AURORA(SH:600666)2015-03-11 16:00Financial Performance - The company's operating revenue for 2014 was CNY 1,401,720,585.50, representing a 5.63% increase compared to CNY 1,326,950,812.70 in 2013[25]. - The net profit attributable to shareholders for 2014 was CNY 28,862,168.96, a decrease of 11.86% from CNY 32,745,802.60 in the previous year[25]. - The net profit after deducting non-recurring gains and losses was CNY 21,449,843.84, an increase of 4.47% from CNY 20,532,622.61 in 2013[25]. - The cash flow from operating activities for 2014 was CNY 137,778,018.52, a significant increase of 434.24% compared to a negative cash flow of CNY 41,221,439.01 in 2013[25]. - The total assets at the end of 2014 were CNY 2,049,580,265.54, reflecting a 3.43% increase from CNY 1,981,692,427.44 in 2013[25]. - The net assets attributable to shareholders decreased by 7.43% to CNY 397,074,262.45 from CNY 428,953,287.41 in 2013[25]. - The basic earnings per share were 0.10 RMB, down 9.09% from 0.11 RMB in the previous year[26]. - The weighted average return on equity was 7.52%, a slight decrease of 0.05 percentage points from 7.57% in the previous year[26]. Asset Management - The company achieved a total operating revenue of 1,401.72 million RMB, representing a year-on-year growth of 5.63%[32]. - The company has seen a notable increase in inventory, which rose by 29.94% to CNY 511,025,839.30 from CNY 393,265,206.17 in the previous period[47]. - The company’s cash and cash equivalents decreased by 53.84% to CNY 157,324,905.31 from CNY 340,838,467.18 in the previous period[47]. - The company’s long-term equity investments decreased by 71.46% to CNY 50,753,295.35 from CNY 177,841,158.69 in the previous period[47]. - The company’s total liabilities amounted to RMB 1,652,009,231.60, up from RMB 1,553,744,150.93, reflecting an increase of approximately 6.4%[146]. - The company reported a decrease in cash and cash equivalents to RMB 157,324,905.31 from RMB 340,838,467.18, a decline of approximately 53.8%[145]. Strategic Initiatives - The company initiated a major asset restructuring in April 2014, with a significant asset swap and issuance of shares planned[7]. - The company is actively promoting the major asset restructuring process following the approval of related proposals at the shareholders' meeting in September 2014[7]. - The company plans to distribute a cash dividend of CNY 0.11 per 10 shares, totaling CNY 3,191,600, based on the share capital as of December 31, 2014[5]. - The company is actively pursuing a major asset restructuring plan, which includes asset swaps and issuing shares to acquire assets[34]. - The company has outlined a strategy for potential mergers and acquisitions to strengthen its market position[100]. Market Expansion and Product Development - The company launched new products, including a sodium sialic acid derivative and several key new products recognized by the Chongqing Science and Technology Commission[33]. - The company is expanding production capacity by upgrading equipment and constructing new production bases to meet market demand[33]. - The company plans to expand its market presence by launching new products in the upcoming fiscal year[100]. - Market expansion efforts include entering three new international markets, projected to increase market share by 5%[102]. - New product launches are expected to contribute an additional 300 million in revenue over the next fiscal year[4]. Shareholder Relations - The company plans to distribute cash dividends of 0.11 RMB per 10 shares for the year 2014, totaling 319.16 million RMB, based on a share capital of 290,146,298 shares as of December 31, 2014[60]. - The company has committed to a shareholder return plan, promising dividends over the next three years, with a target payout ratio of 30%[72]. - The total number of shareholders at the end of the reporting period was 39,227, compared to 24,876 five trading days prior[85]. - The largest shareholder, Chongqing Taiji Industrial (Group) Co., Ltd., holds 32.39% of the shares, totaling 93,980,381 shares[88]. Corporate Governance - The company adheres to legal regulations and continuously improves its corporate governance structure, ensuring transparency and protecting shareholder interests[120]. - The board of directors operates in compliance with legal requirements, with independent directors actively fulfilling their responsibilities[121]. - The company held its annual general meeting on April 17, 2014, where all proposed resolutions were approved[125]. - The independent directors did not raise any objections to the board's proposals during the reporting period[129]. - The audit committee ensured that the annual audit and information disclosure were conducted as planned, maintaining communication with the auditors[130]. Risk Management - The company faces risks from stricter regulations in the pharmaceutical industry, including price pressures and increased competition, which may challenge profit growth[58]. - The supervisory board reported no risks identified within the company during the reporting period[131]. Employee Management - The total number of employees in the parent company is 1,808, and the total number of employees in major subsidiaries is 331, resulting in a combined total of 2,139 employees[108]. - The company has established a compensation management system that rewards employees based on their performance at the end of the year[109]. - The company conducts annual training programs to enhance employee skills and management capabilities, including training for new employees and sales personnel[110][114]. Research and Development - The company is investing in new technology development, aiming to enhance operational efficiency and product quality[100]. - The company is investing heavily in R&D, with a budget increase of 15% to enhance product innovation and technology[5]. - Research and development expenses for the current period are CNY 8,865,455.92, down 26.97% from CNY 12,139,615.19 in the previous year[41]. Financial Reporting - The company has retained Tianjian Accounting Firm for the audit of the 2014 financial report, with an audit fee of RMB 70,000[74]. - There were no penalties or administrative actions against the company or its major stakeholders during the reporting period[75]. - The financial statements are prepared based on the assumption of going concern, with no significant doubts regarding the company's ability to continue operations for the next 12 months[177].