | Total Company Guarantees (2022) | Indicator | Amount (CNY 10,000) | | :--- | :--- | | Total approved guarantee limit during reporting period | 82,450 | | Total actual guarantee amount during reporting period | 37,438.10 | | Total approved guarantee limit at end of reporting period | 96,750 | | Total actual guarantee balance at end of reporting period | 29,663.15 | | Ratio of total actual guarantee amount to company's net assets | 4.94% | Explanation of Other Significant Matters At the end of the reporting period, controlling shareholders Ju Nianfeng, Tao Rong, and Zhang Hebing had pledged significant portions of their shares, while the company completed a share repurchase plan, acquired Kaihui Pharma, and underwent various board and management changes Equity Pledge Status of Controlling Shareholders and Actual Controllers (End of 2022) | Name | Pledged Shares (shares) | % of Total Shares Held | % of Total Share Capital | | :--- | :--- | :--- | :--- | | Ju Nianfeng | 19,240,000 | 32.67% | 3.52% | | Tao Rong | 9,540,000 | 21.59% | 1.75% | | Zhang Hebing | 9,020,000 | 21.53% | 1.65% | - The two share reduction plans of company shareholder Liangjiang Industrial Group have both been completed, with a cumulative reduction of 6.5701 million shares[252][253] - During the reporting period, the company completed team changes including the election of employee representative supervisors, re-election of the board of directors and supervisory board, and appointment of senior management[253][257] - The company acquired 100% equity in Kaihui Pharma, with the total consideration adjusted from CNY 266 million to CNY 241 million; CNY 234 million has been cumulatively paid[258] - The company implemented a share repurchase plan, cumulatively repurchasing 2.0223 million shares, accounting for 0.37% of total share capital, with a total payment of CNY 99.9992 million, for equity incentives or employee stock ownership plans[255][259] Major Matters of Company Subsidiaries Controlling subsidiary Suzhou Porton BioPharma Co., Ltd. completed both Series A and Series B financing rounds, leading to a reduction in the company's shareholding to 42.78% after capital increases - Suzhou Porton BioPharma Co., Ltd. completed Series A financing, introducing 5 external investors; the company's shareholding decreased from 81.79% to 50.75%[285][286] - Suzhou Porton completed Series B financing totaling CNY 520 million; the company increased its capital contribution to Porton Bio Research Institute by CNY 120 million for further capital increase in Suzhou Porton, reducing the company's shareholding in Suzhou Porton from 50.10% to 42.78%[210][265] Share Changes and Shareholder Status Share Changes During the reporting period, the company's total shares increased to 546 million, with a decrease in restricted shares and an increase in unrestricted shares, primarily due to share repurchases, equity incentive adjustments, and senior management share movements Share Changes (2022) | Category | Quantity Before Change (shares) | Ratio | Net Change (＋,－) Subtotal (shares) | Quantity After Change (shares) | Ratio | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 81,595,313 | 14.99% | -35,316,822 | 46,278,491 | 8.48% | | II. Unrestricted Shares | 462,809,220 | 85.01% | 36,939,709 | 499,748,929 | 91.52% | | III. Total Shares | 544,404,533 | 100.00% | 1,622,887 | 546,027,420 | 100.00% | - Main reasons for share changes include: cancellation of 217,600 shares remaining in the repurchase special securities account; repurchase and cancellation of 63,600 restricted shares of departing incentive recipients; lifting of restrictions on 1.6445 million equity incentive shares; lock-up of 82,920 senior management shares; 34.056549 million restricted shares converted to unrestricted shares due to senior management departure; 198,225 unrestricted shares converted to restricted shares due to new senior management appointments; exercise of 1.9041 million stock options[216][217] - Share changes resulted in earnings per share of CNY 3.70/share and diluted earnings per share of CNY 3.69/share for 2022; net assets per share attributable to ordinary shareholders of CNY 10.99/share[218] Changes in Restricted Shares At the end of the reporting period, the company's restricted shares totaled 46.2785 million, primarily held by senior management due to lock-up and equity incentive restrictions, while restricted shares of departing executives were released Changes in Restricted Shares (2022) | Shareholder Name | Restricted Shares at Beginning of Period (shares) | Restricted Shares Increased in Current Period (shares) | Restricted Shares Released in Current Period (shares) | Restricted Shares at End of Period (shares) | Reason for Restriction | | :--- | :--- | :--- | :--- | :--- | :--- | | Ju Nianfeng | 44,167,891 | - | - | 44,167,891 | Senior management lock-up | | Tao Rong | 33,146,272 | - | 33,146,272 | - | Not applicable (departed) | | Yu Yongmei | 674,025 | - | 674,025 | - | Not applicable (departed) | | Ji Yaohui | 258,750 | 101,250 | - | 360,000 | Senior management lock-up and equity incentive restriction | | Sun Min | 236,250 | - | 236,250 | - | Not applicable (departed) | | Zhu Po | 30,000 | 126,225 | - | 156,225 | Senior management lock-up and equity incentive restriction | | Wang Zhongneng | 188,000 | 28,200 | 75,200 | 141,000 | Senior management lock-up and equity incentive restriction | | Wang Fengping | 108,600 | 2,850 | 30,000 | 81,450 | Senior management lock-up and equity incentive restriction | | Bai Yinchun | - | 72,000 | - | 72,000 | Senior management lock-up | | Wang Rui | 70,000 | 10,500 | 28,000 | 52,500 | Senior management lock-up and equity incentive restriction | | Xue Ying | 11,025 | - | - | 11,025 | Senior management lock-up | | Total | 81,595,313 | 341,025 | 35,594,247 | 46,278,491 | -- | Securities Issuance and Listing During the reporting period, the company did not issue any securities (excluding preferred shares) and had no existing internal employee shares - During the reporting period, the company had no securities issuance (excluding preferred shares)[223] - The company has no existing internal employee shares[243] Shareholder and Actual Controller Status As of the reporting period, the company had 59,215 ordinary shareholders, with Chongqing Liangjiang New Area Industrial Development Group as the largest shareholder, and Ju Nianfeng, Tao Rong, and Zhang Hebing as actual controllers, all with pledged shares but no voting rights differential arrangements Company Shareholder Count and Shareholding (End of 2022) | Indicator | Quantity | | :--- | :--- | | Total ordinary shareholders at end of reporting period | 59,215 | | Total preferred shareholders with restored voting rights at end of reporting period (if any) | 59,743 | Top Ten Shareholders' Shareholding (End of 2022) | Shareholder Name | Shareholder Nature | Shareholding Ratio | Shares Held at End of Reporting Period (shares) | Restricted Shares Held (shares) | Unrestricted Shares Held (shares) | Share Status | Pledged, Marked, or Frozen Shares (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Chongqing Liangjiang New Area Industrial Development Group Co., Ltd. | State-owned Legal Person | 14.46% | 78,982,719 | - | 78,982,719 | - | - | | Ju Nianfeng | Domestic Natural Person | 10.79% | 58,890,521 | 44,167,891 | 14,722,630 | Pledged | 19,240,000 | | Tao Rong | Domestic Natural Person | 8.09% | 44,195,030 | - | 44,195,030 | Pledged | 9,540,000 | | Zhang Hebing | Domestic Natural Person | 7.67% | 41,903,020 | - | 41,903,020 | Pledged | 9,020,000 | - Ju Nianfeng, Zhang Hebing, and Tao Rong signed a "Concerted Action Agreement" before the company's listing and are concerted parties[246][248] - The company's actual controllers Ju Nianfeng, Tao Rong, and Zhang Hebing are all Chinese nationals and have not obtained residency rights in other countries or regions[249][268] - The company has no voting rights differential arrangements, and the cumulative pledged shares of the controlling shareholder or the largest shareholder and their concerted parties did not reach 80% of their total shares held in the company[248][271] Specific Implementation of Share Repurchase During the Reporting Period The company completed its share repurchase plan by November 21, 2022, repurchasing 2.0223 million shares for CNY 99.9992 million, with prices ranging from CNY 42.09 to CNY 59.15 per share, for future equity incentives Share Repurchase Plan and Implementation | Plan Disclosure Date | Proposed Repurchase Shares (shares) | % of Total Share Capital | Proposed Repurchase Amount (CNY 10,000) | Proposed Repurchase Period | Repurchase Purpose | Repurchased Shares (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | August 04, 2022 | - | - | Not less than CNY 50 million and not more than CNY 100 million | Within 12 months from the date of approval of the share repurchase plan by the company's board of directors | Implementation of equity incentives or employee stock ownership plans | 2,022,344 | - As of November 21, 2022, the company's share repurchase plan has been completed, with a cumulative repurchase of 2.0223 million shares and a total payment of CNY 99.9992 million[259][274] - The highest transaction price for this share repurchase was CNY 59.15/share, and the lowest transaction price was CNY 42.09/share[274] Financial Report [Audit Report](index=98&