Core Viewpoint - Longjin Pharmaceutical has received a delisting notice from the Shenzhen Stock Exchange due to continuous financial losses and insufficient revenue, marking a significant decline in its operational performance over the years [1][2]. Company Overview - Longjin Pharmaceutical was established in 1991, initially focusing on the development of injectable drugs, particularly the injection of Ligusticum wallichii, which became its flagship product [3]. - The company has a long history of clinical use for Ligusticum wallichii, with over 11,000 related research papers published [3]. Financial Performance - The company reported a negative net profit for the fiscal year 2023, with operating revenue falling below 1 billion yuan, leading to a delisting risk warning [2]. - Longjin Pharmaceutical's annual revenue has fluctuated between 100 million to 300 million yuan, with a peak of 700 million yuan in 2021, but adjusted revenue was only around 200 million yuan [7]. - The net profit has shown a downward trend, with the adjusted net profit turning negative for the first time in 2019 and remaining negative for six consecutive years until 2024 [7][8]. Business Challenges - The company attributes its poor performance to policy impacts on its main product, including restrictions on medical insurance coverage and centralized procurement policies [9]. - Longjin Pharmaceutical has struggled to diversify its product line beyond its flagship product, despite efforts in research and external investments [9]. - The company has attempted to pivot towards pharmaceutical promotion services and personal care products, but these ventures have not yet turned profitable and face high operational costs [9].