On August 28th, Pharmaceutical University Health Distribution leader-Jinhuo Pharmaceutical Group Co., Ltd. (Jinhuo Pharmaceutical)Or "group", stock code: 01110.HK) is pleased to announce its unaudited interim results for the six months ended June 30, 2023 ("during the reporting period" or "first half of the year"). During the reporting period, benefiting from the overall recovery in China's economy and consumer formats, the group's turnover recorded about 553 million yuan, up 31.8% over the same period last year; gross profit rose 15.7% to about 155 million yuan; profit during the period was about 48 million yuan, an increase of 31.9% over the same period last year; the profit attributable to the owners of the company was about 38 million yuan, up 55.8% over the same period last year Earnings per share were 6.38 cents, up 59.9%.
Mr. Zhao Lisheng, Chairman of Jinhuo Pharmaceutical Board, saidIn the first half of 2023, consumers pay special attention to their physical and mental health, hoping to establish links with various health resources, and are trying to improve their lifestyle and quality of life in order to pursue a textured life. Traditional Chinese medicine health care has become a trend to drive up the group's business. "
With the continuous growth of drug sales, the performance of Chuanbei loquat ointment in Nianci'an in Kyoto is outstanding.
In the first half of 2023, the Group seized the opportunity of the group's demand for cough, breathing and other products after "Yangkang" at the beginning of the year, and quickly put the products on display on the terminal shelves through the cooperation of the company's SMART system and partners, supplemented by accurate marketing promotion, ushered in the fruitful results of the substantial increase in revenue of Kyoto Nien Tsan Chuanbei loquat paste during the reporting period. The group trumpet brand Zhenglu pill is deeply loved by consumers because of its excellent quality, word-of-mouth and good treatment effect, and the products are in short supply, but it has achieved slight growth due to the shortage of global supply and other reasons.
On the other hand, during the reporting period, the Group obtained the cooperation authorization to promote Happiness Kodalin in five provinces and cities of Shanghai, Henan, Anhui, Shaanxi and Gansu for a period of three years, opening a new chapter of bilateral cooperation. The group has been authorized by the brand-name products, which demonstrates the strength and terminal control of the group. Kodalin and Nianchi an are both brand-name products from Hong Kong, and both are drugs for the treatment of cold symptoms. In the future, the two will have a good combination point in the end market. As the mood of the public gradually relaxed after the epidemic, the recurrence of respiratory diseases was higher. The introduction of this product by the group will form a Hong Kong brand-name product portfolio with Nien Tzu'an.
At the same time, the group has established good business cooperation and coverage, covering a total of about 150000 chain drugstores and single drugstores, nearly 20, 000 primary health care institutions, more than 10, 000 hospitals and clinics, as well as convenience stores and merchant supermarkets
The Group actively explores prescription drugs and clinical sales models to promote the sales of Yiye and Jianfu capsules and make some progress. During the reporting period, the number of Eye mobile sales customers was 9526, an increase of 7.40% over the same period last year. In the clinical exploration of Jianfu capsule, the group demonstrated the effect of the product on the treatment of infertility through the clinical data and papers of partners and doctors.
The demand for health products is on the rise, and the probiotics of "Kangsuile" and "Life's DHA" continue to be sought after by the market.
Benefiting from the rebound in the flow of visitors to Hong Kong and the increasing demand of consumers for the quality and cost performance of the brand, the group's daily health care business has increased significantly compared with the same period last year. During the reporting period, the group's probiotics and Life's DHA increased by 68.1% and 42.2% respectively over the same period last year. At a time when consumers pay more attention to the concept of safety, quality and health, algal oil products have a good opportunity for development, with online sales of algal oil DHA rising by as much as 50 per cent, far exceeding that of fish oil products. As the founder of global algae oil DHA category, industry-recognized algae oil and technology leader, Life's DHA is favored by consumers because of its strong brand influence and high-quality product quality. Since the Group's distribution of Life's DHA, sales have been growing. During the reporting period, the sales of this product Life's DHA series increased rapidly and was selected into the JD.com 6.18 Dark Horse Brand list.
Continuous innovation of medical devices, continue to promote the "lean production 6S" management model
Shenzhen Dongdixin Technology Co., Ltd., a non-wholly-owned subsidiary of the Group, is a national high-tech enterprise, which was awarded the honor of Shenzhen Special New small and medium-sized Enterprises during the reporting period. Due to the continued influence of the international and domestic environment, the overall order of Dongdixin has declined compared with the same period last year, but through active marketing and promotion, the market share of the main products has increased significantly compared with the same period last year, resulting in a higher gross profit margin.
Dongdixin will continue to deeply and solidly promote the "lean production 6S" management model to ensure high quality products. Constantly innovate the bidding and procurement methods of electronic originals, which greatly reduce the cost of raw materials and ensure that the company's gross profit margin is up to standard.
In the first half of the year, Dongdixin Company has a total of 3 valid invention patents, 25 effective utility model licenses, 1 valid design license and 13 software copyrights.
Longde Life and Health Industry, promoting the opening, Integration and Innovation of traditional Chinese Medicine in Shenzhen and Hong Kong
Over the years, the Group has been committed to promoting the open integration of traditional Chinese medicine in Shenzhen and Hong Kong and the international layout of innovative traditional Chinese medicine. Jinhuo Longde Life and Health Industry Park undertakes the mission of building an innovative ecological partnership of traditional Chinese medicine, providing professional biomedical hardware and shared equipment platform. During the reporting period, the overall progress of Longde Industrial Park has been completed by 85%. The work of attracting investment is in full swing. During this period, the Group and the Shenzhen Mother of Angels Foundation jointly held a "208th" industry docking meeting, and established two-way links with dozens of biomedical, medical device, big health and other industrial enterprises, investment institutions and ecological partners.
Zhao Lisheng, chairman of Jinhuo Pharmaceutical Group, concluded:"2023 is the second year of the group's fifth five-year strategy. following the good momentum at the start of the previous year, the group developed gratifying during the reporting period, exceeding the plan for the first half of 2023, and its revenue increased by 32% compared with the same period last year. In the second half of 2023, the Group will continue to rapidly promote the implementation and implementation of the strategic goal decomposition plan and sub-strategic decomposition plan in the Fifth five-year Plan Strategy, and will dynamically adjust according to the actual market situation, do a good job in the integration and optimal allocation of human, financial and material resources, give priority to ensuring the input and promotion of strategic resources, and continuously improve the management quality of the main medical and health industry around the development idea of "main business is outstanding and related diversification". Improve the core competitiveness of enterprises in science and technology and products, as well as the profitability of the group, and then build a large enterprise group with core competitiveness. "