HULUWA(SH:605199) Mei Ri Jing Ji Xin Wen·2025-08-26 12:51Core Viewpoint - The Shanghai Stock Exchange has criticized ST Houlvwa for accounting errors and has mandated corrective actions following a report of premature revenue recognition and pricing anomalies in 2023 [1][2]. Group 1: Company Financial Adjustments - ST Houlvwa discovered that some sales in 2023 had prematurely recognized revenue, leading to discrepancies in financial data reported in periodic reports [2]. - The company will adjust its financial statements for 2023 and the first half of 2024, with net profit reductions of approximately 95.64 million yuan and 37.66 million yuan, representing 89.81% and 47.82% of the pre-adjustment amounts, respectively [2]. - Total profit adjustments for the same periods are approximately 108 million yuan and 4.40 million yuan, accounting for 80.05% and 46.73% of the pre-adjustment amounts, respectively [2]. Group 2: Company Governance and Disciplinary Actions - The Shanghai Stock Exchange's disciplinary committee has issued a public reprimand to the company's then-chairman and general manager Liu Jingping, as well as the then-financial director Yu Hui, due to the identified violations [2]. - The disciplinary actions are based on the company's failure to comply with the regulations outlined in the Stock Listing Rules and related guidelines [2]. Group 3: Company Market Position - As of the latest report, ST Houlvwa has a market capitalization of 3.8 billion yuan [4]. - The company's revenue for the year 2024 is entirely derived from the pharmaceutical manufacturing sector, indicating a focused business model [3].