Core Viewpoint - Taiji Group focuses on the production and sales of traditional Chinese and Western medicine, emphasizing key areas in health products and a diverse product matrix [2] Company Overview - The company operates in the "4+1" key areas: digestive metabolism medications, respiratory antibiotics, cardiovascular drugs, and narcotic anti-tumor medications, along with health products [2] - Notable products include: - Digestive metabolism: Taiji Huoxiang Zhengqi Oral Liquid, Tai Luo [2] - Respiratory antibiotics: Acute Support Syrup, Sinusitis Oral Liquid [2] - Cardiovascular: Tongtian Oral Liquid, Danshen Oral Liquid [2] - Narcotic anti-tumor: Morphine Sustained Release Tablets, Lofentanil Sustained Release Tablets, Xiaojin Tablets [2] - The health product matrix includes high-end refined medicinal slices and various derivative products such as herbal teas and throat lozenges [2]

Core Viewpoint - The company is focusing on the industrialization of traditional Chinese medicine resources, optimizing its layout across the entire supply chain, and enhancing its core product competitiveness while addressing inventory issues in its key products [1][2]. Group 1: Business Strategy and Product Focus - The company is accelerating the development of traditional Chinese medicine resources, with significant sales growth in major medicinal herbs like Huanglian and Huangqi [1]. - The management has outlined a focus on five key medicinal herb varieties for GAP (Good Agricultural Practices) base construction, with Lianqiao already passing compliance checks [1]. - The company is committed to enhancing its core competitiveness in products, strengthening its industrial marketing system, and developing new products suitable for various sales channels [1][2]. Group 2: Research and Development - The company is concentrating on "4+1" key therapeutic areas, including digestive metabolism drugs, respiratory antibiotics, cardiovascular drugs, narcotic anti-tumor drugs, and health products [2]. - In the first half of the year, the company received 14 authorized patents and submitted applications for three generic drug production and five consistency evaluation production [2]. - The company aims to deepen the integration of research, market, and sales to ensure effective penetration of research capabilities into sales terminals [2]. Group 3: Digital Transformation - The company is advancing its digitalization projects, aiming for a comprehensive upgrade of its operations through AI and data-driven strategies [3]. - The management plans to enhance digital capabilities to improve sales, reduce production costs, and innovate research models [3]. - The company is addressing competition issues with China Traditional Chinese Medicine through various strategies, including asset swaps and joint ventures [3].