Core Viewpoint - Kanghui Pharmaceutical announced the suspension of production at its subsidiary Shaanxi Youbang Biopharmaceutical Technology Co., Ltd. to reduce losses and protect shareholder interests [1][2] Group 1: Production Suspension - Shaanxi Youbang has suspended production in workshops 1, 2, and 3 due to ongoing losses and challenges in product adjustments and production processes [1] - The decision to suspend production aligns with the company's strategic direction to lower operational costs and mitigate further financial losses [1] Group 2: Financial Impact - In 2024, Shaanxi Youbang's total assets accounted for 16.91% of the company's latest audited total assets, while its revenue represented 1.42% of the consolidated revenue [2] - The net profit for Shaanxi Youbang in 2024 is projected to be -52.51 million, impacting the company's net profit attributable to shareholders by -26.78 million, which is 29.88% of the total [2] Group 3: Future Plans - The company will decide on the resumption of production based on market conditions and is actively seeking collaboration opportunities to maximize the asset value of Shaanxi Youbang [2]

Group 1 - The core point of the announcement is that Shaanxi Kanghui Pharmaceutical Co., Ltd. has decided to suspend production at its subsidiary Shaanxi Youbang Biomedical Technology Co., Ltd. to reduce losses and protect shareholder interests [1] - The suspension is due to intensified market competition and a continuous decline in product sales margins, leading to ongoing losses for Shaanxi Youbang [1][3] - The company plans to assess market conditions to determine whether to resume production in the future [1] Group 2 - Shaanxi Youbang's total assets accounted for 16.91% of the company's most recent audited total assets, and its revenue represented 1.42% of the consolidated revenue for the year 2024 [4] - The net profit for Shaanxi Youbang in 2024 was -52.51 million yuan, which impacted the company's most recent audited net profit by -26.78 million yuan, accounting for 29.88% of the company's net profit [4] - The suspension is expected to help the company avoid further losses and reduce operational costs, aligning with the company's strategic development direction [3][4]

Core Viewpoint - Kanghui Pharmaceutical (603139.SH) is facing intensified market competition and declining product sales margins, leading to operational adjustments and production halts at its subsidiary Shaanxi Youbang [1][2] Group 1: Company Operations - Shaanxi Youbang, a subsidiary of the company, is experiencing continuous losses due to product adjustments and production challenges, prompting a decision to halt production in workshops 1, 2, and 3 [1] - The halt in production is expected to mitigate further losses and reduce operational costs, aligning with the company's strategic development direction [1] Group 2: Financial Impact - In 2024, Shaanxi Youbang's total assets are projected to account for 16.91% of the company's most recent audited total assets, with its revenue contributing 1.42% to the consolidated revenue [2] - The projected net loss for Shaanxi Youbang in 2024 is estimated at 52.51 million yuan, impacting the company's net profit by 26.78 million yuan, which represents 29.88% of the company's net profit attributable to shareholders [2]

Core Viewpoint - Kanghui Pharmaceutical (603139.SH) is facing intensified market competition and declining product sales margins, leading to operational adjustments and production halts at its subsidiary Shaanxi Youbang to mitigate losses and protect shareholder interests [1][2] Group 1: Company Operations - Shaanxi Youbang, a subsidiary of Kanghui Pharmaceutical, is experiencing continuous losses and has decided to halt production in workshops 1, 2, and 3 due to unsuccessful product adjustments and production challenges [1] - The halt in production is expected to help the company avoid further losses and reduce operational costs, aligning with the company's strategic development direction [1] Group 2: Financial Impact - In 2024, Shaanxi Youbang's total assets accounted for 16.91% of the company's most recent audited total assets, while its revenue represented 1.42% of the consolidated revenue [2] - The net profit for Shaanxi Youbang in 2024 is projected to be -52.51 million, impacting the company's audited net profit attributable to shareholders by -26.78 million, which constitutes 29.88% of the total [2]