JILIN AODONG(SZ:000623)2023-04-18 16:00Fundraising and Investment - The total amount of funds raised in 2018 was CNY 238,853.87 million, with CNY 9,334.48 million used in the current period and CNY 170,840.93 million used cumulatively[5]. - The investment progress for the Jilin Aodong Yanjin Pharmaceutical Co., Ltd. expansion project is 74.25%, with a total committed investment of CNY 85,200.00 million and CNY 30,442.77 million invested to date[6]. - The Jilin Aodong Shihang Pharmaceutical Co., Ltd. smart factory project for traditional Chinese medicine has achieved an investment progress of 100.95%, with a total investment of CNY 9,000.00 million and CNY 9,079.44 million invested cumulatively[6]. - The company has committed to a total investment of CNY 241,300.00 million across various projects, with CNY 238,853.87 million already raised and CNY 170,840.93 million used cumulatively[7]. - The company has adjusted the use of raised funds, with CNY 50,974.83 million allocated to supplement working capital for the Jilin Aodong Yanjin Pharmaceutical Technology Park project[10]. - The company aims to achieve a 100% investment progress in various projects, with some projects already reaching their expected benefits[10]. Financial Performance - The company's total assets reached CNY 31,172.58 million, an increase of CNY 2,105.18 million, or 7.24% from the beginning of the year[40]. - Net assets attributable to shareholders increased to CNY 26,036.58 million, up CNY 1,177.10 million, or 4.73%[40]. - The asset-liability ratio stands at 15.50%[40]. - Operating revenue amounted to CNY 2,868.21 million, an increase of CNY 564.45 million, or 24.50% year-on-year[40]. - Net profit attributable to shareholders was CNY 1,780.64 million, a slight increase of CNY 14.22 million, or 0.01%[40]. - The total revenue for the core products in 2022 reached CNY 99,407.09 million, an increase of 17.97% compared to CNY 84,265.20 million in 2021[92]. - The company reported a net profit of CNY 1,745,761,178.52 for the year 2022, with a statutory surplus reserve of CNY 174,576,117.85 deducted[112]. - The total distributable profit as of December 31, 2022, amounted to CNY 17,698,534,461.32, after accounting for cash dividends and other adjustments[112]. - The total cash dividend, including share buybacks, is CNY 508,120,106.67, representing 28.54% of the net profit attributable to shareholders for 2022[112]. Revenue Breakdown - Revenue from traditional Chinese medicine reached CNY 1,692.48 million, a year-on-year growth of 14.92% due to enhanced channel management[41]. - Revenue from chemical drugs was CNY 325.48 million, a decline of 4.30% attributed to decreased sales of core products[41]. - Revenue from chain pharmacy wholesale and retail surged to CNY 448.39 million, a significant increase of 80.45% due to improved operations and procurement services[41]. - The core product, Anshen Bnnao Liquid, generated sales of CNY 616.25 million, reflecting a steady growth trend over the past 40 years[46]. - The "Children's Chai Gui Fever Oral Liquid" product has become a first-line medication for pediatric respiratory diseases, recognized for its high cure rate and low recurrence[187]. - The "Blood Mansion Dispersing Oral Liquid" is a unique innovative traditional Chinese medicine, recognized for its scientific achievements and market acceptance[188]. Corporate Governance and Management - The company has established a robust investor relations management system to enhance communication and maintain stakeholder interests[28]. - The company maintains an independent business system and operational capability, ensuring independence from its controlling shareholders[30]. - The company has implemented strict insider information management practices to prevent leaks and ensure compliance with regulations[29]. - The company has a comprehensive governance structure in place to ensure compliance with regulatory requirements and maintain operational integrity[36]. - The company emphasizes a modern corporate governance structure, implementing a parent-subsidiary management system to enhance operational efficiency[96]. - The company has a robust governance structure with effective checks and balances through its shareholder meetings and board systems[60]. Research and Development - The company is actively pursuing the development of traditional Chinese medicine formula granules, aiming to achieve market sales volume by collaborating with renowned universities and hospitals[18]. - The company plans to enhance its product development by integrating traditional Chinese medicine concepts with modern technology, leveraging its national and provincial research centers[19]. - The company focuses on a market-oriented approach in R&D, combining traditional Chinese medicine concepts with modern technology to enhance product quality and clinical application[66]. - The company has optimized its production model, transitioning towards automation, information technology, and digitalization to enhance traditional Chinese medicine manufacturing[65]. - The company has implemented advanced manufacturing technologies, including automated production lines and modern biopharmaceutical techniques, to enhance production efficiency and quality, transitioning towards intelligent and digital manufacturing[193]. Social Responsibility and Environmental Compliance - The company has actively engaged in social responsibility initiatives, including a CNY 3 million investment in an ecological project and CNY 2 million in donations for poverty alleviation[132]. - Environmental protection investments for 2022 totaled CNY 3,488,335.21, with specific contributions from subsidiaries for environmental projects[129]. - The company has maintained compliance with environmental regulations, with no significant penalties reported during the period[131]. - The company is committed to green development in the traditional Chinese medicine industry, ensuring clean production and sustainable resource utilization[65]. Employee Relations and Stock Ownership - The company has established a complete system for labor, personnel, and salary management, with an independent human resources department[2]. - The company is committed to providing competitive salary and welfare packages to employees, aligning compensation with performance and market trends[108]. - The employee stock ownership plan saw 39 holders exit due to contract termination, with their shares being reclaimed and original contributions returned[89]. - The company has implemented an employee stock ownership plan with a lock-up period of 36 months, with a minimum selling price of CNY 32 per share post-lock-up[117]. - The first employee stock ownership plan involved the transfer of 19,809,743 shares to the plan's account on December 30, 2016[141]. Market Strategy - The sales strategy includes a diversified marketing model, integrating online and offline channels to expand sales networks and boost performance[65]. - The company actively explores modern sales methods, including e-commerce and live streaming, to enhance its market presence[65]. - The company has established a procurement model that leverages its advantages in the pharmaceutical industry to improve quality and efficiency while reducing costs[96]. Risk Management - The company faces environmental protection risks due to strict regulatory requirements in the pharmaceutical manufacturing industry, which could impact normal operations[22]. - There is a risk that fundraising projects may not achieve expected returns despite thorough market research and preparations in technology, personnel, and sales channels[24]. - The company has established a comprehensive internal control system to enhance management and risk prevention capabilities[119]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[159].