2024-06-12-深交所-华东医药_2024年第一季度报告（英文版）_18页_486kb

Huadong Medicine Co., Ltd. - First Quarterly 2024 Report Summary

Financial Performance Overview

• The company reported first-quarter operating revenue of RMB 10.41 billion, an increase of 2.93% year-on-year over the same period in 2023.
• Net profit attributable to shareholders reached RMB 862 million, showing a 14.18% year-on-year growth. Net profit after deducting non-recurring items was RMB 838 million, up 10.66%.
• Cash flow from operating activities was negative RMB 484 million, a sharp decline of 96.84% compared to the previous year. Assets and equity attributable to shareholders increased by 2.86% and 4.31%, respectively, indicating a positive start to the year despite cash flow challenges.

Business Segment Analysis

• Pharmaceutical business revenue declined 1.86% year-on-year, primarily due to a higher base effect from 2023, with net profit increasing modestly.
• Aesthetic medicine segment showed strong performance, with operating income growing 25.30% year-on-year to RMB 630 million (excluding internal offsets), driven by global expansion of subsidiaries like Sinclair UK and domestic growth.
• Industrial microbiology business maintained stability, with revenue up 23.00% year-on-year, and is expected to accelerate with overseas market expansion and product launches.

Research and Development Progress

• Significant advancements occurred in R&D. Key milestones include BLA acceptance for rilonacept (recurrent pericarditis), IND approval for HDM1005 (weight management and Type 2 diabetes), and submission for HDM2005 (ADC for cancer treatment).
• CAR-T product Zevorcabtagene Autoleucel received conditional approval in China for multiple myeloma, with commercialization rights secured.
• Other developments include new botulinum toxin applications and aesthetic medicine innovations, aligning with the company's focus on innovative drugs and medical devices.

Shareholder and Governance Information

• Top shareholders remain stable, with China Grand Enterprises holding 41.66% of shares, followed by Hangzhou Huadong Medicine Group at 16.42%. No material changes or voting rights issues reported.
• The company maintains strong governance practices, with all parties guaranteeing the authenticity of financial data.

Other Key Matters

• The quarterly report has not been audited. The company emphasized compliance with disclosure requirements and accurate reporting to avoid false records or misleading statements.
• Overall, Huadong Medicine demonstrated resilience, with positive momentum in aesthetic medicine and robust R&D, expected to drive future growth despite mixed results in core business segments.