Three business segments compete to make efforts Lianhe Chemical Technology Co.Ltd(002250) 2021 net profit increased by 187%

Lianhe Chemical Technology Co.Ltd(002250) april 21 issued the annual report for 2021, realizing an operating revenue of 65867807 million yuan, an increase of 37.75% over the same period of the previous year; The net profit attributable to the shareholders of the listed company was 315405 million yuan, an increase of 186.65% over the same period last year; After deducting the impact of goodwill impairment, the net profit attributable to the shareholders of the listed company was 358755800 yuan.

Lianhe Chemical Technology Co.Ltd(002250) main industrial business is divided into three parts: plant protection, medicine and functional chemicals. During the reporting period, the pharmaceutical R & D team used the company's continuous tubular reaction technology to conduct industrial process research on the company's projects, and has developed tubular processes for 10 projects, which plays a great role in reducing costs, safety risks and three wastes. By the end of December 2021, the company's business segments (including Shanghai Baofeng) had obtained 78 Chinese invention patents, 60 utility model patents and 1 European invention patent.

In 2021, the company introduced more than 10 pipeline products within the patent period to reserve energy for future development. At the same time, the Jiangsu base resumed production and completed the resumption of production of 20 production lines in March 2021, contributing to the sales growth of plant protection business.

Pharmaceutical service outsourcing is an important part of the innovative pharmaceutical industry chain. After years of hard work, Lianhe Chemical Technology Co.Ltd(002250) has established contacts and actively cooperated with many of the world's top 20 multinational pharmaceutical companies, and the relevant business has grown rapidly. In 2021, the company actively developed the business of key customers and small and medium-sized pharmaceutical companies, accepted 7 customer audits, and won cooperation awards from multiple multinational companies. The company's customers include the top 20 large pharmaceutical companies in Europe and America, as well as innovative drug development companies in Japan, South Korea and China. During the reporting period, the company completed the process validation of more than 8 new molecular registered intermediate and API projects, providing high-quality services for the development of innovative drugs by relevant multinational pharmaceutical companies. With the continuous growth of the number of projects in the clinical stage and the deepening of cooperation with strategic customers from the early stage, an integrated project service model from the early stage to commercialization has been formed.

In recent years, personal care products are gradually regarded as necessities of life Lianhe Chemical Technology Co.Ltd(002250) functional chemicals division continues to develop new green processes, explore new markets with good development potential, implement and introduce new technologies and processes, and increase investment in the development of independent products. As of December 31, 2021, the company's functional chemicals division has 30 products in the pipeline, including 2 pilot projects to be commercialized, 8 pilot projects and 20 projects in the pre pilot phase.

In terms of marketing, Lianhe Chemical Technology Co.Ltd(002250) has a unique operation mode. Customized service model is a business model that the company has continuously improved from simply undertaking the production outsourcing of international agrochemical giants in the early stage to cooperating with customers in the whole life cycle. From the early R & D stage of the project, the company cooperates with customers, synchronously connects to the product supply chain system, and provides customers with optimal solutions, so that the company's products and services are always in an advantageous position in the whole product life cycle of customers, so as to ensure the competitive advantage of the company.

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