Lionco(SH:603669)2016-08-19 16:00Financial Performance - The company's operating revenue for the first half of 2016 was approximately ¥208.80 million, a decrease of 14.81% compared to ¥245.10 million in the same period last year[18]. - The net profit attributable to shareholders of the listed company was approximately ¥73.23 million, an increase of 2.59% from ¥71.38 million in the previous year[18]. - The net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 35.78% to approximately ¥41.96 million from ¥65.33 million in the same period last year[18]. - The net cash flow from operating activities increased by 37.97% to approximately ¥70.46 million, compared to ¥51.07 million in the previous year[18]. - The weighted average return on net assets decreased by 9.24 percentage points to 6.43% from 15.67% in the previous year[17]. - The basic earnings per share decreased by 20.00% to ¥0.28 from ¥0.35 in the same period last year[17]. - The total assets at the end of the reporting period were approximately ¥1.29 billion, a decrease of 3.90% from ¥1.34 billion at the end of the previous year[18]. - The net assets attributable to shareholders of the listed company decreased by 2.75% to approximately ¥1.09 billion from ¥1.12 billion at the end of the previous year[18]. Research and Development - Research and development expenses were maintained at ¥12,718,767.45, a slight decrease of 0.21% compared to the previous year[26]. - The company obtained 84 varieties of drug production approval documents, with 17 new drug varieties and 105 generic drug varieties in the clinical or production approval process[23]. - The company is actively enhancing its research capabilities through collaborations with renowned universities and research institutions[22]. - The company has a dedicated R&D team of over 190 people, focusing on product development and technological innovation[36]. - The company is actively developing several in-research products, including Prasugrel raw materials and formulations, which will enhance its product structure and market competitiveness[35]. - The company has a strong focus on market demand-driven R&D, aligning its product development with hospital usage needs[37]. Marketing and Sales - The company has established a marketing network covering over 3,500 secondary hospitals across the country, supported by a sales team of more than 190 people[38]. - Sales in the East China region decreased by 25.49% to ¥72,047,361.27, influenced by national drug bidding policies[34]. - The gross profit margin for the pharmaceutical manufacturing sector was 55.71%, a decrease of 4.65 percentage points year-on-year[31]. Financial Management - The total amount of entrusted financial management products is RMB 83,228,000, with actual returns amounting to RMB 3,131,650[41]. - The total amount of guarantees provided by the company, including those to subsidiaries, is 108,071,271.13 RMB, which accounts for 9.93% of the company's net assets[57]. - The company has secured bank credit lines exceeding 30 million RMB, with significant contracts from banks such as Citic Bank and Ping An Bank[62]. - The company has active loan agreements exceeding 30 million RMB, including a loan of 50 million RMB from Ping An Bank[64]. - The company has signed guarantee contracts exceeding 30 million RMB, including a maximum guarantee of 20 million RMB to Citic Bank[67]. Shareholder Information - The company plans to distribute cash dividends of RMB 4.00 per 10 shares, totaling RMB 104 million, based on the total share capital of 260 million shares[52]. - The largest shareholder, Zhejiang Lingkang Holdings Co., Ltd., holds 128,700,000 shares, representing 49.50% of the total shares, with 22,000,000 shares pledged[81]. - The second-largest shareholder, Tao Lingping, holds 17,550,000 shares, accounting for 6.75% of the total shares, with no shares pledged[81]. - The company reported a total share capital of 260,000,000 shares, with 195,000,000 shares subject to restrictions, accounting for 75% of total shares[74]. - The company has committed to distributing cash dividends amounting to no less than 20% of the distributable profits for the year, provided the net profit is positive[75]. Compliance and Governance - The company has a governance structure that complies with the Company Law and relevant regulations, ensuring independent operation and scientific decision-making[72]. - The company guarantees compliance with relevant laws and regulations regarding share reduction and will announce any reductions three trading days in advance[69]. - The company has committed to not engage in any business activities that compete with its main business, both directly and indirectly[69]. - The company’s board of directors and management have been diligent in their duties, enhancing operational compliance and protecting shareholder rights[72]. Assets and Liabilities - The total current asset of 895,713,589.83 RMB as of June 30, 2016, a decrease from 944,378,283.36 RMB at the beginning of the period[90]. - The total non-current assets include fixed assets valued at 279,819,258.88 RMB, slightly up from 278,807,138.14 RMB[90]. - Total liabilities decreased from ¥223,981,981.32 to ¥202,376,110.04, reflecting a decrease of approximately 9.7%[92]. - Owner's equity decreased from ¥1,119,524,750.94 to ¥1,088,750,641.30, a decline of about 2.8%[92]. Cash Flow - The net cash flow from financing activities showed a significant decline, with a net outflow of CNY 102,622,095.28 compared to a net inflow of CNY 680,240,484.68 in the same period last year[105]. - The total cash and cash equivalents at the end of the period amounted to CNY 163,803,420.99, compared to CNY 751,537,586.80 at the end of the previous year, reflecting a decrease of approximately 78.1%[105]. - The company paid CNY 102,622,095.28 in dividends and interest, slightly lower than CNY 110,028,938.62 in the previous year, indicating a decrease of about 4.0%[105]. Accounting Policies - The company adheres to the enterprise accounting standards, ensuring the financial statements reflect a true and complete picture of its financial status[125]. - Financial assets are classified into four categories at initial recognition: financial assets at fair value through profit or loss, held-to-maturity investments, loans and receivables, and available-for-sale financial assets[134]. - The company measures financial assets at fair value subsequently, except for held-to-maturity investments and loans and receivables, which are measured at amortized cost using the effective interest method[135]. - The company assesses the carrying amount of financial assets for impairment at the balance sheet date, and if objective evidence of impairment exists, it recognizes an impairment loss[139].