CONBA(600572)2024-08-27 08:37Group 1: Company Performance Overview - In the first half of 2024, the company achieved revenue of 3.448 billion CNY, a decrease of 8.40% year-on-year [2] - The net profit attributable to shareholders was 382 million CNY, down 25.95% year-on-year [2] - The company’s revenue from major brand products accounted for 58% of total revenue, with a total income of 2 billion CNY [2][3] - The company’s revenue from online sales reached 365 million CNY, a year-on-year increase of 7.2% [13] Group 2: Strategic Adjustments and Focus Areas - The company has adjusted its business focus to promote a full range of traditional Chinese medicine (TCM) products, with TCM revenue maintaining around 50% of total revenue [5][6] - The company is enhancing its marketing capabilities across hospitals, pharmacies, and community healthcare [6] - R&D investment increased to approximately 133 million CNY in the first half of 2024, a year-on-year increase of 43.36% [14] Group 3: Product Development and Innovation - The company has made significant progress in TCM innovation, with 73% of R&D projects focused on TCM [6][9] - Key R&D projects include 6 innovative and improved new drugs, and 7 TCM secondary development projects [10] - The company aims to achieve over 100 million CNY in sales of TCM products outside Zhejiang province by 2025 [15] Group 4: Sales and Marketing Strategies - The company is enhancing brand building and expanding sales channels, including e-commerce and social media [6][8] - The sales expense ratio decreased to 31.66%, down 5.44 percentage points year-on-year, due to changes in revenue structure [20] - The company plans to optimize its product offerings in pharmacies and increase promotion efforts in clinics to adapt to changing customer flows [13] Group 5: Future Outlook and Shareholder Returns - The company has implemented a cash dividend plan, distributing 2 CNY per 10 shares for the 2023 fiscal year, totaling 3.291 billion CNY in dividends since its listing [11][12] - The company has completed its share repurchase plan, acquiring approximately 63.58 million shares for a new round of equity incentives [12]