YISHENG PHARM(002566)2024-04-18 10:12Financial Reporting and Controls - The company reported zero significant deficiencies in financial reporting controls during the reporting period[3]. - There were no important deficiencies identified in non-financial reporting controls[3]. - The company received a standard unqualified audit opinion for its financial statements for the year ending December 31, 2023[36]. - The company's financial statements reflect its financial position and operating results fairly in accordance with accounting standards[37]. - The financial report was approved by the board on April 17, 2024[146]. - The financial statements are prepared based on the going concern assumption and comply with the relevant accounting standards[167]. - The company has no significant doubts regarding its ability to continue as a going concern[168]. - The accounting policies and estimates are in accordance with the enterprise accounting standards[169]. Shareholder Structure and Governance - The company has maintained a stable shareholder structure with no significant changes reported[25]. - The largest shareholder, Zhang Yisheng, holds 39.08% of the shares, totaling 129,348,530 shares[47]. - The company is addressing issues related to shareholding by reducing the shares held in trust, with three shareholders no longer having such arrangements[29]. - The company is committed to resolving the issue of shareholding transparency in the shortest time possible, considering the impact on the secondary market[29]. - The company has no significant changes in its controlling shareholder during the reporting period[31]. Financial Performance - The company's main business revenue for 2023 was CNY 853.6649 million, with pharmaceutical sales accounting for CNY 679.3893 million, representing 79.59% of the main business revenue[38]. - The net profit for the year 2023 was CNY 80,723,163.63, a decrease of 29.1% compared to CNY 113,838,720.67 in the previous year[71]. - The company's operating profit for 2023 was CNY 840,762.44, a significant decrease from CNY 98,670,815.99 in the previous year[71]. - Total operating revenue for 2023 reached ¥853,664,904.92, an increase of 2.0% compared to ¥830,041,323.93 in 2022[97]. - Total operating costs for 2023 were ¥770,975,952.22, up from ¥747,054,586.45 in 2022, reflecting a year-over-year increase of 3.2%[97]. - Net profit for 2023 was ¥96,110,266.41, compared to ¥88,319,404.06 in 2022, representing an increase of 8.6%[98]. - The total comprehensive income for the year 2023 reached CNY 96,110,266.41, compared to CNY 88,319,404.06 in 2022, reflecting an increase of approximately 20.3%[99]. Assets and Liabilities - As of December 31, 2023, the total current assets of Yisheng Pharmaceutical amounted to CNY 2,326,191,077.72, an increase of 7.6% from CNY 2,161,699,894.77 at the beginning of the year[65]. - The total liabilities of Yisheng Pharmaceutical as of December 31, 2023, were CNY 1,007,982,736.36, compared to CNY 943,920,820.49 at the beginning of the year, indicating an increase of 6.8%[67]. - The total assets of the company increased to CNY 3,213,157,106.47 from CNY 3,084,919,606.97, marking a growth of 4.2%[67]. - The total owner's equity increased to CNY 2,205,174,370.11 from CNY 2,140,998,786.48, representing a growth of 3.0%[67]. - The company's cash and cash equivalents reached CNY 459,394,407.61, up from CNY 310,821,749.49, reflecting a growth of 47.8%[65]. Cash Flow and Financing Activities - The net cash flow from operating activities for 2023 was CNY 209,130,115.56, up from CNY 145,856,177.19 in 2022, representing an increase of about 43.2%[102]. - The total cash inflow from financing activities in 2023 was CNY 523,430,000.00, up from CNY 431,470,000.00 in 2022, indicating an increase of about 21.3%[103]. - The company raised CNY 520,000,000.00 through borrowings in 2023, compared to CNY 430,000,000.00 in 2022, reflecting an increase of approximately 20.9%[103]. - The net cash flow from financing activities increased by 136.31% to ¥8,734,064.39 in 2023, compared to a net outflow of ¥24,055,442.33 in 2022[129]. Research and Development - Research and development expenses for 2023 were ¥18,679,145.52, slightly down from ¥18,779,068.81 in 2022[98]. - The company is conducting multiple clinical studies to enhance product competitiveness, including research on the clinical outcomes of Zhenyuan capsules for myocardial infarction[122]. - The company plans to expand its product line into health foods and cosmetics, with several projects in the pipeline for regulatory approval[122]. - Research and development (R&D) investment amounted to ¥31,797,266.64 in 2023, reflecting a growth of 7.30% from ¥29,634,086.66 in 2022[125]. - The proportion of R&D investment to operating revenue increased to 3.72% in 2023 from 3.57% in 2022, marking a change of 0.15%[125]. Legal and Regulatory Matters - The company has not faced any bankruptcy reorganization matters during the reporting period[14]. - The company has no major litigation or arbitration matters during the reporting period[15]. - The company has implemented a corrective plan in response to the China Securities Regulatory Commission's investigation regarding false disclosures[29]. Market and Customer Base - The top five suppliers accounted for 29.35% of total annual purchases, with the largest supplier contributing 10.41%[118]. - The total sales amount from the top five customers is ¥82,246,478.67, accounting for 9.63% of the annual total sales[191]. - There are no related party sales among the top five customers, which indicates a diversified customer base[191].