LZYY(SH:603368)2021-10-26 16:00Financial Performance - The company achieved operating revenue of RMB 4.56 billion in Q3 2021, an increase of 8.96% compared to the same period last year[5]. - Net profit attributable to shareholders decreased by 20.89% year-on-year to RMB 168.99 million in Q3 2021[5]. - The retail segment saw a revenue increase of 15.03% year-on-year, contributing positively to overall performance[10]. - The company reported a net profit of RMB 498.41 million for the first nine months of 2021, a decrease of 18.09% year-on-year[10]. - Total operating revenue for the first three quarters of 2021 reached CNY 12,879,074,190.59, an increase of 9.57% compared to CNY 11,754,356,956.09 in the same period of 2020[32]. - Net profit attributable to shareholders of the parent company for the first three quarters of 2021 was CNY 498,405,259.79, down 18.14% from CNY 608,479,200.09 in the previous year[36]. - The company reported a decrease in net profit for the third quarter of 2021, with a net profit of CNY 547,594,712.71 compared to CNY 650,077,152.84 in the same quarter of 2020, a decline of 15.73%[34]. Assets and Liabilities - The company reported a total asset value of RMB 16.65 billion at the end of the reporting period, reflecting a 12.45% increase year-on-year[7]. - Total current assets as of September 30, 2021, amounted to CNY 14.23 billion, an increase from CNY 12.79 billion at the end of 2020[24]. - The total liabilities increased to CNY 10,895,704,237.51, compared to CNY 9,363,159,853.20 in the same period last year, reflecting a growth of 16.38%[30]. - The total non-current liabilities amounted to CNY 1,519,918,911.78, an increase from CNY 1,151,520,744.88 in the previous year, indicating a growth of 31.94%[30]. - The company's total equity reached CNY 5,756,158,588.39, up from CNY 5,444,573,658.73 in the same period last year, reflecting an increase of 5.70%[30]. Cash Flow - Cash flow from operating activities was significantly affected by increased payments for goods and reduced cash receipts[15]. - The company's cash flow from operating activities for the first three quarters of 2021 was CNY 12,247,639,747.12, slightly down from CNY 12,320,957,842.31 in the same period of 2020[37]. - The net cash flow from operating activities was -1,028,540,254.79 CNY, compared to -536,566,671.10 CNY in the previous year, indicating a decline in operational performance[39]. - Cash outflow from operating activities totaled 13,276,180,001.91 CNY, an increase from 12,857,524,513.41 CNY year-over-year[39]. - Cash inflow from investment activities was 261,364,678.90 CNY, down from 468,121,107.84 CNY in the same period last year[39]. - The net cash flow from investment activities was -321,214,160.00 CNY, worsening from -163,067,833.38 CNY year-over-year[39]. - Cash inflow from financing activities was 2,994,800,891.37 CNY, a decrease from 3,320,489,884.05 CNY in the previous year[41]. - The net cash flow from financing activities was -90,399,128.27 CNY, compared to a positive 1,226,270,068.17 CNY in the same quarter last year[41]. - The total cash and cash equivalents at the end of the period were 2,026,637,390.46 CNY, down from 2,406,087,152.89 CNY year-over-year[41]. - The company paid 2,655,100,000.00 CNY in debt repayments, significantly higher than 1,777,020,000.00 CNY in the previous year[41]. Operational Developments - The company has successfully obtained the qualifications for "Internet Hospital" and will provide online diagnosis and chronic disease management services[21]. - The newly established intelligent decoction center has been completed and is operational, offering standardized and efficient decoction services[22]. - The company has completed pilot testing for nearly 200 traditional Chinese medicine formula granules, with plans for certification and production in early 2022[22]. - The company is actively building a digital modern Chinese medicine industry and has launched the "Xianzhulian" platform to support high-quality development[22]. Shareholder Information - The top shareholder, Zhu Chaoyang, holds 27.88% of the company's shares, with a portion pledged as collateral[16]. Strategic Outlook - The company expects gradual recovery and stable growth in performance as policy impacts are digested and strategic adjustments are implemented[10]. - The company warns that the ongoing business activities will not have a significant impact on its 2021 performance, advising investors to be cautious of investment risks[23]. Research and Development - Research and development expenses for the first three quarters of 2021 were CNY 7,475,147.19, significantly higher than CNY 3,114,381.00 in the same period of 2020, marking an increase of 140.06%[32].