Consun Pharmaceutical Group (1681) H2 2024 earnings summary

Executive summary

• Revenue for 2024 reached RMB2,967.2 million, up 14.6% year-over-year, with profit attributable to equity shareholders rising 16.1% to RMB910.5 million.

• Gross profit increased 16.7% to RMB2,242.1 million, with gross margin improving to 75.6% from 74.2% last year.

• The company maintained a high dividend payout, proposing a final dividend of HKD0.3 per share, totaling HKD0.6 per share for the year, about 51.1% of annual profit.

• Strategic focus remained on nephropathy, imaging, gynaecology, and paediatrics, with strong growth in core product lines.

Financial highlights

• Revenue: RMB2,967.2 million (+14.6% YoY); profit attributable to equity shareholders: RMB910.5 million (+16.1% YoY).

• Basic EPS: RMB1.11 (+12.1% YoY); diluted EPS: RMB1.09 (+11.2% YoY).

• Gross profit: RMB2,242.1 million (+16.7% YoY); gross margin: 75.6% (+1.4 ppt YoY).

• Net cash from operating activities: RMB1,087.0 million (+32.7% YoY).

• Gearing ratio decreased to 6.2% from 13.9% due to lower net bank loans and higher equity.

Outlook and guidance

• 2025 strategy focuses on core businesses, R&D investment, operational efficiency, and compliance.

• Emphasis on digital transformation, customer service, and organizational reform to maintain market leadership.

• Production capacity to be enhanced with Xinjiang base phase II expected online in Q2 2025.