Core Viewpoint - The company is actively managing its raw material supply and exploring new procurement channels for natural ingredients, particularly focusing on the import of natural cow bile from Argentina, while maintaining its commitment to product quality through the exclusive use of natural cow bile in its main product, Pizhou Huang [1][2]. Group 1: Raw Material Management - The company has two musk bases located in Sichuan and Shaanxi, with strict adherence to legal and regulatory requirements for their operation and management [1]. - To ensure a stable supply of raw materials, the company is closely monitoring market dynamics and price trends, employing diversified procurement strategies, and maintaining stable relationships with suppliers [1]. - The company is actively engaging with the new policy allowing the import of natural cow bile from Argentina, although the current import scale is small and has minimal short-term impact on domestic market prices [1]. Group 2: Product Quality and Pricing Strategy - The company exclusively uses natural cow bile in the production of Pizhou Huang, which is crucial for maintaining product quality and efficacy [2]. - The price of natural cow bile has increased significantly, with the procurement cost in 2024-2025 being over three times that of 2021, leading to increased production costs [2]. - In response to rising costs, the company adjusted the price of Pizhou Huang in May 2023, while also enhancing promotional efforts to mitigate the impact of price increases on sales [2]. Group 3: Strategic Initiatives and Corporate Development - The company is implementing the "Famous Doctors Enter Zhang" strategy to enhance healthcare services and expand its network of traditional Chinese medicine clinics, with plans to establish over 30 new clinics by Q1 2025 [3]. - The cosmetic division of the company has been progressively separated, achieving initial compliance with the five independence principles required for a listed company, and has completed its restructuring to become a joint-stock company [3].