2014-04-17 16:00Financial Performance - The company's operating revenue for 2013 was ¥1,513,168,624.17, a decrease of 14.11% compared to ¥1,761,820,027.92 in 2012[21] - The net profit attributable to shareholders for 2013 was ¥317,334,752.99, down 49.18% from ¥624,393,334.37 in 2012[21] - The net profit after deducting non-recurring gains and losses was ¥313,986,311.66, a decrease of 49.66% compared to ¥623,785,454.51 in 2012[21] - The net cash flow from operating activities was ¥420,968,576.32, down 11.17% from ¥473,890,043.41 in 2012[21] - Basic earnings per share for 2013 were ¥0.4, a decline of 48.72% from ¥0.78 in 2012[21] - The company's operating revenue for 2013 was CNY 1,513.17 million, a decrease of 14.11% compared to the previous year[33] - The main business income was CNY 1,512.36 million, down 14.15% year-on-year, primarily due to an 8.24% decrease in the price of heparin sodium raw materials and a 7.42% decline in sales volume[38] - In 2013, the company's total revenue was CNY 1,512,357,201.71, a decrease of 14.15% compared to 2012[53] - The cost of goods sold was CNY 1,135,515,040.70, resulting in a gross margin of 24.92%, which is a decrease of 3.75% year-over-year[53] - R&D expenses increased by 32.85% to CNY 39,972,200, accounting for 2.64% of total revenue, up from 1.71% in 2012[48] Assets and Liabilities - The total assets at the end of 2013 were ¥8,271,379,204.50, an increase of 0.14% from ¥8,259,893,243.21 at the end of 2012[21] - The net assets attributable to shareholders at the end of 2013 were ¥7,986,056,392.22, up 0.31% from ¥7,961,506,212.56 at the end of 2012[21] - As of the end of 2013, cash and cash equivalents amounted to ¥6,050,275,614.08, representing 73.15% of total assets, a decrease of 6.61% compared to the end of 2012[55] - Accounts receivable decreased to ¥196,025,543.07, accounting for 2.37% of total assets, down by 1.91% from the previous year[55] - Inventory increased to ¥677,466,001.34, which is 8.19% of total assets, reflecting a rise of 1.55% year-over-year[55] Investments and Acquisitions - The company completed the construction and production of a project with an annual capacity of 50 trillion units of heparin sodium raw materials, increasing the designed capacity to 100 trillion units[35] - The company acquired 100% of SPL's equity, enhancing its competitive advantage in the heparin raw material industry[32] - The company invested ¥262,160,000.00 during the reporting period, a 52.4% increase compared to ¥172,016,060.00 in the previous year[62] - The company has made significant investments in equity stakes and joint ventures, including a 36% stake in Chengdu Haitong Pharmaceutical Co., Ltd. and a 24% stake in Chengdu Shenrui Livestock Products Co., Ltd.[81] - The company plans to acquire SPL Acquisition Corp. through its wholly-owned subsidiary HEPALINK USA INC. for a cash payment, with contingent payments related to the commercialization of enzyme products totaling up to $87.5 million depending on FDA approval timelines[136] Research and Development - The company implemented 18 R&D projects during the reporting period, completing 12 of them, focusing on the quality and process of heparin sodium products[35] - Continuous R&D efforts are being made in process technology and new product specifications to maintain a competitive edge in the heparin sodium raw material market[123] - The company plans to invest in R&D to maintain its competitive edge in heparin raw material production and develop new drug candidates[103] Risk Management - The company has highlighted potential risks including product price declines, cost increases, and integration challenges related to acquisitions[12] - The company faces risks from potential price declines in heparin products due to increased competition and rising production costs, which could adversely affect its financial performance[105] - The company emphasizes quality control and safety training to mitigate risks associated with product quality and safety in production[106] Shareholder Returns - The company plans to distribute a cash dividend of ¥3 per 10 shares to all shareholders based on the total share capital as of December 31, 2013[5] - The company achieved a net profit of 385,677,084.57 RMB for the year 2013, with 10% allocated to statutory reserves, amounting to 38,567,708.46 RMB[117] - The cash dividend for 2013 is set at CNY 240,060,000, representing 100% of the total profit distribution[120] - The company has maintained a cash dividend policy, distributing more than 30% of the average distributable profit over the past three years[114] - The cash dividend payout ratio over the past three years has exceeded 70% of the net profit attributable to shareholders[121] Corporate Governance and Compliance - The company has established a robust governance structure to protect the rights of shareholders and creditors, ensuring timely and accurate information disclosure[121] - The company has not faced any administrative penalties during the reporting period, indicating compliance with regulatory standards[124] - The company has not reported any significant changes in project feasibility or major issues regarding the use of raised funds[83] Market Position and Strategy - The global heparin market is expected to continue expanding due to increased clinical applications and a growing patient population, despite recent price declines in heparin sodium raw materials[97] - China's heparin raw material supply accounts for over 50% of the global supply, with exports to 46 countries in 2013, where the top five markets (France, Germany, the USA, Italy, and India) accounted for 73% of total exports[100] - The company plans to enhance production capacity and efficiency in 2014, focusing on the integration of acquired businesses and optimizing internal structures[102] - The company is committed to expanding its market presence in emerging markets like India and Russia while leveraging synergies from recent acquisitions[103] Subsidiaries and Operations - The company has a total of 12 subsidiaries, including Shenzhen Duopusheng Biotechnology Co., Ltd. and Shenzhen Beidiao Technology Development Co., Ltd., focusing on heparin raw material production and biopharmaceutical technology development[89][90] - The company’s subsidiary, Shenzhen Junshengtai Biotechnology Co., Ltd., focuses on the research and development of peptide bioproducts, with a registered capital of RMB 35 million[90] - The company’s subsidiary, Shenzhen Pingshan New District Hepalink Pharmaceutical Co., Ltd., is engaged in the production of small-volume injections and is currently in the preparatory stage[91] Financial Audit and Reporting - The company appointed Ruihua Certified Public Accountants as the financial audit institution for the 2013 fiscal year, with an audit fee of 1.04 million yuan[170] - The company has maintained a continuous relationship with Ruihua Certified Public Accountants for auditing services since the merger of its previous auditor[171] - The company has not reported any violations or penalties involving its directors, supervisors, or senior management during the reporting period[173]