Core Viewpoint - The sudden passing of Liu Zhonghua, a core founder and key executive of Shuoshi Biotechnology, raises concerns about the company's future amidst industry challenges and operational pressures [2][5][6] Company Overview - Shuoshi Biotechnology was founded in 2010, focusing on infectious disease testing and maternal and child health [5] - The company specializes in the research, production, and sales of in vitro diagnostic reagents and related testing instruments, adopting an integrated business model of "reagents + instruments + services" [5] Leadership and Contributions - Liu Zhonghua was a molecular biology expert and had a significant role in the company's development, serving as a technical director and vice president from 2010 to 2017, and as a board member since 2017 [5][6] - He voluntarily reduced his salary by 40% recently to support the company's operational efficiency [6] - Liu held 2.57% of the company's total shares, amounting to 2.15 million shares [5] Recent Company Performance - Shuoshi Biotechnology is currently facing performance pressures due to industry adjustments [6] - The company recently implemented voluntary salary reductions among its executives to optimize operational costs and improve management efficiency [6] Board Composition - Following Liu Zhonghua's passing, the board of directors has decreased from 9 to 8 members, which is still above the legal minimum but below the number stipulated in the company's articles of association [6] - The company plans to complete the board member replacement process in accordance with legal procedures [6]

Group 1 - The company, Shuoshi Biotechnology, announced the passing of its board member and vice president, Liu Zhonghua, due to sudden illness on September 12, 2025, at the age of 56 [1][3] - Liu Zhonghua was a core founder of Shuoshi Biotechnology and had recently voluntarily reduced his salary by 40% to support the company's operations [3][9] - The company focuses on the research, production, and sales of in vitro diagnostic products, particularly in the fields of infectious disease testing and maternal and child health [7][8] Group 2 - Liu Zhonghua held a Ph.D. from Xi'an Jiaotong University and was recognized as an expert in molecular biology, contributing significantly to the company's development [7][8] - Following Liu's passing, the board of directors will decrease from 9 to 8 members, which does not affect the normal operation of the board but is below the number stipulated in the company's articles of association [9] - The company plans to complete the board member replacement process in accordance with legal procedures and will fulfill its information disclosure obligations [9]

Core Viewpoint - The sudden passing of Liu Zhonghua, a core founder and key executive of Shuoshi Biological, raises concerns about the company's future operations and governance structure [1][6][7] Company Overview - Shuoshi Biological was founded in 2010, focusing on infectious disease testing and maternal and child health [5] - The company specializes in the research, production, and sales of in vitro diagnostic reagents and related testing instruments, adopting an integrated business model of "reagents + instruments + services" [5] Leadership and Contributions - Liu Zhonghua served as a technical director and vice president from August 2010 to March 2017, and as a board member from March 2011 to March 2017 [6] - He held the position of director, technical director, and vice president of the listed company since March 2017 [6] - Liu was recognized for his dedication to the development of diagnostic products related to infectious diseases and maternal and child health, receiving multiple honors including "Outstanding Communist Party Member of Jiangsu Province" and "National Model Worker" [6] Shareholding and Governance - Liu Zhonghua directly held 2.57% of the company's total shares, amounting to 2.15 million shares [6] - Following his passing, the board of directors decreased from 9 to 8 members, which is still above the legal minimum but below the number stipulated in the company's articles of association [7] - The company plans to complete the board member replacement process in accordance with legal procedures [7] Financial Context - The company is currently facing performance pressure due to industry adjustments [7] - In response to external pressures, the company's executives, including Liu Zhonghua, voluntarily reduced their salaries, with Liu's salary cut by 40% [7] - Liu's reported compensation for the previous year was 1.5162 million yuan [7]

Core Viewpoint - The company, Shuoshi Biotechnology (688399.SH), announced that several executives voluntarily proposed salary reductions in response to ongoing industry challenges and to support long-term development [1][5]. Salary Reduction Details - The honorary chairman, Fang Yongsheng, and the chairman and general manager, Wang Guoqiang, will have their annual salaries reduced by 50% starting from August 15, 2025 [2]. - Other executives, including Liu Zhonghua (40% reduction), Hu Yuanyuan (40% reduction), and Zhou Guohui (40% reduction), will also see significant salary cuts, while the financial director and employee supervisors will have reductions of 10% and 5% respectively [2][3]. Executive Compensation Context - Among the seven executives who proposed salary cuts, five had annual salaries exceeding 1 million yuan in 2024, with Fang Yongsheng earning 2.0643 million yuan and Wang Guoqiang earning 2.4399 million yuan [3][4]. - The company previously had several executives with annual salaries exceeding 10 million yuan in 2021 and 2022 [4]. Financial Performance - The company has faced continuous operational pressure, with a reported revenue of 176 million yuan in the first half of 2025, a year-on-year decrease of 1.05%, and a net profit of 3.9926 million yuan, down 86.35% [7]. - Shuoshi Biotechnology has recorded net losses for two consecutive years, with revenues of approximately 403 million yuan and 350 million yuan in 2023 and 2024, respectively [7]. Dividend Distribution - Despite the decline in performance and executive salary reductions, the company plans to distribute a cash dividend of 2.85 billion yuan for the first half of 2025, reflecting a commitment to return value to shareholders [9]. - The company reported that as of June 30, the undistributed profits exceeded 2.4 billion yuan, allowing for the dividend distribution while maintaining a stable cash flow [9].

Core Viewpoint - The company, Shuoshi Biological (688399.SH), announced voluntary salary reductions for several executives, including a 50% cut for the honorary chairman and the chairman/general manager, in response to ongoing financial pressures and to demonstrate solidarity during challenging market conditions [1][5]. Salary Reduction Details - The honorary chairman, Fang Yongsheng, and the chairman/general manager, Wang Guoqiang, will have their salaries reduced by 50% starting from August 15, 2025 [2][3]. - Other executives, including Liu Zhonghua (director and deputy general manager), Hu Tongyuan (director, deputy general manager, and board secretary), and Zhou Guohui (deputy general manager), will see a 40% salary reduction [2][3]. - The financial director, Meng Yuanyuan, and employee supervisors, Jia Zhaoqiang and Gu Lina, will have their salaries reduced by 10% and 5%, respectively [2][3]. Financial Performance - The company has faced declining financial performance, with a reported revenue of 176 million yuan in the first half of 2025, a decrease of 1.05% year-on-year, and a net profit of 3.99 million yuan, down 86.35% [7]. - The company has experienced net losses for two consecutive years, with revenues of approximately 403 million yuan and 350 million yuan in 2023 and 2024, respectively, and corresponding net profits of -374 million yuan and -2 million yuan [7]. Dividend Distribution - Despite the salary cuts and declining performance, the company plans to distribute a cash dividend of 34.00 yuan per 10 shares, totaling 285 million yuan, reflecting a commitment to return value to shareholders [9]. - As of June 30, the parent company had over 2.4 billion yuan in undistributed profits, allowing for this dividend distribution while maintaining a stable cash flow [9].

Core Viewpoint - The company, Shuoshi Biological (688399.SH), announced voluntary salary reductions for several executives, including a 50% cut for the honorary chairman and the chairman/general manager, as a response to ongoing industry challenges and to demonstrate solidarity during tough times [1][5]. Salary Reduction Details - The honorary chairman, Fang Yongsheng, and the chairman/general manager, Wang Guoqiang, will have their annual salaries reduced by 50% starting from August 15, 2025 [2][3]. - Other executives, including Liu Zhonghua (director and deputy general manager), Hu Yuanyuan (director, deputy general manager, and board secretary), and Zhou Guohui (deputy general manager), will see a 40% salary reduction [2][3]. - The financial director, Meng Yuanyuan, and employee supervisors, Jia Zhaoqiang and Gu Lina, will have their salaries reduced by 10% and 5%, respectively [2][3]. Financial Performance - The company reported a revenue of 176 million yuan in the first half of 2025, a decrease of 1.05% year-on-year, with a net profit of 3.99 million yuan, down 86.35% [6]. - Shuoshi Biological has experienced consecutive years of losses, with revenues of approximately 403 million yuan and 350 million yuan in 2023 and 2024, respectively, and corresponding net profits of -374 million yuan and -2 million yuan [6]. - Despite the decline in performance, the company plans to distribute a cash dividend of 2.85 billion yuan to shareholders, reflecting a commitment to return value to investors [6]. Company Overview - Shuoshi Biological focuses on the research, production, and sales of in vitro diagnostic reagents and related testing instruments, expanding into in vitro testing services to achieve an integrated business model [6].

Core Viewpoint - The management team of Shuoshi Biotechnology (SH688399) voluntarily decided to reduce their salaries to support the company's operational cost optimization and enhance management efficiency amid challenging global economic conditions and industry environment [1][3]. Salary Reduction Details - The salary reductions include: - Honorary Chairman Fang Yongsheng: 50% reduction starting from August 15, 2025 - Chairman and General Manager Wang Guoqiang: 50% reduction starting from August 15, 2025 - Director and Deputy General Manager Liu Zhonghua: 40% reduction starting from August 15, 2025 - Director, Deputy General Manager, and Board Secretary Hu Yuanyuan: 40% reduction starting from August 15, 2025 - Deputy General Manager Zhou Guohui: 40% reduction starting from August 15, 2025 - Chief Financial Officer Meng Yuanyuan: 10% reduction starting from August 15, 2025 - Employee Supervisor Jia Zhaoqiang: 10% reduction starting from August 15, 2025 - Employee Supervisor Gu Lina: 5% reduction starting from August 15, 2025 [2]. Company Performance and Financials - In 2023, Shuoshi Biotechnology reported a significant loss with a net profit of -374 million yuan, a 120.45% decline year-on-year [6]. - For 2024, the company is expected to continue reporting losses, with a projected revenue decline of 13.29% [6]. - The company's revenue for the first half of 2025 was 176 million yuan, a 1.05% decrease year-on-year, with a net profit of 3.99 million yuan, down 86.35% from the previous year [6]. - The decline in profitability is attributed to price pressures from national procurement in the in vitro diagnostics industry and changes in tax rates affecting gross margins [6]. Cost Management Efforts - The company is actively pursuing cost reduction and efficiency improvement measures, alongside salary adjustments, to enhance operational efficiency and market competitiveness [3]. - Sales expenses, management expenses, and R&D expenses have all decreased during the reporting period, with sales expenses at 64.25 million yuan (down 1.94%), management expenses at 31.68 million yuan (down 21.02%), and R&D expenses at 40.64 million yuan (down 13.11%) [6]. R&D Investment - The proportion of R&D investment relative to revenue was 23.15%, a decrease of 3.21 percentage points year-on-year [7].

Core Viewpoint - The management team of Shuoshi Biotechnology (SH688399) voluntarily decided to reduce their salaries to support the company's operational cost optimization and enhance management efficiency in response to the challenging global economic environment and industry conditions [1][3]. Salary Reduction Details - The honorary chairman, Fang Yongsheng, and the chairman and general manager, Wang Guoqiang, will have their annual salaries reduced by 50% starting from August 15, 2025 [2]. - Other executives, including Liu Zhonghua and Hu Tongyuan, will see a 40% salary reduction, while the financial director, Meng Yuanyuan, and employee supervisors will have reductions of 10% and 5%, respectively [2]. Company Performance and Financials - In 2023, Shuoshi Biotechnology reported a significant loss, with a net profit of -374 million yuan, a decrease of 120.45% year-on-year [6]. - The company's revenue for the first half of 2025 was 176 million yuan, down 1.05% year-on-year, with a net profit of 3.99 million yuan, reflecting an 86.35% decline compared to the previous year [6]. - The decline in profitability is attributed to price pressures from national procurement in the in vitro diagnostics industry and changes in tax rates affecting gross margins [6]. Cost Management and Operational Efficiency - The company is committed to ongoing cost reduction and efficiency improvement measures, alongside expanding market reach to enhance operational efficiency and competitiveness [3]. - Sales, management, and R&D expenses have all decreased, with sales expenses at 64.25 million yuan (down 1.94%), management expenses at 31.68 million yuan (down 21.02%), and R&D expenses at 40.64 million yuan (down 13.11%) [6]. R&D Investment - R&D investment accounted for 23.15% of the company's revenue, which is a decrease of 3.21 percentage points year-on-year [7].

Core Viewpoint - The company, Shuoshi Biotechnology, announced voluntary salary reductions by its board members and senior management to support operational cost optimization and enhance competitiveness amid challenging global economic conditions [2][4]. Group 1: Salary Reductions - The honorary chairman, Fang Yongsheng, and the chairman and general manager, Wang Guoqiang, will have their annual salaries reduced by 50% starting from August 15, 2025 [3]. - Other executives, including Liu Zhonghua and Hu Yuanyuan, will see a 40% reduction in their annual salaries, while the financial director, Meng Yuanyuan, and employee supervisors will have reductions of 10% and 5%, respectively [3]. Group 2: Company Performance - In the first half of 2025, the company reported revenue of 176 million yuan, a year-on-year decrease of 1.05%, and a net profit attributable to shareholders of 3.99 million yuan, down 86.35% year-on-year [4]. Group 3: Strategic Initiatives - The company emphasized that the salary adjustments reflect management's recognition of the company's intrinsic value and confidence in future growth prospects [4]. - In addition to salary cuts, the company plans to implement cost-reduction measures and enhance market expansion efforts to improve operational efficiency and competitiveness [4].

Core Viewpoint - The management team of Shuoshi Biotechnology has voluntarily agreed to salary reductions to support the company's operational optimization and enhance management efficiency amid ongoing financial struggles [2][3]. Salary Reduction Details - Eight senior executives, including Honorary Chairman Fang Yongsheng and Chairman & General Manager Wang Guoqiang, will see salary cuts ranging from 5% to 50%, effective from August 15, 2025 [3][4]. - The most significant reduction is a 50% cut for both Fang Yongsheng and Wang Guoqiang, while other executives will experience reductions of 40% and 10% [4]. Financial Performance - Shuoshi Biotechnology has faced consecutive years of losses, with a reported net loss of 374 million yuan in 2023, a decline of 120.45% year-on-year [7]. - For the first half of 2025, the company reported a revenue of 176 million yuan, a decrease of 1.05% compared to the previous year, and a net profit of 3.99 million yuan, down 86.35% year-on-year [7][8]. Executive Compensation - Despite the financial difficulties, seven executives had annual salaries exceeding one million yuan in 2024, with Fang Yongsheng earning 2.0643 million yuan and Wang Guoqiang earning 2.4399 million yuan [5][6]. - The company emphasizes that the salary adjustments reflect the management's commitment to the company's long-term development and recognition of its intrinsic value [4][5]. Market Position - As of August 28, the stock price of Shuoshi Biotechnology was 63.08 yuan per share, with a total market capitalization of 5.3 billion yuan [9].