东阳光长江药业中期报告2023

CONTENTS 2Financial Highlights3Corporate Profile6Management Discussion and Analysis53Corporate Governance and Other Information62Review Report64Consolidated Statement of Profit or Loss andOther Comprehensive Income65Consolidated Statement of Financial Position67Consolidated Statement of Changes in Equity69Condensed Consolidated Cash Flow Statement71Notes to the Unaudited Interim Financial Report109Corporate Information Financial Highlights Corporate Profile YiChang HEC ChangJiang Pharmaceutical Co., Ltd. (the “Company” or “HECCJ Pharm”, together with its subsidiaries, collectively the “Group”) is apharmaceutical manufacturing company that focuses on the production,sales and development of pharmaceutical products in the therapeuticareas of anti-infectives, endocrine and metabolism. It is a domesticpharmaceutical formulation platform of HEC Group. — The Company entered into China’s pharmaceutical industry through theestablishment of its predecessor, YiChang ChangJiang Pharmaceutical Co.,Ltd., in 2001. Up to now, the Company has been operating for more than20 years, and is in the leading position in the domestic pharmaceuticalindustry in terms of pharmaceutical sales performance and R&D capability. 01558 The Company was converted into a joint stock limited company on 11 May2015, and was listed on the Main Board of The Stock Exchange of HongKong Limited (the “Stock Exchange”) on 29 December 2015, with thestock code 01558. 1,767— Since its establishment, the Company always follows the motto of “servingthe Chinese with higher standards” and has a strong industrial foundationand leading competitive edges in manufacturing, marketing and sales ofpharmaceutical products. As at 30 June 2023, the Company has 1,767professional sales staff across its nationwide product distribution networkin China. Kewei (Oseltamivir Phosphate), one of the Company’s coreproducts, is the first-line drug for clinical application of anti-influenza virusin China and its granules form is the exclusive patented product of theCompany. Oseltamivir Phosphate was included in the National EssentialDrug List (2018 Version) in 2018. In 2019, Oseltamivir Phosphate capsules ofthe Company are in accordance with the Consistency of Quality andEfficacy Evaluation for Generic Drugs (the “Consistency Evaluation”)standard, being the first type of drug which meets the standard in China. In2020, it continued to be included as part of the Influenza TreatmentGuidance (2020 version) ()published by the National Health Commission. In 2022, the Company’sOseltamivir Phosphate products continued to be shortlisted in theMedicines List for National Basic Medical Insurance, Work-Related InjuryInsurance and Maternity Insurance (2022) () issued by the Ministry ofHuman Resources and Social Security of China. Corporate Profile 000028.SZOTC In addition, the Company has built strategic cooperative partnerships withvarious renowned pharmaceutical enterprises. The Company reached astrategic cooperative partnership with China National Accord MedicinesCorporation Ltd. (Shenzhen Stock Exchange: 000028.SZ) and kicked off thefirst operational project in 2018. The Company entered into a strategiccooperation framework agreement with Jointown Pharmaceutical GroupCo., Ltd. (“Jointown Pharmaceutical”), pursuant to which the Companyauthorised Jointown Pharmaceutical as the exclusive general distributionagent for its relevant products for Kewei to be sold through the over-the-counter (OTC) channel(s) within the PRC, the term of cooperation is forthree years. The Company entered into a letter of intent with WuhanInstitute of Virology, Chinese Academy of Sciences* (), National Engineering Technology Research Center for Drugs ofEmergency Prevention and Control* () and Sunshine Lake Pharma Co., Ltd.* (,previously known as) (“Sunshine LakePharma”), pursuant to which, these parties will jointly establish a nationalmilitary-civilian integrated collaborative industrialization platform for drugsof emergency prevention and control cum national antiviral drug centre.The Company believes that the abovementioned strategic cooperativepartnerships will bring favourable development prospects for theCompany’s business. Corporate Profile The Company always adheres to the development strategies ofprofessionalism, branding and differentiation. The Company is committedto creating unique brand characteristics and core competitiveness of “HECCJ Pharm” in the industry and creating additional value for the vastpharmaceutical consumers and our partners. In the future, the Company will further expand its product lines andmarkets, enhance the international production standards and quality of itsproducts and continue to expand the coverage of promotion and sales tofacilitate further growth of business and profitability of the Company,striving for higher economic benefits and cost effectiveness for ourinvestors. Management Discussion and Analysis I.INDUSTRY REVIEW In the first half of 2023, with the ov