Core Viewpoint - Ruikang Pharmaceutical reported a slight decline in revenue for 2024, with a focus on cost reduction and strategic investments in new medical technologies [1][2][3] Financial Performance - The company achieved an operating revenue of 7.966 billion yuan in 2024, a decrease of 0.85% compared to 2023 [2] - Net profit attributable to shareholders was 20.62 million yuan, reflecting a slight increase of 1.50% year-on-year [2] - The company reported a non-recurring net profit of -128.32 million yuan, which represents a reduction in losses by 38.84% [2] - Basic earnings per share were 0.0137 yuan, up by 1.48% from the previous year [2] - Total assets decreased by 4.17% to 16.01 billion yuan, while net assets attributable to shareholders increased by 1.65% to 5.54 billion yuan [2] Cost Management - Sales expenses decreased by 16.55%, and management expenses fell by 3.27% [3] - Research and development investment was 10.03 million yuan, a significant decline of 31.38%, with the R&D expense ratio dropping to 0.13% [3] - The asset-liability ratio stood at 64.44%, indicating a moderate level of financial leverage [3] Business Segments - Revenue from pharmaceutical distribution was 5.987 billion yuan, accounting for 75.16% of total revenue, down by 1.9% [3] - Medical device distribution revenue was 1.800 billion yuan, representing 22.59% of total revenue, with a growth of 1.57% [3] - Direct sales accounted for 88.34% of total sales, while distribution business declined by 13.42% to 9.68% [3] Strategic Initiatives - The company is focusing on gut microbiota transplantation medical technology and has established a joint venture for this purpose [3] - Ruikang Pharmaceutical acquired Zhejiang Hengjiu Medical for the development of three-dimensional breast ultrasound equipment, with a product price of 2 million yuan per unit [3] - Collaboration with Amazon Cloud aims to enhance smart medical platforms and improve logistics and supply chain management efficiency [3] - The company is exploring Southeast Asian markets to mitigate tariff risks, with ongoing developments in Vietnam [3] - The approval of fluoroquinolone raw materials by Korea MFDS lays the groundwork for international expansion of its anti-infection drugs [3]