China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
China National Accord Medicines Corporation Ltd.
SEMI-ANNUAL REPORT 2015
August 2015
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section I. Important Notice, Contents and Paraphrase
Board of Directors, Supervisory Committee, all directors, supervisors and senior
executives of China National Accord Medicines Corporation Ltd. (hereinafter
referred to as the Company) hereby confirm that there are no any fictitious
statements, misleading statements, or important omissions carried in this report,
and shall take all responsibilities, individual and/or joint, for the reality,
accuracy and completion of the whole contents.
All directors are attended the Board Meeting for report deliberation.
The Company has no plans of cash dividend distributed, no bonus shares and
has no share converted from capital reserve either.
Yan Zhigang, principal of the Company, Wei Pingxiao, person in charger of
accounting works and Zhou Feifei, person in charge of accounting organ
(accounting principal) hereby confirm that the Financial Report of the
Semi-Annual Report 2015 is authentic, accurate and complete.
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Content
Section I. Important Notice, Contents and Paraphrase ............................................................................................................................2
Section II Company profile .....................................................................................................................................................................5
Section III. Accounting data and summary of financial indexes ..............................................................................................................7
Section IV. Report of the Board of Directors ...........................................................................................................................................9
Section VII. Preferred Stock ..................................................................................................................................................................38
Section IX Financial Report .....................................................................................................................................错误!未定义书签。
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Paraphrase
Items Refers to Definition
The Listed Company, Company, the Company,
Refers to China National Accord Medicines Corporation Ltd.
China National Accord, the Group
Sinopharm Holding Refers to Sinopharm Group Co., Ltd., the controlling shareholder of the Company
“Twelfth Five-Year” Refers to Year of 2011 to 2015
Company Law Refers to Company Law of the People’s Republic of China
Securities Law Refers to Securities Law of the People’s Republic of China
Yuan, 10 thousand Yuan, 100 million Yuan Refers to RMB, RMB 10 thousand, RMB 100 million
Terminology: Refers to
Direct selling Refers to A sales method that the drug directly sold to the hospital
GMP certification Refers to Good Manufacture Practice of Drugs certification
GSP certification Refers to Good Supplying Practice certification
That is CMS, and information system processing workflow &
Supply Chain Management Refers to
procurement, inventory & sales documents
Company profile Refers to
Sinopharm Refers to China National Pharmaceutical Group Corporation
Sinopharm (CNCM LTD) Refers to China National Medicines Corporation Ltd.
Sinopharm Holding Guangzhou Refers to Sinopharm Holding Guangzhou Co., Ltd.
Sinopharm Holding Guangxi Refers to Sinopharm Holding Guangxi Co., Ltd.
Sinopharm Holding Liuzhou Refers to Sinopharm Holding Liuzhou Co., Ltd.
Zhijun Pharmaceutical Refers to Shenzhen Zhijun Pharmaceutical Co., Ltd
China National Zhijun (Suzhou) Refers to China National Zhijun (Suzhou) Pharmaceutical Co., Ltd.
Zhijun Medicine Trading Refers to Shenzhen Zhijun Medicine Trading Co., Ltd.
China National Zhijun (Shenzhen) Pingshan Refers to China National Zhijun (Shenzhen) Pingshan Pharmaceutical Co., Ltd.
Main Luck Pharmaceuticals Refers to Shenzhen Main Luck Pharmaceuticals Inc.
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section II Company profile
I. Company Profile
Short form for share Sinopharm Accord, Accord B Code for share 000028, 200028
Listing stock exchange Shenzhen Stock Exchange
Chinese name of the Company 国药集团一致药业股份有限公司
Abbr. of Chinese name of the
国药一致
Company(if applicable)
English name of the
China National Accord Medicines Corporation Ltd.
Company(if applicable)
Abbr. of English name of the
Sinopharm Accord
Company(if applicable)
Legal Representative Yan Zhigang
II. Contact person and ways
Secretary of the Board
Name Chen Changbing
Accord Pharm. Bldg., No. 15, Ba Gua Si Road, Futian District, Shenzhen
Contact adds.
Guangdong
Tel. +(86)755 25875195
Fax. +(86)755 25195435
E-mail 0028@szaccord.com.cn; gyyz0028@sinopharm.com
III. Others
1. Way of contact
Registrations address, offices address and codes as well as website and email of the Company has no change in reporting period,
found more details in Annual Report 2014.
2. Information disclosure and preparation place
The newspaper appointed for information disclosure, website for semi-annual report publish appointed by CSRC and preparation
place for semi-annual report have no change in reporting period, found more details in Annual Report 2014.
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
3. Registration changes of the Company
Date/place for registration of the Company, registration number for enterprise legal license, number of taxation registration and
organization code have no change in reporting period, found more details in Annual Report 2014.
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section III. Accounting data and summary of financial indexes
I. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed and accounting
error correction or not
□Yes √ No
Increase/decrease in this
Current period Same period of last year
report y-o-y
Operating revenue (RMB) 12,813,803,166.77 11,612,642,434.28 10.34%
Net profit attributable to shareholders of
387,319,252.33 349,213,988.51 10.91%
the listed company(RMB)
Net profit attributable to shareholders of
the listed company after deducting 373,659,153.79 326,526,104.00 14.43%
non-recurring gains and losses(RMB)
Net cash flow arising from operating
448,239,578.83 -484,715,807.96 192.47%
activities(RMB)
Basic earnings per share (RMB/Share) 1.068 1.073 -0.47%
Diluted earnings per share (RMB/Share) 1.068 1.073 -0.47%
Weighted average ROE 7.85% 10.39% -2.54%
Increase/decrease in this
End of current period End of last period report-end over that of last
period-end
Total assets (RMB) 13,812,656,490.46 12,828,941,540.90 7.67%
Net assets attributable to shareholder of
5,079,400,685.82 4,764,607,822.09 6.61%
listed company(RMB)
II. Difference of the accounting data under accounting rules in and out of China
1. Difference of the net profit and net assets disclosed in financial report, under both IAS (International
Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)
The Company had no difference of the net profit or net assets disclosed in financial report, under both IAS (International Accounting
Standards) and Chinese GAAP (Generally Accepted Accounting Principles)
2. Difference of the net profit and net assets disclosed in financial report, under both foreign accounting
rules and Chinese GAAP (Generally Accepted Accounting Principles)
The Company had no difference of the net profit or net assets disclosed in financial report, under both foreign accounting rules and
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Chinese GAAP (Generally Accepted Accounting Principles)
III. Items and amounts of extraordinary profit (gains)/loss
√ Applicable □ Not applicable
In RMB
Item Amount Note
The compensation for housing
demolition income obtained from
Gains/losses from the disposal of non-current asset (including the
4,114,941.12 disposal of investment real estate
write-off that accrued for impairment of assets)
by subsidiary Sinopharm Holding
Liuzhou
Governmental subsidy calculated into current gains and
Mainly contained various of
losses(while closely related with the normal business of the
10,567,256.16 special subsidies and financial
Company, excluding the fixed-amount or fixed-proportion
discount.
governmental subsidy according to the unified national standard)
Reversal of impairment reserve for account receivable with
2,568,108.32
separate impairment testing
The entrusted service providing
for Sinopharm Holding and
Trustee fee obtained from entrusted management 375,000.00
China National Pharmaceutical
Foreign Trade Corporation
The relocation reward and
compensation for arrange due to
Other non-operating income and expenditure except for the
2,189,460.15 cessation of business received by
aforementioned items
subsidiary Sinopharm Holding
Liuzhou
Less: impact on income tax 4,051,085.07
Influenced amount of minority shareholders’ equity (after tax) 2,103,582.14
Total 13,660,098.54 --
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section IV. Report of the Board of Directors
I. Introduction
In connection with pharmaceutical industry, the year 2015 was especially tough. Intensified releases of medical
reform policies further increased existence pressure for pharmaceutical industry, resulting in slow growth of this
industry. During the first half year, we made various progresses as scheduled according to our annual operation
subjects of “adapt to new normal, hold new business opportunities and achieve new development” in addition to
focusing on our business operation, we also conducted compliance and honest career related activities actively.
We also developed new business in an orderly manner in addition to increasing efficiency for our traditional
businesses. Emphasis has been put on economic and party construction works both, and progresses have been
made in both traditional and innovative businesses.
(I) the overall economic operation of China National Accord for the first half year of 2015
China National Accord realized operating income of RMB12.814 billion, representing a year-on-year increase of
10.34%, and realized net profit attributable to parent company of RMB387 million, representing a year-on-year
increase of 10.91%.
The distribution segment realized operating income of RMB11.962 billion, representing a year-on-year increase
of 11.72%, and realized net profit attributable to parent company of RMB218 million, representing a year-on-year
increase of 31.97%.
The pharmaceutical segment realized operating income of RMB859 million, representing a year-on-year decrease
of 6.05%, and realized net profit attributable to parent company of RMB122 million, representing a year-on-year
decrease of 11.01%.
(II) Major works completed by China National Accord for the first half year of 2015
1. Innovative operation model and ideas
The distribution segment accelerated overall extension of supply chain to upstream and downstream market by
leverage on VMI united stock project and smart chain project. 161 new VMI stock projects were increased during
the first half year and 5 smart chain projects including Meizhou People Hospital were newly established. We set
supply chain functions in Guangxi and Shenzhen regions, remarking the general implementation of supply chain
model in Guangdong and Guangxi provinces.
Considering the serious overstock of new medicine approval, the pharmaceutical segment changed its mind
actively to focus on production capability improvement and further development of some major varieties,
increasing supports for current operation.
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
2. Continuous enhancement in integrated operation capability
Information integration management project for distribution segment has completed application of three modules
including rebate, first operation and payables. Logistics integration management platform project has completed
application of cost control module. As the cold chain management systems in Dongguan and Huizhou linked to
the network and applied respectively, our capability of logistics integration management would be improved
continuously. Besides, steady enhancement was recorded in integrated procurement efficiency.
The pharmaceutical segment carried out relevant works to improve platform management efficiency. Six major
processes including product and distribution synergy, industrialization and product pricing were emphasized in
connection with industrial management projects. Through overall diagnosis and optimization, the Group was able
to consolidate management foundation for industrial platforms.
3. Promote network construction and enhance network value
The distribution segment participated in establishing Zhuhai Company. Till now, there are 30 subsidiaries,
covering 35 cities in Guangdong and Guangxi provinces. Through construction of DTC pharmacies, Guangzhou
Company was granted qualification required to operate as a chain pharmacy. The chain management department
has been set to incorporate DTC pharmacies into integrated management and 12 DTC pharmacies all obtained
medical insurance qualification. New equipment warehouses commenced construction in Guangfo logistics center,
Zhanjiang delivery center and Meizhou delivery center, aiming to perfect our logistics network.
Marketing of the pharmaceutical segment was based on its secondary distribution system. The segment recorded
good performance through cooperation with Jointown to carry out complimentary service for purchases. Besides,
the segment also introduced certain Chinese traditional medicine varieties such as Jian’erqing solution to
secondary distribution system, commencing marketing for OTC brands.
4
