Zhejiang East-Asia Pharmaceutical (SH:605177)2025-01-16 07:46Financial Performance Expectations - The company expects a net profit attributable to shareholders for 2024 to be between -95 million and -115 million RMB, indicating a loss compared to the previous year's profit of 121.25 million RMB [4]. - The projected net profit after deducting non-recurring gains and losses for 2024 is estimated to be between -90 million and -110 million RMB [5]. - The decrease in gross profit is attributed to a reduction in demand from major customers, resulting in a year-on-year decrease of approximately 30 million RMB [8]. Expenses and Provisions - R&D expenses increased by around 30 million RMB year-on-year as the company continues to invest in the integrated development of raw materials and formulations [8]. - The company plans to recognize inventory impairment provisions of approximately 130 million RMB and asset impairment provisions of around 11 million RMB due to market conditions [8]. Strategic Goals and Initiatives - The company aims to achieve revenue growth by focusing on core business, reducing costs, and expanding the market in 2025 [9]. - The company will optimize production processes to reduce energy consumption and improve product quality, thereby enhancing market competitiveness [9]. - Ongoing projects, particularly in the integrated raw material and formulation strategy, are prioritized to contribute to business performance and expand product offerings [10]. Earnings Forecast and Audit - The company has not identified any significant uncertainties that could affect the accuracy of the earnings forecast [11]. - The financial data provided is preliminary and subject to final audit in the 2024 annual report [12].