Group 1: Company Overview and Performance - The company achieved a revenue of 442 million CNY in the first half of 2025, an increase of 5.76% compared to the same period last year [4] - The net profit attributable to shareholders reached 53.95 million CNY, up 14.27% year-on-year [4] - The growth in revenue was driven by a 29.45% increase in revenue from chemical generic drugs and a 3.52% increase in key traditional Chinese medicine (TCM) products [4] Group 2: Research and Development - The company’s subsidiary, Huason Yingnuo, has seven innovative drug projects in clinical stages, covering various cancers and autoimmune diseases [3] - The innovative drug ORIC-1940 is currently undergoing Phase Ia/Ib clinical trials [3] - The company has successfully integrated with Chengdu Aorui Pharmaceutical, enhancing its R&D capabilities [3] Group 3: Product Development and Market Strategy - The company has five key TCM products that are essential for common and chronic diseases, with sales growth of 3.52% in the first half of 2025 [6][7] - The TCM product Pain Relief Granules saw sales increase by over 30% [7] - The company is focusing on building an academic system for key products and promoting them in clinical guidelines [7] Group 4: Sales Channels and Market Expansion - Approximately 70% of sales are generated from public hospitals, with efforts to expand into retail pharmacies and e-commerce platforms [8] - The company is actively working to increase its market share in outpatient clinics and other healthcare settings [8] Group 5: Special Medical Foods - The global market for special medical foods is approximately 3 billion USD, with China's market at around 7 billion CNY [9] - The company has four self-developed projects in this category and has received regulatory approval for its first special medical food product [11] - The production line for special medical foods is expected to gradually release capacity as new products are launched [11]

Group 1: Company Performance and Product Development - The five key traditional Chinese medicine products have seen a revenue increase of 24.49% year-on-year in Q1 2025, with the total revenue for these products growing by 31.44% year-to-date [3][4] - The sales of Gan Zhi Bing Mei Pian increased by 38.84% during the reporting period, with a year-to-date growth of 54.36% [3] - The company has received national-level protection for two key products, extending their protection period by 7 years [2] Group 2: Market Strategy and Sales Channels - Approximately 70% of the company's sales occur within public hospitals, with ongoing efforts to expand into grassroots hospitals, private hospitals, retail pharmacies, and e-commerce platforms [4] - The company is actively developing its presence in the retail pharmacy sector and e-commerce to increase its market share outside of hospitals [4] Group 3: Research and Development - The company has integrated its R&D capabilities with Chengdu Aorui Pharmaceutical Co., gaining control over 7 innovative drug projects targeting various cancers and autoimmune diseases [5][6] - R&D expenditures decreased by 44.58% in 2024 compared to the previous year, primarily due to a reduction in capitalized project amounts [8][9] Group 4: International Expansion - The company has achieved significant milestones in international markets, including obtaining FDA approval for its production base and registering key products in Singapore [10] - The successful registration of products in Singapore marks a critical step in the company's strategy to expand its overseas product offerings [10] Group 5: Response to Market Challenges - The company is adapting to price reductions from centralized procurement by diversifying its product lines and enhancing its marketing strategies [11] - The focus remains on leveraging existing sales channels while exploring new growth opportunities in specialty foods and nutritional products [11]