沃森生物(300142) - 2025 Q2 - 季度财报

Important Notice, Table of Contents, and Definitions This section provides crucial disclaimers, the report's table of contents, and definitions of key terms, ensuring clarity and context for readers Important Notice The Board of Directors, Supervisory Board, and senior management guarantee the accuracy and completeness of the semi-annual report, with all directors attending the review meeting - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions[3] - Company head Li Yunchun, chief accountant Wu Changxiong, and head of accounting department Wu Changxiong declare that the financial report in this semi-annual report is true, accurate, and complete[3] 2025 Semi-Annual Profit Distribution Plan | Indicator | Content | | :--- | :--- | | Cash dividend per 10 shares | $0.30 (tax inclusive) | | Bonus shares | 0 shares (tax inclusive) | | Capital reserve to share capital | No transfer | | Share capital base | Total share capital of the company on the equity registration date determined in the 2025 semi-annual equity distribution implementation announcement, deducting shares in the company's buyback special securities account | Table of Contents This section outlines the report's eight main chapters, providing investors with a comprehensive overview of its overall structure - The report includes eight main chapters, covering comprehensive information on company operations, finance, governance, and significant matters[6] Directory of Reference Documents This section specifies the types and location of the company's reference documents for the reporting period, all kept at the Board of Directors' office - Reference documents include financial statements signed and sealed by the legal representative, chief accountant, and head of the accounting department[8] - Reference documents also include the original text of the 2025 semi-annual report, sealed by the company and signed by the legal representative[9] - All reference documents are kept at the company's Board of Directors' office[10] Definitions This section defines common terms used in the report, covering regulatory bodies, company entities, key products, and the reporting period, ensuring clear understanding - Definitions cover regulatory bodies such as the China Securities Regulatory Commission, National Medical Products Administration, and Shenzhen Stock Exchange[11] - The company's main products include 13-valent pneumococcal conjugate vaccine, bivalent HPV vaccine, and 9-valent HPV vaccine[11] - The reporting period is defined as January 1, 2025, to June 30, 2025[12] Company Profile and Key Financial Indicators This section provides an overview of the company's basic information and presents key financial data and indicators for the reporting period I. Company Profile The company, Walvax Biotechnology Co., Ltd., is listed on the Shenzhen Stock Exchange under stock code 300142, with Li Yunchun as its legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Walvax Bio | | Stock Code | 300142 | | Listing Exchange | Shenzhen Stock Exchange | | Chinese Name | Yunnan Walvax Biotechnology Co., Ltd. | | Legal Representative | Li Yunchun | II. Contact Persons and Information The company's Board Secretary is Li Yunchun and Securities Affairs Representative is Yang Yongxiang, both reachable at 395 Kexin Road, High-tech Zone, Kunming, Yunnan, via phone/fax 0871-68312779, and email ir@walvax.com Company Contact Information | Position | Name | Contact Address | Phone | Fax | Email | | :--- | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Li Yunchun | 395 Kexin Road, High-tech Zone, Kunming, Yunnan Province | 0871-68312779 | 0871-68312779 | ir@walvax.com | | Securities Affairs Representative | Yang Yongxiang | 395 Kexin Road, High-tech Zone, Kunming, Yunnan Province | 0871-68312779 | 0871-68312779 | ir@walvax.com | III. Other Information During the reporting period, there were no changes to the company's registered address, office address, website, email, information disclosure, or registration details, as detailed in the 2024 annual report - The company's registered address, office address, website, email, and other contact information remained unchanged during the reporting period[16] - Information disclosure and storage locations remained unchanged during the reporting period[17] - The company's registration status remained unchanged during the reporting period[18] IV. Key Accounting Data and Financial Indicators In the first half of 2025, the company's operating revenue decreased by 19.47%, net profit attributable to shareholders fell by 74.69%, and non-recurring net profit declined by 80.52%, while operating cash flow increased by 28.77% 2025 Semi-Annual Key Accounting Data and Financial Indicators | Indicator | Current Reporting Period ($) | Prior Year Period ($) | Change from Prior Year Period | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,154,212,387.00 | 1,433,348,556.33 | -19.47% | | Net Profit Attributable to Shareholders of Listed Company | 43,160,638.40 | 170,560,456.72 | -74.69% | | Net Profit Attributable to Shareholders of Listed Company After Deducting Non-Recurring Gains and Losses | 28,442,672.68 | 145,990,463.22 | -80.52% | | Net Cash Flow from Operating Activities | 116,657,084.35 | 90,596,392.55 | 28.77% | | Basic Earnings Per Share | 0.0273 | 0.1066 | -74.39% | | Diluted Earnings Per Share | 0.0273 | 0.1066 | -74.39% | | Weighted Average Return on Net Assets | 0.45% | 1.81% | -1.36% | | Total Assets (End of Period) | 14,002,501,832.95 | 14,724,311,909.25 | -4.90% | | Net Assets Attributable to Shareholders of Listed Company (End of Period) | 9,496,660,286.66 | 9,429,543,133.67 | 0.71% | V. Differences in Accounting Data Under Domestic and Overseas Accounting Standards During the reporting period, the company reported no differences in net profit or net assets between financial statements prepared under international or overseas accounting standards and those under Chinese accounting standards - The company's financial reports for the reporting period show no differences in net profit and net assets when disclosed under International Accounting Standards versus Chinese Accounting Standards[20] - The company's financial reports for the reporting period show no differences in net profit and net assets when disclosed under overseas accounting standards versus Chinese Accounting Standards[21] VI. Non-Recurring Gains and Losses Items and Amounts The company's total non-recurring gains and losses for the first half of 2025 amounted to $14.72 million, primarily from government grants and fair value changes in financial assets, notably a $13.42 million gain from Hong Kong-listed stock price increases 2025 Semi-Annual Non-Recurring Gains and Losses Items and Amounts | Item | Amount ($) | Explanation | | :--- | :--- | :--- | | Gains and losses from disposal of non-current assets | -468,892.91 | | | Government grants recognized in current profit and loss | 3,064,888.58 | | | Gains and losses from changes in fair value | 13,422,300.00 | Due to the increase in the period-end prices of shares held by the company in Hong Kong-listed Sirnaomics, Ltd. and Genor Biopharma Co., Ltd., resulting in fair value change gains of $28.357 million during the reporting period, and the comprehensive impact of fair value changes in other equity investments held by the company | | Other non-operating income and expenses | -666,682.33 | | | Less: Income tax impact | 129,080.78 | | | Minority interests impact (after tax) | 504,566.84 | | | Total | 14,717,965.72 | | - The company has no other profit and loss items that meet the definition of non-recurring gains and losses[24] - The company has not classified non-recurring gains and losses items as recurring gains and losses items[24] Management Discussion and Analysis This section provides a comprehensive analysis of the company's operations, financial performance, and strategic initiatives during the reporting period I. Main Business Activities During the Reporting Period As a high-tech biopharmaceutical company, the company focuses on human vaccine R&D, production, and sales, making progress in product sales, batch release, new product development, and international cooperation during the reporting period (I) Overview of the Pharmaceutical Industry Development The global pharmaceutical market is projected to reach $2.4 trillion by 2029, driven by AI, aging populations, and biomanufacturing, with China's biopharmaceutical market also experiencing significant growth and international expansion - The global pharmaceutical market is expected to reach approximately $2.4 trillion by 2029, with an estimated compound annual growth rate of 5%-8%[26] - The number of global drugs in development reached a new high of 23,875, a year-on-year increase of 4.60%, with the rise of biotechnological drugs[27] - China's biopharmaceutical market size is expected to reach $162.8 billion by 2030, accounting for 22.2% of the global market share[29] - In the first half of 2025, China's pharmaceutical product exports amounted to $54.539 billion, a year-on-year increase of 3.8%[31] (II) Overview of the Vaccine Industry Development The global vaccine market reached $77 billion in 2023, with a five-year CAGR of 15%, driven by innovative R&D and mRNA technology, while China's vaccine exports grew by 41.92%, and Walvax's bivalent HPV vaccine achieved WHO PQ certification - The global vaccine market size reached $77 billion in 2023, with a five-year compound annual growth rate of 15%[33] - In 2024, China's human vaccine export value was $212 million, a year-on-year increase of 41.92%[38] - Walvax Bio's bivalent HPV vaccine passed WHO PQ certification, becoming the 11th Chinese vaccine to receive WHO prequalification[39] (III) Significant Industry Regulations and Policy Changes During the reporting period, the NMPA issued several key regulations and policies, including guidelines for preventing commercial bribery, non-clinical research for mRNA vaccines, and biological product registration, to standardize the industry and support innovation - The State Administration for Market Regulation issued the "Compliance Guidelines for Pharmaceutical Enterprises to Prevent Commercial Bribery Risks"[40] - The Center for Drug Evaluation (CDE) of the National Medical Products Administration (NMPA) issued the "Technical Guidelines for Non-Clinical Research of Prophylactic mRNA Vaccines"[40] - The CDE of the NMPA issued the "Guidelines for Acceptance and Review of Biological Product Registration (Trial)"[40] (IV) Overall Operating Performance During the Reporting Period In the first half, the company focused on its core business, achieving $1.094 billion in proprietary vaccine sales, a 94.82% share of total revenue, with 6.28% growth in 13-valent pneumococcal conjugate vaccine batch releases and $214 million in overseas revenue 2025 First Half Proprietary Vaccine Product Sales and Batch Release | Indicator | Amount/Quantity | | :--- | :--- | | Proprietary vaccine product sales revenue | $1,094.46 million | | Percentage of total operating revenue | 94.82% | | Total batch release of marketed vaccine products | 7,624,800 doses | | 13-valent pneumococcal conjugate vaccine batch release | 1,838,280 doses | | 13-valent pneumococcal conjugate vaccine batch release year-on-year growth | 6.28% | - The company's 20-valent pneumococcal polysaccharide conjugate vaccine received the "Drug Clinical Trial Approval Notice" and is preparing for Phase I clinical studies[43] - The company is actively promoting the drug registration and marketing application for its novel coronavirus variant mRNA vaccine (Omicron XBB.1.5) and its iterated vaccine, the novel coronavirus variant mRNA vaccine (Omicron JN.1) [43] - In the first half of 2025, the company achieved overseas business revenue of $214 million, with products newly exported to Ghana and Myanmar, accumulating exports to 24 countries and regions[46] - Subsidiary Yuxi Walvax continues to advance its integration of industrialization and informatization project, having completed the core business management platform, IT infrastructure data center, and information security center, with plans to upgrade its digital platform based on AI technology[48] - The company revised several policies, including the "Board Audit Committee Work Rules," "Internal Audit Work System," and "Sustainable Development Management System," to improve its compliance and risk prevention system[49] (V) Company's Main Business Model The company employs a hybrid R&D model, combining in-house, collaborative, and licensed projects, with established bacterial and recombinant protein vaccine platforms, and a focus on stringent supplier management, compliant subsidiary production, and market-specific sales strategies - The company adopts a research and development model that emphasizes independent R&D, collaborative R&D, and project introduction, focusing on developing varieties with high medical value, high social value, and urgent market demand[50] - The procurement model through establishing a systematic supplier management and evaluation system, selects competitive suppliers, and reduces supply chain costs[50] - All marketed vaccine products are independently produced by subsidiaries Yuxi Walvax and Yuxi Zerun, with production processes strictly adhering to regulations such as the "Drug Administration Law" and "Vaccine Administration Law"[51] - Domestic market sales adopt a business model primarily based on partner services, while international market sales are determined by the target market's regulations, culture, and management model[52] II. Analysis of Core Competitiveness The company has built comprehensive core competencies through its forward-looking industry insights, strong proprietary product pipeline, advanced technology platforms, professional marketing, robust industrialization capabilities, leading international presence, and strengthened compliance, notably being the first in China and second globally to market 13-valent pneumococcal conjugate vaccine - The company's board members and core management team possess keen industry insights and strong execution capabilities, ensuring the forward-looking layout of key products and technology platforms[53] - The company owns 8 independently developed and marketed vaccine products (14 specifications), covering pneumonia, meningitis, HPV, Hib, and DPT vaccines, making it currently the only vaccine enterprise in China with proprietary products covering the world's top three varieties[54][55] - The company has built an independently controllable and rapidly iterative mRNA vaccine technology platform, as well as mature and stable bacterial vaccine and recombinant protein vaccine technology platforms[55] - The company has established a "offline promotion service + online marketing" sales model, with products fully covering major CDCs and vaccination units in 31 provinces (autonomous regions, municipalities) nationwide[56] - The company has built a high-standard, large-scale, modernized vaccine industrialization base, possessing the capability for large-scale production of multi-variety vaccine products, and actively exploring new businesses such as synthetic biology[57][58] - The company's vaccine products have been exported to 24 countries, with two key products included in Morocco's and Egypt's National Expanded Program on Immunization (EPI), and strengthened cooperation with global health organizations and research institutions[58] - The company has established a work model guided by risk management and focused on compliance supervision, building "three lines of defense" for compliance management, internal control, and risk management[59] III. Analysis of Main Business During the reporting period, the company's main business revenue decreased by 19.47% due to reduced vaccine sales, while operating costs increased by 19.65%, sales expenses decreased by 24.71%, R&D investment significantly dropped by 48.53%, and net cash flow from operating activities grew by 28.77% Year-on-Year Changes in Key Financial Data | Indicator | Current Reporting Period ($) | Prior Year Period ($) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,154,212,387.00 | 1,433,348,556.33 | -19.47% | Decrease in vaccine product sales revenue | | Operating Cost | 343,069,354.13 | 286,728,270.15 | 19.65% | Increase in fixed depreciation and amortization cost per vaccine dose due to reduced vaccine product quantity and changes in the proportion of low-price sales | | Selling Expenses | 376,601,671.18 | 500,217,977.21 | -24.71% | Decrease in vaccine product sales revenue | | Administrative Expenses | 170,282,241.23 | 123,168,369.15 | 38.25% | Vaccine product expiry and destruction | | Financial Expenses | -44,499,651.25 | -27,765,285.34 | -60.27% | Decrease in interest expense due to reduced bank borrowings, offset by fiscal subsidies, and increase in deposit interest income | | Income Tax Expense | 19,136,733.95 | 20,177,116.10 | -5.16% | Decrease in total profit | | R&D Investment | 161,361,320.05 | 313,515,090.56 | -48.53% | Decrease in R&D investment | | Net Cash Flow from Operating Activities | 116,657,084.35 | 90,596,392.55 | 28.77% | Decrease in vaccine product sales collection, decrease in operating expenses | | Net Cash Flow from Investing Activities | -141,287,435.71 | -1,036,935,997.86 | 86.37% | Decrease in vaccine product industrialization investment, time deposits, and investment payments | | Net Cash Flow from Financing Activities | -1,201,934,595.64 | -84,052,630.02 | -1,329.98% | Decrease in bank borrowings, decrease in repayment of bank borrowings, cash dividends from subsidiaries, payment for acquisition of minority shareholder equity | | Net Increase in Cash and Cash Equivalents | -1,225,331,501.46 | -1,029,555,288.43 | -19.02% | Decrease in vaccine product sales collection, cash dividends from subsidiaries, payment for acquisition of minority shareholder equity | Products or Services Accounting for More Than 10% of Revenue | Product or Service Segment | Operating Revenue ($) | Operating Cost ($) | Gross Margin | Operating Revenue Year-on-Year Change | Operating Cost Year-on-Year Change | Gross Margin Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Non-EPI Vaccines | 1,051,603,657.29 | 265,070,573.78 | 74.79% | -19.61% | 22.97% | -8.73% | - The company's profit structure or sources of profit did not undergo significant changes during the reporting period[63] IV. Analysis of Non-Core Business Non-core business significantly impacted total profit, with fair value changes contributing $13.42 million (111.46% of total profit) from Hong Kong stock gains, while asset impairment losses reached -$192.72 million (-1,600.33% of total profit), primarily due to a $76.30 million impairment on bivalent HPV vaccine intangible assets Impact of Non-Core Business on Total Profit | Item | Amount ($) | Percentage of Total Profit | Explanation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | -486,057.34 | -4.04% | Investment income from joint ventures and associates recognized using the equity method | Partially sustainable | | Gains and losses from changes in fair value | 13,422,300.00 | 111.46% | Increase in period-end prices of shares held in Hong Kong-listed companies | Partially sustainable | | Asset Impairment | -192,719,154.70 | -1,600.33% | Impairment provisions for inventory, accounts receivable, intangible assets, etc., including a $76.30 million impairment for bivalent HPV vaccine intangible assets | Partially sustainable | | Non-operating Income | 682,363.21 | 5.67% | Debt restructuring and asset disposal gains | No | | Non-operating Expenses | 2,568,147.84 | 21.33% | External donations and other items | No | V. Analysis of Assets and Liabilities At the end of the reporting period, total assets were $14.003 billion, a 4.90% decrease, with cash and equivalents down 7.43% due to reclassification, dividends, and equity payments, while construction in progress increased by 1.06% from industrialization investments, and $972.32 million in financial assets were measured at fair value Significant Changes in Asset Composition | Item | Amount at End of Current Period ($) | Percentage of Total Assets | Amount at End of Prior Year ($) | Percentage of Total Assets | Change in Proportion | Explanation of Significant Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 2,538,243,443.94 | 18.13% | 3,763,574,789.88 | 25.56% | -7.43% | Reclassification of time deposits, subsidiary dividends, and equity acquisition payments | | Accounts Receivable | 2,366,400,917.07 | 16.90% | 2,409,639,849.34 | 16.37% | 0.53% | Decrease in vaccine sales revenue | | Inventories | 622,759,912.06 | 4.45% | 752,587,288.16 | 5.11% | -0.66% | Reduction in raw material reserves and vaccine product stockpiles | | Construction in Progress | 2,158,520,168.57 | 15.42% | 2,113,826,293.63 | 14.36% | 1.06% | Increase in vaccine product industrialization investment | | Right-of-Use Assets | 32,687,340.61 | 0.23% | 19,782,809.91 | 0.13% | 0.10% | Increase in leases | | Contract Liabilities | 29,799,779.72 | 0.21% | 39,853,893.86 | 0.27% | -0.06% | Decrease in sales shipments | | Long-term Borrowings | 428,826,162.04 | 3.06% | 433,336,162.04 | 2.94% | 0.12% | Repayment of principal and interest on borrowings | | Lease Liabilities | 22,166,793.16 | 0.16% | 11,767,443.40 | 0.08% | 0.08% | Increase in leases | Key Overseas Assets | Specific Asset Content | Asset Scale (RMB) | Location | Profit/Loss Status ($) | Proportion of Overseas Assets to Company's Net Assets | | :--- | :--- | :--- | :--- | :--- | | Walvax Jiahe (investment in Cayman Genor equity assets only) | $82.894 million | British Virgin Islands | 22,719,000.00 | 0.87% | | SIRNAOMICS, LTD (Cayman Sirnaomics) | $14.846 million | Cayman Islands | 3,331,000.00 | 0.16% | Financial Assets Measured at Fair Value | Item | Amount at End of Period ($) | Amount at Beginning of Period ($) | | :--- | :--- | :--- | | Other equity instrument investments | 555,000,000.00 | 508,000,000.00 | | Other non-current financial assets | 417,322,000.00 | 403,899,700.00 | | Subtotal of financial assets | 972,322,000.00 | 911,899,700.00 | - As of June 30, 2025, among the period-end balance of monetary funds, $4.4721 million was for performance bond deposits exceeding three months, subject to usage restrictions[73] VI. Analysis of Investment Status During the reporting period, the company's total investment reached $1.053 billion, a 1,362.57% increase, including a $938 million acquisition of a 4.9733% minority stake in Yuxi Walvax, and new investments in two subsidiaries, while overall raised capital utilization was 95.33% Investment Amount During the Reporting Period | Indicator | Amount ($) | Change | | :--- | :--- | :--- | | Investment amount during the reporting period | 1,053,050,000.00 | 1,362.57% | | Investment amount in the prior year period | 72,000,000.00 | | - The company acquired a total of 4.9733% minority equity in Yuxi Walvax from Guolian Shuoying Fund and Yingrong Fund for $938 million, with $738.54 million paid as of June 30, 2025[75] Significant Equity Investments Acquired During the Reporting Period | Investee Company Name | Investment Method | Investment Amount ($) | Shareholding Ratio | | :--- | :--- | :--- | :--- | | Aisenze Biotechnology (Kunming) Co., Ltd. | New establishment | 55,250,000.00 | 85.00% | | Guangzhou Bainuokesi Biotechnology Co., Ltd. | New establishment | 59,800,000.00 | 100.00% | | Total | -- | 115,050,000.00 | -- | Overall Utilization of Raised Funds | Fundraising Year | Net Raised Funds (ten thousand yuan) | Total Raised Funds Used in Current Period (ten thousand yuan) | Total Raised Funds Used Cumulatively (ten thousand yuan) | Utilization Ratio of Raised Funds at End of Reporting Period | | :--- | :--- | :--- | :--- | :--- | | 2016 | 58,056.66 | 695.57 | 55,347.84 | 95.33% | - The implementation completion time for the Yuxi Walvax Integration of Industrialization and Informatization project has been adjusted to December 31, 2026, to ensure deep alignment of digital construction with the company's international strategy and industry development needs[85] VII. Significant Asset and Equity Sales The company did not engage in any significant asset or equity sales during the reporting period - The company did not sell significant assets during the reporting period[94] - The company did not sell significant equity during the reporting period[95] VIII. Analysis of Major Holding and Participating Companies The company's key subsidiaries include Yuxi Walvax, Shanghai Zerun, and Guangzhou Walvax; Yuxi Walvax was a major profit contributor with $188 million net profit, while Shanghai Zerun, in R&D, reported a -$140 million net loss, and the company established two new subsidiaries while deregistering one Financial Performance of Major Holding and Participating Companies (2025 Semi-Annual) | Company Name | Company Type | Main Business | Registered Capital (RMB ten thousand) | Total Assets ($) | Net Assets ($) | Operating Revenue ($) | Operating Profit ($) | Net Profit ($) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Yuxi Walvax | Subsidiary | Production and Sales | 138,736.6389 | 7,986,923,146.26 | 4,043,838,332.58 | 1,123,910,241.32 | 216,720,161.94 | 188,499,455.57 | | Shanghai Zerun | Subsidiary | Research and Development | 108,516.9804 | 1,476,093,099.52 | 852,943,739.16 | 39,105,548.17 | -139,556,271.39 | -140,096,240.08 | | Guangzhou Walvax | Subsidiary | Promotion Services | 5,000 | 1,280,704,018.41 | 208,490,385.88 | 302,368,233.22 | 25,778,959.12 | 20,304,470.63 | Acquisition and Disposal of Subsidiaries During the Reporting Period | Company Name | Method of Acquisition and Disposal | Impact on Overall Production, Operations, and Performance | | :--- | :--- | :--- | | Aisenze Biotechnology (Kunming) Co., Ltd. | New establishment | -$14,722.78 | | Guangzhou Bainuokesi Biotechnology Co., Ltd. | New establishment | $0.00 | | Beijing Zerun Innovation Biotechnology Co., Ltd. | Deregistration | -$18.19 | IX. Structured Entities Controlled by the Company The company did not control any structured entities during the reporting period - The company did not control any structured entities during the reporting period[97] X. Risks Faced by the Company and Countermeasures The company faces R&D, market competition, accounts receivable, policy, adverse reaction, and quality risks, which it addresses by prudent project selection, accelerated industrialization, stringent receivables control, continuous standard improvement, and robust quality management systems - R&D of pipeline products involves high investment, long cycles, and high risks; the company will prudently select R&D projects and strictly adhere to R&D principles[98] - Vaccine market competition continues to intensify; the company will accelerate new product R&D and industrialization, strengthen quality awareness, and enhance brand image[98] - Accounts receivable have long recovery cycles; the company will take active measures to strictly control the amount and recovery cycle of accounts receivable[98] - Pharmaceutical industry regulatory policies are continuously strengthening; the company needs to continuously improve its standards and actively adapt to policy changes[99] - Vaccines carry the risk of adverse reactions; the company will improve its quality management system and formulate adverse reaction emergency response systems and plans[100] - Vaccine production processes are complex and distribution requirements are high; the company will simultaneously conduct industrialization research and adopt scientific risk management techniques to reduce quality risks[100] [XI. Registration Form for Investor Relations Activities During the Reporting Period](index=36&type=section&id=%E5%8D%81%E4%B8%80%E3%