2021-05-16 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥1.33 billion, a decrease of 16.95% compared to ¥1.60 billion in 2019[12]. - The net profit attributable to shareholders for 2020 was approximately ¥230 million, down 37.95% from ¥371 million in 2019[12]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately ¥206 million, a decrease of 42.25% compared to ¥357 million in 2019[12]. - The net cash flow from operating activities for 2020 was approximately ¥262 million, down 24.89% from ¥349 million in 2019[12]. - The company's total assets at the end of 2020 were approximately ¥6.30 billion, an increase of 2.39% from ¥6.15 billion at the end of 2019[12]. - The net assets attributable to shareholders at the end of 2020 were approximately ¥5.49 billion, a slight increase of 0.66% from ¥5.45 billion at the end of 2019[12]. - Basic and diluted earnings per share for 2020 were both ¥1.30, a decrease of 42.73% from ¥2.27 in 2019[13]. - The overall gross margin for the company was 74.91% in 2020, down from 77.28% in 2019, primarily due to a significant decrease in the revenue share of high-margin hyaluronic acid products[59]. - The company's revenue in the pharmaceutical manufacturing industry reached 2,485.73 billion yuan in 2020, with a year-on-year growth rate of 4.5%[29]. Dividend Policy - The company plans to distribute a cash dividend of 5 RMB per 10 shares, totaling 88,311,050 RMB, which accounts for 38.38% of the net profit attributable to shareholders for 2020[2]. - The total share capital of the company as of the report date is 176,622,100 shares[2]. - The company does not plan to increase capital reserves or issue bonus shares[2]. - The company has not made any adjustments to its cash dividend policy during the reporting period[162]. - The cash dividend distribution for the 2018 fiscal year was 5.00 RMB per 10 shares, totaling 80,022,650.00 RMB, which was 19.30% of the net profit attributable to shareholders[164]. Research and Development - The R&D expenditure as a percentage of operating revenue increased to 9.49% in 2020, up from 7.24% in 2019, reflecting a rise of 2.25 percentage points[13]. - The group’s R&D expenses amounted to CNY 126.47 million, an increase of CNY 10.40 million or 8.96% compared to the previous year, with R&D expenses accounting for 9.49% of operating income, up from 7.24%[42][44]. - The company continues to invest in R&D, collaborating with universities and research institutions to advance new technologies and product development[34]. - The company has established four major technology platforms, including artificial lenses and medical chitosan, with leading industry technology levels and independent intellectual property rights[52]. - The company has a comprehensive range of products from basic foldable monofocal intraocular lenses to high-end foldable multifocal lenses, establishing itself as a leader in the domestic intraocular lens field[37]. Market Position and Product Development - The company is the largest producer of orthopedic joint cavity viscoelastic supplements in China, with a market share increase from 39.67% to 42.06% over six consecutive years[32]. - The company holds a 45.85% market share in the ophthalmic viscoelastic agent sector, maintaining this position for 13 years[31]. - The company’s recombinant human epidermal growth factor product has captured a market share of 23.49%, ranking second in the market and narrowing the gap with the leader[32]. - The company is the leading manufacturer of surgical anti-adhesion products in China, with a market share of 29.64% for 13 consecutive years[32]. - The company has established four major product lines in ophthalmology, medical aesthetics, wound care, and orthopedics, focusing on innovative medical products[19]. Operational Risks and Governance - The company has received a standard unqualified audit report from Ernst & Young Hua Ming[2]. - The board of directors has ensured the accuracy and completeness of the annual report[2]. - The company emphasizes the importance of risk awareness regarding forward-looking statements in the report[3]. - The report includes a comprehensive discussion of operational risks and factors affecting performance[3]. - There are no non-operating fund occupations by controlling shareholders or related parties[3]. Strategic Acquisitions and Partnerships - The company acquired a 63.64% stake in Euro-Medical Technology in February 2021, expanding its medical aesthetics product line into RF and laser medical devices[21]. - The company has obtained exclusive rights to distribute Eirion's innovative botulinum toxin products in Greater China, marking its entry into the botulinum toxin and small molecule drug markets[21]. - The company initiated a strategic partnership to acquire 55% of Hengtai Vision for a total of CNY 25 million, enhancing its position in the myopia management market[67]. Compliance and Corporate Governance - The company has committed to a profit distribution policy since April 3, 2019, which is effective indefinitely[173]. - The company reported a commitment to avoid any form of fund occupation by its controlling shareholders and related parties, effective from April 3, 2019, and this commitment is long-term valid[172]. - The company will maintain compliance with the Company Law and Securities Law of the People's Republic of China in all its operations and transactions[171]. - The company has established measures to stabilize its stock price, as detailed in its prospectus under investor protection commitments[172]. Employee and Supplier Relations - The company emphasizes employee development by providing diverse training programs and has established a comprehensive training management system[195]. - The company adheres to GMP and ISO standards in supplier selection to ensure product quality and mitigate supply chain risks[198]. - The company conducts regular customer satisfaction surveys to gather feedback and improve product and service quality[200]. - The company actively engages with suppliers to maintain a fair and transparent procurement process, protecting supplier rights[198].