On January 24, Tonghua Dongbao Pharmaceutical Co.Ltd(600867) released the annual performance express of 2021. During the reporting period, the company is expected to achieve an operating revenue of 3.252 billion yuan, a year-on-year increase of 12.45%; Deduct non net profit of 1.123 billion yuan, with a year-on-year increase of 17.54%; The basic earnings per share was 0.66 yuan, a year-on-year increase of 43.48%.
Since 2019, Tonghua Dongbao Pharmaceutical Co.Ltd(600867) has continuously improved the corporate governance structure, and the results have initially appeared. Over the past two years, Tonghua Dongbao Pharmaceutical Co.Ltd(600867) has established a market-oriented, young and professional management team, introduced Dehong capital, an international private equity investment institution, established a long-term incentive mechanism, improved the modern management system and incentive mechanism, and continued to improve in fine operation management, investment and M & A and international development. At the same time, Tonghua Dongbao Pharmaceutical Co.Ltd(600867) completed the reorganization of the board of directors, and all directors gave full play to their respective fields of expertise and assumed their respective responsibilities, so as to make the decision-making matters implemented efficiently. In Tonghua Dongbao Pharmaceutical Co.Ltd(600867) 2021, the construction of professional manager team was basically completed, and a market-oriented, young and professional professional manager team has been formed. This series of measures has improved the internal operation efficiency, the decline of unit procurement cost has significantly improved the gross profit margin, and the profitability has been continuously enhanced.
It is understood that there were two share repurchases in Tonghua Dongbao Pharmaceutical Co.Ltd(600867) in 2021. In the first quarter, the company completed a share repurchase with a total amount of about 120 million yuan for equity incentive. On the one hand, this measure shows the management’s recognition of the company’s value, on the other hand, it also expresses Tonghua Dongbao Pharmaceutical Co.Ltd(600867) the willingness to continue to launch equity incentive and establish a long-term mechanism for the common growth of employees and the company in the future. In July this year, the board of directors of the company considered and approved a share repurchase plan with a maximum of 360 million yuan. The repurchased shares will be used for cancellation to repay shareholders. This measure further demonstrates Tonghua Dongbao Pharmaceutical Co.Ltd(600867) the management’s recognition of the effectiveness of strategic transformation and upgrading so far and its confidence in the company’s future development prospects. At the same time, it also shows that the management has gradually strengthened its awareness and determination to repay shareholders and safeguard shareholders’ interests. Tonghua Dongbao Pharmaceutical Co.Ltd(600867) previously also said that with the steady growth of income, there will be sufficient funds for cash dividends to safeguard the vital interests of the company’s shareholders.
The company said that it will unswervingly deepen the development strategy of innovation transformation and spare no effort in R & D investment. In order to improve the use efficiency of assets, concentrate on the development and transformation to innovative pharmaceutical enterprises, and better meet the centralized purchase of reserve funds, it began to sell Xiamen Amoytop Biotech Co.Ltd(688278) part of its equity in 2021, and the investment income contributed to the growth of the company’s profits and cash flow. This is conducive to recovering funds, ensuring that the company can continue to provide financial support for the layout of innovative drugs, increase the possibility of potential extension expansion, and expand the product layout field of Tonghua Dongbao Pharmaceutical Co.Ltd(600867) , so as to further optimize the future product structure and achieve high-quality and sustainable development.
