Investment Rating - The investment rating for the company is "Hold" with a downgrade from previous ratings [7]. Core Views - The company's performance is under pressure due to inventory digestion, with a significant decline in revenue and net profit in the first half of 2025 [2][4]. - The company is optimizing its marketing structure to enhance sales team vitality and improve internal collaboration [3]. - There is a focus on strengthening research and innovation capabilities to accelerate the commercialization of research outcomes [4]. Financial Performance Summary - In H1 2025, the company achieved revenue of 5.66 billion yuan, a year-on-year decrease of 27.6%, and a net profit attributable to shareholders of 139 million yuan, down 71.9% [1]. - The pharmaceutical segment saw a revenue drop of 44.03%, with core products experiencing significant declines [2]. - The revenue forecast for 2025-2026 has been revised down from 19.86 billion yuan to 10.44 billion yuan for 2025 and from 22.17 billion yuan to 11.03 billion yuan for 2026 [4]. Financial Data and Valuation - The company's total market capitalization is approximately 12.12 billion yuan, with a current price of 21.98 yuan per share [7]. - The projected earnings per share (EPS) for 2025 is 0.83 yuan, with a price-to-earnings (P/E) ratio of 26.43 [5]. - The company’s asset-liability ratio stands at 73.46%, indicating a relatively high level of debt [7].

Group 1 - The company held its 30th meeting of the 9th Board of Directors on May 19, 2025, with all 11 directors participating in the vote [1] - The Board approved the integration of Steel Plant No. 1 and Steel Plant No. 2 into a single "Steel Plant" to reduce operational costs and enhance management efficiency [1] - The integration will involve the establishment of 4 functional rooms and 4 workshops within the new Steel Plant [1] Group 2 - The company developed an "Optimized Marketing Structure Plan" to enhance its marketing system and improve value creation capabilities, aligning with its "one headquarters, multiple bases" management framework [2] - The Board approved the establishment of a clear organizational layout for marketing, consisting of regional companies (regional headquarters) and branch institutions (subsidiaries/offices) [2] - The company is focusing on building a comprehensive institutional framework with clear responsibilities and processes, resulting in a basic institutional list and a tree list for 2025 [2]