Hiteck(SZ:300683)2023-04-24 16:00Financial Performance - The company reported a significant loss due to high production costs from its newly established subsidiary, Hanrui Pharmaceutical, which is still in the adjustment phase, leading to lower product yield [4]. - Asset impairment losses and credit impairment losses increased compared to the same period in 2021, impacting overall financial performance [4]. - The company recognized goodwill impairment of approximately 14 million yuan, reflecting the operational challenges faced by its subsidiaries [4]. - The company's operating revenue for 2022 was ¥688,625,991.71, representing a 12.03% increase compared to ¥614,683,452.35 in 2021 [23]. - The net profit attributable to shareholders for 2022 was a loss of ¥14,029,613.72, a decrease of 150.73% from a profit of ¥27,654,228.04 in 2021 [23]. - The cash flow from operating activities for 2022 was ¥53,033,664.59, a significant increase of 338.72% compared to ¥12,088,247.37 in 2021 [23]. - The basic and diluted earnings per share for 2022 were both -¥0.11, down 142.31% from ¥0.26 in 2021 [23]. - The total assets at the end of 2022 were ¥2,706,360,990.39, a slight increase of 0.33% from ¥2,697,511,886.43 at the end of 2021 [23]. - The net assets attributable to shareholders at the end of 2022 were ¥2,310,371,030.54, a decrease of 0.60% from ¥2,324,400,644.26 at the end of 2021 [23]. - The company reported a significant decline in net profit after deducting non-recurring gains and losses, with a loss of ¥47,851,814.16 in 2022 compared to a profit of ¥5,591,250.83 in 2021, a decrease of 955.83% [23]. Business Operations - The company's core business remains stable, focusing on the production and sales of large molecule biopharmaceuticals, small molecule chemical drugs, and APIs, with no significant adverse changes in its fundamentals [6]. - The company is actively involved in CRO, CMO, and CDMO services, providing contract research and manufacturing services to domestic and international pharmaceutical companies [6]. - The company is in the process of establishing a high-end API production base, which is expected to enhance its operational capacity in the future [4]. - The company operates in the pharmaceutical manufacturing sector, focusing on the production and sales of large molecule biological drugs and small molecule chemical drugs [33]. - The company aims to create innovative drugs, with its leading product being the Class I new drug, Jinlujie, an injectable nerve growth factor [34]. - The company has a subsidiary, Xiamen Weijia, which specializes in the research and production of antiviral drugs, including nucleoside and protease inhibitors [34]. - The company is focused on the development, production, and sales of innovative biopharmaceuticals, including injectable mouse nerve growth factor and antiviral drugs [44]. - The company has established six high-end formulation R&D platforms to enhance drug project success rates [42]. - The company provides a full range of drug development services, including small molecule drug R&D and contract manufacturing [39][43]. Market Trends - The global biopharmaceutical market grew from $239.6 billion in 2017 to $338.4 billion in 2021, with a CAGR of 9.0% [35]. - The Chinese biopharmaceutical market expanded from ¥218.5 billion in 2017 to ¥410 billion in 2021, achieving a CAGR of 17.0% [36]. - The market size of the Chinese biopharmaceutical industry is expected to reach ¥1,199.1 billion by 2030, with a CAGR of approximately 12.7% from 2021 to 2030 [36]. - The market for injectable mouse nerve growth factor peaked at ¥3.3 billion in 2016 but has since declined due to policy changes, with a gradual stabilization expected in the coming years [37][38]. - The global CRO market increased from $49 billion in 2017 to $71 billion in 2021, with a CAGR of 9.7% [40]. - The Chinese CRO market grew from ¥29 billion in 2017 to ¥63.9 billion in 2021, with a CAGR of 21.8% [41]. Research and Development - The company has established a clinical trial institution data archive, gathering information on institution names, specialties, researchers, and research experience to ensure smooth clinical research operations [54]. - The company has a dedicated technical center with strong capabilities in new product research and development, focusing on projects like recombinant human nerve growth factor and thymopentin [57]. - The company has been approved as a national postdoctoral research station, collaborating with institutions like Huazhong University of Science and Technology to enhance new drug innovation projects [57]. - The company is developing multiple small molecule chemical generic drugs and active pharmaceutical ingredients, with progress reported as smooth [69]. - The company is developing multiple new products, including a recombinant human nerve growth factor eye drop and various generic injectable drugs, which are expected to enhance the product pipeline and revenue [90]. Financial Management - The company plans not to distribute cash dividends or issue bonus shares, indicating a focus on reinvestment [7]. - The company has established a dedicated bank account for the management of raised funds, ensuring proper tracking and usage of the funds [106]. - The total amount of committed investment projects is CNY 22,000 million, with a cumulative investment of CNY 4,925.86 million, achieving 100.00% of the planned investment [107]. - The company has effectively utilized the raised funds, with a total investment of CNY 1,782.44 million in the laboratory construction project [107]. - The company has not reported any issues or discrepancies in the use of raised funds, which are currently held in dedicated accounts and low-risk financial products [111]. Governance and Compliance - The company has established specialized committees within the board to enhance governance and oversight functions [146]. - The supervisory board comprises 3 members, including a representative from employees, ensuring compliance and protection of shareholder rights [147]. - The company operates independently from its controlling shareholder in terms of business, assets, personnel, institutions, and finance, ensuring a complete and autonomous business system [150]. - The company has established an independent R&D, procurement, and sales system, demonstrating its capability to conduct production and operational activities autonomously [153]. - The company emphasizes transparency in information disclosure, adhering to relevant laws and regulations to ensure all shareholders receive accurate information [152]. Environmental Responsibility - The company has obtained necessary environmental permits, including a pollution discharge permit valid until September 21, 2023 [197]. - The company adheres to various environmental protection laws and standards relevant to its operations [196]. - The company is committed to sustainable practices and continuous improvement in its environmental performance [198]. - The wastewater treatment processes are designed to minimize environmental impact while maintaining operational efficiency [200]. - The company is actively monitoring and managing its emissions to meet environmental standards and regulations [198].