嘉应制药(002198) - 2016 Q2 - 季度财报

Financial Performance - The company reported a revenue of CNY 166,110,936.93 for the first half of 2016, a decrease of 24.64% compared to CNY 220,430,538.40 in the same period last year[20]. - Net profit attributable to shareholders was CNY 15,942,470.88, down 49.95% from CNY 31,852,480.32 year-on-year[20]. - The net profit after deducting non-recurring gains and losses was CNY 15,813,537.87, a decrease of 46.23% compared to CNY 29,406,980.32 in the previous year[20]. - Basic and diluted earnings per share were both CNY 0.0314, reflecting a 50% decrease from CNY 0.0628 in the previous year[20]. - The weighted average return on equity was 1.70%, down from 3.62% year-on-year, indicating a decline in profitability[20]. - The company's operating revenue for the reporting period was ¥166,110,936.93, a decrease of 24.64% compared to the same period last year, primarily due to adjustments in the pharmaceutical distribution business of its subsidiary, Jia Ying Pharmaceutical, and a decline in sales revenue from Jinsha Pharmaceutical[30]. - The net profit for the period was ¥15,942,470.88, down 49.95% year-on-year, attributed to the same factors affecting revenue[31]. - The company's operating profit decreased to CNY 19,047,283.72, down 46.6% from CNY 35,515,837.42 in the same period last year[117]. - The company reported a total profit of CNY 19,199,002.24, down 50.5% from CNY 38,745,837.42 in the same period last year[117]. Cash Flow and Investments - The company experienced a net cash flow from operating activities of CNY -5,296,722.14, an improvement of 15.23% from CNY -6,248,424.50 in the same period last year[20]. - The company reported a significant decline in cash flow from investment activities, with a net cash outflow of ¥6,745,112.35, a decrease of 403.08% year-on-year[31]. - The net cash flow from investing activities was -6,745,112.35 yuan, a decline from a positive 2,225,530.13 yuan in the previous period[125]. - Cash inflow from financing activities totaled 19,294,285.37 yuan, while cash outflow was 7,338,864.93 yuan, resulting in a net cash flow of -7,338,864.93 yuan[126]. - The ending balance of cash and cash equivalents was 26,835,701.89 yuan, down from 29,700,291.40 yuan in the previous period[126]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,036,540,489.19, a decrease of 1.09% from CNY 1,047,997,444.15 at the end of the previous year[20]. - Current liabilities decreased from CNY 83,550,252.54 to CNY 56,150,826.70, a reduction of about 32.8%[109]. - The total liabilities decreased from CNY 118,296,988.30 to CNY 90,897,562.46, a reduction of approximately 23.1%[109]. - The company's cash and cash equivalents decreased from 46,216,401.31 RMB to 26,835,701.89 RMB during the reporting period[107]. - Accounts receivable decreased from 141,831,187.28 RMB to 108,992,224.40 RMB[107]. - Inventory increased from 47,369,982.96 RMB to 55,182,850.07 RMB[107]. - The total current assets decreased from CNY 293,842,935.29 to CNY 289,489,017.54, a decline of approximately 1.2%[110]. Shareholder Information - The company plans not to distribute cash dividends or issue new shares from capital reserves for the half-year period[53]. - The company plans to distribute cash dividends amounting to no less than 10% of the distributable profits achieved each year over the next three years, with a cumulative cash distribution of at least 30% of the average distributable profits over these three years[81]. - The cash dividend proportion will be at least 80% if the company is in a mature stage without significant capital expenditure, and at least 40% if there are major capital expenditures planned[81]. - The total number of shares before the change was 507,509,800, with 20.49% being restricted shares[88]. - The number of unrestricted shares increased from 403,542,000 (79.51%) to 405,247,313 (79.85%) due to the release of 1,705,313 shares[88]. - The company released 1,705,313 shares from lock-up on January 4, 2016, which corresponds to 25% of the total shares held by directors and executives[88]. - The largest shareholder, Huang Xiaobiao, holds 11.44% of the shares, totaling 58,083,001 shares[95]. - The second-largest shareholder, Chen Yonghong, holds 10.94% of the shares, totaling 13,885,250 shares, which are pledged[95]. Operational Strategy - The company plans to enhance its marketing system and brand development, focusing on core products such as Shuangliao Houfeng San and Zhonggan Ling Pian[28]. - The decline in revenue and profit was primarily due to adjustments in the pharmaceutical distribution business of its subsidiary, Jiaying Pharmaceutical, and a decrease in sales from Jinsha Pharmaceutical[28]. - The company has a strong competitive advantage with its proprietary products, including patented traditional Chinese medicines, which have established brand recognition and market share[37]. Compliance and Governance - The company confirms its ability to continue as a going concern for the next 12 months from the reporting date[149]. - The financial statements are prepared based on the going concern principle and comply with the accounting standards issued by the Ministry of Finance[148][151]. - The company aims to maintain compliance with legal and regulatory requirements in all transactions[79]. - The company has committed to avoiding any business competition with its subsidiaries during the shareholder period[79]. Accounting Policies - The company adopts Renminbi as its functional currency for accounting purposes[154]. - The company’s consolidated financial statements include all subsidiaries under its control, reflecting the overall financial status and performance of the group[157][158]. - Cash and cash equivalents are defined as cash on hand and deposits that can be used for payment at any time, with investments meeting specific criteria classified as cash equivalents[164]. - Financial instruments include financial assets, financial liabilities, and equity instruments, classified at initial recognition based on their nature[167].