CISEN(SH:603367)2019-03-22 16:00Financial Performance - The company reported a significant increase in net profit for 2018, with a year-on-year growth of 23.6%[19]. - The company's operating revenue for 2018 was approximately ¥3.81 billion, representing a 28.54% increase compared to ¥2.96 billion in 2017[22]. - Net profit attributable to shareholders was approximately ¥503.54 million, a 37.12% increase from ¥367.22 million in the previous year[22]. - The net profit after deducting non-recurring gains and losses was approximately ¥481.03 million, up 43.93% from ¥334.21 million in 2017[22]. - The company's total assets increased by 10.68% to approximately ¥5.25 billion from ¥4.74 billion in 2017[22]. - The basic earnings per share for 2018 was ¥1.11, a 14.43% increase from ¥0.97 in 2017[22]. - The cash flow from operating activities was approximately ¥406.68 million, a decrease of 7.49% compared to ¥439.61 million in 2017[22]. - The company achieved an operating income of 3.808 billion RMB, a 28.54% increase year-on-year, and a net profit attributable to shareholders of 503.54 million RMB, up 37.12%[43]. Dividend Distribution - The company plans to distribute a cash dividend of 2.62 RMB per 10 shares, totaling 118,778,486 RMB, based on a net profit attributable to the parent company of 23.6%[6]. - The company distributed a cash dividend of 0.16 RMB per share to all shareholders, totaling 118,778,486 RMB for the year 2018, which represents 23.60% of the net profit attributable to ordinary shareholders[134]. - The cash dividend for 2017 was 1.60 RMB per 10 shares, amounting to 72,536,480 RMB, which was 20.29% of the net profit for that year[135]. - The company has adhered to its cash dividend policy, ensuring continuity and stability in profit distribution while considering long-term interests[134]. Research and Development - R&D expenses for the year were 325.98 million RMB, a 129.56% increase, reflecting the company's commitment to innovation and development[43]. - The company has established multiple R&D institutions in various locations, enhancing its technological innovation capabilities[85]. - The company invested a total of 32,598.13 million RMB in R&D during the reporting period, representing 8.56% of its operating income[89]. - The company is advancing the development of innovative and generic drugs to meet significant clinical needs, with a focus on consistency evaluation studies for existing products[85]. - The company has a research team of 691 members, with over 60% holding doctoral or master's degrees, collaborating with several renowned institutions[83]. Market Position and Strategy - The company is transitioning towards high-end generics and innovative drugs, with a focus on high growth in large-volume infusion, high-end formulations, and external medications[37]. - The company has established a comprehensive sales system and marketing support structure to enhance customer management and product promotion[38]. - The company is focused on expanding its market presence, particularly in retail pharmacies, to adapt to changing market conditions[124]. - The company has 77 varieties and 229 specifications included in the 2018 National Essential Medicines List, indicating a strong market presence[35]. - The market share of soft bags in the large-volume infusion segment is only 30%, compared to 80% in developed countries, indicating significant growth potential[36]. Compliance and Risk Management - The company has not identified any major risks that could materially affect its operations during the reporting period[6]. - The audit report issued by Da Xin Accounting Firm confirms the financial statements are accurate and complete[5]. - The company is committed to maintaining compliance with regulatory requirements and has no violations in decision-making procedures for external guarantees[6]. - The company emphasizes the importance of investor awareness regarding potential risks associated with forward-looking statements in the report[6]. Environmental Responsibility - The company has not been classified as a key pollutant discharge unit by environmental protection authorities, emphasizing its commitment to environmental protection and sustainable development[189]. - In 2018, the subsidiary Shandong Chenlong Pharmaceutical Co., Ltd. implemented an environmental self-monitoring plan, with third-party monitoring showing that all pollutant indicators met discharge standards[189]. - The company has maintained stable and effective environmental management operations, with no major environmental accidents or incidents occurring in 2018[200]. Financial Management - The company reported a total of 10,000 million in structured deposits with an interest rate of 5.15% maturing on August 6, 2018[162]. - The company has a total of 5,000 million in structured deposits with an interest rate of 5.10% maturing on July 13, 2018[162]. - The company has 10,000 million in structured deposits with an interest rate of 4.70% maturing on February 8, 2019[164]. - The company reported a total of 10,000 million in structured deposits with an interest rate of 4.50% maturing on June 25, 2019[166].