Jointown(600998)2024-04-26 09:31Financial Performance - Company's operating revenue reached a historical high of 150.14 billion yuan, a year-on-year increase of 6.92%[2] - Non-GAAP net profit attributable to the parent company was 1.96 billion yuan, a year-on-year increase of 13.06%[2] - Operating cash flow reached a record high of 4.748 billion yuan, a year-on-year increase of 19.10%[2] - Revenue for 2023 reached 150.14 billion RMB, a 6.92% increase compared to 2022[27] - Net profit attributable to shareholders in 2023 was 2.17 billion RMB, up 4.27% year-over-year[27] - Operating cash flow increased by 19.10% to 4.75 billion RMB in 2023[27] - Total assets grew by 0.52% to 92.79 billion RMB at the end of 2023[27] - Basic earnings per share rose 7.84% to 0.55 RMB in 2023[28] - Weighted average return on equity (ROE) increased by 0.06 percentage points to 9.04% in 2023[28] - The company achieved operating revenue of 150.14 billion yuan, a year-on-year increase of 6.92%, and net profit attributable to the parent company of 2.174 billion yuan, a year-on-year increase of 4.27%[172] - The company's main business revenue reached 149.981 billion yuan, a year-on-year increase of 6.91%, with a gross profit of 12.049 billion yuan, a year-on-year increase of 10.48%[173] Business Segments and Revenue Growth - The company's pharmaceutical industry self-produced and OEM business sales revenue reached 2.476 billion yuan[4] - The company's total agency brand promotion business (CSO) sales revenue reached 19.584 billion yuan, a year-on-year increase of 52.45%[5] - The company's pharmaceutical total agency brand promotion business sales revenue reached 10.696 billion yuan, a year-on-year increase of 60.82%[5] - The company's medical device total agency brand promotion business sales revenue reached 8.888 billion yuan, a year-on-year increase of 31.44%[5] - Total agency brand promotion business revenue grew 46.01% in 2023, with a 52.45% increase in gross profit[30] - Pharmaceutical new retail business revenue increased by 10.95% in 2023[30] - Digital logistics technology and supply chain solutions revenue grew 28.45% in 2023, with a 49.44% increase in gross profit[30] - Total agency brand promotion business revenue reached 19.584 billion yuan, a year-on-year increase of 46.01%[40] - Pharmaceutical new retail business revenue increased by 10.95% year-on-year[40] - Digital logistics technology and supply chain solutions revenue increased by 28.45% year-on-year[40] - Total agency brand promotion business (CSO) achieved sales revenue of 19.584 billion yuan, a year-on-year increase of 46.01%, with a gross profit of 2.789 billion yuan, up 52.45% year-on-year[43] - Pharmaceutical total agency brand promotion business achieved sales revenue of 10.696 billion yuan, a year-on-year increase of 60.82%, with a gross profit of 2.267 billion yuan, up 54.83% year-on-year[43] - Medical device total agency brand promotion business achieved sales revenue of 8.888 billion yuan, a year-on-year increase of 31.44%, with a gross profit of 522 million yuan, up 42.91% year-on-year[44] - Pharmaceutical industry self-production and OEM business achieved sales revenue of 2.476 billion yuan, with a gross profit margin of 23.84% and a gross profit of 590 million yuan[45] - JiuXin Traditional Chinese Medicine Group achieved self-production sales revenue of 1.2 billion yuan, with a gross profit margin of 25.6% and a gross profit of 307 million yuan[46] - Beijing Jingfeng Pharmaceutical Group achieved revenue of 466 million yuan, with 150+ products in production and 8 drugs passing consistency evaluation[46] - The company introduced 98 new high-quality products, including 2 with sales exceeding 100 million yuan and 10 with sales exceeding 10 million yuan[43] - The company completed the upgrade of the "Quanqing Health" brand and implemented the full-case brand upgrade for Kefei[43] - The company focused on developing large surgical, cardiovascular intervention, and IVD national platform distribution businesses, optimizing logistics systems and digital platforms[44] - The company produced 36,234 batches of traceable herbal pieces, with a total annual output of 8,991.44 tons, achieving full traceability in the herbal medicine supply chain[46] - Product sales revenue reached 1.882 billion yuan, with Jiuxin Traditional Chinese Medicine focusing on high-quality and safe products, offering a wide range of categories including precious herbs, fine drinks, and formula drinks[47] - The company has obtained 10 MAH Class II product registration certificates and 25 Class I product filing certificates, with 173 OEM medical device specifications and 424 drug OEM specifications, enhancing product competitiveness through self-developed and OEM products[47] - The "Wan Dian Jia Meng" (10,000 Store Franchise) plan has achieved significant progress, with 21,192 direct and franchise pharmacies by the end of Q1 2024, covering 31 provinces and 293 cities, and a target of over 30,000 stores by 2025[49] - Franchise pharmacy sales revenue reached 3.48 billion yuan, an 83.25% year-on-year increase, with 3,900 professional pharmacies, dual-channel pharmacies, and hospital-side stores, including 3.3 billion yuan in prescription outflow revenue[49] - B2C e-commerce total agency and sales business achieved 1.215 billion yuan in revenue, a 26.8% year-on-year growth, with rapid expansion on new e-commerce platforms like Douyin and Kuaishou[50] - The company's B2B e-commerce terminal sales channel generated 17.326 billion yuan in revenue, with the Yaojiujiu B2B platform achieving 11.241 billion yuan in self-operated transactions and covering 99% of administrative regions[51] - Retail e-commerce platform business revenue reached 6.085 billion yuan, an 11.47% year-on-year increase, with sales to JD.com and Alibaba's self-operated platforms exceeding 4.24 billion yuan, a 16.69% increase[52] - The company's logistics Bb/BC integrated warehousing and distribution system supports efficient supply chain logistics, enabling "zero inventory" for online and offline customers and sharing 100,000 product specifications[52] - The company has completed the "Bb/BC integrated warehousing and distribution" logistics service system, covering 6 "BC integrated warehouses" in Hubei, Shanghai, Guangdong, Beijing, Tianjin, and Zhejiang, and has upgraded 24 logistics centers to "Bb integrated" operations across 24 provinces[53] - The "Bb integrated project" was recognized as a leading case in digital transformation by the China Listed Companies Association and the "2023 Digital Economy Development Typical Case" by the Securities Daily[53] - The company launched the "New Medical" strategy, targeting the 321,000 clinics/outpatient departments in China, aiming to provide integrated supply chain and operational services to enhance terminal control[56] - The internet medical business achieved revenue of 156 million yuan in the reporting period, with 31 target hospitals connected to the prescription transfer platform[57] - The company is advancing the REITs project, planning to use 3.3 million square meters of pharmaceutical logistics assets as underlying assets, with the first batch of assets being the Wuhan logistics center, covering 172,000 square meters[59] - The company's digital transformation strategy has established a comprehensive digital platform, including ERP, logistics, and financial systems, supporting multiple business scenarios such as retail, new medical, and pharmaceutical distribution[61] - The company's financial shared cloud platform and "Bb integrated project" were selected as digital transformation典型案例 by the China Listed Companies Association in 2022 and 2023, respectively[61] - The company's "Bb/BC integrated warehousing and distribution project" was recognized as a "2023 Digital Economy Development Typical Case" by the Securities Daily[61] - The company's digital transformation projects, including the orthopedic smart service platform and retail digital operation platform, have been optimized and implemented[61] - The company aims to transition from a traditional pharmaceutical commercial enterprise to a technology-driven platform service provider through digital transformation[61] - The company's revenue from hospital markets reached 54.139 billion yuan, a year-on-year increase of 11.32%, with 268,600 medical institutions covered[62] - Revenue from tiered hospitals was 38.751 billion yuan, up 9.41% year-on-year, covering over 80% of tiered hospitals nationwide[62] - Revenue from primary medical institutions was 7.425 billion yuan, a year-on-year increase of 21.33%, covering over 60% of community health centers and township hospitals[63] - Revenue from private medical institutions was 7.963 billion yuan, up 12.19% year-on-year, serving major private medical groups[63] - The medical device segment achieved sales revenue of 32.815 billion yuan, a year-on-year increase of 11.66%, with 247,500 product specifications[63] - The company's orthopedic Chang'e intelligent service platform was completed, enhancing data service capabilities in the medical device field[64] - The traditional Chinese medicine (TCM) segment achieved sales revenue of 4.2 billion yuan, a year-on-year increase of 14.02%, with a gross profit of 776 million yuan[65] - The TCM segment covers 31 provinces and has established over 30 TCM production bases, with 40 varieties on the quality traceability platform[65] - The company partnered with leading domestic and foreign pharmaceutical companies, including Huarun Sanjiu, Yangtze River Pharmaceutical, and Novo Nordisk, to provide full-chain digital services[66] - Collaborations with medical device companies such as Mindray, MicroPort, and Philips enabled rapid supply to terminal markets through B2B/B2C/O2O platforms[66] - The company signed a strategic cooperation agreement with Johnson & Johnson, covering surgical, orthopedic, and interventional solutions, with a total value of nearly $500 million[67] - The company's logistics system for the "i Maotai" digital marketing platform achieved a peak daily order volume of 216,000 and a peak monthly order volume of 1.91 million[68] - The company's logistics subsidiary, Jiuzhou Logistics, was recognized as one of Maotai Group's 23 strategic suppliers, standing out from over 2,000 suppliers[68] - The company's BC integrated warehouse in Hangzhou achieved a peak daily order volume of 216,000 and a peak monthly order volume of 1.91 million, while the Tianjin warehouse achieved a peak daily order volume of 20,000 and a peak monthly order volume of 350,000[68] - The company's logistics subsidiary, Jiuzhou Cloud Intelligence, completed a large-scale modern high-end intelligent pharmaceutical warehousing and logistics center project for Shandong Yiyang Health Group[69] - The company signed a memorandum of cooperation with Vietnam Airlines Logistics and Vietnam International Service and Trade Investment to collaborate on logistics information technology and supply chain solutions[70] - The company held the "2023 Jiuzhoutong Financial Institutions Seminar," inviting 32 major financial institutions to discuss future cooperation directions, including expanding credit lines and innovating credit products[71] - The company formed a joint venture, Hubei Jiuzhou Pharmaceutical Supply Chain Co., Ltd., to promote the development of the pharmaceutical supply chain industry in Hubei Province[73] - The company signed a strategic cooperation agreement with Tencent Health to upgrade digital management services, financial payment services, and business intelligence services[74] - The company established a joint artificial intelligence laboratory with Peking University Wuhan Artificial Intelligence Research Institute to enhance digital management and intelligent supply chain systems[74] - The company donated a total of over 3.4 million yuan to support education in 2023, including the construction of the Egret Kindergarten in Ulanhot, Inner Mongolia[75] - The company's 2022 ESG report was rated "A" by Wind ESG and ranked 2nd in the pharmaceutical business category in the 2023 Huazheng ESG rating[75] - The company donated automatic external defibrillators worth over 180,000 yuan to the Red Cross Society of Yingcheng City, Hubei Province, installed in 12 public places with high foot traffic[75] - The company actively participated in disaster relief efforts, organizing donations for the July 2023 floods in Beijing-Tianjin-Hebei and the December 2023 earthquake in Gansu[75] - The company was awarded the "Charitable Donation Enterprise" honor at the first Hubei Charity Awards in September 2023[75] - The "Opinions of the CPC Central Committee and the State Council on Promoting the Development and Growth of the Private Economy" (31 measures) was issued in July 2023, providing strong policy support for private enterprises like the company[76] - In November 2023, eight government departments jointly issued the "Notice on Strengthening Financial Support Measures to Promote the Development and Growth of the Private Economy", proposing 25 specific measures to support private enterprises[79] - The company, as a leading private enterprise in the pharmaceutical distribution industry, will benefit from the financial support policies, which will reduce financing costs and expand financing channels[80] - By 2025, the national and provincial centralized drug procurement is expected to cover more than 500 varieties[81] - The company's sales revenue in public hospitals has achieved a compound annual growth rate of 10.58% over the past three years, with the number of effective customers rapidly increasing to 13,800[85] - Over 70% of the company's existing business is in pharmacies and third-tier markets, benefiting from the outflow of hospital prescriptions and the flow of chronic disease medications to third-tier markets[85] - The company has actively promoted real-world data research on innovative drugs in private hospitals, fostering collaboration opportunities with innovative drug companies[85] - The "dual-channel" policy has been implemented nationwide, covering 2,612 drugs, with reimbursement ratios mostly ranging from 70% to 80%[88] - The company has expanded its business coverage in public hospitals, significantly benefiting from the centralized procurement policy[85] - The company has leveraged its supply chain advantages to secure distribution rights for centralized procurement products and opportunities for total agency promotion in the out-of-hospital market[86] - The company has been actively promoting the development of innovative drugs in private hospitals, enhancing collaboration with innovative drug companies[85] - The company has seen steady growth in sales scale in private hospitals through improved logistics management and supply chain services[85] - The company has capitalized on the expansion of the retail market due to the "dual-channel" and "outpatient coordination" policies[87] - The company has benefited from the dynamic adjustment of the number of drugs included in the "dual-channel" management, with the minimum number being 169 and the maximum being 529[88] - The number of "dual-channel" pharmacies in Shandong Province is expected to exceed 700 by the end of September 2023, with a fund payment ratio of around 70% and no less than 85% for primary medical institutions[89] - By the end of Q1 2024, the company has expanded its directly operated and franchised pharmacies to 21,192, with 3,900 specialty pharmacies, dual-channel pharmacies, and hospital-adjacent stores (including franchised stores)[91] - The company's Good Pharmacist pharmacies in Wuhan have been included in outpatient统筹 management, benefiting from policies such as "outpatient统筹," "dual-channel," and "seven unifications"[91] - The "clinic filing system" was implemented nationwide in 2023, leading to a potential rapid increase in the number of clinics in China[92] - The number of clinics in China reached 321,000 by the end of 2022, with 59,848 new clinics registered in the past year, a 75% increase year-on-year[93] - The clinic medication market in China is growing at a double-digit rate annually, with a market size approaching 200 billion yuan[93] - Jiuzhou Tong's "New Medical" strategy focuses on building a "Digital Medical + Supply Chain" industrial service platform targeting clinic customers, leveraging its strong supply chain capabilities and advanced information management systems[94] - The strategy includes a smart clinic solution combining auxiliary diagnosis systems, ERP systems, patient management systems, and doctor management systems to improve clinic operational efficiency[94] - Jiuzhou Tong aims to provide a turnkey solution for new clinics and drive business growth by integrating upstream supplier resources in specialized fields such as dentistry, medical aesthetics, and traditional Chinese medicine[94] - China's infrastructure REITs market has seen a series of supportive policies since the pilot program was officially launched in April 2020[95][96] - Key policy milestones include the "Guidelines for Public Offering of Infrastructure Securities Investment Funds (Trial)" in August 2020 and the "14th Five-Year Plan" in March 2021, which emphasized the healthy development of infrastructure REITs[97] - The "Notice on Further Improving the Pilot Work of Infrastructure REITs" in July 2021 highlighted the importance of project quality and long-term healthy development of infrastructure REITs[97] - In January 2022, the Ministry of Finance and the State Taxation Administration introduced tax incentives for REITs, allowing deferred taxation on asset transactions or equity acquisitions during the establishment phase[97] - The "Opinions on Further Revitalizing Existing Assets and Expanding Effective Investment" in May 2022 identified key areas for revitalizing existing assets, including infrastructure projects with large scale, good current returns, or growth potential[97] - The "Outline of the Strategic Plan for Expanding Domestic Demand (2022-2035)" in December 2022 proposed the orderly development of infrastructure REITs to form a virtuous cycle between existing assets and new investments[98] - The total scale of infrastructure REITs in China reached 115.6 billion yuan, including 110.5 billion yuan from initial projects and 5.1 billion yuan from expansion projects[101] - The company has approximately 3.3 million square meters of pharmaceutical logistics storage assets and supporting facilities available for REITs issuance[102] - The Chinese government has introduced multiple policies to support the development of REITs, including expanding the scale of REITs issuance and encouraging private investment[99][100][101] - The company's REITs issuance is expected to provide significant equity-based funding, supporting rapid business development[102] - The Chinese government has issued policies to promote the high-quality development of the REITs market,