JENKEM(SH:688356)2025-04-28 13:30Dividend Distribution - The company plans to distribute a cash dividend of 1.50 RMB per 10 shares, totaling 9,075,417.90 RMB (including tax) based on 60,502,786 shares, which represents 30.42% of the net profit attributable to shareholders for the year[7][8]. - The total cash dividend and share repurchase amount to 19,575,755.20 RMB, accounting for 65.61% of the net profit attributable to shareholders for the year[8]. - The total distributable profit available to shareholders as of December 31, 2024, is RMB 68,059,432.92[192]. - The cumulative cash dividend over the last three accounting years amounts to RMB 99,875,473.26, with an average net profit of RMB 110,805,108.36, resulting in a cash dividend ratio of 90.14%[199]. - The company’s board has approved the profit distribution plan, which is subject to shareholder approval at the upcoming general meeting[193]. - The company has maintained compliance with its dividend policy, ensuring transparency and protection of minority shareholders' rights[194]. - The total number of shares eligible for dividend distribution is 60,502,786 after excluding repurchased shares[192]. - The company has not proposed any stock bonus or capital reserve increase in the current profit distribution plan[196]. Financial Performance - In 2024, the company's operating revenue decreased by 22.26% to ¥227,096,825.17 compared to ¥292,118,400.90 in 2023[24]. - The net profit attributable to shareholders fell by 74.22% to ¥29,837,797.00 from ¥115,744,579.80 in the previous year[24]. - The basic earnings per share dropped by 74.48% to ¥0.49, down from ¥1.92 in 2023[25]. - The company's total revenue for the reporting period was 227.10 million RMB, a decrease of 22.26% year-on-year[85]. - The net profit attributable to the parent company was 29.84 million RMB, down 74.22% year-on-year[85]. - The revenue from technical service fees was 17.49 million RMB, accounting for 7.70% of the main business revenue[79]. - The gross profit margin for the main business was 69.21% during the reporting period[80]. - The comprehensive gross profit margin is 69.21%, down 12.04 percentage points year-on-year[90]. - Domestic revenue decreased by 43.62% to 84.73 million RMB, while international revenue increased slightly by 0.37% to 142.37 million RMB[95]. Research and Development - The company's R&D expenditure accounted for 35.21% of operating revenue, an increase of 15.42 percentage points from the previous year[25]. - R&D expenses for 2024 reached CNY 7,994.97 million, an increase of 38.28% year-on-year, representing 35.21% of total sales revenue[38]. - The company has developed several PEG-modified drugs and Class III medical devices, including PEG-Irinotecan for small cell lung cancer, which is currently in Phase III clinical trials[44]. - The company has submitted a registration application for the PEG-crosslinked sodium hyaluronate project (JK-2122H), which has been officially accepted by the National Medical Products Administration[44]. - The company has achieved significant breakthroughs in the domestic production of key lipid materials for mRNA delivery systems, optimizing production processes for 5 key excipients[56]. - The company completed the optimization and improvement of 14 derivative products, developed 84 new structural derivatives, and created 150 analytical methods during the reporting period[69]. - The company applied for 27 new invention patents and was granted 4, bringing the total number of granted invention patents to 108, with 102 still pending[71]. - The company is conducting clinical trials for PEG-irinotecan for small cell lung cancer, with the first patient enrollment expected to be completed by September 30, 2024[65]. Operational Risks and Governance - The company has faced various operational risks, which are detailed in the management discussion and analysis section of the report[4]. - The company has received a standard unqualified audit report from Deloitte Huayong[6]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[11]. - The company has not violated decision-making procedures for external guarantees[11]. - The company has confirmed that all board members attended the board meeting[5]. - The company has not disclosed any special arrangements for corporate governance[9]. - The company emphasizes that forward-looking statements regarding future plans and strategies do not constitute substantive commitments to investors[10]. - The company has established a comprehensive governance system, including rules for shareholder meetings, board meetings, and supervisory meetings, to ensure standardized operations[158]. - The company disclosed significant information accurately and timely, maintaining transparency and protecting the interests of minority investors[160]. - There were no significant discrepancies between the company's governance practices and the regulations set by the China Securities Regulatory Commission[160]. Market and Competitive Position - The company is positioned as a leading domestic player in the industrial production of high-purity and low-dispersity medical-grade PEG, filling a long-standing gap in the domestic market for high-quality PEG[41]. - The company is positioned as a major emerging player in the global market for medical-grade PEG and its derivatives[41]. - The company is actively pursuing new applications for high-purity PEG materials in various drug formulations, indicating a commitment to innovation[148]. - The company aims to expand its market presence by developing new applications for PEG derivatives in various downstream industries, targeting rapid growth in the medical and healthcare sectors[152]. - The company is focusing on the development of LNPs delivery technology, which is gaining traction due to the widespread use of mRNA vaccines[148]. - The company is in a performance transition period in 2024, with expectations of growth in overseas pharmaceutical client orders to offset domestic market declines[73]. - The company is actively monitoring international trade policies and maintaining close communication with clients to ensure stable business development amid tariff impacts[73]. Human Resources and Management - The company employed a total of 284 staff members, with 47 in the parent company and 237 in major subsidiaries, including 124 technical personnel[188]. - The company has a competitive compensation policy, providing salaries, bonuses, and various benefits to attract local talent, while managing human resources budgets according to strategic development plans[189]. - The company has implemented an annual training plan to enhance employee skills and support strategic goals, increasing the training budget and encouraging self-learning[190]. - The number of R&D personnel decreased to 80 from 83, while the proportion of R&D personnel in the total workforce increased to 28.17% from 27.85%[68]. - Total compensation for R&D personnel was 2,220.06 million, down from 2,375.44 million, with average compensation decreasing to 27.75 million from 28.62 million[68]. Strategic Investments and Future Plans - The company has made a strategic investment of RMB 21 million in Shanghai Yisi Miao Medical Equipment Co., Ltd., achieving a 100% ownership stake[143]. - The company plans to conduct foreign exchange hedging business as part of its strategy[178]. - The company will use idle funds for wealth management in 2024[178]. - The company aims to optimize operations and governance while actively returning value to investors through its 2024 quality improvement and efficiency enhancement action plan[185]. - The company plans to increase R&D investment to enhance core competitiveness and solidify its technological moat in the PEG materials sector[150]. - The company will focus on developing proprietary products and accelerating the development of self-owned intellectual property products in the PEG derivatives market[152].