ZBD(SH:603567)2019-06-12 16:00Financial Performance - The company's operating revenue for 2018 was approximately ¥2.78 billion, a decrease of 11.34% compared to ¥3.14 billion in 2017[21]. - The net profit attributable to shareholders for 2018 was approximately ¥462.44 million, down 11.22% from ¥520.87 million in 2017[21]. - The net cash flow from operating activities decreased by 56.94% to approximately ¥367.40 million in 2018 from ¥853.19 million in 2017[21]. - The basic earnings per share for 2018 was ¥0.5446, reflecting a decrease of 11.22% compared to ¥0.6134 in 2017[24]. - The total assets at the end of 2018 were approximately ¥8.18 billion, an increase of 18.82% from ¥6.89 billion at the end of 2017[23]. - The weighted average return on equity for 2018 was 9.59%, a decrease of 2.02 percentage points from 11.61% in 2017[24]. - The company achieved a profit growth of 14.7% year-on-year, with an overall industrial capacity utilization rate rising to 76.7%[39]. - The company reported a significant increase in government subsidies, amounting to approximately ¥133.56 million in 2018, compared to ¥65.94 million in 2017[30]. Shareholder Information - The controlling shareholder, Hulin Chuangda Investment Co., Ltd., increased its stake to 68.29%, holding 57,988,530 shares as of April 15, 2019[7]. - As of April 15, 2019, the controlling shareholder, Hulin Chuangda Investment Co., Ltd., holds 577,808,600 shares, representing 68.29% of the total share capital[190]. - The top ten shareholders include Hulin Longpeng Investment Center with 144,000,000 shares, accounting for 16.96% of the total[190]. - Hulin Chuangda Investment Co., Ltd. has pledged 451,500,000 shares, indicating a significant portion of its holdings are under collateral[190]. - The actual controller of the company is Fang Tonghua, who serves as the chairman and general manager[196]. Dividend Distribution - The company plans to distribute a cash dividend of RMB 1.64 per 10 shares, totaling RMB 139,262,240, based on a total share capital of 849,160,000 shares as of December 31, 2018[5]. - The company maintained its cash dividend policy without adjustments during the reporting period, distributing a total of RMB 139,262,240.00 in cash dividends for 2018, which represents 30.11% of the net profit attributable to ordinary shareholders[148][152]. - In 2018, the company distributed RMB 1.64 per 10 shares as dividends, compared to RMB 1.85 in 2017 and RMB 1.81 in 2016, indicating a slight decrease in per-share dividends over the three years[152]. Operational Risks and Management - The company did not face any significant risks that could materially impact its operations during the reporting period[6]. - The company has detailed its potential operational risks and corresponding countermeasures in the report[6]. - The company has not engaged in any non-operational fund occupation by controlling shareholders or related parties[6]. - The company has implemented a risk management strategy to address the complexities and uncertainties associated with new drug development[145]. Research and Development - The company has 17 chemical raw materials and 31 chemical formulation products under research, focusing on cardiovascular, oncology, respiratory, digestive, diabetes, and pediatric treatment areas[44]. - The company has initiated the development of proprietary research projects, including the AKT inhibitor and pan-FGFR inhibitor, which have received clinical trial approval[44]. - The company is actively pursuing a dual-driven R&D model combining "introduction and cooperation + independent research and development" to enhance innovation[60]. - The company has established a comprehensive R&D organization centered in Beijing, with additional bases in Shanghai, Harbin, and Bozhou, aiming for international project development[60]. - The company's R&D investment amounted to CNY 90.91 million, representing 3.27% of its operating revenue and 1.82% of its net assets[104]. Sales and Marketing Strategy - The company employs a "sales-driven production" model, aligning production plans with sales forecasts and inventory levels to avoid overstock[36]. - The sales strategy includes a self-operated model as the main focus, complemented by business distribution, enhancing service quality and establishing a comprehensive sales network[36]. - The company has established strategic partnerships with leading suppliers to reduce procurement costs and improve quality, enhancing overall competitiveness[36]. - The company is transitioning its marketing model from traditional to a self-operated model combined with business distribution, covering all market segments[142]. Environmental Responsibility - The company has invested in environmental protection measures, ensuring that emissions from coal-fired boilers meet the Class II standard values of the "Comprehensive Emission Standard for Air Pollutants from Boilers" (GB13271-2001) with a dust concentration of 1.0 mg/m³[183]. - The wastewater treatment facilities across various plants have a total capacity of 2000T/d for Jixi Company and 1000T/d for Hulin Company, with treated wastewater meeting the Class II standard of the "Comprehensive Discharge Standard for Wastewater" (GB8978-1996)[183]. - The company has established a comprehensive environmental management system, enhancing its environmental protection capabilities and investment in facilities[183]. - The company has not reported any environmental pollution or ecological damage incidents in the past year, reflecting its commitment to social responsibility[183]. Social Responsibility - The company has committed to social responsibility by actively participating in charitable activities and promoting social welfare[179]. - The company invested approximately 63,112 million RMB in the "Bohai Traditional Chinese Medicine Commodity Trading Center Project" in 2018, with a cumulative total investment of about 103,620 million RMB[127]. - The company has engaged in various social welfare activities, including donations to local fire brigades and community support initiatives[177]. - The company has allocated 1.9 million RMB for employee assistance programs to support employees in need[176]. Legal and Compliance - The company is involved in significant litigation, with a total amount of CNY 24,721,000 related to a contract dispute, which may impact net profit by CNY 18,640,000[163]. - The company has not reported any significant accounting errors or changes that would impact its financial statements[159]. - The company has not disclosed any significant related party transactions during the reporting period[169]. - The company has not faced any risks of suspension or termination of its listing during the reporting period[160].