2020-04-14 16:00Financial Performance - The company achieved total revenue of RMB 1,604.33 million in 2019, an increase of RMB 45.88 million or 2.94% compared to 2018[56]. - The net profit attributable to shareholders was CNY 370,778,791.81, a decrease of 10.56% compared to CNY 414,540,417.19 in the previous year[15]. - The company's total assets increased by 38.67% to CNY 6,151,869,396.17 at the end of 2019, up from CNY 4,436,352,586.66 in 2018[15]. - The basic earnings per share decreased by 12.36% to CNY 2.27 in 2019, down from CNY 2.59 in 2018[16]. - The overall gross margin for the company was 77.28%, slightly down from 78.51% in 2018, primarily due to a decrease in the revenue share of high-margin hyaluronic acid products[57]. - The company's net profit attributable to shareholders, excluding non-recurring gains and losses, was RMB 35,745.00 million, a decrease of 4.96% compared to the previous year[90]. Dividend Policy - The company plans to distribute a cash dividend of RMB 7.00 per 10 shares, totaling RMB 124,491,710, which accounts for 33.58% of the net profit attributable to shareholders for 2019[5]. - The company does not plan to increase capital reserves or issue bonus shares for the 2019 fiscal year[5]. - The company's cash dividend policy stipulates a minimum cash dividend ratio of 80% for mature stages without major capital expenditure plans[199]. Audit and Compliance - The company has received a standard unqualified audit report from Ernst & Young Hua Ming[4]. - The board of directors and senior management have confirmed the accuracy and completeness of the financial report[4]. - The company has not reported any significant omissions or misleading statements in the annual report[2]. - The company has confirmed that there are no violations of decision-making procedures regarding external guarantees[5]. Research and Development - The company's R&D investment for the reporting period was CNY 116,076,024.05, representing 7.24% of total revenue[40]. - R&D expenses increased by CNY 20,706,300, a growth of 21.71% compared to 2018, primarily due to increased investment in ophthalmology and medical beauty products[41]. - The company has established a comprehensive R&D project management system and emphasizes collaboration with renowned universities and research institutions[33]. - The company has 263 R&D personnel, accounting for 19.66% of the total workforce[40]. - The company is focusing on expanding its product offerings in the ophthalmology sector, with multiple projects in various stages of development and regulatory approval[42][43]. Market Position and Share - The company achieved a market share of 46.87% in the ophthalmic viscoelastic device market, maintaining the leading position for 12 consecutive years[31]. - The market share for the recombinant human epidermal growth factor product "Kanghesu" expanded to 20.39%, securing the second position in the market[31]. - The orthopedic joint cavity viscoelastic supplement product held a market share of 39.67%, also maintaining the leading position for 5 consecutive years[31]. - The company maintained a market share of 48.85% in the anti-adhesion product sector, remaining the largest manufacturer in China for twelve consecutive years[79]. Investment and Acquisitions - The company completed its IPO on the Sci-Tech Innovation Board on October 30, 2019, raising a total of CNY 1,588.29 million, netting CNY 1,529.27 million for the "Shanghai Haohai Biomedical International Pharmaceutical R&D and Industrialization Project"[59]. - The company has made equity investments totaling 12,724.15 million RMB during the reporting period, a decrease of 72.36% compared to the previous year[162]. - The company acquired 100% of ODC on April 25, 2019, which had a negative net asset value of -484.29 million RMB and a net loss of -443.59 million RMB since acquisition[187]. Risks and Challenges - The company has detailed various risk factors that may affect its operations in the report[3]. - The company faced risks from intensified market competition and potential regulatory changes in the pharmaceutical industry, which could impact financial performance[94]. - The company reported a net cash flow from operating activities of RMB 348,910,880.12, a decline of 10.83% compared to the previous year[98]. Product Development and Innovation - The new generation of high oxygen-permeable contact lens material "Optimum Infinite" has been approved by the FDA, boasting an oxygen permeability of over 180 Barrer, making it one of the highest globally[38]. - The company is developing a new type of intelligent drug release material with a total investment of CNY 1.30 billion, aiming for product approval in the near future[46]. - The company is advancing the development of new products in the fields of ophthalmology, plastic surgery, and orthopedics, including a new sodium hyaluronate injection and animal-derived hemostatic agents[137]. Sales and Marketing - The company has established a nationwide marketing network with over 2,000 distributors, covering all provinces and regions in China and approximately 70 countries globally[156]. - The sales model for the company showed that distribution accounted for 52.70% of total revenue, while direct sales contributed 47.30%[84]. - The company is focusing on integrating the ophthalmic cataract treatment business and optimizing marketing channels, supported by national key R&D programs[65].