CENTEK(SZ:000931)2024-04-18 13:17Financial Performance - Consolidated revenue for 2023 reached 2.28 billion RMB, a year-on-year increase of 10.50%[25] - Net profit attributable to shareholders of the listed company was 487.82 million RMB, turning from a loss to a profit compared to the previous year[25] - Pharmaceutical and health products business revenue accounted for 75.85% of total revenue, reaching 1.73 billion RMB, a 15.35% increase year-on-year[26][31] - The company's concrete business revenue increased by 3.76% to 348.59 million RMB[31] - Revenue from the elderly care and medical business grew by 8.25% to 130.12 million RMB[31] - North and Northeast China regions contributed 57.83% of total revenue, reaching 1.32 billion RMB, a 15.74% increase year-on-year[31] - Sales revenue from the western region increased by 3.12% to 250,799,136.79 yuan, accounting for 11.02% of total revenue[44] - Distribution sales increased by 15.35% to 1,726,774,797.92 yuan, accounting for 75.85% of total revenue[44] - Direct sales decreased by 2.38% to 549,828,547.83 yuan, accounting for 24.15% of total revenue[44] - Total sales from top 5 customers amounted to 220,925,873.75 yuan, accounting for 9.71% of the annual sales[63] - Non-recurring gains and losses for 2023 totaled RMB 13.22 million, an increase from RMB 7.35 million in 2022[101] - Government subsidies recognized in 2023 amounted to RMB 17.67 million, up from RMB 11.48 million in 2022[101] - The company expects consolidated operating revenue and net profit attributable to shareholders to grow in 2024 compared to 2023[146] R&D and Innovation - The company's R&D team completed project initiation for multiple new products in cardiovascular, psychiatric, and respiratory fields[28] - The company's R&D project for Naloxone Hydrochloride Injection (consistency evaluation) has obtained the "Acceptance Notice" on December 18, 2023, and is currently under CDE review and approval[57] - The R&D project for Naltrexone Hydrochloride Tablets (consistency evaluation) is undergoing process validation, aiming to obtain production approval[57] - The R&D project for Buspirone Hydrochloride Tablets (consistency evaluation) has completed small-scale research and aims to obtain production approval[57] - The R&D project for Tramadol Hydrochloride Tablets (consistency evaluation) has completed process research and aims to obtain production approval[57] - The R&D project for Oxycodone Hydrochloride Extended-Release Tablets has completed pilot-scale research and aims to obtain production approval[57] - The R&D project for Arotinolol Hydrochloride Tablets has initiated small-scale research and aims to obtain production approval[58] - The R&D project for Methylphenidate Hydrochloride Extended-Release Chewable Tablets has completed small-scale research and is preparing for pilot-scale research, aiming to obtain production approval[58] - The R&D project for Bifonazole API has completed process validation for production site change and submitted registration materials, currently under CDE review[58] - The R&D project for Huperzine A API is undergoing small-scale research and aims to obtain API registration[58] - The R&D project for Paracetamol and Tramadol Hydrochloride Tablets (consistency evaluation) obtained the "Drug Supplement Application Approval Notice" on April 18, 2023[58] - R&D personnel increased by 6.86% to 218 in 2023, with a 14.58% increase in employees under 30 years old[83] - R&D investment decreased by 13.47% to 106,773,729.12 yuan in 2023, accounting for 4.69% of operating revenue[83] - Capitalized R&D investment increased by 77.10% to 3,276,449.79 yuan, representing 3.07% of total R&D investment[83] - The company completed process validation for Succinate Metoprolol API and obtained an "Acceptance Notice" on March 29, 2024[82] - The company achieved self-production of 1-Benzyl-3-piperidinol, a key material for Benidipine Hydrochloride, reducing production costs[83] - The company completed small-scale production and the first pilot production of Azulene Sodium Sulfonate, aiming to improve toothpaste quality[83] - The company obtained a "Drug Supplement Approval Notice" for Glipizide Dispersible Tablets on March 29, 2024, enhancing product quality and safety[83] - The company will continue to invest in biopharmaceutical innovation projects in 2024, focusing on the development of new projects based on the recombinant vaccine and new adjuvant technology platforms established by existing R&D projects[158] - The company will optimize the R&D strategy to shorten the development cycle of generic drugs and advance the consistency evaluation of major products[148] - The company will increase R&D and product innovation investment, enrich the product line, and enhance market competitiveness through external cooperation, academic promotion, and brand marketing[165] Business Segments - Pharmaceutical and health products business revenue accounted for 75.85% of total revenue, reaching 1.73 billion RMB, a 15.35% increase year-on-year[26][31] - The company's concrete business revenue increased by 3.76% to 348.59 million RMB[31] - Revenue from the elderly care and medical business grew by 8.25% to 130.12 million RMB[31] - North and Northeast China regions contributed 57.83% of total revenue, reaching 1.32 billion RMB, a 15.74% increase year-on-year[31] - Sales revenue from the western region increased by 3.12% to 250,799,136.79 yuan, accounting for 11.02% of total revenue[44] - Distribution sales increased by 15.35% to 1,726,774,797.92 yuan, accounting for 75.85% of total revenue[44] - Direct sales decreased by 2.38% to 549,828,547.83 yuan, accounting for 24.15% of total revenue[44] - The company's elderly care business has established a comprehensive ecosystem integrating medical, rehabilitation, nursing, and entertainment services[104] - The company's Taizhong Hospital upgraded to a second-level medical institution in 2023, enhancing its reputation and strategic layout in the healthcare sector[105] - The company will focus on increasing the occupancy rate of existing beds in the elderly care business and meeting personalized needs to convert bed advantages into scale advantages[151] - The company plans to deepen customer cooperation in the medical device business to establish long-term stable business relationships[143] - The company will continue to promote the market access of "Yuanzhi" and expand terminal and department coverage to build a business scale "moat"[142] - The company will explore new marketing channels and expand product lines in the "Huasu Yuchuang" series of toothpaste and mouthwash products to capture market share[143] - The company will implement refined management in the elderly care business to improve customer satisfaction and single-bed comprehensive income[151] - The company's elderly care medical business will continue to focus on basic elderly care, with a dual focus on medical care and health care, aiming to improve operational quality and profit contribution through refined management, increased occupancy rates, and enhanced integration of medical and elderly care services[159] Operational Costs and Expenses - Biopharmaceutical segment inventory increased by 66.48% due to the normalization of production and sales post-public health events, and preparation for 2024 New Year and Spring Festival demand[35] - Biopharmaceutical segment's operating cost increased by 28.29% to 510,129,283.94 yuan, accounting for 53.26% of total operating costs[37] - Commercial concrete segment's operating cost decreased by 10.68% to 259,488,801.49 yuan, accounting for 27.09% of total operating costs[37] - Elderly healthcare segment's operating cost increased by 21.23% to 147,331,676.80 yuan, accounting for 15.38% of total operating costs[37] - Total operating costs increased by 9.65% to 957,745,566.86 yuan[37] - Sales expenses increased by 12.57% to 805,451,446.92 yuan[52] - Management expenses increased by 4.16% to 218,612,964.67 yuan, while financial expenses decreased by 16.51% to 53,793,675.92 yuan[64] - R&D expenses decreased by 14.85% to 103,497,279.33 yuan[64] - The company plans to optimize production processes, reduce costs, and improve supply flexibility to shorten supply cycles and enhance supply capacity[141] - The company plans to strengthen production planning management, optimize resource allocation, and enhance production process innovation to ensure the advancement of production equipment and processes[160] Cash Flow and Investments - Net cash flow from operating activities increased by 18.81% to 218,298,525.35 yuan[65] - Net cash flow from investing activities decreased by 77.74% to -117,472,501.71 yuan[65] - Net cash flow from financing activities improved by 78.80% to -34,689,453.46 yuan[65] - Cash and cash equivalents increased by 243.81% to 66,136,480.98 yuan[65] - Tax refunds received decreased by 76.54% to 4,699,700 yuan[66] - Cash received from disposal of subsidiaries increased by 100% to 51,100 yuan[66] - Cash paid for acquisition of subsidiaries increased by 1,623.08% to 50,639,400 yuan[66] - The fair value change loss of financial assets was -1,937,596.08 yuan, resulting in a year-end balance of 5,767,409.73 yuan[78] - Restricted assets totaled 589,877,967.47 yuan, including 153,847,144.27 yuan in investment properties and 417,815,883.01 yuan in fixed assets[79] - Total investment amount for the reporting period was RMB 54.32 million, a decrease of 15.76% compared to the previous year's RMB 64.48 million[99] - Acquired Beijing Wodakang Medical Equipment Co., Ltd. for RMB 24.5 million, achieving a 100% ownership stake[99] - Acquired Beijing Purun Defang Technology Development Co., Ltd. for RMB 3.5 million, achieving a 100% ownership stake[99] - Combined investment profit from the acquisitions amounted to RMB 5.44 million[99] - The total initial investment cost for securities is 5,080,900.00, with a period-end book value of 2,760,813.64, reflecting a significant decrease due to a fair value change loss of 1,937,596.08[111] - The company reported no derivative investments during the reporting period[112] - The total raised funds amounted to 71,000, with a net amount of 69,991.17, and all funds were fully utilized by the end of 2023[114] - The company repaid 19,000 to its controlling shareholder, Guomei Holdings, achieving 100% of the committed investment[115] - The investment in the construction of Shandong Huasu's raw material and solid oral preparation production line reached 6,877.65, achieving 100% of the adjusted investment target[116] - The company invested 1,987.04 in the project to expand the indications for Hydrochloride Phencynonate Tablets and Naltrexone Hydrochloride Tablets, achieving 100% of the adjusted investment target[115] - The brand building project for Huasu Pharmaceutical received an investment of 6,697.3, achieving 100% of the adjusted investment target[116] - The company supplemented its working capital with 4,958.11, achieving 100% of the adjusted investment target[116] - The acquisition of minority equity in Duoduo Pharmaceutical amounted to 12,870.18, achieving 100% of the adjusted investment target[116] - The total investment in committed projects reached 69,991.17, with a total realized benefit of 9,989.71[116] - The drug metabolism platform project has been fully completed with a total investment of 21.01 million yuan, achieving 100% of the planned amount. The project has accumulated a loss of 27.93 million yuan as of 2023[118] - The drug metabolism platform project generated revenue of 2.49 million yuan in 2023, with a loss of 6.02 million yuan for the year[118] - The total investment in the drug metabolism platform project exceeded the planned amount by 13.94 million yuan, primarily due to interest from raised funds[118] - The naltrexone hydrochloride tablet project for alcohol dependence adaptation has exceeded its annual budget by 133.69%, with a total investment of 21.13 million yuan as of 2023[120] - The Shandong Huasu raw material and solid oral preparation production line project achieved a net profit of 105.91 million yuan in 2023, exceeding the expected annual profit of 36.06 million yuan[120] - The Shandong Huasu project has accumulated revenue of 1.84 billion yuan and a net profit of 384.77 million yuan since its inception[120] - The Huasu Pharmaceutical brand building project was completed with a total investment of 66.97 million yuan, and the remaining 9.77 million yuan was used to permanently supplement working capital[120] - All raised funds have been fully utilized as of December 31, 2023, with no remaining unused funds[125] Subsidiaries and Acquisitions - The company completed the acquisition of 100% equity in Beijing Zhongshi Tongda Commercial Concrete Transportation Co., Ltd. and Beijing Wodakang Medical Devices Co., Ltd., making them wholly-owned subsidiaries[37] - The company's subsidiary, Beijing Huasu Pharmaceutical Co., Ltd., has a two-year working capital loan balance of 97 million yuan, secured by land and property in Beijing with a net book value of 49.65 million yuan[90] - Beijing Huasu Pharmaceutical Co., Ltd. has a three-year sale-leaseback business balance of 21.53 million yuan, secured by production equipment with a net book value of 22.5 million yuan[91] - The company's subsidiary, Beijing Huasu Pharmaceutical Co., Ltd. Cangzhou Branch, has a three-year working capital loan balance of 57.5 million yuan, secured by buildings and industrial land with a net book value of 136.77 million yuan[94] - The company's subsidiary, Shandong Huasu Pharmaceutical Co., Ltd., has a one-year working capital loan balance of 48 million yuan, secured by property with a net book value of 63.84 million yuan[94] - Shandong Huasu Pharmaceutical Co., Ltd. has a one-year working capital loan balance of 20 million yuan, secured by property with a net book value of 21.25 million yuan[95] - Shandong Huasu Pharmaceutical Co., Ltd. has a one-year working capital loan balance of 80 million yuan, secured by property with a net book value of 73.28 million yuan[95] - The company's subsidiary, Shandong Huasu Pharmaceutical Co., Ltd., has a one-year maximum credit amount contract with a balance of 25 million yuan, secured by patents with a net book value of 85,475.31 yuan[96] - The company's subsidiary, Duoduo Pharmaceutical Co., Ltd., has a one-year working capital loan balance of 45 million yuan, secured by property with a net book value of 57.78 million yuan[97] - The company's property "Haocheng Building" 203 is under court seizure due to litigation, with a net book value of 1.24 million yuan[97] - Beijing Zhongguancun Youth Technology Venture Capital Co., Ltd. reported a net loss of RMB -262,802.58 with total assets of RMB 76,005,444.92[129] - Beijing Zhongshi Concrete Co., Ltd. achieved a net profit of RMB 30,717,659.60 with total assets of RMB 695,135,978.68[129] - Beijing Zhongke Taihe Property Service Co., Ltd. recorded a net profit of RMB 1,329,855.03 with total assets of RMB 21,016,902.66[129] - Beijing Zhongguancun Ke Mao Electronics City Co., Ltd. reported a net loss of RMB -315,516.77 with total assets of RMB 26,077,826.56[129] - Beijing Meilun Real Estate Development Co., Ltd. reported a net loss of RMB -840.00 with total assets of RMB 55,673,746.70[131] - Shandong Zhongguancun Medical Technology Development Co., Ltd. achieved a net profit of RMB 1,734,545.30 with total assets of RMB 302,564,730.72[131] - Chongqing Haide Industrial Co., Ltd. reported a net loss of RMB -3,413,928.68 with total assets of RMB 192,172,912.47[131] - Beijing Zhongguancun Sihuan Pharmaceutical Development Co., Ltd. achieved a net profit of RMB 168,328,953.10 with total assets of RMB 3,049,851,009.04[131] - Shanghai Sitong International Technology Mall Property Co., Ltd. reported a net loss of RMB -254,015.62 with total assets of RMB 70,426,929.05[131] - Beijing Huasu Health Technology Co., Ltd. reported a net loss of RMB -16,619,553.99 with total assets of RMB 33,383,587.26[131] Corporate Governance and Compliance - The company has established a transparent performance evaluation and incentive mechanism for directors, supervisors, and managers, with the "Compensation and Benefits Management System" and "Performance Evaluation Management System" approved by the Compensation and Evaluation Committee, the fifth board of directors, and the 2012 annual shareholders' meeting[191] - The company maintains independence in business, personnel, assets, organization, and finance, with a complete business system and independent operation capabilities[182][183] - The company's board of directors has four specialized committees: Strategy, Audit, Nomination, and Compensation and Evaluation, which operate effectively and provide important support for decision-making[179] - The company respects the legitimate rights and interests of other stakeholders and encourages employees to communicate directly with