Gelonghui, March 28, 丨 Shenwei Pharmaceutical (02877.HK) announced that for the year ended December 31, 2023, turnover was RMB 4,516 million, up 14.3% from last year; annual profit was RMB 969.5 million, up 34.1% from last year; earnings per share was RMB 128 points; declared the first interim dividend in 2024 of RMB 43 points per share; net assets of RMB 8.51 per share (equivalent to HK$9.36); and net cash per share of RMB 6.76 (equivalent to HK$7.43).

In 2023, with the normalization of centralized procurement and the development of industry regulation, the pharmaceutical industry is facing a new round of challenges and opportunities. The Group grasped the development opportunity, steadily implemented strategic plans during the year, achieved cost reduction and efficiency, continuously enhanced the competitive advantage and operating efficiency of the Group's enterprises, enhanced risk prevention capabilities, and promoted the steady development of various businesses. At the same time, the country's policy support for the traditional Chinese medicine industry continues to increase. Coupled with favorable policies such as opening up the market for traditional Chinese medicine formula granules, the Group has ushered in better development opportunities.

In 2023, the Group's overall sales revenue and profit both reached record highs. Annual sales surpassed RMB 4.5 billion, up 14.3% from last year. Among them, sales of respiratory medicines and a number of exclusive oral products continued to grow, and sales of traditional Chinese medicine formula granules also reached new highs. The Group recorded net profit of RMB 969 million for the full year, an increase of 34.1% over the previous year.

Many of the Group's research and clinical projects are progressing smoothly, and the Group is fully responsible for technical research, and “Consistent Decoction Granules”, a class 3.1 of the new traditional Chinese medicine, which the Group is fully responsible for technical research, has been approved for marketing. In addition, phase III clinical trials of the Group's exclusive innovative drugs “Serotron Capsule” and “JC Capsule” will soon be completed. “Xigongsan Particles”, a Class 1.1 innovative traditional Chinese medicine independently developed by the Group, was also approved for clinical trials during the year. “Xigongsan granules” are derived from classic recipes from the Song Dynasty. They have been used clinically for more than 900 years to treat the chronic disease anemia. There are currently no specific proprietary Chinese medicines on the market to treat the chronic disease anemia.” Once marketed, “Xigongsan Granules” will fill the gap in the chronic anemia treatment market and have significant social value.

Currently, traditional Chinese medicine is in the best strategic development opportunity period in recent years, and the traditional Chinese medicine industry has broad prospects. The Group will continue to promote the implementation of marketing strategies for the core business with multiple products, multiple channels, and multiple models to drive performance growth, and continue to expand the competitive advantage of formula granules, actively promote digital transformation and intelligent manufacturing strategic planning, and build the group into an enterprise group with digitized operation management and digital marketing, contributing to the high-quality development of traditional Chinese medicine to better benefit the general public.