Core Viewpoint - *ST Longjin (002750.SZ) has been announced for delisting by the Shenzhen Stock Exchange due to continuous financial losses and failure to meet revenue thresholds [1][7]. Company Overview - *ST Longjin, officially known as Kunming Longjin Pharmaceutical Co., Ltd., was established in September 1996 and listed on the Shenzhen Stock Exchange in 2015. The company focuses on the development, research, production, and sales of therapeutic drugs for cardiovascular and metabolic diseases, with its main product being the Longjin injection of Ligusticum chuanxiong [5]. - The company experienced stable revenue growth in its first three years post-listing, with revenues of 181 million, 224 million, and 304 million yuan, and net profits of 54 million, 58 million, and 19 million yuan respectively from 2015 to 2017. However, since 2018, the company's profitability has sharply declined, with net profits remaining negative from 2019 onwards [5][7]. Financial Performance - In 2024, *ST Longjin reported annual revenue of 66 million yuan, a year-on-year decline of 23.25%, marking five consecutive years of revenue below 100 million yuan. The net loss was 41 million yuan, although this represented a 41.58% improvement year-on-year. However, the company still reported a non-recurring net loss of 50 million yuan [7]. - The company's reliance on a single product, the Longjin injection, has been detrimental, as this product has consistently accounted for over 90% of its revenue. Following regulatory changes and price reductions, the sales volume of this product dropped significantly, leading to a devastating impact on the company's financial health [8][9]. Market Challenges - The Longjin injection's sales fell by nearly 20% in 2017 due to regulatory warnings about severe allergic reactions. In 2021, the product's price was drastically reduced by 67% during a procurement process, leading to a further decline in sales [8]. - The company has attempted to diversify its product offerings and explore new markets, including industrial hemp, but these efforts have largely failed. The industrial hemp initiative faced regulatory challenges and a reduction in planting area, while the development of cardiovascular generic drugs has been slow, with the first product only receiving approval at the end of 2024 [10][11]. Industry Context - Since 2025, three other traditional Chinese medicine injection companies have also faced delisting from the A-share market due to similar financial struggles, highlighting a broader trend of challenges within the industry [12].