SINO BIOPHARM(HK:01177)2022-04-29 14:03Financial Performance - Revenue for 2021 was RMB 26.9 billion, with a net profit of RMB 16.6 billion[15]. - The company's revenue for the year 2021 reached RMB 26,861,356 thousand, an increase from RMB 23,647,224 thousand in 2020, representing a growth of approximately 9.4%[31]. - Gross profit for 2021 was RMB 21,529,261 thousand, compared to RMB 18,464,904 thousand in 2020, indicating a growth of about 16.4%[31]. - The operating profit for 2021 was RMB 5,112,091 thousand, showing an increase from RMB 4,527,582 thousand in 2020, which is a growth of approximately 12.9%[32]. - The net profit attributable to equity holders of the parent company for 2021 was RMB 14,608,412 thousand, significantly higher than RMB 2,771,086 thousand in 2020, marking an increase of approximately 426.5%[31]. - The net profit attributable to equity holders for the year was RMB 16,614,793,000, significantly up from RMB 4,340,667,000 in 2020, reflecting a year-over-year increase of approximately 284%[113]. - The company reported a significant increase in other income and profits, totaling RMB 1,068,929 thousand in 2021, compared to RMB 1,241,223 thousand in 2020[31]. - The company achieved a total revenue of approximately RMB 26.86 billion in the fiscal year, representing a year-on-year growth of about 13.6%[50]. - The basic earnings per share for the year ended December 31, 2021, was RMB 15.62, an increase from RMB 12.31 in the previous year[59]. Research and Development - The company has a strong focus on R&D, with industry-leading investment and innovation capabilities[6]. - Research and development expenses accounted for over 14% of total sales revenue, highlighting the company's commitment to innovation[33]. - The company is investing heavily in R&D, with a projected budget increase of 15% for the upcoming fiscal year[37]. - The total R&D expenditure for the year was approximately RMB 3,820.17 million, representing about 14.2% of the group's revenue, with a year-on-year increase of approximately 64.7% in investment for innovative drugs and biopharmaceuticals[65]. - The company obtained 36 new product approvals and submitted 52 clinical applications, including 26 for innovative drugs in 2021[49]. - The company plans to enhance its R&D innovation strategy and focus on unmet clinical needs in oncology, liver disease, and cardiovascular areas[51]. Market Expansion and Strategy - The company is actively expanding its market presence and leveraging big data and artificial intelligence to enhance operational efficiency[6]. - The company aims to expand its market presence significantly, focusing on both domestic and international markets[39]. - The company plans to continue expanding its market presence and investing in new product development to drive future growth[28]. - The company has identified strategic acquisition opportunities to enhance its product portfolio and market reach[39]. - The company plans to launch 20 new products in the respiratory system and musculoskeletal fields over the next three years, including HBQ and LM[37]. - The revenue from the respiratory system segment reached RMB 22.42 billion in 2021, showing a substantial growth compared to previous years[34]. Corporate Governance - The company has established various committees, including the Audit Committee, Remuneration Committee, and Nomination Committee, to oversee governance and compliance[86]. - The board consists of nine executive directors, including the chairperson and CEO, and five independent directors[79]. - Independent directors account for more than one-third of the board, providing valuable independent perspectives and advice[80]. - The board meets at least four times a year, with additional special meetings as necessary[78]. - The chairperson and CEO roles are separated, with the chairperson overseeing board operations and the CEO managing the group's business[82]. - The board is responsible for reviewing and monitoring compliance with legal and regulatory requirements[81]. Social Responsibility and Community Engagement - The company donated RMB 5 million and emergency relief materials worth RMB 5 million to support disaster relief efforts in Henan Province[48]. - The group actively engages in community investment and corporate social responsibility initiatives, including pandemic response and educational donations[73]. - The company is committed to providing a healthy and safe working environment for employees through various activities, including health checks and safety management[121]. - The company has implemented environmental protection measures, including energy conservation and waste reduction, to enhance its environmental performance[120]. Financial Position and Assets - The total assets of the company as of 2021 were RMB 60,543,337 thousand, up from RMB 47,210,438 thousand in 2020, reflecting a growth of about 28.5%[31]. - The total liabilities decreased to RMB 22,814,314 thousand in 2021 from RMB 24,790,880 thousand in 2020, indicating a reduction of about 7.9%[31]. - The company reported a net asset value of RMB 40 billion in 2021, with cash and bank balances amounting to RMB 37.73 billion[34]. - The company’s total reserves increased to RMB 30,565,023,000 by the end of 2021, up from RMB 16,801,209,000 at the end of 2020, reflecting a growth of approximately 82%[173]. Shareholder Information - The company proposed a final dividend of HKD 0.04 per share for the year ended December 31, 2021, subject to shareholder approval[110]. - The company maintains a consistent policy of providing stable and sustainable dividends, dependent on financial performance and cash flow[108]. - The top five customers accounted for less than 30% of total sales, indicating a diversified customer base[119]. Compliance and Risk Management - The company adheres to relevant Chinese laws and regulations regarding drug research and development, production, and distribution, ensuring compliance without significant violations[122]. - The group has established a risk compliance committee to enforce risk management protocols and ensure comprehensive risk assessment and control[73]. - The company is closely monitoring foreign exchange net risks to mitigate the impact of currency fluctuations on its assets and liabilities[72]. Leadership and Management - The company has a strong leadership team with extensive experience in management and investment in the pharmaceutical sector[143]. - The Chief Financial Officer, Ms. Ma Jiayin, holds an MBA from Columbia Business School and has over 20 years of financial management experience[151]. - The company appointed Professor Mao Li as Chief Medical Officer, bringing 35 years of oncology clinical practice and research experience[151]. - The company has a diverse board with members who have significant academic and professional backgrounds in finance, management, and pharmaceuticals, enhancing its strategic decision-making capabilities[148].