China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
China National Accord Medicines Corporation Ltd.
SEMI-ANNUAL REPORT 2015
August 2015
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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.
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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。
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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.
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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.
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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.
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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
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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 --
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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.
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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. Orderly progress of new business
As for distribution segment, management platform has been completed for medical equipment business, realizing
online place of orders in Zhongshan third hospital and tumour hospital. The Group also actively developed
marketing network for vaccine products, increased resources on developing non-vaccine products and
consolidated development foundation as CDC overall product service provider. As for medical treatment
cooperation projects, we entered into contracts for five projects including South Five Hospital and Meizhou
People Hospital. Internet upgrade for distribution e-commerce B2B business has been completed with new
function of pharmaceutical enquiry. Industrial internationalization is being promoted steadily and Pingshan base
officially kicked off EU certification.
5. Accelerate base construction and quality certification
Shenzhen Medical Materials Processing Plant has totally completed new version GMP certification reform project,
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
and has submitted declaration materials required for new version GMP certification to the provincial drug
management bureau on 23 June, which is subject to site inspection. This represents a meaningful progress for the
plant to become TCM drug pieces processing plant in Guangdong and Guangxi provinces.
As for pharmaceutical segment, the comprehensive R&D building and auxiliary projects including dining room
and dormitory buildings for Pingshan Base have completed seal roof projects successfully. Three batches of trial
production were completed and the base passed site inspection required for new version GMP certification on 30
June and is about to obtain the new GMP certificate soon.
II. Main business analysis
Y-o-y changes of main financial data
In RMB
Current period Same period of last year Y-o-y increase/decrease Reasons for changes
Operating revenue 12,813,803,166.77 11,612,642,434.28 10.34%
Operating costs 11,801,661,040.42 10,626,767,657.24 11.06%
Sales expenses 262,074,106.01 271,149,210.54 -3.35%
Administration expenses 203,589,373.35 215,813,783.67 -5.66%
Finance expenses 58,639,672.40 70,931,725.10 -17.33%
Income tax expenses 95,348,854.50 86,331,296.75 10.45%
R&D input 33,640,577.40 32,143,996.40 4.66%
The amount received
from merchandising and
Net cash flow arising
448,239,578.73 -484,715,807.96 192.47% labor service provided
from operating activities
increased on a y-o-y
basis in the Period
The investment for
Net cash flow arising
infrastructural project
from investment -79,800,820.06 -118,785,713.60 32.82%
decreased than the same
activities
period of last year
The amount of capital
increase from private
Net cash flow arising placement received in the
-65,104,388.08 914,932,902.63 -107.12%
from financing activities same period of last year,
and no such business in
the Period.
Net increase of cash and
303,343,621.01 311,437,219.28 -2.60%
cash equivalent
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
III. Constitution of main business
In RMB
Increase or Increase or Increase or
decrease of decrease of decrease of gross
Gross profit
Operating revenue Operating cost operating revenue operating cost profit ratio over
ratio
over same period over same period same period of
of last year of last year last year
According to industries
Medical business 11,909,286,905.74 11,271,115,377.12 5.36% 11.71% 11.87% -0.13%
Medical
844,054,995.84 514,953,649.33 38.99% -5.71% -3.21% -1.58%
manufacture
Logistics and
warehousing 15,603,383.33 11,165,053.51 28.44% 22.75% 31.36% -4.69%
services
Lease and other
3,923,324.72 1,198,252.92 69.46% -23.49% -6.40% -5.58%
service
According to region
Domestic sales 12,738,740,992.41 11,770,569,151.72 7.60% 10.34% 11.09% -0.63%
Foreign sales 34,127,617.22 27,863,181.16 18.36% 18.45% 26.96% -5.47%
IV. Core competence analysis
1. Improved distribution network
The Company owns completed pharmaceutical distribution network in Guangdong and Guangxi provinces,
covering almost all the medical institutions and large chain pharmacies rated as second-class or above in
Guangdong and Guangxi provinces and also providing medicine distribution services for third end consumers as
represented by various individual pharmacies, community medical service outlets, small clinics and new rural
cooperative medical insurance. The Company fully takes advantage of its distribution network to provide
value-added service and create value for customers.
2. Leading smart supply chain
Benefiting from the core smart supply chain, the Company effectively expanded supply chain service and thus
realized resource sharing and effective coordination between the upstream and downstream through promotion of
central inventory management projects and hospital pharmacy smart inventory management project.
3. High efficient integrated management
In connection with pharmaceutical distribution, the Company continues to strengthen integrated operation system
in Guangdong and Guangxi provinces, focusing on integration of procurement and basic operation between these
two provinces; cooperation in respect of businesses relating to medical equipments, consumables and vaccine
was accelerated between these two provinces, thus to realize management synchronization of Guangdong and
Guangxi provinces. In connection with pharmaceutical industry, the Company adopted professionalism and
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
integration as guidance to improve the platform structure with “three centers and three bases”, resulting in
continuous enhancement of industrial integrated operation.
4. Abundant product resources
In connection with pharmaceutical distribution, the Company established vast cooperation with thousands of
domestic manufacturers and business enterprises, and established steady business relationship with hundreds of
import and joint venture manufacturers, to diversify its variety resources. In connection with pharmaceutical
industry, the Company mainly focused on medicines relating to anti-infection, respiratory system, digestive
system and cardiovascular as well as great health area. It owns modern pharmaceutical R&D and production bases
qualified with international standards, and certain production lines for powder injection, orally-taken solid
preparations and active pharmaceutical ingredient with EU authentication. The Company has launched a number
of famous products with leading market share through establishing strict quality management and control system.
5. Domestic brands with unique influences
The Company’s brands and distribution share the same principles with the industrialized sub-brands and those
owned by controlling shareholders and actual controllers. Benefiting from the strong influence as a central
enterprise, the Company takes an increasing significant position in this industry in terms of recognition and
influence.
V. Investment analysis
1. External equity investment
(1) External investment
√ Applicable □ Not applicable
Investment outside
Investment in the same period of last
Investment in the reporting (RMB) Changes
year’s (RMB)
1,002,980.00 0.00 100.00%
Invested company
Equity proportion in invested company
Name Main business
for Listed company
Wholesale of drugs and medical devices
Sinopharm Holding Zhuhai Co., Ltd. 10.00%
etc.
(2) Holding equity of financial enterprise
The Company has no equity of financial enterprise held in the Period
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
(3) Securities investment
The Company has no securities investment in the Period
(4) Explanation on equity of other listed company held
The Company had no equity of other listed company held in Period.
2. Trust management, derivative investment and entrust loans
(1) Trust financing
The Company has no trust financing in the Period
(2) Investment of derivatives
The Company has no derivatives investment in the Period
(3) Entrustment loan
The Company has no entrustment loan in the Period
3. Application of raised proceeds
Use condition of the raised capital found more in Special Report on Raised Capital Deposit and Practical Usage released on 20
August 2015 (disclosure on Juchao Website, Notice No.: 2015-31)
4. Main subsidiaries and joint-stock companies analysis
Main subsidiaries and joint-stock companies
In RMB
Industry Main products or Registered Operation Operation
Name Type Total assets Net assets Net profit
involved service capital revenue profit
Production for
raw medicine of
chemical
products,
Shenzhen processing for
Chinese
Zhijun
Subsidiar Manufactu traditional patent 200,000,00 1,035,852,3 443,688,20 748,004,49 150,677,1 134,171,922.
Pharmaceut medicine,
y re production of 0.00 96.80 2.18 3.30 89.66 24
ical Co.,
chemical material
Ltd. of medicine;
Import and export
trade are treated
by authorized
certificates.
Sinopharm Chinese
Subsidiar 1,000,000,0 5,679,262,6 1,187,621,6 7,108,179,1 125,797,5 94,545,153.0
Holding Commerce traditional patent
y 00.00 40.65 92.15 22.22 25.27 1
Guangzhou medicine,
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Co., Ltd. chemical
preparations,
antibiotics,
bio-chemical
medicine,
biological
medicine,
diagnosis
medicine,
biological
medicine with
features of
treatment and
diagnosis, shaped
packing food,
chemical
products, and
various
commodity and
technique hold by
self-support and
agency as well as
import & export
of technology
5. Major project invested by non-raised funds
√ Applicable □ Not applicable
In ten thousand Yuan
Amount
invested
Total Amount Disclosure
accumulative Disclosure date
Project investment invested in this Progress Earnings index
till end of (if applicable)
planned period (if applicable)
reporting
period
The project “China
covers National
(Pingshan) approximately Accord:
Medicine R&D 73352 M2 in Announcement
88,137 7,099.58 42,909.25 65.00% 2014-03-22
Manufacturing total, of Increasing
Base positioning as Investment
the production Amount”(Notic
base of e No.:
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
essential 2014-18)
medicines and released on
special drugs, a Juchao Website
manufacture
base of modern
traditional
Chinese
medicine
preparations
and massive
health products
as well as the
international
co-ordination
processing base
Total 88,137 7,099.58 42,909.25 -- -- -- --
VI. Prediction of business performance from January – September 2015
Estimation on accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the
warning of its material change compared with the corresponding period of the last year and explanation on reason
□ Applicable √ Not applicable
VII. Explanation from the Board and Supervisory Committee for “Qualified Opinion” from
the CPA of this year’s
□ Applicable √ Not applicable
VIII. Explanation from the Board for “Qualified Opinion” of last year’s
□ Applicable √ Not applicable
IX. Implementation of profit distribution in reporting period
The profit distribution scheme for year of 2014 was deliberated and approved in the Shareholders General
Meeting of 2014 on April 25, 2015, calculating based on the Company’s total existing shares of 362,631,943
shares, and the Company distribute RMB 2.00 (including tax) dividend per ten shares to all shareholders in cash.
On May 16, 2015, Board of Directors issued Announcement on Implementation of the 2014 Equity Distribution
Plan (published on Securities Times, China Securities Journal, Hong Kong Commercial Daily and Juchao Website
http://www.cninfo.com.cn), the 2014 Annual Profit Distribution Plan was implemented, and dividend for social
public shareholders distributed to shareholders’ account on 22 May 2015 (A shares) and 26 May 2015 (B shares)
respectively.
Special explanation on cash dividend policy
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Satisfy regulations of General Meeting or requirement of Article
Y
of Association (Y/N):
Well-defined and clearly dividend standards and proportion
Y
(Y/N):
Completed relevant decision-making process and mechanism
Y
(Y/N):
Independent directors perform duties completely and play a
Y
proper role (Y/N):
Minority shareholders have opportunity to express opinions and
Y
demands totally and their legal rights are fully protected (Y/N):
Condition and procedures are compliance and transparent while
Not applicable
the cash bonus policy adjusted or changed (Y/N):
X. Profit distribution and capitalization of capital reserves in the Period
√ Applicable □ Not applicable
XI. In the report period, reception of research, communication and interview
Contents discussed and
Time Place Way Type Reception
material provided
Haitong Securities,
China Galaxy
Securities, Harvest
Fund, Guotai Junan
Securities, Founder
Knew the influence of
Securities, Century
medical reform policy to
Accord Pharm. Securities,
2015-04-24 Field research Institution the development of the
Bldg. Chonghe
industry. No material
Investment,
provided.
Dongguan Hongde
Investment,
Harvest Fund,
Guosen Securities,
Bosera Funds
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section V. Important Events
I. Corporate governance
The Company established and improved legal person governance structure in strict compliance with the
requirements of Company Law, Securities Law and Governance Principles of Listed Issuer. Currently, the
Company enjoys sound legal person governance structure, healthy governance system and standardized operation.
The Company has definite and balanced terms of reference in respect of its general meeting, board of directors,
board of supervisors and manager level which exercise voting right, decision-making right, supervision right and
execution right respectively under standardized operation.
The Company has prepared working procedures applicable for general meeting, board of directors and board of
supervisors, working system applicable for the strategy committee, nomination committee, risk internal control
and audit committee, remuneration and performance committee, general manager and secretary to the board, and
prepared governance system relating to information disclosure, connected transaction, fund raising, performance
of social responsibility, inside information and insider management, investor relation management, engagement of
CPA, prevention of occupying listed issuer’s capital by substantial shareholders and related parties. During the
reporting period, the Company made amendment to the Articles of Association, detailed methods for convening,
composition and working procedures for general meeting, so as to meet regulatory requirements and demands for
corporate governance.
Meanwhile, by adherence to its annual target, the Company made on-going improvement of internal control
system and the operation mechanism thereof in response to various market and environment changes based on
overall analysis and evaluation of risks. During the reporting period, the Company made overall identification and
evaluation of potential risks arising from internal and external environment changes, adjustment of business
pattern, additional business, and adjustment of internal responsibilities and duties. The Company upgraded and
supplemented 2015 annual risk database, pursuant to which, it amended and improved 2015 system procedure
(internal control) document system and internal control self-evaluation standards, to ensure applicability and
effectiveness of its management. Management of its subsidiaries was also improved through half-year internal
control self-evaluation and site inspection as far as the Company and its business segments concerned.
As a state-owned holding listed company, the Company also executed the relevant provisions on state-owned
assets management required by controlling shareholders and actual controllers. Details are set out below:
Information Relationship with the
Serial Type Basis for submitted Submitted cycle
submitted object listed company
1 Sinopharm Group Financial Needs of consolidated statement
First largest shareholder Regular
Co., Ltd. statement of largest shareholder
2 Management method of
China National
Assets state-owned property right
Pharmaceutical Actual controller Evalution transfer and equity investment Temporary
Report ect. management of China National
Group Corporation
Pharmaceutical Group Corp.
In September of 2007, the Company's board of directors and board of supervisors approved the "Bill on
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Implementing Staff Report of Insider Trading Information and Governance on Non-standard Special Information
Disclosure" which agreed that the Company implements enforcement of secrecy and staff report system for
insider trading information when conducting relevant provisions of the management of state-owned assets,
regularly submitting the financial statements to major shareholders and reporting to the major shareholder about
state-owned assets disposal.
II. Lawsuits of the Company
The Company has no significant lawsuits and arbitrations in reporting period
III. Question from media
No universal questioned by media in reporting period
IV. Bankruptcy reorganization
In reporting period, the Company has no bankruptcy reorganization occurred.
V. Transaction in assets
1. Assets acquisition
The Company had no assets acquisition in the Period.
2. Sales of assets
The Company did not sell assets in the Period
3. Business combination
The Company has 34 subsidiaries in consolidation scope till end of the Reporting Period in total
VI. Implementation and its influence of equity incentive
The company had not yet made the plan of equity incentive in the reporting.
VII. Insignificant related transactions
1. Related transaction with routine operations concerned
(1) The related transaction with routine operations concerned found more in the “X. Related parties and related transaction” in
“Section IX. Financial Report”;
(2) The related transactions are settled by cash and notes, disclosed on 22 March 2015, and disclosure on Juchao Website with Notice
No.: 2015-09;
(3) According to the “Routine Related Transaction for year of 2015” deliberated and approved by the Board dated 21 March 2015,
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China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
during the reporting period, sales of related parties representing 45.29% in total estimated for the whole year, procurement of related
parties takes 40.99% in total estimated for the whole year, loan interest expenditure of the related parties representing 4.31% in total
estimated for the whole year, the note buyer discount interest expenditure of related parties representing 11.25% in total estimated for
the whole year, income of housing leasing of related parties representing 51.84% in total estimated for the whole year, house
equipment leasing expenses of the related parties representing 48.11% in total estimated for the whole year, income from provide
service to related parties representing 41.98% in total estimated for the whole year and the expenditure from receiving service by
related parties representing 42.41% in total estimated for the whole year.
2. Related transaction incurred by purchase or sales of assets
No related transaction incurred by purchase or sales of assets in Period
3. Related transaction from jointly investment outside
No related transaction from jointly investment outside occurred in Period
4. Current related liabilities and debts
(1) No non-operating related credits and debts transaction
(2) The related credits and debts transaction with routine operation concerned found more in “X. Related Party and Related
Transactions” carried in the “Section IX . Financial Report”
5. Other significant related transactions
The company had no other significant related transactions in reporting period.
VIII. Non-business capital occupying by controlling shareholders and its related parties
No non-business capital occupied by controlling shareholders and its related parties in Period
IX. Significant contracts and its implementation
1. Trusteeship, contract and lease
(1) Trusteeship
Instruction of trusteeship
1. As subordinate companies of majority shareholder, Foshan Nanhai Medicine Co., Ltd. (“Nanhai Medicine”) and Guangdong Dong
Fang Uptodate & Special Medicines Co., Ltd. (“Dong Fang Uptodate & Special Medicines”) both operate pharmaceutical
distribution business within Guangdong, which partially overlaps with the pharmaceutical distribution business and geographical
location of the Company and constitutes peer competition. In July 2013, to solve the problem of peer competition, majority
shareholder entrusted Sinopharm Accord and Sinopharm Accord agreed to take over the management of the above two companies.
2. As a subordinate enterprise of the de facto controller, Guangdong South Pharmaceutical Foreign Trade Co., ltd. operates
20
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
pharmaceutical distribution business within Guangdong, which partially overlaps with the pharmaceutical distribution business and
geographical location of the Company and constitutes peer competition. In September 2013, to solve the problem of peer competition,
majority shareholder entrusted Sinopharm Accord and Sinopharm Accord agreed to take over the management of the above
company.
(2) Contract
The Company had no contract in the reporting period.
(3) Leasing
The Company had no leasing in the reporting period.
2. Guarantees
√ Applicable □ Not applicable
In ten thousand Yuan
External guarantee of the Company (Barring the guarantee for the controlling subsidiaries)
Related Guarante
Actual date of Complete
Name of the Announce e for
Guarantee happening (Date Actual Guarantee Guarantee implemen
Company ment related
limit of signing guarantee limit type term tation
guaranteed disclosure party
agreement) (Y/N)
date (Y/N)
Shenzhen Zhijun
General 2015.5.15-20
Medicine Trading 2015-03-21 30,000 2015-05-15 6,000 No Yes
guarantee 16.5.14
Co., Ltd.
Shenzhen Zhijun
General 2015.06.18-2
Medicine Trading 2015-03-21 25,000 2015-06-18 12,507.64 No Yes
guarantee 016.06.15
Co., Ltd.
Shenzhen Zhijun
General 2015.05.28-2
Medicine Trading 2015-03-21 20,000 2015-05-28 10,500 No Yes
guarantee 016.02.15
Co., Ltd.
Shenzhen Zhijun
General 2014.4.4-202
Medicine Trading 2013-08-20 20,000 2014-04-04 2,174.36 No Yes
guarantee 2.4.3
Co., Ltd.
Shenzhen Zhijun
General 2014.7.17-20
Medicine Trading 2014-03-22 40,000 2014-07-17 20 No Yes
guarantee 20.7.17
Co., Ltd.
Total actual occurred external
Total approving external
75,000 guarantee in report period 36,947.97
guarantee in report period (A1)
(A2)
Total approved external Total actual balance of
guarantee at the end of report 135,000 external guarantee at the end 31,202
period ( A3) of report period (A4)
Guarantee of the Company for the subsidiaries
Name of the Related Guarantee Actual date of Actual Guarantee Guarantee Complete Guarante
21
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Company Announce limit happening (Date guarantee limit type term implemen e for
guaranteed ment of signing tation or related
disclosure agreement) not party
date
Sinopharm
Holding General 2014.12.12-2
2014-08-16 5,000 2014-12-12 3,009.64 No Yes
Guangzhou Co., guarantee 015.10.31
Ltd.
Sinopharm
Holding General 2014.6.30-20
2014-03-22 10,000 2014-06-30 3,457.06 No Yes
Guangzhou Co., guarantee 15.6.29
Ltd.
Sinopharm
Holding General 2014.9.9-201
2014-08-16 40,000 2014-09-19 22,942.57 No Yes
Guangzhou Co., guarantee 5.9.18
Ltd.
Sinopharm
Holding General 2015.5.6-201
2015-03-21 35,000 2015-05-06 31,424.5 No Yes
Guangzhou Co., guarantee 6.5.6
Ltd.
Sinopharm
Holding General 2014.7.16-20
2014-03-22 35,000 2014-07-16 30,733.78 No Yes
Guangzhou Co., guarantee 15.7.15
Ltd.
Sinopharm
Holding General 2015.5.20-20
2015-03-21 35,000 2015-05-20 15,934.19 No Yes
Guangzhou Co., guarantee 16.5.20
Ltd.
Sinopharm
Holding General 2014.4.30-20
2014-03-22 30,000 2014-04-30 19,477.88 No Yes
Guangzhou Co., guarantee 15.4.30
Ltd.
Sinopharm
Holding General 2014.6.25-20
2014-03-22 40,000 2014-06-25 25,016.4 No Yes
Guangzhou Co., guarantee 15.6.8
Ltd.
Sinopharm
Holding General 2014.8.19-20
2014-03-22 10,000 2014-08-19 No Yes
Guangzhou Co., guarantee 15.8.18
Ltd.
Sinopharm
General 2014.12.09-2
Holding 2014-08-16 10,000 2014-12-09 No Yes
guarantee 015.12.08
Guangzhou Co.,
22
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Ltd.
Sinopharm
Holding General 2015.5.15-20
2015-04-24 121,600 2015-05-15 28,079.34 No Yes
Guangzhou Co., guarantee 16.5.14
Ltd.
Sinopharm
Holding General 2015.5.20-20
2015-03-21 3,500 2015-05-20 693.01 No Yes
Guangdong guarantee 16.5.20
Yuexing Co., Ltd.
Sinopharm
Holding General 2014.7.16-20
2014-03-22 5,000 2014-07-16 1,201.92 No Yes
Guangdong guarantee 15.7.15
Yuexing Co., Ltd.
Sinopharm
Holding General 2014.9.19-20
2014-03-22 5,000 2014-09-19 No Yes
Guangdong guarantee 15.9.18
Yuexing Co., Ltd.
Sinopharm
General 2014.7.16-20
Holding Foshan 2014-03-22 1,000 2014-07-16 No Yes
guarantee 15.7.15
Co., Ltd.
Sinopharm
General 2014.10.25-
Holding Guangxi 2014-03-22 6,000 2014-10-25 650 No Yes
guarantee 2015.10.25
Co., Ltd.
Sinopharm
General 2014.6.26-20
Holding Guangxi 2014-03-22 20,000 2014-06-26 10,517.24 No Yes
guarantee 15.6.26
Co., Ltd.
Sinopharm
General 2014.7.16-20
Holding Guangxi 2014-03-22 30,000 2014-07-16 16,965.9 No Yes
guarantee 15.7.15
Co., Ltd.
Sinopharm
General 2014.4.19-20
Holding Guangxi 2014-03-22 15,000 2014-04-19 11,218.85 No Yes
guarantee 15.4.18
Co., Ltd.
Sinopharm
General 2014.9.19-20
Holding Guangxi 2014-03-22 10,000 2014-09-19 No Yes
guarantee 15.9.18
Co., Ltd.
Sinopharm
General 2015.5.29-20
Holding Guangxi 2015-03-21 10,000 2015-05-29 1,925 No Yes
guarantee 16.5.29
Co., Ltd.
Sinopharm
General 2015.5.1-201
Holding Guangxi 2015-03-21 6,000 2015-05-12 5,548.78 No Yes
guarantee 5.12.29
Co., Ltd.
23
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Sinopharm
General 2014.7.16-20
Holding Jiangmen 2014-03-22 3,000 2014-07-16 1,743.71 No Yes
guarantee 15.7.15
Renren Co., Ltd.
Sinopharm
General 2014.11.6-20
Holding Liuzhou 2014-03-22 9,000 2014-11-06 7,565.36 No Yes
guarantee 15.7.15
Co., Ltd.
Sinopharm
General 2015.3.20-20
Holding Liuzhou 2015-03-21 5,000 2015-05-21 3,229.96 No Yes
guarantee 16.3.19
Co., Ltd.
Sinopharm
General 2014.9.9-201
Holding Liuzhou 2014-08-16 4,000 2014-09-09 3,234.63 No Yes
guarantee 5.9.8
Co., Ltd.
Sinopharm
General 2014.9.17-20
Holding Zhanjiang 2014-03-22 1,500 2014-09-17 1,460.09 No Yes
guarantee 15.7.15
Co., Ltd.
China National
Zhijun (Suzhou) General 2014.5.27-20
2014-03-22 5,000 2014-05-27 2,569.23 No Yes
Pharmaceutical guarantee 15.5.27
Co., Ltd.
China National
Zhijun (Suzhou) General 2014.7.16-20
2014-03-22 3,000 2014-07-16 2,927.9 No Yes
Pharmaceutical guarantee 15.7.15
Co., Ltd.
China National
Zhijun (Suzhou) General 2015.1.1-201
2014-08-16 2,000 2015-01-01 320.38 No Yes
Pharmaceutical guarantee 5.7.1
Co., Ltd.
China National
Zhijun (Suzhou) General 2015.1.4-201
2014-03-22 3,000 2015-01-04 441 No Yes
Pharmaceutical guarantee 5.10.24
Co., Ltd.
China National
Zhijun (Suzhou) General 2014.8.28-20
2014-03-22 6,000 2014-08-28 No Yes
Pharmaceutical guarantee 15.8.27
Co., Ltd.
Shenzhen Zhijun
General 2014.8.25-20
Pharmaceutical 2014-03-22 20,000 2014-08-25 2,281.56 No Yes
guarantee 15.8.25
Co., Ltd.
Shenzhen Zhijun
General 2014.7.16-20
Pharmaceutical 2014-03-22 5,000 2014-07-16 No Yes
guarantee 15.7.15
Co., Ltd.
24
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Shenzhen Zhijun
General 2014.10.8-20
Pharmaceutical 2014-03-22 2,000 2014-10-08 No Yes
guarantee 15.10.8
Co., Ltd.
Shenzhen Zhijun
General 2014.10.8-20
Medicine Trading 2014-03-22 1,000 2014-10-08 No Yes
guarantee 15.10.8
Co., Ltd.
Sinopharm
Holding Shenzhen General 2015.1.23-20
2014-03-22 500 2015-01-23 No Yes
Chinese Medicine guarantee 15.7.15
Co., Ltd.
Sinopharm
General 2014.10.27-2
Holding Shenzhen 2014-08-16 2,000 2014-10-27 1,948.17 No Yes
guarantee 015.10.27
Yanfeng Co., Ltd.
Sinopharm
General 2014.7.16-20
Holding Shenzhen 2014-03-22 7,000 2014-08-16 6,462.11 No Yes
guarantee 15.7.15
Yanfeng Co., Ltd.
Sinopharm
General 2015-.05.28-
Holding Shenzhen 2015-03-21 2,000 2015-05-28 1,600 No Yes
guarantee 2016.2.15
Yanfeng Co., Ltd.
Sinopharm
General 2015.5.15-20
Holding Shenzhen 2015-03-21 3,000 2015-05-15 379.55 No Yes
guarantee 16.5.14
Yanfeng Co., Ltd.
Sinopharm
Holding General 2014.7.16-20
2014-03-22 1,000 2014-07-16 784.46 No Yes
Shaoguang Co., guarantee 15.7.15
Ltd.
Sinopharm
General 2014.7.16-20
Holding Shenzhen 2014-03-22 1,000 2014-07-16 546.22 No Yes
guarantee 15.7.15
Medicine Co., Ltd.
Total amount of actual
Total amount of approving
occurred guarantee for
guarantee for subsidiaries in 221,100 452,625.37
subsidiaries in report period
report period (B1)
(B2)
Total balance of actual
Total amount of approved
guarantee for subsidiaries at
guarantee for subsidiaries at the 569,100 266,290.39
the end of reporting period
end of reporting period (B3)
(B4)
Guarantee of the subsidiaries for the subsidiaries
Related
Actual date of Complete Guarante
Name of the Announce
Guarantee happening (Date Actual Guarantee Guarantee implemen e for
Company ment
limit of signing guarantee limit type term tation or related
guaranteed disclosure
agreement) not party
date
Total amount of guarantee of the Company( total of three abovementioned guarantee)
Total amount of approving Total amount of actual
296,100 489,573.34
guarantee in report period occurred guarantee in report
25
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
(A1+B1+C1) period (A2+B2+C2)
Total amount of approved Total balance of actual
guarantee at the end of report 704,100 guarantee at the end of report 297,492.39
period (A3+B3+C3) period (A4+B4+C4)
The proportion of the total amount of actually guarantee in the
58.57%
net assets of the Company (that is A4+ B4+C4)
Including:
(1) Guarantee outside against the regulation
No guarantee outside against the regulation in Period
3. Other significant contract
The Company had no other significant contract in Period.
4. Other material transactions
The Company had no other material transactions in the reporting period.
X. Commitments made by the Company or shareholders holding above 5% shares of the
Company in reporting period or extending to reporting period
√ Applicable □ Not applicable
Commitment Commitment
Commitments Accepter Contents Implementation
time period
Share Merger
Reform
As a large pharmaceutical commercial
enterprise whose business involves
pharmaceutical wholesale and retail,
Sinopharm Holding may overlap with the
Company in geographical segmentation
during its future business development. To
avoid the potential peer competition brought
by such geographical overlap, Sinopharm
Commitments in Holding undertakes that, upon the transfer of
report of Sinopharm shares of Sinopharm Holding Guangzhou it Long-term Normally
2005-06-21
acquisition or Holding held to Accord Pharma, “1. it will not effective implement
equity change newly-establish or broaden within
Guangdong any business operation that
actually compete with that of Accord
Pharma, or set up any new subsidiaries or
subordinate enterprises who engage in such
business. 2. it will enter into business
delineation with Accord Pharma and
Sinopharm Holding Guangzhou, thereby
giving the three parties clear geographical
26
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
areas to carry out pharmaceutical wholesale
and retail businesses, so as to avoid potential
peer competition. Apart from above,
Sinopharm Holding will no longer
newly-establish any enterprise that may
compete with Accord Pharma in the
production and R&D of pharmaceutical
products.”
Commitments in
assets
reorganization
Sinopharm Holding has undertaken in the
Letter of Undertaking from Sinopharm
Group Co. Ltd. on Avoiding Peer
Competition that, “I. the Company and the
enterprises it wholly-owns, controls or has de
facto control over (excluding Sinopharm
Accord and its controlled enterprises,
similarly hereinafter) do not exist any
business or operation that would constitute
substantive peer competition with Sinopharm
Accord and its controlled enterprises. II. the
Controlling
Company and the enterprises it wholly-owns,
shareholder is
controls or has de facto control over will not
implement in
engage in, participate in or carry out in
real earnest,
Guangdong and Guangxi any business or
Commitments Sinopharm
activities that would constitute substantive
make in initial Sinopharm Long-term Accord will
competition with the pharmaceutical 2013-09-05
public offering or Holding effective actively urged
commercial businesses of Sinopharm
re-financing the controlling
Accord. III. the Company and the enterprises
shareholder and
it wholly-owns, controls or has de facto
actual controller
control over will not engage in, participate in
to fulfill
or carry out any business or activities that
commitments
would constitute substantive competition
with the pharmaceutical industrial businesses
of Sinopharm Accord. IV. the Company will
not make use of its control over Sinopharm
Accord to damage the legal interests of
Sinopharm Accord and other shareholders
(especially minority shareholders). The
Letter of Undertaking takes effect since the
date of issue and will remain effective during
the entire period when the Company has
been the controlling shareholder or
27
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
connected party of Sinopharm Accord.
During the validity of the Undertaking, the
Company will indemnify in time Sinopharm
Accord from any loss which may arise out of
the Company’s violation of the
Undertaking.”
Sinopharm Holding has undertaken in the
Letter of Undertaking from Sinopharm
Group Co. Ltd. on Standardization of the
Connected Transactions with China National
Accord Medicines Corporation Ltd. that, “I.
during the period when the Company takes
control over Sinopharm Accord, the
Company and the companies or enterprises it
directly or indirectly controls (hereinafter
referred to as “Connected Party”) will strictly
standardize the connected transactions with
Sinopharm Accord and its controlled
enterprises. II. for those connected
transactions beyond avoidance or out of Controlling
reasonable causes, the Company and shareholder is
Connected Party will enter into standardized implement in
connected transaction agreement with real earnest,
Sinopharm Accord according to law. Sinopharm
Sinopharm Sinopharm Accord will perform approval Long-term Accord will
2013-09-05
Holding procedure according to relevant laws, rules effective actively urged
and regulations, other standardization the controlling
documents and its constitutional documents, shareholder and
and fulfill its obligation to disclose actual controller
information on connected transactions. III. to fulfill
for those connected transactions beyond commitments
avoidance or out of reasonable causes, the
Company and Connected Party will
determine the prices of connected
transactions based on the prices of same or
similar transactions entered into by
independent third parties of no connection
while following the principles of open, fair
and just to ensure the fairness. IV. when the
board or shareholders’ meeting of Sinopharm
Accord votes on the relevant connected
transactions involving the Company and
other enterprises it controls, the Company
will perform obligations including that
28
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
necessary interested directors and
shareholders shall be abstained from voting
according to relevant regulations, and follow
the legal procedures for approval of
connected transactions and fulfill its
information disclosure obligation. V. the
Company guarantees to attend shareholders’
meeting according to the constitutional
documents of Sinopharm Accord, exercise its
corresponding rights and assumed its
corresponding obligations in an equitable
manner, not to take advantage of its standing
as controlling shareholder to seek unjust
interests, or to use connected transactions to
illegally transfer capital or profit out of
Sinopharm Accord, or to prejudice the legal
interests of Sinopharm Accord and other
shareholders (especially minority
shareholders). VI. the Letter of Undertaking
takes effect since the date of issue and will
remain effective during the entire period
when the Company has been the controlling
shareholder or connected party of Sinopharm
Accord. During the validity of the
Undertaking, the Company will indemnify in
time Sinopharm Accord from any loss that
may arise out of the Company’s violation of
the Undertaking.”
”Sinopharm Group has undertaken in the
Letter of Undertaking from China National
Controlling
Pharmaceutical Group Corporation on
shareholder is
Avoiding the Peer Competition with China
implement in
National Accord Medicines Corporation Ltd.
real earnest,
that, “I. in the coming five years, Sinopharm
Sinopharm
Group intends to take appropriate measures
Sinopharm Long-term Accord will
including replacement or acquisition of 2013-10-16
Group effective actively urged
assets or equity reorganization to solve the
the controlling
problem of peer competition between
shareholder and
Weiqida and Sinopharm Accord. II. apart
actual controller
from the matters disclosed in the past and in
to fulfill
the Letter of Undertaking, the Company and
commitments
the enterprises it wholly-owns, controls or
has de facto control over (excluding
29
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Sinopharm Accord and its controlled
enterprises, similarly hereinafter) do not
directly engage in, participate in or carry out
within the PRC any business or activities that
would constitute substantive competition
with the production and operation of
Sinopharm Accord. The relative
undertakings in respect of avoiding peer
competition given by the Company in the
past remain valid. III. the Company will
not take advantage of its control over
Sinopharm Accord to damage the legal
interests of Sinopharm Accord and other
shareholders (especially minority
shareholders). IV. the Letter of
Undertaking takes effect since the date of
issue and will remain effective during the
entire period when the Company has been
the de facto controller or connected party of
Sinopharm Accord.”
Sinopharm Group has undertaken in the
Letter of Undertaking from China National
Pharmaceutical Group Corporation on
Standardization of the Connected
Transactions with China National Accord
Medicines Corporation Ltd that, “I. during
the period when the Company takes control Controlling
over Sinopharm Accord, the Company and shareholder is
the companies or enterprises it directly or implement in
indirectly controls (hereinafter referred to as real earnest,
“Connected Party”) will strictly standardize Sinopharm
Sinopharm the connected transactions with Sinopharm Long-term Accord will
2013-09-22
Group Accord and its controlled enterprises. II. for effective actively urged
those connected transactions beyond the controlling
avoidance or out of reasonable causes, the shareholder and
Company and Connected Party will enter actual controller
into standardized connected transaction to fulfill
agreement with Sinopharm Accord commitments
according to law. Sinopharm Accord will
perform approval procedure according to
relevant laws, rules and regulations, other
standardization documents and its
constitutional documents, and fulfill its
obligation to disclose information on
30
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
connected transactions. III. for those
connected transactions beyond avoidance or
out of reasonable causes, the Company and
Connected Party will determine the prices of
connected transactions based on the prices of
same or similar transactions entered into by
independent third parties of no connection
while following the principles of open, fair
and just to ensure the fairness. IV. when the
board or shareholders’ meeting of Sinopharm
Accord votes on the relevant connected
transactions involving the Company and
other enterprises it controls, the Company
will perform obligations including that
necessary interested directors and
shareholders shall be abstained from voting
according to relevant regulations, and follow
the legal procedures for approval of
connected transactions and fulfill its
information disclosure obligation. V. the
Company guarantees not to take advantage
of its standing as actual controller to seek
unjust interests, or to use connected
transactions to illegally transfer capital or
profit out of Sinopharm Accord, or to
prejudice the legal interests of Sinopharm
Accord and other shareholders (especially
minority shareholders).”VI. the Letter of
Undertaking takes effect since the date of
issue and will remain effective during the
entire period when the Company has been
the actual controller or connected party of
Sinopharm Accord.
Other
commitments to
minority
shareholders of
the Company
Completed on
Y
time or not (Y/N)
XI. Appointment and non-reappointment (dismissal) of CPA
The semi-annual report of the Company has not been audit
31
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
XII. Penalty and rectification
The Company had no penalty or rectification in the reporting period.
XIII. Risk announcement of the violation of delisting
The Company has no violation of delisting risks in the Period
XIV. Explanation on other significant events
No explanation on other significant events for the Company in reporting period.
32
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section VI. Changes in Shares and Particulars about Shareholders
I.Changes in share capital
In share
Before the Changes Increase/Decrease in the Change (+, -) After the Changes
Public
Newly-
Proporti Bonus reserve-co Subtot Proportio
Amount issued Others Amount
on shares nverted al n
shares
shares
I. Restricted shares 74,484,531 20.54% 74,484,531 20.54%
2. State-owned legal
74,482,543 20.54% 74,482,543 20.54%
person’s shares
3. Other domestic
1,988 0.00% 1,988 0.00%
shareholding
Including: Domestic legal
1,988 0.00% 1,988 0.00%
person’s shares
II. Unrestricted shares 288,147,412 79.46% 288,147,412 79.46%
1. RMB ordinary shares 233,261,812 64.32% 233,261,812 64.32%
2. Domestically listed
54,885,600 15.14% 54,885,600 15.14%
foreign shares
III. Total shares 362,631,943 100.00% 362,631,943 100.00%
Reasons for share changed
□ Applicable √ Not applicable
Approval of share changed
□ Applicable √ Not applicable
Ownership transfer of share changed
□ Applicable √ Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to common
shareholders of Company in latest year and period
□ Applicable √ Not applicable
Other information necessary to disclose for the Company or need to disclosed under requirement from security regulators
□ Applicable √ Not applicable
Explanation on change of the shareholder’s structure and total shares, the structure of assets and balance of the Company
□ Applicable √ Not applicable
II. Number of shareholders and share-holding
In Share
Total common shareholders at Total preference shareholders
16,448 0
period-end with voting rights recovered at
33
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
end of reporting period (if
applicable) (see Note 8)
Particulars about shares held above 5% by common shareholders or top ten common shareholders
Number Number of share pledged/frozen
Amount
of
of Amount of
Proportion common Changes in
Nature of restricted un-restricte
Shareholders of shares shares reporting
shareholder common d common State of share Amount
held held at period
shares shares held
period-en
held
d
Sinopharm State-owned 184,942,2 74,482,54 110,459,74
51.00%
Group Co., Ltd. corporate 91 3 8
National
Domestic non
Council for
state-owned 2.12% 7,700,000 7,700,000
Social Security
corporate
Fund – 116
National
Domestic non
Council for
state-owned 2.01% 7,298,555 7,298,555
Social Security
corporate
Fund – 106
HTHK/CMG
FSGUFP-CMG
FIRST STATE Overseas corporate 1.94% 7,032,720 7,032,720
CHINA
GROWTH FD
BOC- Harvest Domestic non
Theme Selected state-owned 1.25% 4,524,288 4,524,288
Mix Stock Fund corporate
China Life
Insurance Co.,
Ltd. – tradition
Domestic non
–general
state-owned 1.24% 4,497,385 4,497,385
insurance
corporate
products
-005L-CT001
Shen
New China Life
Insurance Co.,
Domestic non
Ltd. – Bonus –
state-owned 1.16% 4,199,772 4,199,772
Individual
corporate
bonuses -
-018L-FH002
34
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Shen
Agricultural
Bank of China
Ltd. – Fullgoal Domestic non
Zhongzheng state-owned 1.10% 3,984,794 3,984,794
SOE Reform corporate
Index Grade
Securities Fund
VALUE
PARTNERS
Overseas corporate 1.02% 3,707,803 3,707,803
CLASSIC
FUND
Bank of China
Limited –
Harvest Domestic non
Advanced state-owned 0.93% 3,356,223 3,356,223
Manufacture corporate
Investment
Fund
BOC- Harvest Theme Selected Mix Stock Fund and Bank of China Limited – Harvest
Explanation on associated Advanced Manufacture Investment Fund shares the same administrator as Harvest Fund
relationship among the aforesaid Management Co., Ltd.; it is unknown that there exists associated relationship or belongs to the
shareholders consistent actionist among the other tradable shareholders regulated by the Management
Measure of Information Disclosure on Change of Shareholding for Listed Companies.
Particular about top ten common shareholders with un-restrict shares held
Amount of un-restrict common shares held at Type of shares
Shareholders
period-end Type Amount
RMB ordinary
Sinopharm Group Co., Ltd. 110,459,748 110,459,748
shares
National Council for Social Security RMB ordinary
7,700,000 7,700,000
Fund – 116 shares
National Council for Social Security RMB ordinary
7,298,555 7,298,555
Fund – 106 shares
HTHK/CMG FSGUFP-CMG Domestically
FIRST STATE CHINA GROWTH 7,032,720 listed foreign 7,032,720
FD shares
BOC- Harvest Theme Selected Mix RMB ordinary
4,524,288 4,524,288
Stock Fund shares
China Life Insurance Co., Ltd. – RMB ordinary
4,497,385 4,497,385
tradition –general insurance shares
35
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
products -005L-CT001 Shen
New China Life Insurance Co., Ltd.
RMB ordinary
– Bonus – Individual bonuses - 4,199,772 4,199,772
shares
-018L-FH002 Shen
Agricultural Bank of China Ltd. –
RMB ordinary
Fullgoal Zhongzheng SOE Reform 3,984,794 3,984,794
shares
Index Grade Securities Fund
Domestically
VALUE PARTNERS CLASSIC
3,707,803 listed foreign 3,707,803
FUND
shares
Bank of China Limited – Harvest
RMB ordinary
Advanced Manufacture Investment 3,356,223 3,356,223
shares
Fund
Expiation on associated relationship
BOC- Harvest Theme Selected Mix Stock Fund and Bank of China Limited – Harvest
or consistent actors within the top
Advanced Manufacture Investment Fund shares the same administrator as Harvest Fund
10 un-restrict common shareholders
Management Co., Ltd.; it is unknown that there exists associated relationship or belongs to the
and between top 10 un-restrict
consistent actionist among the other tradable shareholders regulated by the Management
common shareholders and top 10
Measure of Information Disclosure on Change of Shareholding for Listed Companies.
common shareholders
There are no buy-back agreement in reporting period between the top 10 common shareholders and the top 10 un-restricted common
shareholders
III. Changes of controlling shareholders or actual controller
Changes of controlling shareholders in reporting period
□ Applicable √ Not applicable
Changes of controlling shareholders had no change in reporting period.
Changes of actual controller in reporting period
□ Applicable √ Not applicable
Changes of actual controller in reporting period had no change in reporting period.
IV. Share holding increasing plan proposed or implemented in reporting period from
shareholder of the Company and its concerted action person
√ Applicable □ Not applicable
Disclosure date
Shareholders/ Number of Ratio of the Number of Ratio of the Initial disclosure
for the
person acting in overweight as overweight as overweight overweight date for
overweight plan
concert planned planned actually actually overweight plan
completed
Sinopharm Group
2015-07-11
Co., Ltd.
Other explanation
36
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
The Company published the announcement relating to stabilizing stock price of the Company (No.2015-23) on 11 July 2015, in
which, Sinopharm Group Co., Ltd (our controlling shareholder) undertook to increase shareholding of the Company with amount no
less than RMB20 million where the Company experienced substantial decrease of stock price, and undertook not to reduce
shareholding of the same within six months upon completion of such increase of shareholding.
37
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section VII. Preferred Stock
The Company has no preferred stock in reporting period
38
China National Accord Medicines Corporation Ltd. SEMI-ANNUAL REPORT 2015
Section VIII. Directors, Supervisors and Senior Executives
I. Changes of shares held by directors, supervisors and senior executives
Shares held by directors, supervisors and senior executives have no changes in reporting period, found more details in Annual Report
2014.
II. Resignation and dismissal of directors, supervisors and senior executives
Directors, supervisors and senior executives have no changes in reporting period, found more in Annual Report 2014.
39
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Section IX Financial Report
I.Report of the Auditors
Consolidated financial statements for the six months ended 30 June 2015 haven’t been audited.
II.Financial Statements
All amounts in Renminbi “RMB” unless otherwise stated.
1. Consolidated balance sheets
Preparation Unit: CHINA NATIONAL ACCORD MEDICINES CO., LTD.
30 June 2015
Unit: RMB
Item 30 June 2015 31 December 2014
Current assets
Cash at bank and on hand 1,161,871,173.03 867,562,115.54
Notes receivable 513,528,605.78 618,995,440.09
Accounts receivable 7,858,941,849.11 7,018,312,673.19
Advances to suppliers 107,416,097.51 96,043,154.40
Dividends receivable 35,190,000.00 0.00
Other receivables 40,817,703.37 28,574,927.90
Inventories 2,227,123,375.20 2,322,333,262.87
Other current assets 19,345,048.23 40,308,591.47
Total current assets 11,964,233,852.23 10,992,130,165.46
Non-current assets
Long-term equity investments 151,691,888.29 157,604,846.85
Investment properties 79,822,727.80 73,836,850.51
Fixed assets 711,040,468.46 745,557,829.35
Construction in progress 401,040,277.87 330,218,696.56
Intangible assets 141,209,184.60 144,383,753.87
Development costs 5,619,315.47 5,619,315.47
Goodwill 79,378,833.15 79,378,833.15
Long-term prepaid expenses 36,193,800.15 39,154,232.03
40
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Deferred income tax assets 82,146,152.88 85,146,479.50
Other non-current assets 160,279,989.56 175,910,538.15
Total non-current assets 1,848,422,638.23 1,836,811,375.44
TOTAL ASSETS 13,812,656,490.46 12,828,941,540.90
Current liabilities
Short-term borrowings 1,980,929,436.95 1,517,954,528.88
Notes payable 1,373,483,568.02 1,468,166,640.64
Accounts payable 4,341,666,286.09 3,988,878,234.03
Advances from customers 44,995,822.24 40,339,905.63
Employee benefits payable 109,332,233.24 171,958,142.88
Taxes payable 99,088,331.76 77,445,669.46
Interests payable 9,717,998.71 6,666,712.19
Other payables 372,225,973.50 412,347,201.51
Current portion of long-term borrowings 7,649,200.00 4,000,000.00
Total current liabilities 8,339,088,850.51 7,687,757,035.22
Non-current liabilities
Long-term borrowings 54,628,776.85 39,695,448.00
Long-term employee benefits
2,582,100.00 2,896,000.00
payable
Payables for specific projects 1,287,000.00 1,287,000.00
Deferred Income 167,418,485.85 176,366,201.15
Deferred income tax liabilities 23,454,624.92 24,297,076.57
Other non-current liabilities 45,427,343.31 45,427,343.31
Total non-current liabilities 294,798,330.93 289,969,069.03
Total liabilities 8,633,887,181.44 7,977,726,104.25
OWNERS’ EQUITY
Share capital 362,631,943.00 362,631,943.00
Capital surplus 1,863,894,533.34 1,863,894,533.34
Surplus reserve 181,315,971.50 181,315,971.50
Undistributed profits 2,671,558,237.98 2,356,765,374.25
Total equity attributable to equity holders of the Company 5,079,400,685.82 4,764,607,822.09
Minority interest 99,368,623.20 86,607,614.56
Total owners' equity 5,178,769,309.02 4,851,215,436.65
TOTAL LIABILITIES AND OWNERS’ EQUITY 13,812,656,490.46 12,828,941,540.90
41
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Legal Principal in charge Head of accounting
representative: 闫志刚 of accounting : 魏平孝 department: 周菲菲
2. Company balance sheets
Unit: RMB
Item 30 June 2015 31 December 2014
Current assets
Cash at bank and on hand 232,835,112.63 257,173,314.81
Notes receivable 48,985,487.44 47,389,669.59
Accounts receivable 561,068,339.16 513,791,982.48
Advances to suppliers 554,159.82 5,047,755.80
Interest receivable 1,858,738.27 1,890,165.10
Dividends receivable 35,190,000.00 0.00
Other receivables 1,348,979,769.50 1,111,423,809.76
Inventory 167,275,611.58 184,880,147.05
Other current assets 308,889.73 2,560,096.51
Total current assets 2,397,056,108.13 2,124,156,941.10
Non-current assets
Long-term equity investments 2,766,091,382.67 2,772,004,341.23
Investment properties 4,783,775.56 5,272,980.96
Fixed assets 17,097,985.55 17,175,509.65
Construction in progress 372,904,448.40 299,290,846.13
Intangible assets 36,137,443.18 36,923,545.12
Long-term prepaid expenses 5,128,145.16 5,681,186.10
Deferred income tax assets 2,860,992.26 2,800,803.02
Other non-current assets 46,273,400.39 68,103,087.93
Total non-current assets 3,251,277,573.17 3,207,252,300.14
TOTAL ASSETS 5,648,333,681.30 5,331,409,241.24
Current liabilities
Short-term borrowings 189,000,000.00 202,000,000.00
Notes payable 334,129,756.08 274,584,574.89
Accounts payable 325,216,434.35 314,477,971.19
Advances from customers 516,073.73 322,008.81
Employee benefits payable 14,064,062.51 20,339,767.52
42
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Taxes payable 11,696,128.98 13,695,533.72
Interests payable 438,062.59 86,831.07
Other payables 197,284,728.88 447,928,781.45
Total current liabilities 1,072,345,247.12 1,273,435,468.65
Non-current liabilities
Long-term borrowings 54,628,776.85 39,695,448.00
Long-term employee benefits
226,000.00 226,000.00
payable
Payables for specific projects 800,000.00 800,000.00
Deferred income 5,000,000.00 5,000,000.00
Deferred income tax liabilities 3,774,569.00 3,773,319.00
Total non-current liabilities 64,429,345.85 49,494,767.00
Total liabilities 1,136,774,592.97 1,322,930,235.65
OWNERS’ EQUITY
Share capital 362,631,943.00 362,631,943.00
Capital surplus 1,869,692,921.70 1,869,692,921.70
Surplus reserve 181,315,971.50 181,315,971.50
Undistributed profits 2,097,918,252.13 1,594,838,169.39
Total owners' equity 4,511,559,088.33 4,008,479,005.59
TOTAL LIABILITIES AND OWNERS’ EQUITY 5,648,333,681.30 5,331,409,241.24
3. Consolidated and company income statements
Unit: RMB
Item For the six months ended 30 June 2015 For the six months ended 30 June 2014
I.Sales 12,813,803,166.77 11,612,642,434.28
Including: Sales 12,813,803,166.77 11,612,642,434.28
II.Cost of Sales 12,359,627,721.82 11,219,447,997.45
Including: Cost of Sales 11,801,661,040.42 10,626,767,657.24
Taxes and surcharges 26,443,689.75 27,472,713.53
Selling and distribution expenses 262,074,106.01 271,149,210.54
Administration expenses 203,589,373.35 215,813,783.67
Financial expenses – net 58,639,672.40 70,931,725.10
Asset impairment losses 7,219,839.89 7,312,907.37
Add: Investment income 28,274,061.44 23,595,722.50
43
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Including: Share of profits of associates 28,274,061.44 23,595,722.50
III. Operating profit 482,449,506.39 416,790,159.33
Add: Non-operating income 12,982,289.46 28,336,065.33
Including: Gain on disposal of
10,297.36 500,989.54
non-current assets
Less: Non-operating expenses 440,680.38 1,207,497.35
Including: Loss on disposal of
225,404.59 64,238.16
non-current assets
IV. Total profit 494,991,115.47 443,918,727.31
Less: Income taxes expenses 95,348,854.50 86,331,296.75
V. Net profit 399,642,260.97 357,587,430.56
Attributable to equity holders of the
387,319,252.33 349,213,988.51
Company
Minority interest 12,323,008.64 8,373,442.05
VI. Other comprehensive income 0.00 0.00
VII. Total comprehensice income 399,642,260.97 357,587,430.56
Attributable to equity holders of the
387,319,252.33 349,213,988.51
Company
Minority interest 12,323,008.64 8,373,442.05
VIII. Earnings per share
(1) Basic earnings per share 1.068 1.073
(2) Diluted earnings per share 1.068 1.073
Legal Principal in charge Head of accounting
representative: 闫志刚 of accounting : 魏平孝 department: 周菲菲
4. Company income statements
Unit: RMB
Item For the six months ended 30 June 2015 For the six months ended 30 June 2014
I.Sales 1,409,915,735.50 1,344,533,386.96
Less: Cost of sales 1,350,096,101.89 1,290,912,374.30
Taxes and surcharges 2,742,214.76 3,819,156.69
Selling and distribution expenses 22,711,056.43 23,395,202.86
Administration expenses 22,137,614.50 23,650,902.47
Financial expenses – net -32,319,843.63 -30,937,200.09
Asset impairment losses 293,938.78 153,394.98
44
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Add: Investment income 542,787,180.98 480,544,087.23
Including: Share of profits of associates 28,274,061.44 23,595,722.50
II. Operating profit 587,041,833.75 514,083,642.98
Add: Non-operating income 97,780.77 705,252.60
Including: Gain on disposal of non-current
0.00 0.00
assets
Less: Non-operating expenses 0.02 0.08
Including: Loss on disposal of non-current
0.00 0.00
assets
III. Total profit 587,139,614.50 514,788,895.50
Less: Income taxes expenses 11,533,143.16 8,808,140.45
IV. Net profit 575,606,471.34 505,980,755.05
V. Other comprehensive income 0.00 0.00
VI. Total comprehensice income 575,606,471.34 505,980,755.05
VII. Earnings per share
(1)Basic earnings per share N/A N/A
(2)Diluted earnings per share N/A N/A
5. Consolidated and company cash flows statements
Unit: RMB
For the six months ended 30 June
Item For the six months ended 30 June 2014
2015
I. Cash flows from operating activities:
Cash received from sales of goods or
13,538,599,427.81 11,799,950,691.25
rendering of services
Refund of taxes and surcharges 1,412,100.00 6,571,540.44
Cash received relating to
40,061,810.25 53,448,437.56
other operating activities
Sub-total of cash inflows 13,580,073,338.06 11,859,970,669.25
Cash paid for goods and services 12,323,623,570.32 11,553,683,051.08
Cash paid to and on behalf of employees 346,227,791.38 304,214,026.96
Payments of taxes and surcharges 297,175,090.54 302,590,124.70
Cash paid relating to other
164,807,307.09 184,199,274.47
operating activities
Sub-total of cash outflows 13,131,833,759.33 12,344,686,477.21
Net cash flows from operating activities 448,239,578.73 -484,715,807.96
II. Cash flows from investing activities
45
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Net cash received from disposal of
fixed assets, intangible assets and 4,695,691.53 904,370.80
other long-term assets
Cash received from disposal of
subsidiaries and other business 0.00 3,598,827.09
units
Sub-total of cash inflows 4,695,691.53 4,503,197.89
Cash paid to acquire fixed assets,
intangible assets and other 84,244,511.59 123,288,911.49
long-term assets
Net cash paid to acquire subsidiaries
252,000.00 0.00
and other business units
Sub-total of cash outflows 84,496,511.59 123,288,911.49
Net cash flows from investing
-79,800,820.06 -118,785,713.60
activities
III. Cash flows from financing
activities
Cash received from investments 1,470,000.00 1,929,065,413.47
Including: Cash receivables for
dividends or profit to minority 1,470,000.00 0.00
shareholders of subsidiaries
Cash received from borrowings 99,576,626.12 177,215,892.08
Cash received relating to other
0.00 52,376,797.32
financing Activities
Sub-total of cash inflows 101,046,626.12 2,158,658,102.87
Cash repayments of borrowings 14,333,727.61 1,093,663,188.17
Cash payments for interest expenses
and distribution of dividends or 127,751,125.57 146,826,227.89
profits
Including: Cash payments for
dividends or profit to minority 1,032,000.00 1,098,000.00
shareholders of subsidiaries
Cash payments relating to other
24,066,161.02 3,235,784.18
financing activities
Sub-total of cash outflows 166,151,014.20 1,243,725,200.24
Net cash flows from financing
-65,104,388.08 914,932,902.63
activities
IV. Effect of foreign exchange rate 9,250.42 5,838.21
46
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
changes on cash
V. Net increase in cash 303,343,621.01 311,437,219.28
Add: Cash at beginning of period 854,212,006.84 1,097,948,354.45
VI. Cash at end of period 1,157,555,627.85 1,409,385,573.73
6. Company cash flows statements
Unit: RMB
Item For the six months ended 30 June 2015 For the six months ended 30 June 2014
I. Cash flows from operating
activities:
Cash received from sales of goods or
1,506,941,667.17 1,421,640,664.70
rendering of services
Cash received relating to other
6,475,294.32 12,486,044.81
operating activities
Sub-total of cash inflows 1,513,416,961.49 1,434,126,709.51
Cash paid for goods and services 1,463,172,714.22 1,439,943,602.26
Cash paid to and on behalf of
30,095,211.91 26,913,040.68
employees
Payments of taxes and surcharges 24,640,593.24 13,548,247.06
Cash paid relating to other
17,001,372.02 12,903,407.44
operating activities
Sub-total of cash outflows 1,534,909,891.39 1,493,308,297.44
Net cash flows from operating
-21,492,929.90 -59,181,587.93
activities
II. Cash flows from investing activities
Cash received from returns on
165,748,512.00 169,306,012.82
investments
Net cash received from disposal of
fixed assets, intangible assets 0.00 700.00
and other long-term assets
Cash received from disposal of
subsidiaries and other business 2,144,319,315.47 1,663,852,850.00
units
Sub-total of cash inflows 2,310,067,827.47 1,833,159,562.82
Cash paid to acquire fixed assets, 65,650,551.69 65,829,878.73
47
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
intangible assets and other
long-term assets
Net cash paid to acquire subsidiaries
252,000.00 1,518,000.00
and other business units
Cash paid relating to other investing
2,382,714,617.00 2,859,000,089.73
activities
Sub-total of cash outflows 2,448,617,168.69 2,926,347,968.46
Net cash flows from investing
-138,549,341.22 -1,093,188,405.64
activities
III. Cash flows from financing
activities
Cash received from investments 0.00 1,929,065,413.47
Cash received from borrowings 64,933,328.85 58,095,448.00
Cash received relating to other
183,994,821.13 258,472,602.86
Financing activities
Sub-total of cash inflows 248,928,149.98 2,245,633,464.33
Cash repayments of borrowings 10,000,000.00 925,000,000.00
Cash payments for interest expenses
and distribution of dividends or 79,224,081.04 85,892,357.94
profits
Cash payments relating to other
24,000,000.00 82,919,213.08
financing activities
Sub-total of cash outflows 113,224,081.04 1,093,811,571.02
Net cash flows from financing
135,704,068.94 1,151,821,893.31
activities
IV. Effect of foreign exchange rate
0.00 1,201.00
changes on cash
V. Net decrease in cash -24,338,202.18 -546,899.26
Add: Cash at beginning of period 257,173,314.81 218,342,947.03
VI. Cash at end of period 232,835,112.63 217,796,047.77
48
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
7. Consolidated statement of changes in owners’ equity
For the six months ended 30 June 2015
Unit: RMB
For the six months ended 30 June 2015
Item Attributable to the shareholders of the Company
Minority interest Total owners’ equity
Paid-in capital Capital surplus Surplus reserves Undistributed profits
1. Balance at 31 December 2014 362,631,943.00 1,863,894,533.34 181,315,971.50 2,356,765,374.25 86,607,614.56 4,851,215,436.65
2. Balance at 1 January 2015 362,631,943.00 1,863,894,533.34 181,315,971.50 2,356,765,374.25 86,607,614.56 4,851,215,436.65
3. Movements for this period 0.00 0.00 0.00 314,792,863.73 12,761,008.64 327,553,872.37
(1)Comprehensive income 0.00 0.00 0.00 387,319,252.33 12,323,008.64 399,642,260.97
(2)Capital contribution and
0.00 0.00 0.00 0.00 1,470,000.00 1,470,000.00
withdrawals by owners
Capital contribution by owners 0.00 0.00 0.00 0.00 1,470,000.00 1,470,000.00
(3)Profit distribution 0.00 0.00 0.00 -72,526,388.60 -1,032,000.00 -73,558,388.60
Profit distribution to shareholders (or
0.00 0.00 0.00 -72,526,388.60 -1,032,000.00 -73,558,388.60
equity owners)
4. Balance at 30 June 2015 362,631,943.00 1,863,894,533.34 181,315,971.50 2,671,558,237.98 99,368,623.20 5,178,769,309.02
49
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
For the year ended 31 December 2014
Unit: RMB
For the year ended 31 December 2014
Item Attributable to the shareholders of the Company
Minority interest Total owners’ equity
Paid-in capital Capital surplus Surplus reserves Undistributed profits
1. Balance at 31 December 2013 288,149,400.00 5,750,338.57 144,855,634.40 1,806,002,285.06 71,879,406.54 2,316,637,064.57
2. Balance at 1 January 2014 288,149,400.00 5,750,338.57 144,855,634.40 1,806,002,285.06 71,879,406.54 2,316,637,064.57
3. Movements for this period 74,482,543.00 1,858,144,194.77 36,460,337.10 550,763,089.19 14,728,208.02 2,534,578,372.08
(1)Comprehensive income 0.00 0.00 0.00 652,497,176.03 17,343,991.84 669,841,167.87
(2)Capital contribution and
74,482,543.00 1,858,144,194.77 0.00 0.00 3,210,000.00 1,935,836,737.77
withdrawals by owners
Capital contribution by owners 74,482,543.00 1,855,144,194.77 0.00 0.00 3,210,000.00 1,932,836,737.77
Others 0.00 3,000,000.00 0.00 0.00 0.00 3,000,000.00
(3)Profit distribution 0.00 0.00 36,460,337.10 -101,734,086.84 -5,825,783.82 -71,099,533.56
Appropriation to surplus reserves 0.00 0.00 36,460,337.10 -36,460,337.10 0.00 0.00
Profit distribution to shareholders (or
0.00 0.00 0.00 -65,273,749.74 -5,825,783.82 -71,099,533.56
equity owners)
4. Balance at 31 December 2014 362,631,943.00 1,863,894,533.34 181,315,971.50 2,356,765,374.25 86,607,614.56 4,851,215,436.65
50
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
8. Company statement of changes in owners’ equity
For the six months ended 30 June 2015
Unit: RMB
For the six months ended 30 June 2015
Items
Paid-in capital Capital surplus Surplus reserves Undistributed profits Total share holders’ equity
1. Balance at 31 December 2014 362,631,943.00 1,869,692,921.70 181,315,971.50 1,594,838,169.39 4,008,479,005.59
2. Balance at 1 January 2015 362,631,943.00 1,869,692,921.70 181,315,971.50 1,594,838,169.39 4,008,479,005.59
3. Movements for this period 0.00 0.00 0.00 503,080,082.74 503,080,082.74
(1)Comprehensive income 0.00 0.00 0.00 575,606,471.34 575,606,471.34
(2)Profit distribution 0.00 0.00 0.00 -72,526,388.60 -72,526,388.60
Profit distribution to shareholders
0.00 0.00 0.00 -72,526,388.60 -72,526,388.60
(or equity owners)
4. Balance at 30 June 2015 362,631,943.00 1,869,692,921.70 181,315,971.50 2,097,918,252.13 4,511,559,088.33
51
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
For the year ended 31 December 2014
Unit: RMB
For the year ended 31 December 2014
Item
Paid-in capital Capital surplus Surplus reserves Undistributed profits Total share holders’ equity
1. Balance at 31 December 2013 288,149,400.00 14,548,726.93 144,855,634.40 1,222,346,090.09 1,669,899,851.42
2. Balance at 1 January 2014 288,149,400.00 14,548,726.93 144,855,634.40 1,222,346,090.09 1,669,899,851.42
3. Movements for this period 74,482,543.00 1,855,144,194.77 36,460,337.10 372,492,079.30 2,338,579,154.17
(1)Comprehensive income 0.00 0.00 0.00 474,226,166.14 474,226,166.14
(2)Capital contribution and
74,482,543.00 1,855,144,194.77 0.00 0.00 1,929,626,737.77
withdrawals by owners
Capital contribution by owners 74,482,543.00 1,854,582,870.47 0.00 0.00 1,929,065,413.47
Others 0.00 561,324.30 0.00 0.00 561,324.30
(3)Profit distribution 0.00 0.00 36,460,337.10 -101,734,086.84 -65,273,749.74
Appropriation to surplus reserves 0.00 0.00 36,460,337.10 -36,460,337.10 0.00
Profit distribution to shareholders
0.00 0.00 -65,273,749.74 -65,273,749.74
(or equity owners)
4. Balance at 31 December 2014 362,631,943.00 1,869,692,921.70 181,315,971.50 1,594,838,169.39 4,008,479,005.59
52
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
III.Profile of company
China National Accord Medicines Co., Ltd. (hereinafter referred to as the “the Company”), formerly known
as Shenzhen Health Mineral Water Co., Ltd., was approved by the People’s Government of Shenzhen
with SFBF (1993) No.356 document to establish on 1 February 1993 through stock restructure as a
company limited by shares. In March 1993, with the approval from the Shenzhen Branch of the People’s
Bank of China, the Company issued 30 million A-shares (including 16.5 million public shares, 3.5 million
employee shares and 10 million corporation shares) and 20 million B-shares. After this issuance, the
Company’s share capital was RMB105 million. Through transfer of capital surplus to share capital and
bonus issues for years, the share capital of the Company increased to RMB362,631,900. up to 30 June
2015.
In November 2000, the Company entered into an Assets Exchange Agreement with Shenzhen Investment
Management Company, the original main shareholder of the Company, to exchange all the assets and
liabilities of the Company as of 31 August 2000 for Shenzhen Investment Management Company’s 100%
equity interests in 11 pharmaceutical companies and certain properties as well as 51% equity interests in
Shenzhen Tefa Modern Computer Co., Ltd. On December 29, 2000, the above assets exchange proposal
was approved by shareholder’s voting in the second extraordinary general meeting in 2000. The
transaction was completed on 8 January 2001.
On 18 February 2004, the Company’s original main shareholder, Shenzhen Investment Management
Company, entered into a Stock Transfer Agreement with Sinopharm Group Co., Ltd. (hereinafter referred
to as “Sinopharm Group”) to transfer its 43.33% shares in the Company to Sinopharm Group. The legal
procedures of the above equity transfer were completed on 9 December 2004. At the same time, as
approved by GZCQ (2004) No.525 document from the State-owned Assets Supervision and
Administration Commission of the State Council and ZJGSZ (2004) No.94 document from the China
Securities Regulatory Commission, the nature of these shares was transferred from state-owned stock to
state-owned legal entity stock and Sinopharm Group became the top shareholder of the Company.
On 14 April 2006, the Company’s proposal on reformation of segregated stocks was approved. To gain
liquidity for the restricted stocks of the Company, the holders of the restricted stocks of the Company
agreed to pay the following consideration: based on the stock registration as of 27 April 2006, the
Company issued bonus shares on 28 April 2006 at the ratio of 3 shares to every 10 A-shares to liquidated
A-share holders which went public on the same day. After this bonus issue, the total number of shares of
the Company remained unchanged with corresponding changes in the composition of share holdings.
In March 14, 2014, the company issued 74,482,543ordinary shares (A shares) through the non public
offering. Par value per share is RMB 1 yuan. The shares shall not be transferred within 36 months since
the issued day. As of 30 June, 2015, the total share capital was 362,631,943.
The approved scope of business of the Company and its subsidiaries (together “the Group”) includes
wholesale of traditional Chinese medicine preparations, bulk pharmaceutical drugs, chemical preparations,
bulk antibiotic drugs, antibiotic preparations, biochemical drugs, biological products (including vaccines
and in vitro diagnostic reagents), psychotropic drugs and preparations, narcotic drugs, toxic drugs for
medical use, protein assimilation preparation and peptide hormones; trade of dietary supplement;
research, development and consultation services of pharmaceutical packaging materials and
pharmaceutical industry products; industrial investment holding; domestic trade (other than special
licensing), sale of ambulances; trade of second-class and third- class medical equipments; project
investment; property management and lease of self-owned properties; pharmacovigilance and medical
information consulting; parking operation; logistics and related services; package agency business;
logistic design; operating various types of goods and import and export of technology (not attached
directory of import and export commodities), but excluded the import and export of goods and technology
53
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
the State limits or prohibit the company.
The Company is registered with Shenzhen Administration for Industry & Commerce. Its business license
number is 440301103040048 and the serial number of the license is N24657. The operation period of the
Company is from 2 August 1986 to 2 August 2036. The registered capital of the Company is RMB362,
631,900. The legal representative of the Company is Yan Zhigang.
These financial statements were authorised for issue by the board of directors of the Company on 18
August, 2015.
Subsidiaries consolidated in the financial statements are listed in Note IX.
New subsidiaries include Sinopharm Holding Guangzhou Medical Management Co., Ltd. (here after
referred as “Guangzhou Medical”) (Note VIII).
IV.Basis of preparation
1. Basis of preparation
The financial statements were prepared in accordance with the Basic Standard and specific standards of
the Accounting Standards for Business Enterprises issued by the Ministry of Finance on 15 February 2006
and those updated afterwards, and other relevant regulations issued thereafter (hereafter collectively
referred to as the “Accounting Standards for Business Enterprises” or “CAS”), and the disclosure
requirements in the Preparation Convention of Information Disclosure by Companies Offering Securities
to the Public No.15 – General Rules on Financial Reporting issued by the China Securities Regulatory
Commission.
2. Going concern
This financial statement is prepared on the basis of going concern.
V.Summary of significant accounting policies and accounting estimates
The group determines the specific accounting policies and accounting estimates according to the
production management characteristics, shown mainly on the bad debt provision withdrawing method for
account receivable, measurement of inventory, depreciation for PP&E and amortization for intangible
asset, judgement basis for capitalization of development expenditure, measurement model for investment
property, recognition timing of revenue.
1. Statement of compliance with the Accounting Standards for Business Enterprises
The financial statements of the Company for the period ended 30 June 2015 are in compliance with the
Accounting Standards for Business Enterprises, and truly and completely present the financial position of
the Group and the Company as of 30 June 2015 and the operating results, cash flows and other
54
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
information of the Group and the Company for the period then ended.
2. Accounting period
The Company’s accounting year starts on 1 January and ends on 31 December.
3. Functional currency
The functional currency is Renminbi (RMB).
4. Business combinations involving enterprises under common control and Business combinations
involving enterprises not under common control
(a) Business combinations involving enterprises under common control
The consideration paid and net assets obtained by the absorbing party in a business combination are
measured at the carrying amount. The difference between the carrying amount of the net assets obtained
from the combination and the carrying amount of the consideration paid for the combination is treated as an
adjustment to capital surplus (share premium). If the capital surplus (share premium) is not sufficient to
absorb the difference, the remaining balance is adjusted against retained earnings. Costs directly
attributable to the combination are included in profit or loss in the period in which they are incurred.
Transaction costs associated with the issue of equity or debt securities for the business combination are
included in the initially recognised amounts of the equity or debt securities.
(b) Business combinations involving enterprises not under common control
The cost of combination and identifiable net assets obtained by the acquirer in a business combination are
measured at fair value at the acquisition date. Where the cost of the combination exceeds the acquirer’s
interest in the fair value of the acquirer’s identifiable net assets, the difference is recognised as goodwill;
where the cost of combination is lower than the acquirer’s interest in the fair value of the acquirer’s
identifiable net assets, the difference is recognised in profit or loss for the current period. Costs directly
attributable to the combination are included in profit or loss in the period in which they are incurred.
Transaction costs associated with the issue of equity or debt securities for the business combination are
included in the initially recognised amounts of the equity or debt securities.
5. Preparation of consolidated financial statements
The consolidated financial statements comprise the financial statements of the Company and all of its
subsidiaries.
Subsidiaries are consolidated from the date on which the Group obtains control and are de-consolidated
from the date that such control ceases. For a subsidiary that is acquired in a business combination
involving enterprises under common control, it is included in the consolidated financial statements from
the date when it, together with the Company, comes under common control of the ultimate controlling party.
55
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
The portion of the net profits realised before the combination date is presented separately in the
consolidated income statement.
In preparing the consolidated financial statements, where the accounting policies and the accounting
periods of the Company and subsidiaries are inconsistent, the financial statements of the subsidiaries are
adjusted in accordance with the accounting policies and the accounting period of the Company. For
subsidiaries acquired from business combinations involving enterprises not under common control, the
individual financial statements of the subsidiaries are adjusted based on the fair value of the identifiable
net assets at the acquisition date.
All significant intra-group balances, transactions and unrealised profits are eliminated in the consolidated
financial statements. The portion of a subsidiary’s equity and the portion of a subsidiary’s net profits,
losses and comprehensive income for the period not attributable to the Company are recognised as
minority interests and presented separately in the consolidated financial statements within equity, net
profits and total comprehensive income respectively. Unrealised gain or loss from selling assets to
subsidiaries fully offsets the net income attributable to equity holders of the company. Unrealised gain or
loss from purchasing assets from subsidiaries offsets the net income attributable to equity holders of the
company and atrributable to the minority interest by the distribution proportion regarding the company and
the subsidiary Unrealised gain or loss from transaction between subsidiaries offsets the net income
attributable to equity holders of the company and atrributable to the minority interest by the distribution
proportion regarding the company and the selling side of the subsidiaries.
If different recognition perspectives for the same transaction arise within different accounting identities
setup, there is adjustment for the transaction from the Group’s perspective.
6. Cash and cash equivalent
Cash and cash equivalent comprise cash on hand, deposits that can be readily drawn on demand, and
short-term and highly liquid investments that are readily convertible to known amounts of cash and are
subject to an insignificant risk of changes in value.
7. Foreign currency translation
Foreign currency transactions are translated into RMB using the exchange rates prevailing at the dates of
the transactions.
At the balance sheet date, monetary items denominated in foreign currencies are translated into RMB
using the spot exchange rates on the balance sheet date. Exchange differences arising from these
translations are recognised in profit or loss for the current period, except for those attributable to foreign
currency borrowings that have been taken out specifically for the acquisition or construction of qualifying
assets, which are capitalised as part of the cost of those assets. Non-monetary items denominated in
foreign currencies that are measured at historical costs are translated at the balance sheet date using the
spot exchange rates at the date of the transactions. The effect of exchange rate changes on cash is
presented separately in the cash flow statement.
56
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
8. Financial Instruments
(a) Financial assets
(i) Classification of financial assets
Financial assets are classified into the following categories at initial recognition: financial assets at fair
value through profit or loss, receivables, available-for-sale financial assets and held-to-maturity
investments. The classification of financial assets depends on the Group’s intention and ability to hold the
financial assets. The Group currently holds the financial assets including receivables. Receivables,
including notes receivables, accounts receivable and other receivables, are non-derivative financial assets
with fixed or determinable payments that are not quoted in an active market.
(ii) Recognition and measurement
Financial assets are recognised at fair value on the balance sheet when the Group becomes a party to the
contractual provisions of the financial instrument. The transaction expenses are included in receivables’
original book value, which is measured at amortised cost using the effective interest method.
(iii) Impairment of financial assets
The Group assesses the carrying amounts of receivables other than those at fair value through profit or
loss at each balance sheet date. If there is objective evidence that a financial asset is impaired, an
impairment loss is provided for. The objective evidence are matters occur after the financial assets been
recognised, affect its estimated future cash flow and could be measured accuractly by the Group. When
an impairment loss on a financial asset carried at amortised cost has occurred, the amount of loss is
provided for at the difference between the asset’s carrying amount and the present value of its estimated
future cash flows (excluding future credit losses that have not been incurred). If there is objective evidence
that the value of the financial asset recovered and the recovery is related objectively to an event occurring
after the impairment was recognised, the previously recognised impairment loss is reversed and the
amount of reversal is recognised in profit or loss.
(iv) Derecognition of financial assets
A financial asset is derecognised when any of the below criteria is met: (i) the contractual rights to receive
the cash flows from the financial asset expire; (ii) the financial asset has been transferred and the Group
transfers substantially all the risks and rewards of ownership of the financial asset to the transferee; or (iii)
the financial asset has been transferred and the Group has not retained control of the financial asset,
although the Group neither transfers nor retains substantially all the risks and rewards of ownership of the
financial asset.
On derecognition of a financial asset, the difference between the carrying amount and the sum of the
consideration received and the cumulative changes in fair value that had been recognised directly in equity,
is recognised in profit or loss.
(b) Financial liabilities
Financial liabilities are classified into the following categories at initial recognition: financial liabilities at fair
57
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
value through profit or loss and other financial liabilities. The financial liabilities of the Group mainly
comprise other financial liabilities, including payables and borrowings
Payables, including notes payable, accounts payable and other payables, are recognised initially at fair
value and subsequently measured at amortised cost using the effective interest method.
Borrowings are recognised initially at fair value, net of transaction costs incurred, and subsequently
carried at amortised costs using the effective interest method.
Other financial liabilities with maturities no more than one year are classified as current liabilities. Other
financial liabilities with maturities over one year but are due within one year at the balance sheet date are
classified as the current portion of non-current liabilities. Others are classified as non-current liabilities.
A financial liability is derecognised or partly derecognised when the current obligation is discharged or
partly discharged. The difference between the carrying amount of the financial liability or the derecognised
part of the financial liability and the consideration paid is recognised in profit or loss.
9. Receivables
(1)Receivables with amounts that are individually significant and subject to separate assessment
for provision for bad debts
Receivables with amounts that are individually significant
are subject to assessment for impairment on the individual
basis. If there exists objective evidence that the Group will
The criterion for determing individually significant amounts not be able to collect the amount under the original terms, a
provision for impairment of that receivable is made.
The criterion for determing individually significant amounts
is that any individual amount is more than RMB5 million.
The amount of the present value of the future cash flows
The method of providing for bad debts for those individually
expected to be derived from the receivable below its
significant amounts
carrying amount.
(2)Receivables that are subject to provision for bad debts on the grouping basis
Grouping basis provision for bad debts
Receivables with amounts that are not individually
significant and those receivables that have been
individually assessed for impairment and have not been The ageing of receivables
found impaired are classified into certain groupings based
on their credit risk characteristics.
58
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Provisions for impairment of the receivables which have a similar risk level are analysed below:
Provision ratios used for accounts Provision ratios used for other
Aging
receivables receivables
Within 1 year (including 1 year ) 0.00% 0.00%
1 to 2 years 5.00% 5.00%
2 to 3 years 10.00% 10.00%
More than 3 years 20.00% 20.00%
(3)Receivables with amounts that are not individually significant but subject to separate
assessment for provision for bad debts
There exists objective evidence that the Group will not be
The reason for making separate assessment for provision
able to collect the amount under the original terms of the
for bad debts
receivable.
The provision for bad debts is determined based on the
amount of the present value of the future cash flows
The provision for bad debts
expected to be derived from the receivable below its
carrying amount.
10. Inventories
(a) Classification
Inventories include raw materials, work in progress, finished goods, delegate processing supplies and
turnover materials, and are measured at the lower of cost and net realisable value.
(b) Costing of inventories
Cost is determined on the weighted average method. The cost of finished goods and work in progress
comprises raw materials, direct labour and an allocation of systematically allocated overhead
expenditures incurred based on normal operating capacity.
(c) Basis for determining net realisable values of inventories and method for making provision for decline
in the value of inventories
Provisions for declines in the value of inventories are determined at the excess amount of the carrying
value of the inventories over their net realisable value. Net realisable value is determined based on the
estimated selling price in the ordinary course of business, less the estimated costs to completion and
estimated costs necessary to make the sale and related taxes.
(d) The Group adopts the perpetual inventory system.
(e) Amortisation methods of low value consumables and packaging materials
59
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Turnover materials include low value consumables and packaging materials, which are expensed when
issued.
11. Long-term equity investments
Long-term equity investments comprise the Company’s long-term equity investments in its subsidiaries
and the Group’s long-term equity investments in its associates.
Subsidiaries are the investees over which the Company is able to exercise control. Associates are the
investees that the Group has significant influence on their financial and operating policies.
Investments in subsidiaries are measured using the cost method in the Company’s financial statements,
and adjusted by using the equity method when preparing the consolidated financial statements. Interests
in associates are accounted for using the equity method.
(a) Determination of investment cost
For long-term equity investments acquired through a business combination: for long-term equity
investments acquired through a business combination involving enterprises under common control, the
investment cost shall be the absorbing party’s share of the carrying amount of owners’ equity of the party
being absorbed at the combination date; for long-term equity investment acquired through a business
combination involving enterprises not under common control, the investment cost shall be the combination
cost.
(b) Subsequent measurement and recognition of related profit and loss
For long-term equity investments accounted for using the cost method, they are measured at the initial
investment costs, and cash dividends or profit distribution declared by the investees are recognised as
investment income in profit or loss.
For long-term equity investments accounted for using the equity method, where the initial investment cost
of a long-term equity investment exceeds the Group’s share of the fair value of the investee’s identifiable
net assets at the acquisition date, the long-term equity investment is measured at the initial investment
cost; where the initial investment cost is less than the Group’s share of the fair value of the investee’s
identifiable net assets at the acquisition date, the difference is included in profit or loss and the cost of the
long-term equity investment is adjusted upwards accordingly.
For long-term equity investments accounted for using the equity method, the Group recognises the
investment income according to its share of net profit or loss of the investee. The Group discontinues
recognising its share of net losses of an investee after the carrying amount of the long-term equity
investment together with any long-term interests that, in substance, form part of the investor’s net
investment in the investee are reduced to zero. However, if the Group has obligations for additional losses
and the criteria with respect to recognition of provisions under the accounting standards on contingencies
are satisfied, the Group continues recognising the investment losses and the provisions. For changes in
60
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
owners’ equity of the investee other than those arising from its net profit or loss, other comprehensive
income, and profit distribution, the Group adjusts the book value of the investment and records capital
surplus accordingly. The carrying amount of the investment is reduced by the Group’s share of the profit
distribution or cash dividends declared by an investee. The unrealised profits or losses arising from the
intra-group transactions amongst the Group and its investees are eliminated in proportion to the Group’s
equity interest in the investees, and then based on which the investment gains or losses are recognised.
For the loss on the intra-group transaction amongst the Group and its investees attributable to asset
impairment, any unrealised loss is not eliminated.
(c) Basis for determing existence of control, jointly control or significant influence over investees
Control is the power to govern the financial and operating policies of the investee so as to obtain benefits
from its operating activities. In determining whether the Company is able to exercise control over the
investee, the effect of potential voting rights over the investee is considered, such as convertible debts and
warrants currently exercisable, etc.
Significant influence is the power to participate in the financial and operating policy decisions of the
investee, but is not control or joint control over those policies.
(d) Impairment of long-term equity investments
The carrying amount of long-term equity investments in subsidiaries and associates is reduced to the
recoverable amount when the recoverable amount is less than the carrying amount.
12. Investment properties
Investment properties, including land use rights that have already been leased out, buildings that are held
for the purpose of leasing, and buildings that are being constructed or developed for the purpose of
leasing in future, are measured initially at cost. Subsequent expenditures incurred in relation to an
investment property are included in the cost of the investment property when it is probable that the
associated economic benefits will flow to the Group and their costs can be reliably measured; otherwise,
the expenditures are recognised in profit or loss in the period in which they are incurred.
The Group adopts the cost model for subsequent measurement of investment properties. Buildings and
land use rights are depreciated or amortised to their estimated net residual values over their estimated
useful lives. The estimated useful lives, the estimated net residual values that are expressed as a
percentage of cost and the annual depreciation (amortisation) rates of investment properties are as
follows:
Annual depreciation (amortisation)
Estimated useful lives Estimated residual value
rates
Buildings 20-35 years 5% 2.71% to 4.75%
Land use rights 30-50 years 0% 2.00% to 3.33%
61
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
When an investment property is transferred to owner-occupied properties, it is reclassified as fixed asset
or intangible asset at the date of the transfer. When an owner-occupied property is transferred out for
earning rentals or for capital appreciation, the fixed asset or intangible asset is reclassified as investment
properties at its carrying amount at the date of the transfer.
The investment property’s estimated useful life, net residual value and depreciation (amortisation) method
applied are reviewed and adjusted as appropriate at each year-end.
An investment property is derecognised on disposal or when the investment property is permanently
withdrawn from use and no future economic benefits are expected from its disposal. The net amount of
proceeds from sale, transfer, retirement or damage of an investment property after its carrying amount and
related taxes and expenses is recognised in profit or loss for the current period.
The carrying amount of an investment property is reduced to the recoverable amount if the recoverable
amount is below the carrying amount .
13. Fixed assets
(1)Conditions
Recoginition and initial measurement of fixed assets
Fixed assets comprise buildings, machinery and equipment, motor vehicles, other equipment and
leasehold improvements.
Fixed assets are recognised when it is probable that the related economic benefits will flow to the Group
and the costs can be reliably measured. Fixed assets purchased or constructed by the Group are initially
measured at cost at the acquisition date. The fixed assets contributed by the State shareholders at the
reorganisation of the Company into a corporation entity are recognised based on the revaluated amounts
approved by the state-owned assets administration department.
Subsequent expenditures incurred for a fixed asset are included in the cost of the fixed asset when it is
probable that the associated economic benefits will flow to the Group and the related cost can be reliably
measured. The carrying amount of the replaced part is derecognised. All the other subsequent
expenditures are recognised in profit or loss in the period in which they are incurred.
(2)Depreciation methods
Estimated residual Annual
Depreciation methods Estimated useful lives
value depreciation rates
Buildings straight-line method 20-35 years 5% 2.71% to 4.75%
Machinery and
straight-line method 5-14 years 5% 6.79% to 19%
equipment
62
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Motor vehicles straight-line method 5-10 years 5% 9.50% to 19.00%
Other equipment straight-line method 3-10 years 5% 9.50% to 31.67%
Leasehold
straight-line method Within 5 years 0% Above 20.00%
improvements
14. Construction in progress
Construction in progress is measured at actual cost. Actual cost comprises construction costs, installation
costs, borrowing costs that are eligible for capitalisation and other costs necessary to bring the fixed
assets ready for their intended use. Construction in progress is transferred to fixed assets when the assets
are ready for their intended use, and depreciation begins from the following month. The carrying amount of
construction in progress is reduced to the recoverable amount when the recoverable amount is less than
the carrying amount.
15. Borrowing costs
The borrowing costs that are directly attributable to the acquisition and construction of a fixed asset that
needs a substantially long period of time for its intended use commence to be capitalised and recorded as
part of the cost of the asset when expenditures for the asset and borrowing costs have been incurred, and
the activities relating to the acquisition and construction that are necessary to prepare the asset for its
intended use have commenced. The capitalisation of borrowing costs ceases when the asset under
acquisition or construction becomes ready for its intended use and the borrowing costs incurred thereafter
are recognised in profit or loss for the current period. Capitalisation of borrowing costs is suspended
during periods in which the acquisition or construction of a fixed asset is interrupted abnormally and the
interruption lasts for more than 3 months, until the acquisition or construction is resumed.
For the specific borrowings obtained for the acquisition or construction of a fixed asset qualifying for
capitalisation, the amount of borrowing costs eligible for capitalisation is determined by deducting any
interest income earned from depositing the unused specific borrowings in the banks or any investment
income arising on the temporary investment of those borrowings during the capitalisation period.
For the general borrowings obtained for the acquisition or construction of a fixed asset qualifying for
capitalisation, the amount of borrowing costs eligible for capitalisation is determined by applying the
weighted average effective interest rate of general borrowings, to the weighted average of the excess
amount of cumulative expenditures on the asset over the amount of specific borrowings. The effective
interest rate is the rate at which the estimated future cash flows during the period of expected duration of
the borrowings or applicable shorter period are discounted to the initial amount of the borrowings.
16. Intangible assets
(1)Valuation method.Useful life.Impairment test
Intangible assets include land use rights, computer softwares, technology patents,trademarks and
63
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
distribution network, which initially recognised at cost. Intangible assets contributed by state-owned
shareholders during the company reorganisation were recorded based on the valuation amount approved
by the state-owned assets supervision and management department.
(a) Land use rights
A land use right granted by government with a infinite useful life would not be amortised. Other land use
rights are amortised on the straight-line basis over their approved useful period. If the acquisition costs of
land use rights and the buildings located thereon cannot be reliably allocated between the land use rights
and the buildings, all of the acquisition costs are recognised as fixed assets.
(b) Computer softwares
Computer softwares purchased by the Group are initially measured at cost, which are amortised on the
straight-line basis over their approved useful period of 3 to 5 years.
(c) Trademarks and Technology Patents
Trademarks are amortised on the straight-line basis over their effective periods as stipulated by law of 5 to
10 years. Technology Patents are amortised on the straight-line basis over their effective useful period of 5
years.
(d) Distribution network
Distribution network includes customer relationships and distribution channels, which is amortised on the
straight-line basis over its approved useful live of 20 years.
(e) Periodical review of useful life and amortisation method
For an intangible asset with a finite useful life, review of its useful life and amortisation method is
performed at each year-end, with adjustment made as appropriate.
For an intangible asset without a definite useful life, review of its useful life are performed at each
year-end.
(2)Internal research and development
(a) Research and development
The expenditure on an internal research and development project is classified into expenditure on the
research phase and expenditure on the development phase based on its nature and whether there is
material uncertainty that the research and development activities can form an intangible asset at end of
the project.
Expenditure for investigation, evaluation and selection of production process researches is recognised in
profit or loss in the period in which it is incurred. Expenditure on the designation, measurement of the final
utilization of the production process before mass production, is capitalised only if all of the following
conditions are satisfied:
64
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
development of the production process has been fully demonstrated by the technical team;
management has approved the budget of drug production development;
market research analysis suggests that the products produced by the new production technology are
able to be promoted;
adequate technical, financial and other resources to complete the development and the ability to use or
sell the intangible asset; and
the expenditure attributable to the intangible asset during its development phase can be reliably
measured.
Other development expenditures that do not meet the conditions above are recognised in profit or loss in
the period in which they are incurred. Development costs previously recognised as expenses are not
recognised as an asset in a subsequent period. Capitalised expenditure on the development phase is
presented as development costs in the balance sheet and transferred to intangible assets at the date that
the asset is ready for its intended use.
17. Impairment of long-term assets
Fixed assets, construction in progress, intangible assets with finite useful lives, long-term prepaid
expenses and investment properties measured using the cost model and long-term equity investments in
subsidiaries, joint ventures and associates are tested for impairment if there is any indication that an asset
may be impaired at the balance date. If the result of the impairment test indicates that the recoverable
amount of the asset is less than its carrying amount, a provision for impairment and an impairment loss are
recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The
recoverable amount is the higher of an asset’s fair value less costs to sell and the present value of the
future cash flows expected to be derived from the asset. Provision for asset impairment is determined and
recognised on the individual asset basis. If it is not possible to estimate the recoverable amount of an
individual asset, the recoverable amount of a group of assets to which the asset belongs is determined. A
group of assets is the smallest group of assets that is able to generate independent cash inflows.
Goodwill that is separately presented in the financial statements，intangible assets with infinite useful lives
and capitalized development expenditures are tested at least annually for impairment, irrespective of
whether there is any indication that it may be impaired. In conducting the test, the carrying value of
goodwill is allocated to the related asset groups or groups of asset groups which are expected to benefit
from the synergies of the business combination. If the result of the test indicates that the recoverable
amount of an asset group or group of asset groups, including the goodwill allocated, is lower than its
carrying amount, the corresponding impairment loss is recognised. The impairment loss is first deducted
from the carrying amount of goodwill that is allocated to the asset group or group of asset groups, and then
deducted from the carrying amounts of other assets within the asset groups or groups of asset groups in
proportion to the carrying amounts of other assets.
Once the above asset impairment loss is recognised, it will not be reversed for the value recovered in the
subsequent periods.
65
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
18. Long-term prepaid expenses
Long-term prepaid expenses include the expenditure for improvements to fixed assets under operating
leases, and other expenditures that have been made but should be recgonised as expenses over more
than one year in the current and subsequent periods. Long-term prepaid expenses are amortised on the
straight-line basis over the expected beneficial period and are presented at actual expenditure net of
accumulated amortisation.
19. Employee benefit
(1)Short-term employee benefits
Short-term employee benefits include wages or salaries, bonus, allowances and subsidies, staff welfare,
medical insurance, work injury insurance, maternity insurance, housing funds, and union running costs
and employee education costs. The employee benefits are recognised in the accounting period in which
the service has been rendered by the employees, and as costs of assets or expenses to whichever the
employee service is attributable.
(2)Post-employment benefits
The Company classifies post-employment benefit plans into either defined contribution plans and defined
benefit plans. Defined contribution plans are post-employment benefit plans under which the Company
pays fixed contributions into a separate fund and will have no obligation to pay further contributions; and
defined benefit plans are post-employment benefit plans other than defined contribution plans. During the
reporting period, the Company's post-employment benefits mainly include basic pensions, unemployment
insurance and enterprise annuity, both of which belong to the defined contribution plans.
Basic pensions
The Company’s employees participate in the defined basic pension insurance plan set up and
administered by local labour and social protection authorities. Basic pensions are provided monthly
according to stipulated bases and proportions to local labour and social security institutions. When
employees retire, local labour and social security institutions have a duty to pay the basic pension
insurance to them. The amounts payable are recognised as liabilities based on the above provisions in the
accounting period in which the service has been rendered by the employees, and as costs of assets or
expenses to whichever the employee service is attributable.
(3)Termination benefits
The group recognizes the debt and the gain or loss, when offering compensation for terminating the labor
contract before the due date, or encouraging the staff to resign voluntarily, at the earlier date when the
group cannot unilaterally withdraw the labor relation plan or recognize the cost relating to recombinant
involving the payment of termination benefits.
66
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Retirement benefits
The group provides retirement benefits to employees who accept the internal retirement arrangements.
Retirement benefits refer to the salary and social security contributions provided to those staff who
voluntarily quit the job with approval from the management team, before the retirement age. The group
offers retirement benefits from the date when the arrangement begins, to the date when the staff reaches
the retirement age. The group accounts the retirement benefits referring to the accounting treatment for
the termination benefits. Liability including salary and social security contributions is recognized when
conditions of termination benefits recognition meet, regarding to the period from the staff leaves the
position to the normal retirement date. Difference arising from the changes in actuarial assumptions for
retirement benefits and adjustments in welfare standard, will be accounted in the current profits and
losses.
Retirement benefits that are expected to be paid within one year from the balance sheet date is disclosed
as current liability.
20. Provisions
Provisions for product warranties, onerous contracts etc. are recognised when the Group has a present
obligation, it is probable that an outflow of economic benefits will be required to settle the obligation, and
the amount of the obligation can be measured reliably.
A provision is initially measured at the best estimate of the expenditure required to settle the related
present obligation. Factors surrounding a contingency, such as the risks, uncertainties and the time value
of money, are taken into account as a whole in reaching the best estimate of a provision. Where the effect
of the time value of money is material, the best estimate is determined by discounting the related future
cash outflows. The increase in the discounted amount of the provision arising from passage of time is
recognised as interest expense.
The carrying amount of provisions is reviewed at each balance sheet date and adjusted to reflect the
current best estimate.
21. Revenue
The amount of revenue is determined in accordance with the fair value of the consideration received or
receivable for the sale of goods and services in the ordinary course of the Group’s activities. Revenue is
shown net of discounts and returns.
Revenue can be recognized on condition that the transaction-related economic interest is expected to be
satisfied, the amount is able to reliably measured, and the following recognition conditions are met:
(a) Sale of goods
Revenue from the sale of goods is recognised when significant risks and rewards of ownership of the
67
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
goods are transferred to the buyer, the Company retains neither continuing managerial involvement to the
degree usually associated with ownership nor effective control over the goods sold, and it is probable that
the economic benefit associated with the transaction will flow to the Company and the relevant revenue
and costs can be measured reliably.
(b) Rendering of services
The Group provides freight，storage and other service to external parties. The freights are recognised as
revenue right after the goods are transported to the place of delivery according to contracts or agreements,
received and confirmed by the purchasers. Other revenue is determined in accordance with the amount
provided in the service period stipulated in the contract.
(c) Transfer of asset use rights
Interest income is determined by using the effective interest method, based on the length of time for which
the Group’s cash is used by others.
Income from an operating lease is recognised on a straight-line basis over the period of the lease.
(d) Customer Loyalty Programme
The group offers loyalty points programmes where points earned through the purchase of goods can only
be redeemed for goods provided by Shenzhen Zhijun Pharmaceutical Co., Ltd. or other free goods. The
fair value of the consideration received or receivable in respect of the initial sale is allocated between the
award credits and the other components of the sale. Fair value of award points is measured on the basis
of the value of the awards (that is, goods or services) for which they could be redeemed, the fair value of
the award credits should take account of expected forfeitures as well as the discounts or incentives that
would otherwise be offered to customers who have not earned award credits from an initial sale.
22. Government grants
(1)Judging basis and accounting treatments of Related to assets Government grants
Government grants are transfers of monetary or non-monetary assets from the government to the Group
at nil consideration, including refund of taxes and financial subsidies, etc.
A government grant is recognised when the conditions attached to it can be complied with and the
government grant can be received. For a government grant in the form of transfer of monetary assets, the
grant is measured at the amount received or receivable. For a government grant in the form of transfer of
non-monetary assets, it is measured at fair value; if the fair value is not reliably determinable; the grant is
measured at nominal amount.
A government grant related to an asset is grant received aimed to create long-term asset by contructing or
other methods. And government grant related to income is any grant other than government grant related
to an asset.
68
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
A government grant related to an asset is recognised as deferred income, and evenly amortised to profit or
loss over the useful life of the related asset. Government grants measured at nominal amounts are
recognised immediately in profit or loss for the current period.
(2)Judging basis and accounting treatments of Government grants related to income
For government grants related to income, where the grant is a compensation for related expenses or
losses to be incurred by the Group in the subsequent periods, the grant is recognised as deferred income,
and included in profit or loss over the periods in which the related costs are recognised; where the grant is
a compensation for related expenses or losses already incurred by the Group, the grant is recognised
immediately in profit or loss for the current period.
23. Deferred tax assets and deferred tax liabilities
Deferred tax assets and deferred tax liabilities are calculated and recognised based on the differences
arising between the tax bases of assets and liabilities and their carrying amounts (temporary differences).
Deferred tax asset is recognised for the deductible losses that can be carried forward to subsequent years
for deduction of the taxable profit in accordance with the tax laws. No deferred tax liability is recognised for
a temporary difference arising from the initial recognition of goodwill. No deferred tax asset or deferred tax
liability is recognised for the temporary differences resulting from the initial recognition of assets or
liabilities due to a transaction other than a business combination, which affects neither accounting profit
nor taxable profit (or deductible loss). At the balance sheet date, deferred tax assets and deferred tax
liabilities are measured at the tax rates that are expected to apply to the period when the asset is realised
or the liability is settled.
Deferred tax assets are only recognised for deductible temporary differences, deductible losses and tax
credits to the extent that it is probable that taxable profit will be available in the future against which the
deductible temporary differences, deductible losses and tax credits can be utilised.
Deferred tax assets and liabilities are offset when:
- The deferred taxes are related to the same tax payer within the Group and the same taxation authority;
and,
- That tax payer has a legally enforceable right to offset current tax assets against current tax liabilities.
Deferred tax liabilities are recognised for temporary differences arising from investments in subsidiaries
and associates, except where the Group is able to control the timing of the reversal of the temporary
difference, and it is probable that the temporary difference will not reverse in the foreseeable future. When
it is probable that the temporary differences arising from investments in subsidiaries and associates will be
reversed in the foreseeable future and that the taxable profit will be available in the future against which
the temporary differences can be utilised, the corresponding deferred tax assets are recognised.
69
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
24. Operating leases
Lease payments under an operating lease are recognised on a straight-line basis over the period of the
lease, and are either capitalised as part of the cost of related assets or charged as an expense for the
current period.
25. Other significant accounting policies and accounting estimates
(a) Governmental medical reserve funds and specially approved reserving materials
Appointed by the PRC Government, China National Pharmaceutical Group Corporation (“CNPGC") is
responsible for purchasing, allocating and providing the governmental medical reserves, which include the
medical products, traditional Chinese medicine and medical appliances for nation-wide emergency rescue
and disaster relief. Appointed by the Government of Guangxi Province, Sinopharm Medicine Holding
Guangxi Co., Ltd. (“Sinopharm Guangxi”), a subsidiary of the Company, is responsible for purchasing,
allocating and providing the medical reserves, which include the medical products needed for common
disease and emergencies triggered by major disasters, epidemics and other situations in Guangxi
Province. In accordance with the regulation of CNPGC, as being the enterprise who bears the obligation
for specially approved medical reserving materials, the medical reserve funds received from the PRC
Government or local government are recognised in other Non-current liabilities. The Group reserves the
specially approved medical reserving materials according to the reserve program (by category and by
quantity), applies dynamic management and recognises in other non-current assets.
(b) Dividend distribution
Cash dividends distribution is recognised as a liability in the period in which it is approved by the annual
shareholders’ meeting.
(c) Segment information
The Group identifies operating segments based on the internal organisation structure, management
requirements and internal reporting system, and discloses segment information of reportable segments
which is determined on the basis of operating segments.
An operating segment is a component of the Group that satisfies all of the following conditions: (1) the
component is able to earn revenues and incur expenses from its ordinary activities; (2) whose operating
results are regularly reviewed by the Group’s management to make decisions about resources to be
allocated to the segment and to assess its performance, and (3) for which the information on financial
position, operating results and cash flows is available to the Group. If two or more operating segments
have similar economic characteristics and satisfy certain conditions, they are aggregated into one single
operating segment.
(d) Critical accounting estimates
The Group continually evaluates the critical accounting estimates and key judgments applied based on
70
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
historical experience and other factors, including expectations of future events that are believed to be
reasonable.
Critical accounting estimates and key assumptions
The critical accounting estimates and key assumptions that have a significant risk of causing a material
adjustment to the carrying amounts of assets and liabilities within the next accounting year are outlined
below:
(i) Accounting estimates on impairment of goodwill
The Group tests annually whether goodwill has suffered any impairment. The recoverable amount of asset
groups and groups of asset groups is the present value of the future cash flows expected to be derived
from them. These calculations require use of estimates.
If management revises the gross margin that is used in the calculation of the future cash flows of asset
groups and groups of asset groups, and the revised gross margin is lower than the one currently used, the
Group would need to recognise further impairment against goodwill and fixed assets.
If management revises the pre-tax discount rate applied to the discounted cash flows, and the revised
pre-tax discount rate is higher than the one currently applied, the Group would need to recognise further
impairment against goodwill and fixed assets.
If the actual gross margin/pre-tax discount rate is higher/lower than management’s estimates, the
impairment loss of goodwill previously provided for is not allowed to be reversed by the Group.
(ii) Accounting estimates on impairment of accounts receivable
In accordance with the Group’s accounting policy, the Group’s management tests annually whether
receivables have suffered any impairment, Impairment of receivables has been assessed by taking into
account the customers’ credit history and financial position together with the current market conditions.
Even if the Group’s management has made bad debt provision for the expected loss at its best estimate,
there is a possibility that changes in customers’ financial position or market conditions will alter the result.
(iii) Accounting estimates on impairment of inventories
In accordance with the Group’s accounting policy, the Group’s management estimates the net realizable
value of the inventory. Net realisable value is determined based on the estimated selling price in the
ordinary course of business, less the estimated costs to completion and estimated costs necessary to
make the sale and related taxes. Even if the Group’s management has made stock provision for the
expected impairment at its best estimate, there is a possibility that changes in market conditions will alter
the result.
71
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
VI.Taxation
1. The types and rates of taxes
Type Taxable base Tax rate
Value added tax (“VAT”) Taxable value added amount (Tax
payable is calculated using the taxable
sales amount multiplied by the effective 0%.3%.6%.11%.13% or 17%
tax rate less deductible VAT input of
current period)
Business tax Rental income, interest income and
5%
etc.
City maintenance and construction tax VAT and business tax 7%
Enterprise income tax (“EIT”) Taxable income 10%.15%.25%
The enterprises of different corporate income tax rate are disclosured as below:
Name of Companies Income Tax Rate
Sinopharm Medicine Holding Zhijun(Shenzhen) Pingshan
15%
Pharmaceutical Co., Ltd.
Shenzhen Zhijun Pharmaceutical Co., Ltd. 15%
Sinopharm Medicine Holding Guangxi Co., Ltd. 15%
Sinopharm Holding Guangxi Logistics Co., Ltd. 15%
Sinopharm Holding Wuzhou Co., Ltd. 15%
Sinopharm Beihai 15%
Sinopharm Holding Yulin Co., Ltd. 15%
Sinopharm Holding Guangzhou Medical Management Co., Ltd 10%
2. Tax preferences
In 2012, the subsidiary Sinopharm Medicine Holding Zhijun(Shenzhen) Pingshan Pharmaceutical Co.,
Ltd.(“Zhijun(Shenzhen) Pingshan”) obtained the certificate of High and New Technology Enterprises with
effective period of 3 years, 2012 to 2014. As relevant preferential tax treatment has expires on December
31, 2014, Zhijun(Shenzhen) Pingshan has been renewing the certificate. Assuming there is no change on
relevant laws and regulations, we consider Zhijun(Shenzhen) Pingshan still can got the certificate with
effective period of 3 years, 2015 to 2017. Hence, Zhijun(Shenzhen) Pingshan uses the income tax rate of
15% for the six months ended 30 June 2015.
In 2014, the subsidiary Shenzhen Zhijun Pharmaceutical Co., Ltd. (“Zhijun Medicine”) obtained the
certificate of High and New Technology Enterprises with effective period of 3 years, 2014 to 2016.
72
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Under the relevant regulations of article 28 of the Corporate Income Tax Law, the applicable tax rates for
Zhijun Medicine and Zhijun(Shenzhen) Pingshan in year 2015 are 15% (2014: 15%).
In 2014, the subdidiary Sinopharm Guangxi Logistics Co., Ltd (“Guangxi Logistics”) got the approval from
local tax bureau of Guangxi Province, and was entitled with a Western Development preferential tax rate
of 15% from 1 January 2014 to 31 December 2020. In 2015, the subdidiary Sinopharm Holding Guangxi,
Sinopharm Holding Beihai Co., Ltd(“Sinopharm Holding Beihai”), Sinopharm Holding Yulin Co.,
Ltd(“Sinopharm Holding Yulin”), Sinopharm Holding Wuzhou Co., Ltd(“Sinopharm Holding Wuzhou”) got
the aforementioned approval as well. Hence, they were entitled with a preferential tax rate of 15% from 1
January 2014 to 31 December 2020, from 28 February 2014 to 31 December 2020, from 1 January 2015
to 31 December 2020 and from 1 January 2015 to 31 December 2020, respectively.
In 2015, Guangzhou Medical, which was the ou established lately this year as a subsidiary of Sinopharm
Holding Guangzhou, was treated as a small low-profit enterprise, and was entitled with a low income tax
rate, which was 10%.
VII.Notes to the consolidated financial statements
1. Cash at bank and on hand
Unit:RMB
Items 30 June 2015 31 December 2014
Cash on hand 77,018.59 41,627.16
Cash at bank 1,157,478,609.26 854,170,379.68
Other cash balances 4,315,545.18 13,350,108.70
Total 1,161,871,173.03 867,562,115.54
At 30 June 2015, other cash balances include deposits for bank acceptance notes and depostis for letter
of credit.
2.Notes receivable
(1)Types of notes receivable
Unit:RMB
Items 30 June 2015 31 December 2014
Bank acceptance notes 277,058,160.24 260,984,531.31
Trade acceptance notes 236,470,445.54 358,010,908.78
Total 513,528,605.78 618,995,440.09
73
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
(2)As at the end of this period, pledged notes receivable
Unit:RMB
Items The pledged notes receivables at the end of this period
Bank acceptance notes 4,929,266.00
Total 4,929,266.00
(3)As at the end of this period, the endorsed or the discounted undue notes receivables of the
group
Unit:RMB
Recognition terminated at the end of Recognition not terminated at the end of
Items
this period this period
Bank acceptance notes 818,527,470.71 0.00
Trade acceptance notes 0.00 134,570,639.59
Total 818,527,470.71 134,570,639.59
3. Accounts receivable
(1)The accounts receivable and related provision for bad debts
Unit:RMB
30 June 2015 31 December 2014
Carrying amount Bad debt provision Carrying amount Bad debt provision
Net
Types
amount % of amount % of total Net book amount % of total amount % of total
book
total balance value balance balance
value
balance
individually
significant are
38,112,28 16,137, 21,974,6 27,306, 17,714,7 9,592,0
subject to separate 0.48% 42.34% 0.39% 64.87%
9.40 611.94 77.46 785.00 27.50 57.50
impairment
assessment
receivable accounts 7,001,1 7,000,7
7,791,68 98.84 1,934,0 7,789,75 368,802.
within similar credit 0.02% 30,510. 99.40% 0.01% 61,707.
6,980.69 % 32.23 2,948.46 84
risk group 38 54
individually not
significant but
53,439,5 6,225,3 47,214,2 14,714, 6,756,00 7,958,9
individually 0.68% 11.65% 0.21% 45.91%
43.36 20.17 23.19 908.91 0.76 08.15
evaluated for
impairment
74
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
7,043,1 7,018,3
7,883,23 100.00 24,296, 7,858,94 24,839,5
Total 0.31% 52,204. 100.00% 0.35% 12,673.
8,813.45 % 964.34 1,849.11 31.10
29 19
As at the end of this period, impairment provision for accounts receivable individually significant are analysed:
Unit:RMB
Accounts receivable(by 30 June 2015
currency unit) Accounts receivable Bad debt provision Rate Assessment for impairment
Guangdong Liyuan Disputed receivable with
Pharmaceutical Co., 14,517,375.00 14,517,375.00 100.00% higher risk of recoverability
Ltd which has filed a lawsuit
Qinzhou Second High uncertainty in
11,793,056.40 589,652.82 5.00%
People's Hospital recoverability
Affiliated hospital of
High uncertainty in
Youjiang medical 6,539,414.40 326,970.72 5.00%
recoverability
college for Nationalities
Tibet Naqukanghui
High uncertainty in
Pharmaceutical Co., 5,262,443.60 703,613.40 13.37%
recoverability
Ltd
Total 38,112,289.40 16,137,611.94 -- --
Provisions for impairment of the receivables which have a similar risk level:
Unit:RMB
30 June 2015
Aging
Accounts receivable Bad debt provision Rate
Within 1 year 7,754,118,802.17 0.00 0.00%
1 to 2 years 36,482,005.89 1,824,100.31 5.00%
2 to 3 years 1,073,026.03 107,302.60 10.00%
Over 3 years 13,146.60 2,629.32 20.00%
Total 7,791,686,980.69 1,934,032.23 0.02%
(2)Recovered or reversed bad debt amount, and Bad debt provision in this period
Bad debt provision in this year is RMB2,086,948.76. Recovered or reversed bad debt amount adds up to
RMB2,629,515.52.
Important recovered or reversed bad debt items are listed below:
Unit:RMB
75
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Name of company Recovered or reversed amount Way of recovery
Tibet Naqukanghui Pharmaceutical
2,493,739.10 Amount received
Co., Ltd
Zengcheng Zhengguo Institute of
13,526.22 Amount received
health
Conghua City, Jiang Po Street
60,843.00 Amount received
Community Health Service Center
Total 2,568,108.32 --
(3)As at 30 June 2015, the top five accounts receivable by customer are summariesd as below:
As at 30 June 2015, the top five accounts receivable by customer are summariesd as below:
Bad debt provision
Amount % of the total accounts receivable
amount
Total amount of the top five
593,390,063.69 450.00 7.53%
accounts receivables
(4)Analysis of account receivables that are terminated recognition due to financial asset transfer:
By 30 June 2015, accounts receivable of RMB70,499,859.45 has been factored to financial institute(2014
semi-annual: RMB912,614,815.13). The corresponding loss is RMB1,673,457.26 (2014 semi-annual:
RMB15,939,629.04).
4. Advances to suppliers
(1)The aging of advances to suppliers is analysed below:
Unit:RMB
30 June 2015 31 December 2014
Aging
amount % of total balance amount % of total balance
Within 1 year 107,181,913.91 99.78% 95,744,012.90 99.69%
1 to 2 years 54,628.60 0.05% 66,286.50 0.07%
2 to 3 years 200.00 0.00% 213,144.00 0.22%
Above 3 years 179,355.00 0.17% 19,711.00 0.02%
Total 107,416,097.51 -- 96,043,154.40 --
(2)The top five advances to suppliers by customer are summarized
As at 30 June 2015, the top five advances to suppliers by customer are summarized as below:
Amount Proportion of total balance
76
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Total amount of top five advances to 44,975,556.30 41.87%
suppliers
5. Dividends receivable
Unit:RMB
Projects(or investees) 30 June 2015 31 December 2014
Shenzhen Wanle Medical Co.,
35,190,000.00 0.00
Ltd.(“Wanle Medical”)
Total 35,190,000.00 0.00
6. Other receivables
(1)Other receivables and related provision for bad debts by category:
Unit:RMB
30 June 2015 31 December 2014
Carrying amount Bad debt provision Carrying amount Bad debt provision
Types Net book Net book
% of total % of total
value value
amount amount amount rate amount amount amount rate
Individually
significant are
8,980,0 8,980,00 100.00 8,980,0 8,980,00
subject to separate 17.28% 0.00 22.23% 100.00% 0.00
00.00 0.00 % 00.00 0.00
impairment
assessment
Receivable accounts
38,092, 290,150. 37,802,2 25,447, 219,614. 25,227,573.
within similar credit 73.29% 0.76% 63.01% 0.86%
414.75 82 63.93 187.91 23 68
risk group
Individually not
significant but
4,899,4 1,884,03 3,015,43 5,959,9 2,612,55 3,347,354.2
individually 9.43% 38.45% 14.76% 43.84%
78.95 9.51 9.44 05.13 0.91 2
evaluated for
impairment
51,971, 11,154,1 40,817,7 40,387, 11,812,1 28,574,927.
Total 100.00% 21.46% 100.00% 29.25%
893.70 90.33 03.37 093.04 65.14 90
As at 30 June 2015, impairment provision for other receivables individually significant:
Unit:RMB
30 June 2015
Other receivables(by company)
Other receivables Bad debt provision Rate Assessment for
77
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
impairment
Shenzhen Yinghai Technology Uncertainty in
8,980,000.00 8,980,000.00 100.00%
Investment Co., Ltd. recoverability
Total 8,980,000.00 8,980,000.00 -- --
Provisions for impairment of the receivables which have a similar risk group:
Unit:RMB
30 June 2015
Aging
Other receivables Bad debt provision Rate
Within 1 year 35,276,001.51 0.00 0.00%
1 to 2 years 1,572,662.01 78,633.10 5.00%
2 to 3 years 372,325.35 37,232.54 10.00%
Over 3 years 871,425.88 174,285.18 20.00%
Total 38,092,414.75 290,150.82 0.00%
(2)Bad debt provision of Other receivables, Important recovered or reversed items this period
Bad debt provision of Other receivables this period is RMB94,528.23with the recovered or reversed
amount to be RMB201,854.32.
(3)Other receivables written off for the six months ended 30 June,2015
Other receivables written off for the six months ended 30 June, 2015 is RMB550,648.72.
(4)Other receivables by nature are analysed below:
Unit:RMB
Nature 30 June 2015 31 December 2014
Deposit 15,778,888.88 11,871,118.11
Petty cash advance to employees 9,539,942.63 6,131,979.57
Receivable of equity transaction 8,980,000.00 8,980,000.00
Receivable due from related party 1,596,860.68 1,899,766.89
Others 16,076,201.51 11,504,228.47
Total 51,971,893.70 40,387,093.04
(5)The top 5 parties that owe the largest amounts of other receivable balances
Unit:RMB
78
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Company Name Nature Balance Aging % of total amount Provision of bad debt
Shenzhen Yinghai Technology Receivable of equity
8,980,000.00 Over 5 years 17.28% 8,980,000.00
Investment Co., Ltd. transaction
Guangzhou people's Court of
Yuexiu District ,Guangzhou, Litigation deposit 5,388,080.00 Within 1 year 10.37% 0.00
Guangdong Province
Guangxi Autonomous Region
Collective housing repair
Housing Reformed System 1,911,494.23 Over 5 years 3.68% 0.00
funds
Finance Department
Sinopharm Group Medicine
deposit 1,215,000.00 1 to 2 years 2.34% 0.00
Logistic Co.,Ltd.
Shenzhen pharmaceutical
health care products import and Operational transactions 1,157,860.00 Over 5 years 2.23% 1,157,860.00
Export Co.,Ltd.
Total -- 18,652,434.23 -- 35.90% 10,137,860.00
7. Inventories
(1)Inventories by category
Unit:RMB
30 June 2015 31 December 2014
Items
Book value Provision Net book value Book value Provision Net book value
Raw materials 118,658,121.30 3,602,497.94 115,055,623.36 144,596,922.64 3,596,085.79 141,000,836.85
Work in
22,510,603.41 4,239,079.92 18,271,523.49 25,031,852.48 6,537,971.20 18,493,881.28
progress
Finished goods 2,108,855,510.54 17,210,005.22 2,091,645,505.32 2,174,537,205.97 14,519,470.94 2,160,017,735.03
Consigned
processing 881,565.64 0.00 881,565.64 1,288,334.79 0.00 1,288,334.79
materials
Low cost
1,476,730.37 207,572.98 1,269,157.39 1,551,729.58 19,254.66 1,532,474.92
consumables
Total 2,252,382,531.26 25,259,156.06 2,227,123,375.20 2,347,006,045.46 24,672,782.59 2,322,333,262.87
(2)Provision for declines in value of inventories
Unit:RMB
31 December Current period increase Current period decrease
Items 30 June 2015
2014 Increases Others Reversal or written off Others
79
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
Raw materials 3,596,085.79 1,695,665.90 0.00 1,689,253.75 0.00 3,602,497.94
Work in progress 6,537,971.20 0.00 0.00 2,298,891.28 0.00 4,239,079.92
Finished goods 14,519,470.94 9,397,728.09 0.00 6,707,193.81 0.00 17,210,005.22
Low cost
19,254.66 188,318.32 0.00 0.00 0.00 207,572.98
consumables
Total 24,672,782.59 11,281,712.31 0.00 10,695,338.84 0.00 25,259,156.06
8. Other Current Asset
Unit:RMB
Items 30 June 2015 31 December 2014
Corporate income tax to be deducted 7,289,470.37 808,216.55
VAT to be deducted 12,055,577.86 39,475,078.08
Other 0.00 25,296.84
Total 19,345,048.23 40,308,591.47
9. Long-term equity investments
Unit:RMB
Increases/(Decreases)
31 December Provision
Investees Additional Share of Dividend Provision of 30 June 2015
2014 ending
investment profit or loss declared impairment
balance
Associates
Shenzhen Wanle
157,604,846.85 0.00 28,160,061.44 35,190,000.00 0.00 150,574,908.29 0.00
Medical Co., Ltd.
Sinopharm
HoldingZhuhai 0.00 1,002,980.00 114,000.00 0.00 0.00 1,116,980.00 0.00
Co., Ltd.
Sub total 157,604,846.85 1,002,980.00 28,274,061.44 35,190,000.00 0.00 151,691,888.29 0.00
Total 157,604,846.85 1,002,980.00 28,274,061.44 35,190,000.00 0.00 151,691,888.29 0.00
80
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
10. Investment Properties
Unit:RMB
Items Buildings Land use rights Total
I.Cost
1.31 December 2014 148,033,589.95 21,829,816.24 169,863,406.19
2. Increase in Current period 11,626,330.36 0.00 11,626,330.36
Transferred from fixed assets 11,626,330.36 0.00 11,626,330.36
3. Decrease in Current period 3,155,759.25 825,876.78 3,981,636.03
Other outflow 3,155,759.25 825,876.78 3,981,636.03
4.30 June 2015 156,504,161.06 21,003,939.46 177,508,100.52
II.Accumulated depreciation/ amortisation
1.31 December 2014 91,404,525.86 3,322,029.82 94,726,555.68
2. Increase in Current period 4,339,222.38 285,776.83 4,624,999.21
Provision or depreciation 3,611,236.42 285,776.83 3,897,013.25
Transferred from fixed assets 727,985.96 0.00 727,985.96
3. Decrease in Current period 2,685,594.38 280,587.79 2,966,182.17
Other outflow 2,685,594.38 280,587.79 2,966,182.17
4.30 June 2015 93,058,153.86 3,327,218.86 96,385,372.72
III.Provision for impairment loss
1.31 December 2014 1,300,000.00 0.00 1,300,000.00
2. Increase in Current period 0.00 0.00 0.00
3.Decrease in Current period 0.00 0.00 0.00
4.30 June 2015 1,300,000.00 0.00 1,300,000.00
IV.Net book value
1.30 June 2015 Net book value 62,146,007.20 17,676,720.60 79,822,727.80
2.31 December 2014 Net book value 55,329,064.09 18,507,786.42 73,836,850.51
In 2015 semi annual, the amount of depreciation and amortization were RMB3,897,013.25 (2014 semi
annual:RMB2,752,681.18).
In 2015 semi annual, the Group changed the use of buildings with a carrying amount of
RMB10,898,344.40 (Cost: RMB11,626,330.36, accumulated depreciation:RMB727,985.96) The relative
fixed assets and intangible assets were respectively transferred into investment properties at the date of
change in use.
81
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
In 2015 semi annual, the Group changed the use of buildings with a carrying amount of RMB1,015,453.86
(Cost: RMB3,981,636.03, accumulated depreciation:RMB2,966,182.17) The relative investment
properties were transferred into fixed assets and intangible assets respectively for self use at the date of
change.
11. Fixed Assets
(1)Fixed Assets
Unit:RMB
Machinery and Leasehold
Items Buildings Motor vehicles Other Total
equipment improvements
I.Cost:
1.31 December
542,206,947.63 490,373,556.86 56,105,467.78 207,135,443.61 30,798,145.75 1,326,619,561.63
2014
2. Current period
4,855,073.81 6,435,426.09 957,198.38 3,110,411.11 8,051,071.93 23,409,181.32
other additions
(1)purchase 1,699,314.56 3,483,394.68 957,198.38 2,675,411.11 1,362,064.66 10,177,383.39
(2)Transfer from
Construction in 0.00 2,952,031.41 0.00 435,000.00 6,689,007.27 10,076,038.68
Progress
(3)Increase in
0.00 0.00 0.00 0.00 0.00 0.00
Enterprise merger
(4) Transfer to
investment 3,155,759.25 0.00 0.00 0.00 0.00 3,155,759.25
properties
3. Current period
11,626,330.36 1,011,077.61 1,044,076.00 536,404.25 2,441,552.96 16,659,441.18
disposals
(1)Disposal or
0.00 1,011,077.61 1,044,076.00 536,404.25 2,441,552.96 5,033,110.82
dumping
(2)Transfer to
investment 11,626,330.36 0.00 0.00 0.00 0.00 11,626,330.36
properties
4.30 June 2015 535,435,691.08 495,797,905.34 56,018,590.16 209,709,450.47 36,407,664.72 1,333,369,301.77
II. Accumulated
depreciation
1.31 December
142,633,804.31 235,009,650.93 33,060,080.55 128,375,890.50 18,665,819.09 557,745,245.38
2014
2. Current period 11,420,762.50 19,918,999.90 2,671,525.52 10,490,631.85 2,232,082.95 46,734,002.72
82
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
other additions
(1)Provision 8,735,168.12 19,918,999.90 2,671,525.52 10,490,631.85 2,232,082.95 44,048,408.34
(2) Transfer to
investment 2,685,594.38 0.00 0.00 0.00 0.00 2,685,594.38
properties
3. Current period
727,985.96 956,352.11 848,899.47 512,032.25 2,382,281.75 5,427,551.54
disposals
(1)Disposal or
0.00 956,352.11 848,899.47 512,032.25 2,382,281.75 4,699,565.58
dumping
(2)Transfer to
investment 727,985.96 0.00 0.00 0.00 0.00 727,985.96
properties
4.30 June 2015 153,326,580.85 253,972,298.72 34,882,706.60 138,354,490.10 18,515,620.29 599,051,696.56
III. Provision for
diminution in value
1.31 December
2,449,969.17 20,855,885.66 0.00 2,873.43 7,758.64 23,316,486.90
2014
2. Current period
0.00 0.00 0.00 0.00 0.00 0.00
other additions
3. Current period
0.00 39,350.15 0.00 0.00 0.00 39,350.15
disposals
Disposal or
0.00 39,350.15 0.00 0.00 0.00 39,350.15
dumping
4.30 June 2015 2,449,969.17 20,816,535.51 0.00 2,873.43 7,758.64 23,277,136.75
IV. Net book value
1.30 June 2015
379,659,141.06 221,009,071.11 21,135,883.56 71,352,086.94 17,884,285.79 711,040,468.46
Net book value
2.31 December
397,123,174.15 234,508,020.27 23,045,387.23 78,756,679.68 12,124,568.02 745,557,829.35
2014 Net book value
(2)Temporary idle fixed assets
Unit:RMB
accumulated Provision of Net book
Items Cost Notes
depreciation impairment value
Machinery and equipments subjected to
a provision by management in the past
machinery and
55,544,750.19 34,044,756.62 20,644,827.73 855,165.84 year because the machinery and
equipments
equipments were left temporarily idle
and expectedly no longer in use due to
83
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
the strategic adjustments of
productions.
In 2015 semi annual, details of the depreciation are charged as below:
For the six months ended 30 June 2015 For the six months ended 30 June 2014
Cost of goods sold 24,199,873.36 19,978,061.91
Selling expenses 2,710,530.24 1,016,530.46
General and administrative expenses 13,633,937.70 20,256,417.51
Research and development expenses 3,504,067.04 4,035,789.44
Total 44,048,408.34 45,286,799.32
12. Construction in progress
(1)Construction in progress
Unit:RMB
30 June 2015 31 December 2014
Items Carrying Provision of Provision of
Net book value Carrying amount Net book value
amount impairment impairment
Pingshan
Pharmaceutical
Research & 369,661,249.55 0.00 369,661,249.55 298,665,439.18 0.00 298,665,439.18
Development
Manufacturing Base
Zhijun Production
Workshop
Technological 9,720,528.90 0.00 9,720,528.90 14,214,138.81 0.00 14,214,138.81
Transformation
Project
Sewage
Transformation 6,062,283.79 0.00 6,062,283.79 6,062,283.79 0.00 6,062,283.79
Project etc
Peinan Project 3,398,466.80 1,500,000.00 1,898,466.80 3,398,466.80 1,500,000.00 1,898,466.80
Other projects 13,697,748.83 0.00 13,697,748.83 9,378,367.98 0.00 9,378,367.98
Total 402,540,277.87 1,500,000.00 401,040,277.87 331,718,696.56 1,500,000.00 330,218,696.56
84
CONSOLIDATED FINANCIAL STATEMENTS AND REPORT
OF CHINA NATIONAL ACCORD MEDICINES CO., LTD.
For the six months ended 30 June 2015
(2)Significant changes of construction in progress
Unit:RMB
Cost up Borrowing
Constru Weighted
Transfer out Current to date Accumulated cost
31 December Current period ction in average Financed
Name of Project Budget of Project during period 30 June 2015 out of capitalized capitalized
2014 additions progress interest by
current year disposals budget borrowing cost in 2015 semi
(%) rate (%)
(%) annual
Pingshan Pharmaceutical Working
Researc& Development 881,370,300.00 298,665,439.18 70,995,810.37 0.00 0.00 369,661,249.55 42.00% 65% 15,738,784.07 7,274,927.93 5.48% capital and
Manufacturing Base borrowings
Zhijun Production Working
Workshop Technological 105,340,000.00 14,214,138.81 4,649,009.96 9,142,619.87 0.00 9,720,528.90 34.00% 39% 0.00 0.00 0.00% capital
Transformation Project
Sewage Transformation Working
6,300,000.00 6,062,283.79 0.00 0.00 0.00 6,062,283.79 87.00% 99% 0.00 0.00 0.00%
Project etc. capital
Working
Peinan Project 40,000,000.00 3,398,466.80 0.00 0.00 0.00 3,398,466.80 28.00% 70% 0.00 0.00 0.00%
capital
Working
Other projects 0.00 9,378,367.98 5,777,231.05 933,418.81 524,431.39 13,697,748.83 0.00 0.00 0.00 0.00 0.00%
capital
Total 1,033,010,300.00 331,718,696.56 81,422,051.38 10,076,038.68 524,431.39 402,540,277.87 -- -- 15,738,784.07 7,274,927.93 5.48% --
In 2015 semi annual, the amounts that construction in progress transferred into fixed asset were RMB10,076,038.68 (2014 semi annual:
RMB16,173,324.53), and long term prepaid expense were RMB524,431.39 (2014 semi annual: RMB5,331,507.83).
85
国药集团一致药业股份有限公司 2015 年半年度报告
13. Intangible asset
(1)Intangible asset
Unit:RMB
Proprietary Computer
Items Land use rights Trademarks Sales network Total
technology software
I. Cost
255,590,952.5
1.31 December 2014 143,702,078.73 53,901,204.72 24,133,676.24 196,850.00 33,657,142.86
5
2. Current period
825,876.78 0.00 101,566.65 927,443.43
additions 0.00 0.00
(1)purchase 0.00 0.00 101,566.65 0.00 0.00 101,566.65
(2)Transferred from
825,876.78 825,876.78
investment properties 0.00 0.00 0.00 0.00
3. Current period
decreases 0.00 0.00 0.00 0.00 0.00 0.00
256,518,395.9
4. 30 June 2015 144,527,955.51 53,901,204.72 24,235,242.89 196,850.00 33,657,142.86
8
II. Accumulated amortization
107,942,246.4
1.31 December 2014 36,737,160.08 49,952,578.71 16,678,752.94 196,850.00 4,376,904.76
9
2.Current period additions 1,723,345.09 160,190.28 1,377,048.75 0.00 841,428.58 4,102,012.70
(1)Provision 1,442,757.30 160,190.28 1,377,048.75 0.00 841,428.58 3,821,424.91
(2)Transferred from
280,587.79 280,587.79
investment properties 0.00 0.00 0.00 0.00
3.Current period
decreases 0.00 0.00 0.00 0.00 0.00 0.00
112,044,259.1
4.30 June 2015 38,460,505.17 50,112,768.99 18,055,801.69 196,850.00 5,218,333.34
9
III. Provision for impairment
loss
1.31 December 2014 0.00 3,000,000.00 264,952.19 0.00 0.00 3,264,952.19
2.Current period additions 0.00 0.00 0.00 0.00 0.00 0.00
3.Current period
decreases 0.00 0.00 0.00 0.00 0.00 0.00
4.30 June 2015 0.00 3,000,000.00 264,952.19 0.00 0.00 3,264,952.19
86
国药集团一致药业股份有限公司 2015 年半年度报告
IV. Net book value
1.30 June 2015 Net book 141,209,184.6
106,067,450.34 788,435.73 5,914,489.01 0.00 28,438,809.52
value 0
2.31 December 2014 Net 144,383,753.8
106,964,918.65 948,626.01 7,189,971.11 0.00 29,280,238.10
book value 7
There is no intangible asset recognized through internal research and development for the six months
ended 30 June 2015.
14. Expenditures on research and development
Unit:RMB
Current period additions Current period decreases
31 December Expenditures on Confirmed
Projects Recognized in 30 June 2015
2014 internal Other as Intangible
profit and loss
development asset
Projects of cardiovascular and
cerebrovascular diseases 0.00 9,203,191.09 0.00 0.00 9,203,191.09 0.00
treatment subtotal
Projects of respiratory system
18,117.29 3,252,049.44 0.00 0.00 3,252,049.44 18,117.29
diseases treatment subtotal
Projects of antibiotics preparation
and powder injection projects 0.00 10,147,492.59 0.00 0.00 10,147,492.59 0.00
subtotal
Projects of digestive system
0.00 784,285.27 0.00 0.00 784,285.27 0.00
diseases treatment etc.
Projects of antibiotics crude
5,357,691.17 1,403,029.86 0.00 0.00 1,403,029.86 5,357,691.17
drugs etc.
Projects of Chinese patent
0.00 1,411,464.74 0.00 0.00 1,411,464.74 0.00
medicine
Other Projects 243,507.01 7,439,064.41 0.00 0.00 7,439,064.41 243,507.01
Total 5,619,315.47 33,640,577.40 0.00 0.00 33,640,577.40 5,619,315.47
Expenditures on research and development incurred in 2015 semi annual amount to RMB33,640,577.40
(2014 semi annual: RMB32,143,996.40),the total amount is recognised in profit or loss for the current
period, RMB 33,640,577.40 (2014 semi annual: RMB32,143,996.40) was recognized in profit and loss
and as development cost.
87
国药集团一致药业股份有限公司 2015 年半年度报告
15. Goodwill
(1)Goodwill cost
Unit:RMB
Current period additions Current period decreases
31 December 2014 30 June 2015
Business combination Disposal
Sinopharm Group
Zhijun(Suzhou) 33,869,393.32 0.00 0.00 33,869,393.32
Pharmaceutical Co.,Ltd.
Sinopharm Jiangmen 27,392,317.73 0.00 0.00 27,392,317.73
Sinopharm Yanfeng 16,868,644.87 0.00 0.00 16,868,644.87
Sinopharm Zhaoqing 2,594,341.53 0.00 0.00 2,594,341.53
Sinopharm Shaoguan 1,686,496.80 0.00 0.00 1,686,496.80
Sinopharm Meizhou 1,610,819.66 0.00 0.00 1,610,819.66
Sinopharm Huizhou 923,184.67 0.00 0.00 923,184.67
Sinopharm Zhanjiang 282,135.55 0.00 0.00 282,135.55
Sinopharm Dongguan 1,499.02 0.00 0.00 1,499.02
Total 85,228,833.15 0.00 0.00 85,228,833.15
(2)Provision of impairment loss
Unit:RMB
Current period additions Current period decreases
31 December 2014 30 June 2015
Provision Disposal
Sinopharm Group
Zhijun(Suzhou) 5,850,000.00 0.00 0.00 5,850,000.00
Pharmaceutical Co.,Ltd.
The method of goodwill impairment testing process, parameter and recognition of impairment loss:
The recoverable amount of asset groups and groups of asset groups is calculated by using the
estimated cash flows according to the five-year budget approved by management. Management
determines budgeted gross margin based on historical experience and forecast on market development.
The discount rates determined by management are the pre-tax interest rates which reflect the risks
specific to the related asset groups and groups of asset groups. The above assumptions are used to
assess the recoverable amount of each asset group and group of asset groups within the corresponding
operating segment.
88
国药集团一致药业股份有限公司 2015 年半年度报告
16. Long term prepaid expense
Unit:RMB
Current period Current period Other current period
Projects 31 December 2014 30 June 2015
additions amortization decreases
Leasehold
improvements 37,049,985.15 631,192.60 3,924,374.78 0.00 33,756,802.97
Other 2,104,246.88 671,015.69 338,265.39 0.00 2,436,997.18
Total 39,154,232.03 1,302,208.29 4,262,640.17 0.00 36,193,800.15
17. Deferred income tax assets and deferred income tax liabilities
(1)Deferred income tax assets
Unit:RMB
30 June 2015 31 December 2014
Projects Deductible temporary Deferred income tax Deductible temporary Deferred income tax
differences assets differences assets
Provision for
83,987,447.48 19,550,683.04 85,594,942.59 20,930,880.12
impairment of assets
Deductible losses 112,951,621.20 26,733,778.60 96,865,385.40 23,331,434.22
Accrued expenses 76,744,301.48 12,937,865.54 56,704,614.52 9,771,547.36
Accrued payroll 39,765,973.43 8,525,803.34 59,051,247.05 13,595,697.03
Deferred revenue 73,336,376.37 10,873,434.87 82,178,700.44 13,634,799.37
Other 12,992,430.69 3,524,587.49 15,528,485.56 3,882,121.40
Total 399,778,150.65 82,146,152.88 395,923,375.56 85,146,479.50
(2)Deferred income tax liabilities
Unit:RMB
30 June 2015 31 December 2014
Projects Deductible temporary Deferred income tax Deductible temporary Deferred income tax
differences liabilities differences liabilities
Business combination
involving entities
37,533,864.40 9,383,466.10 38,630,083.24 9,657,520.81
not under common
control
Changes in fair value 41,700,386.71 10,265,203.43 43,284,539.27 10,821,134.82
Other 15,223,821.56 3,805,955.39 15,273,683.76 3,818,420.94
89
国药集团一致药业股份有限公司 2015 年半年度报告
Total 94,458,072.67 23,454,624.92 97,188,306.27 24,297,076.57
(3)The net value of deferred income tax assets/liabilities after the offset
Unit:RMB
The net value of The net value of
Offseting value of Offseting value of
deferred income tax deferred income tax
deferred income tax deferred income tax
Projects assets/liabilities after assets/liabilities after
assets/liabilities assets/liabilities
the offset the offset
30 June 2015 31 December 2014
30 June 2015 31 December 2014
Deferred income tax
0.00 82,146,152.88 0.00 85,146,479.50
assets
deferred income tax
0.00 23,454,624.92 0.00 24,297,076.57
liabilities
(4)Unrecognised deferred tax assets
Unit:RMB
Projects 30 June 2015 31 December 2014
deductible losses 1,627,172.87 1,627,172.87
Total 1,627,172.87 1,627,172.87
(5)Unrecognised deferred tax assets in respect of deductible losses due next year
Unit:RMB
Year 30 June 2015 31 December 2014 Notes
For those loss-making
subsidiaries, as the large
uncertainty of being able to gain
enough taxable income to
utilise the deductible losses in
2015 1,627,172.87 1,627,172.87 the future, the Group does not
recognise deferred tax assets
arising from accumulated
losses amounting to RMB
1,627,172.87tax deductible
under the tax law.
Total 1,627,172.87 1,627,172.87 --
90
国药集团一致药业股份有限公司 2015 年半年度报告
18. Other non-current assets
Unit:RMB
Projects 30 June 2015 31 December 2014
Medical reserve fund 40,991,298.70 42,039,659.05
Prepayment for project and equipment 49,038,690.86 63,620,879.10
Non-monetary compensation of
70,250,000.00 70,250,000.00
resettlement
Total 160,279,989.56 175,910,538.15
19. Short term borrowings
Unit:RMB
Projects 30 June 2015 31 December 2014
Guaranteed borrowings 483,029,496.81 459,757,465.32
Unsecured borrowings 1,363,329,300.55 966,752,021.57
Discounted notes 134,570,639.59 91,445,041.99
Total 1,980,929,436.95 1,517,954,528.88
On 30 June 2015, unsecured borrowings of RMB 1,318,329,300.55(31 December 2014:
RMB966,752,021.57) are guaranteed by the Company and its subsidiaries, and unsecured borrowing of
RMB5,000,000.00(31 December 2014: Nil) without a secured party. Meanwhile, unsecured borrowing of
RMB40,000,000.00 is borrowed from the Sinopharm Group Financial Co., Ltd. (“Group Financial Co.”).
On 30 June 2015, bank borrowings of RMB483,029,496.81 (31 December 2014: RMB459,757,465.32)
are guaranteed by Sinopharm Group.
On 30 June 2015, the weighted average interest rate of short-term borrowings is 5.16% per annum (31
December 2014: 5.50%).
In 30 June 2015, there has been no unpaid due short-term borrowings (December 31, 2014: Nil).
20. Notes paybale
Unit:RMB
category 30 June 2015 31 December 2014
Trade acceptance notes 84,312,289.57 380,502,886.42
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国药集团一致药业股份有限公司 2015 年半年度报告
Bank acceptance notes 1,289,171,278.45 1,087,663,754.22
Total 1,373,483,568.02 1,468,166,640.64
21. Accounts payable
(1)Accounts payable
Unit:RMB
Projects 30 June 2015 31 December 2014
Trafe paybale 4,341,666,286.09 3,988,878,234.03
Total 4,341,666,286.09 3,988,878,234.03
(2)Account payable aged over 1 year
Unit:RMB
Reasons that accounts payable have not
Projects 30 June 2015
been settled
Trade payable 117,267,739.44 Transactions were not closed yet.
Total 117,267,739.44 --
22.Advances from customers
(1)Advances from customers
Unit:RMB
Projects 30 June 2015 31 December 2014
Sales received in advance 44,995,822.24 40,339,905.63
Total 44,995,822.24 40,339,905.63
(2)Advances from customers aged over 1 year
Unit:RMB
Reasons that accounts payable have not
Projects 30 June 2015
been settled
Sales received in advance 838,999.27 Other
Total 838,999.27 --
92
国药集团一致药业股份有限公司 2015 年半年度报告
23. Employee benefits payable
(1)Employee benefits payable
Unit:RMB
Projects 31 December 2014 Current period additions Current period decreases 30 June 2015
1.Short term employee
168,068,439.41 257,019,483.59 319,167,959.18 105,919,963.82
benefits payable
2. Defined contribution
2,166,584.27 23,713,303.03 23,383,974.13 2,495,913.17
plans payable
3. Termination benefits
1,723,119.20 823,094.45 1,629,857.40 916,356.25
payable
Total 171,958,142.88 281,555,881.07 344,181,790.71 109,332,233.24
(2)Short term employee benefits payable
Unit:RMB
Projects 31 December 2014 Current period additions Current period decreases 30 June 2015
1.Wages and salaries,
bonuses, allowances 150,384,510.97 217,647,902.41 280,622,410.82 87,410,002.56
and subsidies
2.Staff welfare 973,559.02 10,051,487.39 10,879,915.40 145,131.01
3.Social security
355,247.78 10,538,816.65 10,560,455.72 333,608.71
contributions
Including:
300,176.39 8,698,124.94 8,743,930.26 254,371.07
Medical insurance
Work injury insurance 28,672.53 772,825.21 746,019.73 55,478.01
Maternity insurance 26,398.86 1,067,866.50 1,070,505.73 23,759.63
4.Housing funds 542,776.75 10,851,697.93 10,673,190.21 721,284.47
5.Labor union funds
and employee 14,939,701.87 7,399,732.45 5,704,360.88 16,635,073.44
education funds
6.Others 872,643.02 529,846.76 727,626.15 674,863.63
Total 168,068,439.41 257,019,483.59 319,167,959.18 105,919,963.82
(3)Defined contribution plans payable
Unit:RMB
Projects 31 December 2014 Current period additions Current period decreases 30 June 2015
93
国药集团一致药业股份有限公司 2015 年半年度报告
1.Basic pensions 421,293.14 20,302,829.74 20,105,119.79 619,003.09
2.Unemployment
44,419.92 1,224,114.20 1,268,534.12 0.00
insurance
3.Supplementary
1,700,871.21 2,186,359.09 2,010,320.22 1,876,910.08
pensions
Total 2,166,584.27 23,713,303.03 23,383,974.13 2,495,913.17
(4)Termination benefits payable
30 June 2015 31 December 2014
Retirement benefits payable – within 1 year 437,621.37 1,115,000.00
Other dismission benefits(Note i) 478,734.88 608,119.20
Total 916,356.25 1,723,119.20
(i) For year 2015 semi annual, the amount that the group provided other termination benefits for severing
labor relations was RMB629,131,63, no amount that the group wrote off other termination benefits for
needless payments of severing labor relation. (For year 2014, the amount that the group provided other
termination benefits for severing labor relations was RMB223,425.95 , the amount that the group wrote
off other termination benefits for needless payments of severing labor relation was RMB2,335,000.00).
24.Tax payable
Unit:RMB
Projects 30 June 2015 31 December 2014
Value-added-tax payable 33,847,774.12 10,022,374.90
Business tax payable 938,366.47 943,302.08
Enterprise income tax payable 47,052,910.34 52,868,801.89
Individual income tax payable 3,417,037.68 1,514,928.86
City maintenance and construction tax
2,432,194.11 787,872.30
payable
Anti-flood fund payable 5,885,914.98 7,950,610.72
Stamp duty tax payable 2,067,427.82 1,198,400.07
Real estate tax payable 947,637.41 923,420.99
Educational surcharge payable 1,747,168.03 571,654.75
Land use tax payable 471,111.34 426,390.62
Other tax payables 280,789.46 237,912.28
Total 99,088,331.76 77,445,669.46
94
国药集团一致药业股份有限公司 2015 年半年度报告
25. Interest payable
Unit:RMB
Projects 30 June 2015 31 December 2014
Long term borrowing interests payable 154,157.50 56,519.97
Short term borrowing interests payable 9,563,841.21 6,610,192.22
Total 9,717,998.71 6,666,712.19
26. Other payable
(1)Other payable by nature are analysed below:
Unit:RMB
Projects 30 June 2015 31 December 2014
Accrued selling and distribution
209,996,940.53 187,784,029.00
expenses
Payables for construction in progress
51,858,585.90 70,267,980.15
and equipment
Amount collected on behalf of third
20,132,302.46 44,057,463.73
party
Deposit 13,968,153.31 19,495,588.90
Equity transaction payable 9,330,197.17 9,330,197.17
Other 66,939,794.13 81,411,942.56
Total 372,225,973.50 412,347,201.51
(2)Significant other payable aged over 1 year
Unit:RMB
Reasons that accounts payable have
Projects 30 June 2015
not been settled
Return of deposits that the project
89,229,338.17 Transactions were not closed yet.
quality margin and other deposits
Total 89,229,338.17 --
27. Current portion of long-term borrowings
Unit:RMB
Projects 30 June 2015 31 December 2014
Promotion rewards program 7,649,200.00 4,000,000.00
95
国药集团一致药业股份有限公司 2015 年半年度报告
- due within one year
Total 7,649,200.00 4,000,000.00
28. Long term borrowings
Unit:RMB
Projects 30 June 2015 31 December 2014
Unsecured borrowings 23,028,776.85 8,095,448.00
Entrusted borrowings 31,600,000.00 31,600,000.00
Total 54,628,776.85 39,695,448.00
As at 30 June 2015, the entrusted borrowing of RMB31,600,000.00 was lent by Sinopharm Group
through Group Financial Co.(31 December 2014: RMB31,600,000.00). As at 30 June 2015, the
weighted average interest rate of long-term borrowings is 5.42% per annum. (31 December 2014:
5.62%).
29. Long term employee benefits
Unit:RMB
Projects 30 June 2015 31 December 2014
Early retirement benefits payable 2,582,100.00 2,896,000.00
Total 2,582,100.00 2,896,000.00
30. Payables for specific projects
Unit:RMB
Current period Current period
Projects 31 December 2014 30 June 2015 Reasons of formation
additions decreases
Sepecial funds granted by 852,000.00 0.00 0.00 852,000.00
Government grants
government
Government grants for
435,000.00 0.00 0.00 435,000.00 Government grants
ERP system construction
Total 1,287,000.00 0.00 0.00 1,287,000.00 --
31. Deferred income
Unit:RMB
Current period Current period Reasons of
Projects 31 December 2014 30 June 2015
additions decreases formation
Government grants 153,119,166.83 2,110,000.00 5,841,041.01 149,388,125.82 Government
96
国药集团一致药业股份有限公司 2015 年半年度报告
grants
Promotion Rewards Fair value of
23,247,034.32 4,721,146.71 9,937,821.00 18,030,360.03
Program rewards
Total 176,366,201.15 6,831,146.71 15,778,862.01 167,418,485.85 --
Projects involve Government grant:
Unit:RMB
Government grants 31 December Current year Amount recognized as Other Related to
30 June 2015
program 2014 addtions non-operating income change income/assets
Resettlement Related to
86,349,075.41 0.00 1,349,204.28 0.00 84,999,871.13
Compansation(i) assets
Cephalosporin Solid
Related to
Preparations 13,845,923.14 0.00 986,653.71 0.00 12,859,269.43
assets
Development Project
Guangxi Logistics Related to
8,084,052.18 0.00 218,203.20 0.00 7,865,848.98
Project assets
Stomach medicine
domestic clinical Related to
5,000,000.00 0.00 0.00 0.00 5,000,000.00
research and assets
development project
Pingshan
Related to
pharmaceutical R & D 5,000,000.00 0.00 0.00 0.00 5,000,000.00
assets
base engineering
Cephalosporin Powder
Injection Passing Related to
4,505,783.82 0.00 328,008.24 0.00 4,177,775.58
EU-GMP assets
Authentication
New Cephalosporin Related to
3,962,385.17 0.00 458,022.30 0.00 3,504,362.87
R&D Project assets
Related to
Medical R&D Center II 3,877,620.85 0.00 410,659.98 0.00 3,466,960.87
assets
Cardiovascular system
targeted drug Related to
3,000,000.00 0.00 0.00 0.00 3,000,000.00
development assets
programs
A comprehensive
experimental modern Related to
2,700,000.00 0.00 150,000.00 0.00 2,550,000.00
service industry assets
subsidies
97
国药集团一致药业股份有限公司 2015 年半年度报告
Enteric coated pellets
Related to
industry research and 2,508,837.40 0.00 3,500.00 0.00 2,505,337.40
assets
development project
Cefpirome Sulfate R&D Related to
2,386,456.55 0.00 129,898.44 0.00 2,256,558.11
Project assets
Shaaban raw materials
Related to
and tablets R&D 0.00 1,500,000.00 0.00 0.00 1,500,000.00
assets
Projects
New Cephalosporin Related to
1,219,393.90 0.00 305,246.76 0.00 914,147.14
R&D Project assets
Related to
Shared Logistics Center 1,225,468.70 0.00 469,146.60 0.00 756,322.10
assets
Related to
Other projects 9,454,169.71 610,000.00 1,032,497.50 0.00 9,031,672.21
assets
Total 153,119,166.83 2,110,000.00 5,841,041.01 0.00 149,388,125.82 --
(i) Because the Nanning Government planned to reconstruction of the old urban area, a subsidiary of the
company, Guangxi Logistics, which located in Nanning Longteng Road need to relocate. According to
compensation agreement signed in May, 2012, the company obtained RMB120,250,000.00
compensation for the demolition carried out by the government, including cash compensation amounted
RMB50,000,000.00 and another physical compensation amounted RMB70,250,000.00 would be
received in year 2015 when completion( Note VII(18)). Amounting to RMB93,320,000.00 relating to
capital expenditure for reconstruction was recognised as deferred income, which would be amortised to
profit or loss over the useful life of the related asset; others was recognised in profit or loss in 2012.
32. Other non-current liabilities
Unit:RMB
Projects 30 June 2015 31 December 2014
Medical reserve funds 45,427,343.31 45,427,343.31
Total 45,427,343.31 45,427,343.31
33. Share Capital
Unit: RMB
Movements (+.—)
31 December
Issue new reserved funds 30 June 2015
2014 Stock dividend Other Subtotal
shares transfer to shares
Listed shares 362,631,943.00 0.00 0.00 0.00 0.00 0.00 362,631,943.00
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国药集团一致药业股份有限公司 2015 年半年度报告
34. Capital reserve
Unit:RMB
Current period Current period
Projects 31 December 2014 30 June 2015
additions decreases
Capital surplus 1,855,144,194.77 0.00 0.00 1,855,144,194.77
Other Capital reserve 8,750,338.57 0.00 0.00 8,750,338.57
Total 1,863,894,533.34 0.00 0.00 1,863,894,533.34
35. Surplus reserve
Unit:RMB
Current period Current period
Projects 31 December 2014 30 June 2015
additions decreases
Statutory surplus 0.00 0.00
181,315,971.50 181,315,971.50
reserve
Total 181,315,971.50 0.00 0.00 181,315,971.50
36. Undistributed profits
Unit:RMB
For the six months ended 30 June For the six months ended 30 June
Projects
2015 2014
Undistributed profits at the beginning of year 2,356,765,374.25 1,806,002,285.06
Adjustment of retained earnings(add +,minus -) 0.00 0.00
Adjusted undistributed profits at the beginning
2,356,765,374.25 1,806,002,285.06
of year
Add:net profit attributable to the
387,319,252.33 349,213,988.51
shareholders of the company
Less: Dividend 72,526,388.60 65,273,749.74
Ending balance of undistributed profits 2,671,558,237.98 2,089,942,523.83
37. Sales and cost of sales
Unit:RMB
For the six months ended 30 June 2015 For the six months ended 30 June 2014
Projects
Income Expenses Income Expenses
Revenue of main
12,772,868,609.63 11,798,432,332.88 11,574,073,952.48 10,617,207,480.60
operations
99
国药集团一致药业股份有限公司 2015 年半年度报告
Other operating
40,934,557.14 3,228,707.54 38,568,481.80 9,560,176.64
income
Total 12,813,803,166.77 11,801,661,040.42 11,612,642,434.28 10,626,767,657.24
38. Tax and surcharges
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Business tax 2,983,841.85 3,581,457.89
City maintenance and construction tax 12,685,982.46 13,024,580.97
Educational surcharge 9,308,250.19 9,436,144.77
Other 1,465,615.25 1,430,529.90
Total 26,443,689.75 27,472,713.53
39. Selling and distribution expenses
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Employees payroll and welfare benefits 112,490,739.45 107,196,450.96
Transportation charges 27,939,051.39 29,308,866.99
Promotion and marketing expenses 46,124,636.39 52,602,362.06
Conference expenses 4,354,342.75 4,356,232.26
Travel allowances 7,496,122.39 10,809,167.49
Entertainment expenses 10,897,298.61 10,185,826.51
Advertising expenses 4,705,456.10 8,223,830.25
Storage expenses 4,518,164.34 7,333,195.42
Office allowances 1,582,850.88 2,282,804.11
Rental expenses 13,666,951.13 13,392,366.19
Depreciation expenses 2,937,090.09 2,684,307.23
Other 25,361,402.49 22,773,801.07
Total 262,074,106.01 271,149,210.54
40. General and administrative expense
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Employees payroll and welfare benefits 104,170,785.32 105,475,000.33
100
国药集团一致药业股份有限公司 2015 年半年度报告
Research and development expenses 33,640,577.40 32,143,996.40
Depreciation expenses 16,379,344.44 19,869,820.88
Taxations 11,862,094.67 13,423,589.20
Entertainment expenses 4,101,888.76 4,307,392.51
Amortisation of intangible assets 2,819,911.80 3,836,803.22
Office allowances 3,053,398.52 2,991,765.13
Rental expenses 2,508,540.85 3,342,744.39
Vehicle management expenses 3,060,128.18 3,182,775.19
Conference expenses 117,497.36 210,047.70
Maintenance and other charges 1,561,358.97 923,970.27
Travel allowances 1,572,653.34 1,849,511.74
Utilities 2,496,765.25 3,972,594.42
Other 16,244,428.49 20,283,772.29
Total 203,589,373.35 215,813,783.67
41. Financial expense
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Interest expenses 66,320,510.56 86,209,674.28
Less: interest income -2,669,578.08 -4,223,008.09
discount in cash -8,821,521.20 -17,547,093.60
Gain and loss from exchanges -536,717.77 107,893.77
Other 4,346,978.89 6,384,258.74
Total 58,639,672.40 70,931,725.10
42. Asset impairment loss
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Bad debt -649,892.85 -1,655,386.78
Declines in values of inventories 7,869,732.74 8,968,294.15
Total 7,219,839.89 7,312,907.37
43. Gain from investment
Unit:RMB
101
国药集团一致药业股份有限公司 2015 年半年度报告
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Share of profit of investees under
28,274,061.44 23,595,722.50
equity method
Total 28,274,061.44 23,595,722.50
The investment income from long-term investment under equity method represented the profit from
Wanle Medical, Sinopharm Zhuhai. The increase was due to improved business performance of the
associates. There is no significant restriction on the remittance of investment income to the Group.
44. Non-operating income
Unit:RMB
For the six months ended 30 For the six months ended 30
Projects Amount in Non-routine items
June 2015 June 2014
Gain on disposal of
10,297.36 500,989.54 10,297.36
non-current assets
Including: Gain on disposal
10,297.36 500,989.54 10,297.36
of fixed assets
Government grants 10,567,256.16 14,575,338.73 10,567,256.16
Write off payments 146,039.32 811,269.33 146,039.32
Reversal of payments 0.00 11,862,275.78 0.00
Other 2,258,696.62 586,191.95 2,258,696.62
Total 12,982,289.46 28,336,065.33 12,982,289.46
Classified as this period profit Government grants:
Unit:RMB
For the six months ended 30 For the six months ended 30 Government grants related to
Government grants Projects
June 2015 June 2014 income
Government-funded interest
1,635,195.84 1,049,200.00 Related to income
discount
Industry grant 0.00 3,277,100.00 Related to income
Tax return 0.00 6,060,187.00 Related to income
Other 3,091,019.31 754,793.53 Related to income
Resettlement compensation-
1,349,204.28 1,349,204.28 Related to assets
amortization of assets
Others 4,491,836.73 2,084,853.92 Related to assets
Total 10,567,256.16 14,575,338.73 --
102
国药集团一致药业股份有限公司 2015 年半年度报告
45. Non-operating expenses
Unit:RMB
For the six months ended 30 For the six months ended 30
Projects Amount in Non-routine items
June 2015 June 2014
Loss on disposal of
225,404.59 64,238.16 225,404.59
non-current assets
Including: Losses on
225,404.59 64,238.16 225,404.59
disposal of fixed assets
Donations 0.00 410,000.00 0.00
Other 215,275.79 733,259.19 215,275.79
Total 440,680.38 1,207,497.35 440,680.38
46. Income taxes expenses
(1)Income taxes expenses
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Current income tax 93,190,979.53 91,607,455.92
Deferred income tax 2,157,874.97 -5,276,159.17
Total 95,348,854.50 86,331,296.75
(2)The reconciliation from income tax calculated based on applicable tax rates and total profit
presented in the consolidated financial statements to the income tax expenses is listed below:
Unit:RMB
Projects For the six months ended 30 June 2015
Total profit 494,991,115.47
Income tax expenses calculated at applicable tax rates 123,747,778.87
Differences in preferential tax rates of certain companies -25,937,299.98
Income not subject to tax -6,965,840.39
Deferred tax changes with tax rate adjustments 1,009,834.20
Expenses not deductible for tax purposes 3,494,381.80
Income tax 95,348,854.50
47. Cash flow statements
(1)Cash received relating to other operating activities
103
国药集团一致药业股份有限公司 2015 年半年度报告
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Withdraw deposits for bank acceptance
9,034,563.52 7,107,945.50
notes and depostis for letter of credit
Interest income 2,669,578.08 4,223,008.09
Government grants except tax return 4,926,078.35 2,700,000.00
Rental income 10,585,370.80 8,320,925.55
Other 12,846,219.50 31,096,558.42
Total 40,061,810.25 53,448,437.56
(2)Cash paid relating to other operating activities
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Market development expenses 46,124,636.39 52,602,362.06
Research and development expesnses 10,782,478.49 11,553,667.63
Rental expenses 16,175,491.98 16,066,215.94
Entertainment expenses 14,999,187.37 14,493,219.02
Travel expenses 9,068,775.73 12,658,679.23
Advertising expenses 4,705,456.10 8,223,830.25
Office expenses 4,636,249.40 6,610,987.93
Other 58,315,031.63 61,990,312.41
Total 164,807,307.09 184,199,274.47
(3)Cash received relating to other investing activities
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Cash received from acquiring
0.00 3,598,827.09
subsidiaries
Total 0.00 3,598,827.09
(4)Cash received relating to other financing activities
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Entrusted borrowings borrowed from
0.00 31,600,000.00
CNPGC
104
国药集团一致药业股份有限公司 2015 年半年度报告
Other 0.00 20,776,797.32
Total 0.00 52,376,797.32
(5)Cash payments relating to other financing activities
Unit:RMB
Projects For the six months ended 30 June 2015 For the six months ended 30 June 2014
Other 24,066,161.02 3,235,784.18
Total 24,066,161.02 3,235,784.18
48. Supplementary information of cash flow statements
(1)Supplementary information of cash flow statements
Unit:RMB
Supplementary information For the six months ended 30 June 2015 For the six months ended 30 June 2014
1.Reconciliation of net profit to cash
-- --
flows from operating activities:
Net profit 399,642,260.97 357,587,430.56
Add: Provision for assets impairment 7,219,839.89 7,312,907.37
Depreciation of fixed assets and
47,945,421.59 48,039,480.50
investment properties
Amortisation of intangible assets 3,821,424.91 3,836,803.21
Amortisation of long-term prepaid
4,262,640.17 4,039,734.82
expenses
Losses on disposal of fixed assets,
intangible assets, and other -4,114,941.12 -436,751.38
non-current assets
Financial expenses 66,674,714.71 89,553,352.23
Investment losses -28,274,061.44 -23,595,722.50
Decrease of deferred tax assets 3,000,326.62 -9,520,865.56
Increase of deferred tax liabilities -842,451.65 331,955.70
Decrease of inventory 88,388,515.28 -368,787,212.56
Decrease in operating receivables -753,547,929.22 -691,530,669.43
Increase in operating payables 605,029,254.51 91,345,803.58
Other 9,034,563.51 7,107,945.50
Net cash flow from operating activities 448,239,578.73 -484,715,807.96
105
国药集团一致药业股份有限公司 2015 年半年度报告
2.Significant non-cash investing
-- --
activities:
3.Movement of cash -- --
Cash on 30 June 2015 1,157,555,627.85 1,409,385,573.73
Less:Cash on 31 December 2014 854,212,006.84 1,097,948,354.45
Net increase in cash 303,343,621.01 311,437,219.28
(2)Composition of cash and cash equivalents
Unit:RMB
Programs 30 June 2015 31 ecember 2014
1.Cash 1,157,555,627.85 854,212,006.84
Including: Cash on hand 77,018.59 41,627.16
Call deposits with banks 1,157,478,609.26 854,170,379,68
2.Cash equivalents
Including:Bonds investment matured within three
months
3.Cash and cash equivalents 1,157,555,627.85 854,212,006.84
Including: restricted cash and cash equivalents of
0.00 0.00
the parent company and its subsidiaries
49. Assets with restricted ownership or use right
Unit:RMB
Projects Net book value on 30 June 2015 Reson of restriction
Bank acceptance notes and depostis for
Cash at bank and on hand 4,315,545.18
letter of credit
The pledged notes receivables are used
Notes receivable 4,929,266.00 as guarantee for for issurance of bank
acceptance notes.
Total 9,244,811.18 --
50. Foreign currencies projects
Unit:RMB
Financial assets
Financial assets denominated
Projects denominated in foreign Exchange rate
in RMB
currency
106
国药集团一致药业股份有限公司 2015 年半年度报告
Cash at bank and on hand -- --
Including:US Dollars 0.58 6.1136 3.55
Accounts receivables -- --
Including:US Dollars 1,803,480.17 6.1136 11,026,180.45
HK Dollars 289,854.06 0.7900 228,984.71
Accounts payable -- --
Including:US Dollars 786,632.20 6.1136 4,806,322.74
VIII. Alteration of consolidated financial statement scope
Guangzhou Medical was established By Sinopharm Guangzhou, which is a subsidiary of the Company,
and Guangzhou Huaqiao medical investment co., Ltd by cash RMB1,530,000.00 and RMB 1,470,000.00,
respectively. Sinopharm Guangzhou accounted for 51% of its shares.
IX. Shares and rights in other companies
1. Subsidiaries
Place of Place of Nature of Equity interest held (%)
Company name Mode of acquisition
operation registration business Direct Indirect
Sinopharm Holding Guilin Co.,
Guilin Guilin Commercial 100.00% Set up
Ltd.
Sinopharm Holding Baise Co.,
Baise Baise Commercial 100.00% Set up
Ltd.
Sinopharm Holding
Zhongshan Commercial 100.00% Set up
Zhongshan Co., Ltd. Zhongshan
Sinopharm Holding Guigang
Guigang Guigang Commercial 100.00% Set up
Co., Ltd.
Sinopharm Beihai Beihai Beihai Commercial 100.00% Set up
Zhijun Pharm Business
combinations
Shenzhen Manufacturing 100.00% involving
Shenzhen
enterprises under
common control
Sinopharm Holding Jianmin Business
Co., Ltd. combinations
Shenzhen Shenzhen Commercial 100.00% involving
enterprises under
common control
107
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding Material Business
Co., Ltd. combinations
Shenzhen Shenzhen Commercial 100.00% involving
enterprises under
common control
Shenzhen Zhijun Business
Pharmaceutical Trade Co., combinations
Ltd. Shenzhen Shenzhen Commercial 100.00% involving
enterprises under
common control
Sinopharm Holding Shenzhen Business
Logistics Co., Ltd. combinations
Shenzhen Shenzhen Service 100.00% involving
enterprises under
common control
Sinopharm Holding Business
Guangzhou Co., Ltd. combinations
Guangzhou Guangzhou Commercial 100.00% involving
enterprises under
common control
Sinopharm Holding Business
Guangdong Hengxing combinations
Pharmaceutical Co., Ltd. Guangzhou Guangzhou Commercial 100.00% involving
enterprises under
common control
Sinopharm Holding Yulin Business
Co., Ltd. combinations
Yulin Yulin Commercial 100.00% involving
enterprises under
common control
Sinopharm Medicine Holding Business
Liuzhou Co., Ltd. combinations
Liuzhou Liuzhou Commercial 51.00% involving
enterprises under
common control
Guangxi Chinese Herbal Business
Pieces combinations
Liuzhou Liuzhou Manufacturing 51.00% involving
enterprises under
common control
Guangdong Huixin Investment Business
Guangzhou Guangzhou Service 100.00%
Co., Ltd. combinations
108
国药集团一致药业股份有限公司 2015 年半年度报告
involving
enterprises under
common control
Sinopharm Holding Foshan Business
Co., Ltd. combinations
Foshan Foshan Commercial 100.00% involving
enterprises under
common control
Sinopharm Holding Business
Guangdong Yuexing Co., combinations
Ltd. Guangzhou Guangzhou Commercial 100.00% involving
enterprises under
common control
Sinopharm Holding Business
Guangdong Logistics Co., combinations
Ltd. Guangzhou Guangzhou Service 100.00% involving
enterprises under
common control
Sinopharm Guangxi Business
combinations
Nanning Nanning Commercial 100.00% involving
enterprises under
common control
Sinopharm Holding Guangxi Business
Logistics Co., Ltd. combinations
Nanning Nanning Service 100.00% involving
enterprises under
common control
Zhijun (Shenzhen) Pingshan Business
combinations
Shenzhen Shenzhen Manufacturing 100.00% involving
enterprises under
common control
Sinopharm Holding Wuzhou Business
Co., Ltd. combinations
Wuzhou Wuzhou Commercial 99.90% involving
enterprises under
common control
Sinopharm Group Zhijun Business
(Suzhou) Pharmaceutical combinations
Suzhou Suzhou Manufacturing 100.00%
Co. Ltd. involving
enterprises under
109
国药集团一致药业股份有限公司 2015 年半年度报告
common control
Sinopharm holding Dongguan Business
Co., Ltd. combinations
involving
Dongguan Dongguan Commercial 100.00%
enterprises not
under common
control
Sinopharm Holding Zhanjiang Business
Co., Ltd. combinations
involving
Zhanjiang Zhanjiang Commercial 100.00%
enterprises not
under common
control
Sinopharm Holding Shenzhen Business
Yanfeng Co.,Ltd combinations
involving
Shenzhen Shenzhen Commercial 51.00%
enterprises not
under common
control
Sinopharm Holding Meizhou Business
Co., Ltd. combinations
involving
Meizhou Meizhou Commercial 100.00%
enterprises not
under common
control
Sinopharm Holding Huizhou Business
Co., Ltd. combinations
involving
Huizhou Huizhou Commercial 100.00%
enterprises not
under common
control
Sinopharm Holding Zhaoqing Business
Co., Ltd.
combinations
involving
Zhaoqing Zhaoqing Commercial 100.00%
enterprises not
under common
control
Sinopharm Holding Jiangmen Business
Renren Co., Ltd.
combinations
Jiangmen Jiangmen Commercial 100.00% involving
enterprises not
under common
110
国药集团一致药业股份有限公司 2015 年半年度报告
control
Sinopharm Holding Shaoguan Business
Co., Ltd.
combinations
involving
Shaoguan Shaoguan Commercial 70.00%
enterprises not
under common
control
Sinopharm Holding Shantou Business
Co., Ltd.
combinations
involving
Shantou Shantou Commercial 70.00%
enterprises not
under common
control
Sinopharm Holding
Guangzhou Medical Guangzhou Guangzhou Commercial 51.00% Set up
Management Co., Ltd.
2. Associates
(1) Financial information of the nonsignificant cooperative and joint venture
Unit:RMB
30 June 2015 31 December 2014
Associates -- --
Book value of investment 151,691,888.28 157,604,846.85
Total Amount according to the
-- --
shareholding proportions
--Net profit 28,274,061.44 50,415,836.33
-- Other comprehensive income 0.00 0.00
-- Total comprehensive income 0.00 0.00
X. Related party relationships and significant related party transactions
1. The parent company
The proportions of
The proportions of
equity interests in
Place of Registered voting rights in the
The parent company Principal business the Company held
registration capital Company held by the
by the parent
parent company
company
Industrial Investment 2,767,095,089
Sinopharm Group Shanghai 51.00% 51.00%
Holding, Trustee of yuan
111
国药集团一致药业股份有限公司 2015 年半年度报告
pharmaceutical
enterprise, Assets
Reorganization,
Distribution and retail of
medicines and
pharmaceutical
products, etc
The Company’s ultimate controlling equity holder is CNPGC.
2. Subsidiaries of the Company
The general background and other related information of the subsidiaries is set out in Note IX (1).
3. Associates
Associates consolidated in the financial statements are listed in Note VII (9).
The associates which have balance formed from related party transactions with us shows as below:
Company nace Relationship with the Company
Wanle Medical Associate
4. Other related parties
Other related parties Relationship with the Company
Sinopharm Holding Sub Marketing Center Co., Ltd. Controlled by Sinopharm Group
China National Medicines Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Hunan Co., Ltd. Controlled by Sinopharm Group
Guangdong Dong Fang Uptodate & Special Medicines Co.,
Controlled by Sinopharm Group
Ltd.
Foshan Nanhai Uptodate & Special Medicines Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Beijing Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jiangsu Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Hainan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group Chemical Reagent Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Guizhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Zhangzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Beijing Huahong Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Hubei Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Fujian Co., Ltd. Controlled by Sinopharm Group
112
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Yixin Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Fuzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Suzhou Co., Ltd. Controlled by Sinopharm Group
Foshan Nanhai Medicine Co., Ltd. Controlled by Sinopharm Group
Foshan Nanhai Medicine Group Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group Chemical Reagent Suzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Chongqing Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group Guorui Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Dezhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Hainan Hongyi Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Yunnan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Putian Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding (Yangzhou) Chinese Western Medicine
Controlled by Sinopharm Group
Branch Co., Ltd.
Sinopharm Holding Shandong Co., Ltd. Controlled by Sinopharm Group
Sinopharm Le -Ren-Tang Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group Xinjiang Special Drugs National
Controlled by Sinopharm Group
Pharmaceutical Co., Ltd.
Sinopharm Group Southwest Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Ningxia Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Tianjin Co., Ltd. Controlled by Sinopharm Group
Sinopharm Guoda Drug Store Guangxi Chain Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Zhejiang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Nantong Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Gansu Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Xinjiang Special Drugs Western
Controlled by Sinopharm Group
Pharmaceutical Co., Ltd.
Sinopharm Holding Shenyang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Wenzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jinzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Henan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Shanxi Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Heilongjiang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Yangzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Shan`xi Co., Ltd. Controlled by Sinopharm Group
113
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding Xuzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Guoda Drug Store Jiangmen Chain Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jilin Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Wuxi Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Guoda Pharmacy Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Yancheng Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Dalian Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Taizhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Inner Mongolia Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Tianjin North Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Qinghai Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Changzhou Medical logistics center
Controlled by Sinopharm Group
Co., Ltd.
Sinopharm Holding Longyan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Ningde Co., Ltd. Controlled by Sinopharm Group
Sinopharm Lerentang Tangshan Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jinan Co., Ltd. Controlled by Sinopharm Group
Shanghai Nuoyun Marketing Consulting Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Qingdao Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jiangxi Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Yantai Co., Ltd. Controlled by Sinopharm Group
Shanghai Donghong Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Wuhu Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Anqing Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Quanzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Huaian Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Sanming Co., Ltd. Controlled by Sinopharm Group
Sinopharm Lerentang Qinhuangdao Medicine Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Changzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Anhui Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding ChiFeng Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Xinjiang New Kashi Pharmaceutical
Controlled by Sinopharm Group
Co., Ltd.
Sinopharm Holding HongKong Co., Ltd. Controlled by Sinopharm Group
Shanxi Guoyi Drug Store Co., Ltd. Controlled by Sinopharm Group
114
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Xinjiang Korla Pharmaceutical Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Zhoukou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Shangqiu Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jingmen Co., Ltd. Controlled by Sinopharm Group
Shanghai Nutraceuticals (Shanghai) Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Beijing Kangchen Bio-Pharmaceutical
Controlled by Sinopharm Group
Co., Ltd.
Sinopharm Holding Nanping Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Tongliao Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Xinxiang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Puyang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Guoda Drug Store Guangzhou Chain
Controlled by Sinopharm Group
Co., Ltd.
Sinopharm Holding Macheng Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Huaideju Pharmaceutical (Xiamen) Co.,
Controlled by Sinopharm Group
Ltd.
Guoda Shenyang Tianyitang Pharmacy Chain Store Co.,
Controlled by Sinopharm Group
Ltd.
Sinopharm Holding Dandong Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Zhejiang Biological Product Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Qianxinan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Changde Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Anyang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Kaifeng Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Xinyu Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group Medicine Logistic Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Guoda Drug Store Guangdong Co., Ltd. Controlled by Sinopharm Group
Shanghai Tongyu Information Technology Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Hunan Guoda Minshengtang Drug
Controlled by Sinopharm Group
Store Chain Co., Ltd.
Sinopharm Holding Beijing Tianxing Puxin Biological
Controlled by Sinopharm Group
Medical Co., Ltd.
Sinopharm Holding Shanghai Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group (Tianjin) Eastern Bokang Pharmaceutical
Controlled by Sinopharm Group
Co., Ltd.
Sinopharm Holding Liaocheng Co., Ltd. Controlled by Sinopharm Group
115
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Xingsha Pharmaceuticals (Xiamen) Co., Ltd. Controlled by Sinopharm Group
Shanghai Merro Pharmaceutical Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Jining Co., Ltd. Controlled by Sinopharm Group
Group Financial Co. Controlled by CNPGC
Guang dong South Pharmaceutical Foreign Trade Co., Ltd. Controlled by CNPGC
Chengdu Rongsheng Pharmacy Co., Ltd. Controlled by CNPGC
Winteam Pharmaceutical Group Ltd. Controlled by CNPGC
Lanzhou Institute of Biological Products Co., Ltd. Controlled by CNPGC
China National Pharmaceutical Industry Medicine
Controlled by CNPGC
distribution Co. Ltd.
Huayi Pharmaceutical Co., Ltd Controlled by CNPGC
Wuhan Institute of Biological Products Co., Ltd. Controlled by CNPGC
Sinopharm Group Weiqida Medicine Co., Ltd. Controlled by CNPGC
Guizhou Tongjitang Pharmaceutical Co., Ltd. Controlled by CNPGC
China National Pharmaceutical Foreign Trade Co., Ltd. Controlled by CNPGC
Shanghai Shyndec Pharmaceutical Co., Ltd. Controlled by CNPGC
Sinopharm Group Rongsheng Pharmaceutical Co., Ltd. Controlled by CNPGC
Anhui Jingfang Pharmaceutical Co., Ltd. Controlled by CNPGC
Shandong Lu Ya Pharmaceutical Co., Ltd. Controlled by CNPGC
Sinopharm Group Shanghai Medicine Device Co., Ltd. Controlled by CNPGC
Guizhou Longlife Pharmacertical Co., Ltd. Controlled by CNPGC
Guangdong Medi-World Pharmacertical Co., Ltd. Controlled by CNPGC
China Sinopharm International Corporation Controlled by CNPGC
Reed Sinopharm Exhibitions Co., Ltd. Controlled by CNPGC
China National Scientific Instruments & Materials Imp/Exp
Controlled by CNPGC
Shenzhen CO., Ltd
Heilongjiang Sinopharm Medical Herbs Co., Ltd. Controlled by CNPGC
Beijing Fusheng Tiandi Property Management Ltd. Controlled by CNPGC
Sinopharm (Shanghai) E-Health Co,.Ltd. Controlled by CNPGC
Sinopharm Group Guangdong Medicine Device Co., Ltd. Controlled by CNPGC
Shanghai Institute of Pharmaceutical Industry Controlled by CNPGC
Sinopharm Chongqing Pharmaceutical and Medical
Controlled by CNPGC
Industry Design Institute
China State Institute of Pharmaceutical Industry Controlled by CNPGC
Foshan Dezhong Pharmaceutical Co., Ltd. Controlled by CNPGC
116
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Group Beijing Medical equipment Co., Ltd. Controlled by CNPGC
Foshan Fengliaoxing Pharmaceutical Co., Ltd. Controlled by CNPGC
The Fourth Pharmaceutical Co., Ltd. of Zhonglian Group Controlled by CNPGC
Beijing Huasheng Pharmaceutical Biotechnology
Controlled by CNPGC
Development Co., Ltd.
Shanghai Fosun Pharmaceutical (Group) Co., Ltd. (“Fosun
Shareholders have signigicant influence on Sinopharm Group
Pharma”)
Jiangsu Wanbang Pharmacy Marketing Co., Ltd. Subsdiary of Fosun Pharm
Chongqing Yaoyou Pharmaceutical Co., Ltd. Subsdiary of Fosun Pharm
Chongqing Haisiman Pharmaceutical Co., Ltd. Subsdiary of Fosun Pharm
Guilin South pharmaceutical Co., Ltd. Subsdiary of Fosun Pharm
Hunan Dongting Pharmaceutical Co., Ltd. Subsdiary of Fosun Pharm
Shanghai Chaohui Pharmecurical Co., Ltd. Subsdiary of Fosun Pharm
Foshan Chancheng District Central Hospital Subsdiary of Fosun Pharm
Jiangsu Huanghe Pharmaceutical Co., Ltd Subsdiary of Fosun Pharm
Shenyang Hongqi Pharmaceutical Co., Ltd. Subsdiary of Fosun Pharm
Wang Yang Family member of minority interest of subsidiary
Shaoguan Wujiang District Muyang Medicine Information
Controlled by minority interest of subsidiary
Consultant Co., Ltd.
Yichang Humanwell Pharmaceutical Co., Ltd. Associate of Sinopharm Group
Shanghai Wanli Medical Beauty Clinic Limited Associate of Sinopharm Group
Sino-Swed Pharmaceutical Corp.Ltd. Associate of CNPGC
China Otsuka Pharmaceutical Co., Ltd. Associate of CNPGC
Shanghai Sailun Biological Technology Co., Ltd. Associate of CNPGC
Shenzhen Wanwei Medicine trading Co., Ltd. Subsidiary of Wanle Medical
Jiang Meng Renren Medical instrument Co., Ltd. Controlled by subsidiary's key management
Beijing Huasheng Pharmaceutical Biotechnology
Controlled by CNPGC
Development Co., Ltd.
Changchun Changsheng Gene Pharmaceutical Co., Ltd. Associate of CNPGC
Foshan Fengliaoxing Pharmaceutical Co., Ltd. Controlled by CNPGC
Foshan Chancheng District Pharmaceutical Co., Ltd Subsdiary of Fosun Pharm
Foshan Chanyixing Medicine Development Co Ltd Subsdiary of Fosun Pharm
Sinopharm (Shanghai) E-Health Co,.Ltd. Controlled by CNPGC
China National Pharmaceutical Industry Co., Ltd. Controlled by CNPGC
Sinopharm Group Guangdong Medical Inspection Co., Ltd Controlled by CNPGC
117
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding Sanyi Medicine(Wuhu) Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group Shanghai Likang Pharmaceutical Co.
Controlled by Sinopharm Group
Ltd.
Sinopharm Group Zhonglian Pharmaceutical Co. Ltd. Controlled by CNPGC
Shanghai Nutraceuticals (Shanghai) Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Chenzhou Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Chengdu Pharmaceutical Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Fuyang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Group The Parent Company
Sinopharm Holding Shanghai management consulting
Controlled by Sinopharm Group
branch
Sinopharm Holding Guoda Fumei Pharmaceutical
Controlled by Sinopharm Group
(Shanghai) Co., Ltd.
Guoda Shenyang Tianyitang Pharmacy Chain Store Co.,
Controlled by Sinopharm Group
Ltd.
Sinopharm Guoda Drug Store(Shenzhen) Chain Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Hebei Pharmaceutical Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Huaideju Pharmaceutical (Xiamen) Co.,
Controlled by Sinopharm Group
Ltd.
Sinopharm Holding Huainan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Lunan Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Luoyang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Nanping New Power Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Nanyang Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Shanxi Linfen Co., Ltd. Controlled by Sinopharm Group
Sinopharm Sichuan Pharmaceutical Co., Ltd. Controlled by Sinopharm Group
Sinopharm Holding Suzhou Kangmin Pharmaceutical Co.
Controlled by Sinopharm Group
Ltd.
Sinopharm Holding Hongkong International Co. Ltd Controlled by Sinopharm Group
Sinopharm Holding Xinjiang Xinte Karamay Pharmaceutical
Controlled by Sinopharm Group
Co., Ltd.
Handan Pharmaceutical Co., Ltd Subsdiary of Fosun Pharm
Hetian Region Ankang Chain Drugstore Co., Ltd. Controlled by Sinopharm Group
NanJing Iron & Steel Co., Ltd. Subsdiary of Fosun Pharm
Nanjing Iron & Steel Group International Trade Co., Ltd Subsdiary of Fosun Pharm
Ningxia Guoda Drug StoreChain Co., Ltd. Controlled by Sinopharm Group
118
国药集团一致药业股份有限公司 2015 年半年度报告
Qinghai Medical Pharmaceutical Material Co., Ltd. Controlled by CNPGC
Qinghai Pharmaceutical (Group) Co., Ltd. Controlled by CNPGC
Shanghai Modern Hasen (Shangqiu) Pharmacertical Co.,
Controlled by CNPGC
Ltd.
Shanghai Institute of biomedical Pharmaceutical Co. Ltd Controlled by CNPGC
Shenzhen Wanle Medical Co., Ltd. Associate
Sichuan Hexin Pharmaceutical Co., Ltd. Subsdiary of Fosun Pharm
Sichuan Jiang You Zhong Ba Science and Technology
Controlled by CNPGC
Development Co., Ltd.
Sichuan Kang Daxin Pharmaceutical Co., Ltd. Associate of CNPGC
Suzhou Erye Pharmaceutical Limited Company Subsdiary of Fosun Pharm
China scientific equipment company Controlled by CNPGC
CNPGC Controlled by CNPGC
China Traditional Chinese Medicine Co. Controlled by CNPGC
5. Related party transactions
(1)Purchase/Sales of goods, Purchase/Rendering of servic
Purchase of goods / Purchase of service
Unit:RMB
For the six For the six months
Related party Approved trading Whether exceed
Related party months ended ended
transactions limit trading limit
30 June 2015 30 June 2014
Sinopharm
Holding Sub Purchase of
473,896,462.97 No 448,119,799.98
Marketing Center goods
Co., Ltd.
Purchase of
Sinopharm Group 220,482,005.40 No 220,264,634.58
goods
China National
Purchase of
Medicines Co., 182,000,081.49 2,700,000,000.00 No 156,923,025.22
goods
Ltd.
Sino-Swed
Purchase of
Pharmaceutical 44,774,861.25 No 40,529,477.76
goods
Corp.Ltd.
Shenzhen
Purchase of
Wanwei Medicine 37,187,026.99 No 26,430,381.62
goods
trading Co., Ltd.
119
国药集团一致药业股份有限公司 2015 年半年度报告
Guang dong
South
Purchase of
Pharmaceutical 24,983,541.39 No 26,699,952.31
goods
Foreign Trade
Co., Ltd.
Jiangsu Wanbang
Pharmacy Purchase of
21,718,308.34 No 16,787,691.74
Marketing Co., goods
Ltd.
Foshan Nanhai
Uptodate & Purchase of
14,813,289.21 No 3,370,955.43
Special Medicines goods
Co., Ltd.
Sinopharm
Purchase of
Holding Guizhou 11,777,123.06 No 15,495,788.70
goods
Co., Ltd.
Chongqing
Yaoyou Purchase of
11,561,348.52 No 8,795,511.61
Pharmaceutical goods
Co., Ltd.
Lanzhou Institute
Purchase of
of Biological 10,770,840.00 No 5,425,700.00
goods
Products Co., Ltd.
Winteam
Purchase of
Pharmaceutical 10,095,226.43 No 21,242,409.32
goods
Group Ltd.
Chengdu
Rongsheng Purchase of
8,372,573.00 No 16,530,660.00
Pharmacy Co., goods
Ltd.
Qinghai
Purchase of
Pharmaceutical 4,514,443.50 No 4,677,786.37
goods
(Group) Co., Ltd.
Wuhan Institute of
Purchase of
Biological 3,936,356.00 No 3,348,300.00
goods
Products Co., Ltd.
Guangdong Dong
Fang Uptodate & Purchase of
3,073,788.88 No 2,964,854.03
Special Medicines goods
Co., Ltd.
Sinopharm Group Purchase of 2,980,769.22 No 1,277,376.15
120
国药集团一致药业股份有限公司 2015 年半年度报告
Weiqida Medicine goods
Co., Ltd.
Chongqing
Haisiman Purchase of
2,290,382.37 No 4,965,950.85
Pharmaceutical goods
Co., Ltd.
Sinopharm
Holding Beijing
Purchase of
Tianxing Puxin 2,062,006.33 No 0.00
goods
Biological Medical
Co., Ltd.
Guizhou
Tongjitang Purchase of
1,658,359.36 No 1,067,484.63
Pharmaceutical goods
Co., Ltd.
Sinopharm
Purchase of
Holding Beijing 1,633,846.16 No 2,202,461.51
goods
Co., Ltd.
China National
Scientific
Instruments & Purchase of
1,549,539.30 No 0.00
Materials Imp/Exp goods
Shenzhen CO.,
Ltd
Sinopharm
Purchase of
Holding Beijing 1,368,186.29 No 491,441.87
goods
Huahong Co., Ltd.
Beijing Huasheng
Pharmaceutical
Purchase of
Biotechnology 1,165,876.23 No 1,260,683.77
goods
Development Co.,
Ltd.
Shanghai
Shyndec Purchase of
993,581.20 No 969,389.51
Pharmaceutical goods
Co., Ltd.
Sinopharm Group
Rongsheng Purchase of
760,017.61 No 555,012.76
Pharmaceutical goods
Co., Ltd.
Sinopharm Group Purchase of 624,526.11 No 200,653.94
121
国药集团一致药业股份有限公司 2015 年半年度报告
Chemical Reagent goods
Co., Ltd.
China Otsuka
Purchase of
Pharmaceutical 589,739.54 No 346,591.41
goods
Co., Ltd.
Anhui Jingfang
Purchase of
Pharmaceutical 535,332.58 No 335,214.26
goods
Co., Ltd.
China National
Pharmaceutical Purchase of
530,655.75 No 497,742.52
Foreign Trade goods
Co., Ltd.
Sichuan Hexin
Purchase of
Pharmaceutical 441,452.30 No 0.00
goods
Co., Ltd.
Sinopharm
Holding Chengdu Purchase of
346,153.85 No 0.00
Pharmaceutical goods
Co., Ltd.
Sinopharm Group
Zhonglian Purchase of
343,373.23 No 221,943.60
Pharmaceutical goods
Co. Ltd.
Foshan Nanhai Purchase of
338,654.17 No 118,741.27
Medicine Co., Ltd. goods
Sinopharm Group
Purchase of
Southwest 305,128.20 No 10,165.02
goods
Medicine Co., Ltd.
Sinopharm Group
Purchase of
Chemical Reagent 161,323.08 No 83,248.85
goods
Suzhou Co., Ltd.
Shenyang Hongqi
Purchase of
Pharmaceutical 240,758.99 No 80,871.78
goods
Co., Ltd.
Sinopharm Group
Purchase of
Guorui Medicine 234,240.60 No 257,749.58
goods
Co., Ltd.
Sinopharm
Purchase of
Holding Hubei 229,075.88 No 2,027,299.39
goods
Co., Ltd.
122
国药集团一致药业股份有限公司 2015 年半年度报告
Guilin South
Purchase of
pharmaceutical 226,311.99 No 206,809.88
goods
Co., Ltd.
Foshan
Fengliaoxing Purchase of
168,830.34 No 0.00
Pharmaceutical goods
Co., Ltd.
Handan
Purchase of
Pharmaceutical 150,992.73 No 65,307.69
goods
Co., Ltd
Sinopharm
Purchase of
Holding Hunan 130,865.31 No 9,009,304.51
goods
Co., Ltd.
Yichang
Humanwell Purchase of
122,603.64 No 22,017.09
Pharmaceutical goods
Co., Ltd.
Sinopharm
Purchase of
Holding Luoyang 97,094.01 No 0.00
goods
Co., Ltd.
Shanghai Modern
Hasen (Shangqiu) Purchase of
87,488.42 No 139,950.72
Pharmacertical goods
Co., Ltd.
Sichuan Jiang You
Zhong Ba Science
Purchase of
and Technology 63,716.82 No 0.00
goods
Development Co.,
Ltd.
Sinopharm
Xingsha Purchase of
60,354.91 No 51,784.45
Pharmaceuticals goods
(Xiamen) Co., Ltd.
Hunan Dongting
Purchase of
Pharmaceutical 53,955.90 No 47,235.90
goods
Co., Ltd.
Suzhou Erye
Purchase of
Pharmaceutical 49,594.02 No 0.00
goods
Limited Company
Sinopharm Guoda Purchase of
48,160.32 No 6,981.60
Drug goods
123
国药集团一致药业股份有限公司 2015 年半年度报告
Store(Shenzhen)
Chain Co., Ltd.
Shanghai Institute
of biomedical Purchase of
39,205.99 No 0.00
Pharmaceutical Co. goods
Ltd
Sinopharm
Purchase of
Holding Dalian 11,282.05 No 0.00
goods
Co., Ltd.
Foshan
Fengliaoxing Purchase of
9,415.93 No 0.00
Pharmaceutical goods
Co., Ltd.
Sinopharm
Purchase of
Holding Hainan 5,864.40 No 0.00
goods
Hongyi Co., Ltd.
Sinopharm
Purchase of
Holding Shan`xi 5,230.38 No 6,123.49
goods
Co., Ltd.
Sinopharm Group
Guangdong
Purchase of
Medical 632.48 No 0.00
goods
Inspection Co.,
Ltd
Sinopharm
Purchase of
Holding Suzhou 187.18 No -4,919.87
goods
Co., Ltd.
Sinopharm
Purchase of
Holding Shanxi 0.00 No 261,572.93
goods
Co., Ltd.
Sinopharm
Holding Beijing
Purchase of
Kangchen 0.00 No 1,023,607.50
goods
Bio-Pharmaceutic
al Co., Ltd.
Sinopharm
Purchase of
Holding Henan 0.00 No 20,782.77
goods
Co., Ltd.
Sinopharm
Purchase of
Holding Dezhou 0.00 No 14,666.67
goods
Co., Ltd.
124
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm
Purchase of
Holding Hainan 0.00 No 51,342.54
goods
Co., Ltd.
Sinopharm
Purchase of
Holding Fujian 0.00 No 491,008.63
goods
Co., Ltd.
Sinopharm
Purchase of
Holding Ningxia 0.00 No 2,569.50
goods
Co., Ltd.
Sinopharm Yixin Purchase of
0.00 No 61,102.56
Medicine Co., Ltd. goods
Sinopharm
Holding Purchase of
0.00 No 131,917.94
Heilongjiang Co., goods
Ltd.
Jiangsu Huanghe
Purchase of
Pharmaceutical 0.00 No 4,935.91
goods
Co., Ltd
Sinopharm Group
Shanghai Purchase of
0.00 No 11,219.09
Medicine Device goods
Co., Ltd.
Shandong Lu Ya
Purchase of
Pharmaceutical 0.00 No 349,143.80
goods
Co., Ltd.
Guizhou Longlife
Purchase of
Pharmacertical -25.64 No -7,666.67
goods
Co., Ltd.
Sinopharm
Purchase of
Holding Macheng -214.86 No 4,228,615.37
goods
Co., Ltd.
Guangdong
Medi-World Purchase of
-427.18 No -329.44
Pharmacertical goods
Co., Ltd.
Sinopharm
Holding Sanyi Purchase of
-1,054.87 No 0.00
Medicine(Wuhu) goods
Co., Ltd.
Shenzhen Wanle Purchase of -7,097.80 No 15,230,871.29
125
国药集团一致药业股份有限公司 2015 年半年度报告
Medical Co., Ltd. goods
Sinopharm
Purchase of
Holding Jiangsu -19,408.20 No 32,365.44
goods
Co., Ltd.
Sinopharm
Chongqing
Pharmaceutical Other labor
31,325,674.00 No 0.00
and Medical service
Industry Design
Institute
Sinopharm
Chongqing
Pharmaceutical
Designing fee 1,129,620.00 No 2,855,000.00
and Medical
Industry Design
Institute
Sinopharm Group Transportation
Medicine Logistic and warehousing 922,860.39 No 791,201.60
Co., Ltd. charges
Sinopharm
Chongqing
Pinshan
Pharmaceutical
management 527,358.49 No 5,372,663.52
and Medical 82,000,000.00
fees
Industry Design
Institute
Sinopharm Group Information
Medicine Logistic system 443,026.99 No 284,905.66
Co., Ltd. maintenance
China scientific
Other labor
equipment 192,500.00 No 0.00
service
company
Shanghai Institute Research and
of Pharmaceutical development 175,471.70 No 202,500.00
Industry expenses
Reed Sinopharm
Exhibition
Exhibitions Co., 34,000.00 No 44,000.00
expenses
Ltd.
Sinopharm
Research and
Xingsha
development 16,500.00 No 0.00
Pharmaceuticals
expenses
(Xiamen) Co., Ltd.
126
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm
Holding Shanghai Other labor
3,600.00 No 0.00
management service
consulting branch
Sinopharm Group Research and
Chemical Reagent development 1,625.64 No 765.39
Suzhou Co., Ltd. expenses
Sinopharm
Other labor
Holding Shenyang 0.00 No 400,619.60
service
Co., Ltd.
Sinopharm
Holding Guoda Product
Drug Store promotion 0.00 No 21,266.28
Guangdong Co., expense
Ltd.
Sinopharm
Product
Holding Guoda
promotion 0.00 No 2,500.00
Pharmacy Co.,
expense
Ltd.
Sales of goods /Rendering of service
Unit:RMB
Content of related party For the six months ended For the six months ended
Related party
transactions 30 June 2015 30 June 2014
Sinopharm Holding Hunan
Sales of goods 77,915,186.98 72,105,886.82
Co., Ltd.
Foshan Nanhai Uptodate &
Sales of goods 76,833,546.36 66,588,829.16
Special Medicines Co., Ltd.
Sinopharm Holding
Sales of goods 47,623,472.79 26,390,588.97
Shandong Co., Ltd.
Sinopharm Sichuan
Sales of goods 43,440,891.95 0.00
Pharmaceutical Co., Ltd.
Sinopharm Holding Hainan
Sales of goods 42,611,254.30 39,682,622.73
Co., Ltd.
Sinopharm Holding Beijing
Sales of goods 40,646,909.68 34,745,031.52
Co., Ltd.
Foshan Nanhai Medicine
Sales of goods 40,499,542.53 31,285,279.06
Co., Ltd.
Sinopharm Group (Tianjin)
Sales of goods 37,385,364.68 28,100,874.23
Eastern Bokang
127
国药集团一致药业股份有限公司 2015 年半年度报告
Pharmaceutical Co., Ltd.
Sinopharm Le -Ren-Tang
Sales of goods 34,684,209.72 36,907,139.61
Medicine Co., Ltd.
Sinopharm Holding Guoda
Drug Store Guangdong Co., Sales of goods 34,048,558.78 33,487,776.29
Ltd.
Sinopharm Holding Hubei
Sales of goods 32,219,359.25 43,201,513.00
Co., Ltd.
Sinopharm Holding Beijing
Sales of goods 31,818,003.87 30,414,890.53
Huahong Co., Ltd.
Sinopharm Group Xinjiang
Special Drugs National Sales of goods 31,056,792.97 27,779,324.67
Pharmaceutical Co., Ltd.
Sinopharm Holding Ningxia
Sales of goods 21,192,630.53 22,098,551.90
Co., Ltd.
Sinopharm Guoda Drug
Store Guangxi Chain Co., Sales of goods 16,268,845.77 14,748,263.80
Ltd.
Sinopharm Group Sales of goods 15,579,638.74 12,503,255.00
Sinopharm Holding Sub
Sales of goods 15,497,277.04 28,351,930.01
Marketing Center Co., Ltd.
Sinopharm Holding Tianjin
Sales of goods 15,395,118.07 11,864,858.00
Co., Ltd.
Sinopharm Group Southwest
Sales of goods 15,212,888.04 15,688,262.79
Medicine Co., Ltd.
Sinopharm Holding Wenzhou
Sales of goods 15,099,938.24 12,934,486.31
Co., Ltd.
Sinopharm Holding Hainan
Sales of goods 12,678,051.93 11,565,687.67
Hongyi Co., Ltd.
Sinopharm Holding Nantong
Sales of goods 12,309,543.99 13,355,319.76
Co., Ltd.
Sinopharm Holding Xinjiang
Special Drugs Western Sales of goods 11,741,123.13 12,691,533.61
Pharmaceutical Co., Ltd.
Sinopharm Holding Zhejiang
Sales of goods 11,611,214.64 18,471,568.26
Co., Ltd.
Sinopharm Holding Fuzhou
Sales of goods 9,718,182.05 6,648,904.14
Co., Ltd.
Sinopharm Holding Yunnan Sales of goods 9,419,118.45 7,109,332.86
128
国药集团一致药业股份有限公司 2015 年半年度报告
Co., Ltd.
Sinopharm Holding Jinzhou
Sales of goods 9,282,821.20 10,859,701.89
Co., Ltd.
Sinopharm Holding Henan
Sales of goods 8,870,236.38 5,559,429.50
Co., Ltd.
Foshan Chancheng District
Sales of goods 8,798,005.75 0.00
Pharmaceutical Co., Ltd
Guangdong Dong Fang
Uptodate & Special Sales of goods 7,213,575.88 8,344,388.58
Medicines Co., Ltd.
Sinopharm Holding Shanxi
Sales of goods 5,999,416.05 4,114,435.39
Co., Ltd.
Sinopharm Holding Shanxi
Sales of goods 5,960,444.74 4,197,414.13
Co., Ltd.
Sinopharm Holding
Sales of goods 5,782,044.41 7,224,474.70
Shenyang Co., Ltd.
Sinopharm Holding Guizhou
Sales of goods 5,116,359.93 3,259,653.28
Co., Ltd.
Sinopharm Holding Chengdu
Sales of goods 4,656,653.54 0.00
Pharmaceutical Co., Ltd.
Sinopharm Guoda Drug
Store Jiangmen Chain Co., Sales of goods 4,525,339.36 3,321,010.31
Ltd.
Sinopharm Holding
Sales of goods 3,443,566.66 4,182,733.84
Heilongjiang Co., Ltd.
Sinopharm Holding
Sales of goods 3,253,616.01 4,493,029.85
Yangzhou Co., Ltd.
Foshan Chancheng District
Sales of goods 3,007,579.36 5,086,729.68
Central Hospital
China National Medicines
Sales of goods 2,441,499.27 2,670,378.79
Co., Ltd.
Sinopharm Holding Gansu
Sales of goods 2,123,949.16 1,325,545.44
Co., Ltd.
Sinopharm Holding Qinghai
Sales of goods 2,037,902.58 1,238,266.68
Co., Ltd.
Sinopharm Holding Qingdao
Sales of goods 1,789,913.20 2,209,254.70
Co., Ltd.
Sinopharm Holding Fujian
Sales of goods 1,708,344.06 2,324,732.15
Co., Ltd.
129
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding
Sales of goods 1,604,406.39 1,731,905.99
Yancheng Co., Ltd.
Sinopharm Holding Wuxi
Sales of goods 1,593,582.85 2,131,601.56
Co., Ltd.
Sinopharm Holding Jilin Co.,
Sales of goods 1,580,127.02 2,349,302.00
Ltd.
Sinopharm Holding Inner
Sales of goods 1,529,454.28 1,417,306.25
Mongolia Co., Ltd.
Sinopharm Holding Guoda
Sales of goods 1,307,427.35 887,680.93
Pharmacy Co., Ltd.
Sinopharm Lerentang
Sales of goods 1,254,769.21 927,692.31
Tangshan Medicine Co., Ltd.
Sinopharm Holding Suzhou
Kangmin Pharmaceutical Co. Sales of goods 1,125,856.31 0.00
Ltd.
Sinopharm Holding Lunan
Sales of goods 978,264.96 736,160.68
Co., Ltd.
Sinopharm Holding Xuzhou
Sales of goods 910,548.70 4,958,689.10
Co., Ltd.
Chongqing Yaoyou
Sales of goods 794,871.79 12,201,923.07
Pharmaceutical Co., Ltd.
Sinopharm Holding Longyan
Sales of goods 794,650.72 662,502.50
Co., Ltd.
Sinopharm Holding Tianjin
Sales of goods 777,435.92 1,095,282.10
North Medicine Co., Ltd.
Sinopharm Holding Taizhou
Sales of goods 732,858.62 895,744.78
Co., Ltd.
Sinopharm Holding
Sales of goods 660,609.25 932,349.94
Quanzhou Co., Ltd.
Sinopharm Holding Dalian
Sales of goods 607,011.05 809,692.99
Co., Ltd.
Sinopharm Holding
Sales of goods 591,571.81 5,591,245.35
Chongqing Co., Ltd.
Sinopharm Holding Ningde
Sales of goods 464,264.03 528,805.48
Co., Ltd.
Sinopharm Holding Shan`xi
Sales of goods 442,999.38 540,110.85
Co., Ltd.
Sinopharm Holding Putian
Sales of goods 381,461.55 633,318.71
Co., Ltd.
130
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding
Changzhou Medical logistics Sales of goods 356,495.77 282,139.32
center Co., Ltd.
Sinopharm Holding Anqing
Sales of goods 327,912.83 622,112.83
Co., Ltd.
Sinopharm Holding Jiangsu
Sales of goods 309,194.86 177,248.72
Co., Ltd.
Sinopharm Lerentang
Qinhuangdao Medicine Co., Sales of goods 307,179.50 142,871.79
Ltd.
Sinopharm Holding Anhui
Sales of goods 301,567.25 -6,872.42
Co., Ltd.
Sinopharm Holding Changde
Sales of goods 281,577.44 356,700.14
Co., Ltd.
Sinopharm Holding Sanming
Sales of goods 237,305.65 131,856.84
Co., Ltd.
Sinopharm Holding Jiangxi
Sales of goods 228,099.69 83,923.13
Co., Ltd.
Sinopharm Holding Yantai
Sales of goods 227,815.40 302,765.11
Co., Ltd.
Jiang Meng Renren Medical
Sales of goods 199,355.46 0.00
instrument Co., Ltd.
Sinopharm Group Guorui
Sales of goods 134,615.38 0.00
Medicine Co., Ltd.
Qinghai Medical
Pharmaceutical Material Co., Sales of goods 113,333.33 0.00
Ltd.
Hetian Region Ankang Chain
Sales of goods 92,155.52 0.00
Drugstore Co., Ltd.
China National Scientific
Instruments & Materials Sales of goods 81,230.76 121,846.17
Imp/Exp Shenzhen CO., Ltd
Shanghai Merro
Sales of goods 77,694.03 459,604.35
Pharmaceutical Co., Ltd.
Guang dong South
Pharmaceutical Foreign Sales of goods 76,327.18 1,122,538.67
Trade Co., Ltd.
Sinopharm Holding Suzhou
Sales of goods 68,948.73 243,203.42
Co., Ltd.
131
国药集团一致药业股份有限公司 2015 年半年度报告
Shanghai Donghong
Sales of goods 63,538.46 493,594.87
Medicine Co., Ltd.
Sinopharm Group Medicine
Sales of goods 57,692.30 0.00
Logistic Co., Ltd.
Beijing Fusheng Tiandi
Sales of goods 56,697.41 25,673.07
Property Management Ltd.
Shenzhen Wanle Medical
Sales of goods 51,295.73 0.00
Co., Ltd.
Foshan Chanyixing Medicine
Sales of goods 50,322.00 0.00
Development Co Ltd
China Sinopharm
Sales of goods 44,871.79 2,318,706.88
International Corporation
Shanxi Guoyi Drug Store
Sales of goods 43,794.85 5,794.87
Co., Ltd.
Sinopharm Holding ChiFeng
Sales of goods 25,969.23 77,907.69
Co., Ltd.
Sinopharm Holding
Sales of goods 24,094.37 10,584.63
Zhangzhou Co., Ltd.
Sichuan Kang Daxin
Sales of goods 16,615.38 0.00
Pharmaceutical Co., Ltd.
Sinopharm Holding Anyang
Sales of goods 14,905.98 5,962.39
Co., Ltd.
Sinopharm Holding
Sales of goods 14,423.93 3,646.14
Qianxinan Co., Ltd.
Sinopharm Holding Dezhou
Sales of goods 12,923.07 7,179.49
Co., Ltd.
Sinopharm Holding
Sales of goods 11,282.05 0.00
Liaocheng Co., Ltd.
Sinopharm Holding Xinjiang
Xinte Karamay Sales of goods 11,075.89 7,179.49
Pharmaceutical Co., Ltd.
Sinopharm Holding
Sales of goods 11,068.38 20,757.26
Changzhou Co., Ltd.
Heilongjiang Sinopharm
Sales of goods 11,025.63 7,948.71
Medical Herbs Co., Ltd.
Sinopharm Group Shanghai
Likang Pharmaceutical Co. Sales of goods 10,829.08 182,188.03
Ltd.
Sinopharm Holding Sales of goods 10,660.51 20,740.51
132
国药集团一致药业股份有限公司 2015 年半年度报告
(Yangzhou) Chinese Western
Medicine Branch Co., Ltd.
Sinopharm Holding Beijing
Kangchen Sales of goods 10,568.21 1,038,706.67
Bio-Pharmaceutical Co., Ltd.
Sinopharm Holding Jining
Sales of goods 10,461.52 7,179.49
Co., Ltd.
Sinopharm Holding Xinyu
Sales of goods 6,478.65 0.00
Co., Ltd.
Sinopharm Holding Nanping
Sales of goods 3,743.58 0.00
New Power Co., Ltd.
Sinopharm Holding
Sales of goods 3,692.31 0.00
Chenzhou Co., Ltd.
Sinopharm Holding Shangqiu
Sales of goods 3,226.50 0.00
Co., Ltd.
Sinopharm Holding Zhoukou
Sales of goods 2,726.38 7,047.05
Co., Ltd.
Shanghai Wanli Medical
Sales of goods 2,136.75 0.00
Beauty Clinic Limited
Sinopharm Holding Shanxi
Sales of goods 1,923.07 0.00
Linfen Co., Ltd.
Sinopharm (Shanghai)
Sales of goods 1,846.16 2,025.63
E-Health Co,.Ltd.
Sinopharm Holding Xinxiang
Sales of goods 931.62 2,683.77
Co.,Ltd
Sinopharm Holding Puyang
Sales of goods 305.98 0.00
Co., Ltd.
Sinopharm Holding Huaian
Sales of goods 0.00 86,030.77
Co., Ltd.
Sinopharm Holding Jinan
Sales of goods 0.00 76,153.85
Co., Ltd.
Sinopharm Holding
Sales of goods 0.00 41,329.43
HongKong Co., Ltd.
Guoda Shenyang Tianyitang
Pharmacy Chain Store Co., Sales of goods 0.00 36,923.07
Ltd.
Sinopharm Holding Wuhu
Sales of goods 0.00 9,230.76
Co., Ltd.
Huayi Pharmaceutical Co., Sales of goods 0.00 7,521.36
133
国药集团一致药业股份有限公司 2015 年半年度报告
Ltd
Sinopharm Holding Kaifeng
Sales of goods 0.00 6,444.44
Co., Ltd.
Sinopharm Xinjiang Korla
Sales of goods 0.00 5,733.34
Pharmaceutical Co., Ltd.
Sinopharm Holding Dandong
Sales of goods 0.00 5,429.06
Co., Ltd.
Sinopharm Holding Nanping
Sales of goods 0.00 4,530.60
Co., Ltd.
Sinopharm Holding Tongliao
Sales of goods 0.00 4,487.18
Co., Ltd.
Shanghai Nutraceuticals
Sales of goods 0.00 3,316.24
(Shanghai) Co., Ltd.
Shanghai Tongyu Information
Sales of goods 0.00 2,564.10
Technology Co., Ltd.
Sinopharm Holding Zhejiang
Sales of goods 0.00 427.36
Biological Product Co., Ltd.
Shanghai Nuoyun Marketing
Sales of goods -155,982.92 846.15
Consulting Co., Ltd.
China National Medicines Dispatching and
2,856,084.27 2,172,980.55
Co., Ltd. transportation charges
Sinopharm Holding Guoda
Dispatching and
Drug Store Guangdong Co., 2,418,885.86 1,689,083.80
transportation charges
Ltd.
Sinopharm Group Medicine Dispatching and
2,046,871.70 3,255,073.15
Logistic Co., Ltd. transportation charges
Foshan Nanhai Uptodate & Dispatching and
1,615,666.54 1,768,562.85
Special Medicines Co., Ltd. transportation charges
Foshan Nanhai Medicine Dispatching and
1,327,072.71 1,395,859.92
Co., Ltd. transportation charges
Sinopharm Group Entrusted revenue 250,000.00 250,000.00
Shenzhen Wanwei Medicine
Consultation revenue 183,714.43 131,079.23
trading Co., Ltd.
China National
Pharmaceutical Foreign Entrusted revenue 125,000.00 125,000.00
Trade Co., Ltd.
Sinopharm Holding Guoda
Drug Store Guangzhou Parking fees 8,500.00 6,000.00
Chain Co., Ltd.
134
国药集团一致药业股份有限公司 2015 年半年度报告
Shenzhen Wanle Medical
Consultation revenue 0.00 52,160.54
Co., Ltd.
Winteam Pharmaceutical
Consultation revenue 0.00 6,314.42
Group Ltd.
(2)Lease
The Group as leaser:
Unit:RMB
Lessees Type of assets use for Rental income of this period Rental income of last period
Sinopharm Guoda Drug
Store Guangxi Chain Co., Building 822,778.08 814,333.74
Ltd.
Sinopharm Guoda Drug
Store Guangxi Chain Co., Building 165,900.00 165,900.00
Ltd.
Sinopharm Guoda Drug
Store(Shenzhen) Chain Co., Building 195,084.00 304,695.00
Ltd.
Sinopharm Guoda Drug
Store Guangxi Chain Co., Building 189,384.72 190,707.72
Ltd.
Sinopharm Group
Guangdong Medicine Device Building 141,900.00 135,144.00
Co., Ltd.
Sinopharm Guoda Drug
Store(Shenzhen) Chain Co., Building 52,783.38 51,246.00
Ltd.
China National Medicines
Building 43,200.00 43,200.00
Co., Ltd.
Sinopharm Guoda Drug
Store(Shenzhen) Chain Co., Building 30,000.00 30,000.00
Ltd.
China National
Pharmaceutical Industry Building 0.00 21,600.00
Medicine distribution Co. Ltd.
Sinopharm Holding Guoda
Drug Store Guangzhou Building 141,050.00 0.00
Chain Co., Ltd.
135
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding Sub
Building 32,400.00 0.00
Marketing Center Co., Ltd.
The Group as lessee:
Unit:RMB
Lease expenses of this
Leasers Type of assets use for Lease expenses of last period
period
Sinopharm Group Medicine
Equipment 3,750,000.00 3,750,000.00
Logistic Co., Ltd.
Sinopharm Group Medicine
Building 3,540,000.00 3,540,000.00
Logistic Co., Ltd.
Shaoguan Wujiang District
Muyang Medicine
Building 484,969.92 324,789.24
Information Consultant Co.,
Ltd.
Wang Yang Building 276,000.00 276,000.00
Foshan Nanhai Medicine
Building 128,160.00 110,880.00
Group Co., Ltd.
(3)Guarantees provided
As a guarantor
Unit:RMB
Beginning date of Maturity date of Guarantee obligation
Guarantee Amount
guarantee contract guarantee contract expired
Sinopharm Holding
30,096,431.81 12 December 2014 31 October 2015 No
Guangzhou Co., Ltd.
Sinopharm Holding
34,570,639.59 30 June 2014 29 June 2015 No
Guangzhou Co., Ltd.
Sinopharm Holding
229,425,743.53 19 September 2014 18 September 2015 No
Guangzhou Co., Ltd.
Sinopharm Holding
314,245,039.27 06 May 2015 06 May 2016 No
Guangzhou Co., Ltd.
Sinopharm Holding
307,337,775.28 16 July 2014 15 July 2015 No
Guangzhou Co., Ltd.
Sinopharm Holding
159,341,870.32 20 May 2015 20 May 2016 No
Guangzhou Co., Ltd.
Sinopharm Holding
194,778,819.03 30 April 2014 30 April 2015 No
Guangzhou Co., Ltd.
136
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding
250,163,981.05 25 June 2014 08 June 2015 No
Guangzhou Co., Ltd.
Sinopharm Holding
280,793,407.86 15 May 2015 14 May 2016 No
Guangzhou Co., Ltd.
Sinopharm Holding
Guangdong Yuexing 6,930,103.40 20 May 2015 20 May 2016 No
Co., Ltd.
Sinopharm Holding
Guangdong Yuexing 12,019,194.50 16 July 2014 15 July 2015 No
Co., Ltd.
Sinopharm Holding
6,500,000.00 25 October 2014 25 October 2015 No
Guangxi Co., Ltd.
Sinopharm Holding
105,172,399.18 26 June 2014 26 June 2015 No
Guangxi Co., Ltd.
Sinopharm Holding
169,659,032.18 16 July 2014 15 July 2015 No
Guangxi Co., Ltd.
Sinopharm Holding
112,188,535.57 19 April 2014 18 April 2015 No
Guangxi Co., Ltd.
Sinopharm Holding
19,250,027.34 29 May 2015 29 May 2016 No
Guangxi Co., Ltd.
Sinopharm Holding
55,487,759.61 12 May 2015 29 December 2015 No
Guangxi Co., Ltd.
Sinopharm Holding
Jiangmen Renren Co., 17,437,149.43 16 July 2014 15 July 2015 No
Ltd.
Sinopharm Medicine
Holding Liuzhou Co., 75,653,561.29 06 November 2014 15 July 2015 No
Ltd.
Sinopharm Medicine
Holding Liuzhou Co., 32,299,557.53 20 March 2015 19 March 2016 No
Ltd.
Sinopharm Medicine
Holding Liuzhou Co., 32,346,299.52 09 September 2014 08 September 2015 No
Ltd.
Sinopharm Holding
14,600,944.46 17 September 2014 15 July 2015 No
Zhanjiang Co., Ltd.
Sinopharm Group
Zhijun (Suzhou)
25,692,321.48 27 May 2014 27 May 2015 No
Pharmaceutical Co.
Ltd.
137
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Group
Zhijun (Suzhou)
29,279,000.00 16 July 2014 15 July 2015 No
Pharmaceutical Co.
Ltd.
Sinopharm Group
Zhijun (Suzhou)
3,203,849.81 01 January 2015 01 July 2015 No
Pharmaceutical Co.
Ltd.
Sinopharm Group
Zhijun (Suzhou)
4,410,000.00 04 January 2015 24 October 2015 No
Pharmaceutical Co.
Ltd.
Shenzhen Zhijun
Pharmaceutical Co., 22,815,555.20 25 August 2014 25 August 2015 No
Ltd.
Sinopharm holding
Shenzhen Yanfeng 19,481,663.78 27 October 2014 27 October 2015 No
Co.,Ltd
Sinopharm holding
Shenzhen Yanfeng 64,621,126.80 16 July 2014 15 July 2015 No
Co.,Ltd
Sinopharm holding
Shenzhen Yanfeng 16,000,000.00 28 May 2015 15 February 2016 No
Co.,Ltd
Sinopharm holding
Shenzhen Yanfeng 3,795,523.03 15 May 2015 14 May 2016 No
Co.,Ltd
Sinopharm Holding
7,844,562.13 16 July 2014 15 July 2015 No
Shaoguan Co., Ltd.
Sinopharm Holding
5,462,230.84 16 July 2014 15 July 2015 No
Material Co., Ltd.
As guarantee
Unit:RMB
Beginning date of Maturity date of Guarantee obligation
Guarantor Amount
guarantee contract guarantee contract expired
Shenzhen Zhijun
Pharmaceutical Co., 60,000,000.00 15 May 2015 14 May 2016 No
Ltd.
Shenzhen Zhijun 125,076,375.12 18 June 2015 15 June 2016 No
138
国药集团一致药业股份有限公司 2015 年半年度报告
Pharmaceutical Co.,
Ltd.
Shenzhen Zhijun
Pharmaceutical Co., 105,000,000.00 28 May 2015 15 February 2016 No
Ltd.
Shenzhen Zhijun
Pharmaceutical Co., 21,743,592.63 04 April 2014 03 April 2022 No
Ltd.
Shenzhen Zhijun
Pharmaceutical Co., 200,000.00 17 July 2014 17 July 2020 No
Ltd.
Sinopharm Guangzhou as guarantee
Unit:RMB
Beginning date of Maturity date of Guarantee obligation
Guarantor Amount
guarantee contract guarantee contract expired
Sinopharm Group 483,029,496.81 03 June 2014 03 June 2015 No
(4)Financing
Unit:RMB
Related Party Amount Effective date Maturity date Notes
Borrowed from-
Group Financial Co. 40,000,000.00 28 February 2015 28 February 2016 Short-term borrowings
CNPGC 31,600,000.00 07 May 2014 07 May 2017 Entrusted loan
(5)Interest Expense
Unit:RMB
For the six months ended For the six months ended
Related Party Type of transaction
30 June 2015 30 June 2014
Interest paid for the loans from related
CNPGC 839,572.50 260,700.00
party
Interest paid for the loans from Group
Group Financial Co. 667,955.53 3,976,833.33
Financial Co
Sinopharm Holding Sub
Charges of discounted notes payable 284,004.78 2,421,609.56
Marketing Center Co., Ltd.
Sinopharm Group Charges of discounted notes payable 391,286.97 520,387.02
Sinopharm Group Interest paid for the loans from related
0.00 5,039,990.23
party
139
国药集团一致药业股份有限公司 2015 年半年度报告
Group Financial Co. Charges of discounted notes payable - 425,990.03
Total 2,182,819.78 12,645,510.17
(6)Interest Revenue
Unit:RMB
For the six months ended For the six months ended
Related Party Type of transaction
30 June 2015 30 June 2014
Group Financial Co. Deposit interest 15,368.24 12,702.39
6. Accounts receivable from and payables to related parties
(1)Accounts receivable from related parties
Unit:RMB
30 June 2015 31 December 2014
Nature Related parties Provision for bad Provision for bad
Cost Cost
debts debts
Foshan Nanhai
Accounts
Uptodate & Special 26,157,549.60 0.00 23,756,856.11 0.00
receivable
Medicines Co., Ltd.
Accounts Sinopharm Holding
22,437,075.54 0.00 25,600,093.77 0.00
receivable Hunan Co., Ltd.
Accounts Sinopharm Holding
14,977,399.36 0.00 12,892,087.23 0.00
receivable Beijing Co., Ltd.
Sinopharm
Accounts Sichuan
14,953,509.29 0.00 12,494,740.26 0.00
receivable Pharmaceutical
Co., Ltd.
Sinopharm Group
(Tianjin) Eastern
Accounts
Bokang 14,282,156.22 0.00 7,484,251.20 0.00
receivable
Pharmaceutical
Co., Ltd.
Accounts Sinopharm Holding
13,325,378.92 0.00 10,216,514.39 0.00
receivable Shandong Co., Ltd.
Accounts Foshan Nanhai
11,927,363.32 0.00 11,979,793.06 0.00
receivable Medicine Co., Ltd.
Accounts Sinopharm Holding
11,246,067.76 0.00 15,916,697.65 0.00
receivable Hainan Co., Ltd.
140
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding
Accounts
Beijing Huahong 10,995,794.33 0.00 7,890,664.87 0.00
receivable
Co., Ltd.
Sinopharm Le
Accounts
-Ren-Tang 10,449,518.90 0.00 14,234,771.99 0.00
receivable
Medicine Co., Ltd.
Foshan
Accounts Chancheng District
10,112,360.98 0.00 0.00 0.00
receivable Pharmaceutical
Co., Ltd
Sinopharm Holding
Accounts Guoda Drug Store
9,172,073.04 0.00 9,704,626.52 0.00
receivable Guangdong Co.,
Ltd.
Accounts Sinopharm Holding
9,100,475.63 0.00 20,947,735.07 0.00
receivable Hubei Co., Ltd.
Sinopharm Group
Xinjiang Special
Accounts
Drugs National 8,678,282.94 0.00 14,901,575.66 0.00
receivable
Pharmaceutical
Co., Ltd.
Accounts Sinopharm Holding
7,169,150.84 0.00 6,219,986.94 0.00
receivable Tianjin Co., Ltd.
Sinopharm Group
Accounts
Southwest 6,661,956.37 0.00 6,859,315.42 0.00
receivable
Medicine Co., Ltd.
Accounts
Sinopharm Group 6,438,154.10 0.00 5,347,281.64 0.00
receivable
Accounts Sinopharm Holding
5,684,798.06 0.00 5,904,534.60 0.00
receivable Ningxia Co., Ltd.
Accounts Sinopharm Holding
5,424,259.60 0.00 2,924,497.97 0.00
receivable Nantong Co., Ltd.
Sinopharm Guoda
Accounts Drug Store
5,058,806.52 0.00 6,589,054.06 0.00
receivable Guangxi Chain
Co., Ltd.
Accounts Sinopharm Holding
4,985,313.27 0.00 5,268,486.11 0.00
receivable Wenzhou Co., Ltd.
Accounts Sinopharm Holding
4,051,845.16 0.00 4,591,981.10 0.00
receivable Sub Marketing
141
国药集团一致药业股份有限公司 2015 年半年度报告
Center Co., Ltd.
Sinopharm Holding
Xinjiang Special
Accounts
Drugs Western 3,660,969.04 0.00 3,770,263.86 0.00
receivable
Pharmaceutical
Co., Ltd.
Sinopharm Holding
Accounts
Hainan Hongyi 3,430,886.34 0.00 2,604,871.82 0.00
receivable
Co., Ltd.
Accounts Sinopharm Holding
3,173,457.36 0.00 1,826,590.08 0.00
receivable Shanxi Co., Ltd.
Sinopharm Group
Accounts
Medicine Logistic 2,822,507.06 0.00 3,521,227.69 0.00
receivable
Co., Ltd.
Accounts Sinopharm Holding
2,521,730.78 0.00 1,505,859.96 0.00
receivable Yunnan Co., Ltd.
Accounts Sinopharm Holding
2,285,855.98 0.00 2,847,145.76 0.00
receivable Jinzhou Co., Ltd.
Accounts Sinopharm Holding
2,234,798.32 0.00 1,854,656.73 0.00
receivable Shanxi Co., Ltd.
Accounts Sinopharm Holding
2,202,113.85 0.00 2,762,374.20 0.00
receivable Henan Co., Ltd.
Accounts Sinopharm Holding
1,855,407.42 0.00 1,239,408.42 0.00
receivable Fuzhou Co., Ltd.
Sinopharm Holding
Accounts Chengdu
1,803,998.02 0.00 38,660.00 0.00
receivable Pharmaceutical
Co., Ltd.
Guangdong Dong
Accounts Fang Uptodate &
1,774,774.56 0.00 2,350,070.03 0.00
receivable Special Medicines
Co., Ltd.
Accounts Sinopharm Holding
1,718,409.42 0.00 1,358,428.16 0.00
receivable Shenyang Co., Ltd.
Accounts Sinopharm Holding
1,527,501.10 0.00 896,848.13 0.00
receivable Guizhou Co., Ltd.
Sinopharm Holding
Accounts
Heilongjiang Co., 1,485,109.28 0.00 1,642,680.23 0.00
receivable
Ltd.
Accounts Foshan 1,323,020.35 0.00 4,522,094.66 0.00
142
国药集团一致药业股份有限公司 2015 年半年度报告
receivable Chancheng District
Central Hospital
Accounts China National
1,237,132.12 0.00 2,388,847.85 0.00
receivable Medicines Co., Ltd.
Accounts Sinopharm Holding
1,008,763.00 0.00 1,476,745.88 0.00
receivable Yangzhou Co., Ltd.
Sinopharm Guoda
Accounts Drug Store
972,206.70 0.00 1,251,757.35 0.00
receivable Jiangmen Chain
Co., Ltd.
Accounts Sinopharm Holding
799,078.44 0.00 568,341.65 0.00
receivable Gansu Co., Ltd.
Accounts Sinopharm Holding
697,049.29 0.00 494,390.88 0.00
receivable Jilin Co., Ltd.
Sinopharm Holding
Accounts
Guoda Pharmacy 650,520.00 0.00 598,180.00 0.00
receivable
Co., Ltd.
Accounts Sinopharm Holding
618,717.00 0.00 344,726.94 0.00
receivable Qinghai Co., Ltd.
Sinopharm
Accounts Lerentang
490,080.00 0.00 328,497.80 0.00
receivable Tangshan
Medicine Co., Ltd.
Accounts Sinopharm Holding
488,264.80 0.00 6,756,555.98 0.00
receivable Zhejiang Co., Ltd.
Accounts Sinopharm Holding
445,918.51 0.00 231,074.80 0.00
receivable Longyan Co., Ltd.
Accounts Sinopharm Holding
439,635.28 0.00 241,355.80 0.00
receivable Taizhou Co., Ltd.
Accounts Sinopharm Holding
431,411.13 0.00 825,483.13 0.00
receivable Xuzhou Co., Ltd.
Accounts Sinopharm Holding
427,455.68 0.00 563,011.50 0.00
receivable Yancheng Co., Ltd.
Sinopharm Holding
Accounts Suzhou Kangmin
400,872.00 0.00 0.00 0.00
receivable Pharmaceutical
Co. Ltd.
Accounts Sinopharm Holding
398,134.14 0.00 786,713.14 0.00
receivable Wuxi Co., Ltd.
143
国药集团一致药业股份有限公司 2015 年半年度报告
Accounts Sinopharm Holding
394,478.36 0.00 864,753.84 0.00
receivable Fujian Co., Ltd.
Accounts Sinopharm Holding
389,653.72 0.00 536,255.16 0.00
receivable Dalian Co., Ltd.
Sinopharm Holding
Accounts
Chongqing Co., 337,466.49 0.00 2,248,998.17 0.00
receivable
Ltd.
Sinopharm Holding
Accounts
Inner Mongolia 323,446.74 0.00 327,343.79 0.00
receivable
Co., Ltd.
Sinopharm
Accounts Lerentang
322,920.00 0.00 30,744.72 0.00
receivable Qinhuangdao
Medicine Co., Ltd.
Accounts Sinopharm Holding
267,786.00 0.00 0.00 0.00
receivable Putian Co., Ltd.
Accounts Sinopharm Holding
193,278.43 0.00 565,976.79 0.00
receivable Qingdao Co., Ltd.
Sinopharm Holding
Accounts
Quanzhou Co., 185,925.12 0.00 179,570.31 0.00
receivable
Ltd.
Sinopharm Holding
Accounts Changzhou
140,553.67 0.00 246,140.48 0.00
receivable Medical logistics
center Co., Ltd.
Sinopharm Holding
Accounts
Tianjin North 139,080.00 0.00 559,722.27 0.00
receivable
Medicine Co., Ltd.
Accounts Sinopharm Holding
131,198.27 0.00 160,260.67 0.00
receivable Changde Co., Ltd.
Accounts Sinopharm Holding
115,002.00 0.00 70,416.00 0.00
receivable Ningde Co., Ltd.
Accounts Sinopharm Holding
105,842.56 0.00 84,878.70 0.00
receivable Shan`xi Co., Ltd.
Accounts Sinopharm Holding
103,769.29 0.00 208,244.76 0.00
receivable Jiangsu Co., Ltd.
Accounts Sinopharm Holding
94,500.00 0.00 197,948.00 0.00
receivable Anqing Co., Ltd.
Accounts Sinopharm Holding
85,512.00 0.00 80,520.00 0.00
receivable Yantai Co., Ltd.
144
国药集团一致药业股份有限公司 2015 年半年度报告
Qinghai Medical
Accounts
Pharmaceutical 70,050.00 0.00 25,500.00 0.00
receivable
Material Co., Ltd.
China Sinopharm
Accounts
International 52,500.00 0.00 0.00 0.00
receivable
Corporation
Jiang Meng
Accounts Renren Medical
50,087.10 0.00 39,045.20 0.00
receivable instrument Co.,
Ltd.
Accounts Sinopharm Holding
47,921.10 0.00 45,812.40 0.00
receivable Jiangxi Co., Ltd.
Accounts Sinopharm Holding
35,439.59 0.00 8,640.00 0.00
receivable Sanming Co., Ltd.
Accounts Sinopharm Holding
33,420.00 0.00 177,054.00 0.00
receivable Suzhou Co., Ltd.
Accounts Shanxi Guoyi Drug
30,300.00 0.00 15,060.00 0.00
receivable Store Co., Ltd.
Foshan Chanyixing
Accounts Medicine
18,484.40 0.00 32,786.80 0.00
receivable Development Co
Ltd
Guang dong South
Accounts Pharmaceutical
6,912.00 0.00 39,331.20 0.00
receivable Foreign Trade Co.,
Ltd.
Sinopharm Holding
Accounts
Nanping New 4,380.00 0.00 0.00 0.00
receivable
Power Co., Ltd.
Accounts Sinopharm Holding
3,190.00 0.00 5,755.00 0.00
receivable Zhoukou Co., Ltd.
Sinopharm Holding
(Yangzhou)
Accounts
Chinese Western 1,992.80 0.00 44,332.00 0.00
receivable
Medicine Branch
Co., Ltd.
Accounts Sinopharm Holding
1,500.00 0.00 426,089.07 0.00
receivable Anhui Co., Ltd.
Accounts Sinopharm Holding
1,090.00 0.00 0.00 0.00
receivable Xinxiang Co.,Ltd
145
国药集团一致药业股份有限公司 2015 年半年度报告
Accounts Sinopharm Holding
500.00 0.00 2,180.00 0.00
receivable Shangqiu Co., Ltd.
Sinopharm Holding
Accounts Beijing Kangchen
0.00 0.00 7,728.00 0.00
receivable Bio-Pharmaceutica
l Co., Ltd.
Shanghai Tongyu
Accounts Information
0.00 0.00 3,000.00 0.00
receivable Technology Co.,
Ltd.
Accounts Sinopharm Holding
0.00 0.00 45,804.00 0.00
receivable Puyang Co., Ltd.
Sinopharm Holding
Accounts Hongkong
0.00 0.00 63,009.89 0.00
receivable International Co.
Ltd
Sinopharm Holding
Accounts Beijing Tianxing
0.00 0.00 1,711.00 0.00
receivable Puxin Biological
Medical Co., Ltd.
Sinopharm Group
Accounts Shanghai Likang
0.00 0.00 128,320.00 0.00
receivable Pharmaceutical
Co. Ltd.
Shanghai
Accounts Nutraceuticals
0.00 0.00 2,320.00 0.00
receivable (Shanghai) Co.,
Ltd.
Sinopharm Holding
Accounts
Changzhou Co., 0.00 0.00 27,600.00 0.00
receivable
Ltd.
Shanghai
Accounts
Donghong 0.00 0.00 224,610.00 0.00
receivable
Medicine Co., Ltd.
Shanghai Nuoyun
Accounts Marketing
0.00 0.00 100,000.00 0.00
receivable Consulting Co.,
Ltd.
Shenzhen Wanwei
Accounts
Medicine trading 0.00 0.00 1,200.00 0.00
receivable
Co., Ltd.
146
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding
Notes receivable 4,874,345.98 0.00 3,940,454.90 0.00
Hunan Co., Ltd.
Sinopharm Holding
Notes receivable 4,515,746.05 0.00 3,326,140.88 0.00
Hainan Co., Ltd.
Sinopharm Guoda
Drug Store
Notes receivable 4,074,440.19 0.00 3,379,828.22 0.00
Guangxi Chain
Co., Ltd.
Sinopharm Holding
Notes receivable Hainan Hongyi 3,239,255.56 0.00 2,487,781.91 0.00
Co., Ltd.
Sinopharm Holding
Notes receivable 2,014,138.07 0.00 233,786.00 0.00
Tianjin Co., Ltd.
Sinopharm Group
(Tianjin) Eastern
Notes receivable Bokang 1,871,320.00 0.00 0.00 0.00
Pharmaceutical
Co., Ltd.
Sinopharm Holding
Notes receivable 1,255,125.58 0.00 200,000.00 0.00
Shandong Co., Ltd.
Sinopharm Holding
Notes receivable 900,000.00 0.00 183,647.00 0.00
Yancheng Co., Ltd.
Sinopharm
Sichuan
Notes receivable 875,741.95 0.00 0.00 0.00
Pharmaceutical
Co., Ltd.
Chongqing Yaoyou
Notes receivable Pharmaceutical 724,410.89 0.00 1,661,088.00 0.00
Co., Ltd.
Sinopharm Holding
Notes receivable 256,360.80 0.00 0.00 0.00
Anhui Co., Ltd.
Ningxia Guoda
Notes receivable Drug StoreChain 250,000.00 0.00 0.00 0.00
Co., Ltd.
Sinopharm Holding
Notes receivable 213,812.80 0.00 0.00 0.00
Wuhu Co., Ltd.
Sinopharm Holding
Notes receivable 167,232.00 0.00 539,043.12 0.00
Shenyang Co., Ltd.
Sinopharm Holding
Notes receivable 142,297.20 0.00 366,032.00 0.00
Chongqing Co.,
147
国药集团一致药业股份有限公司 2015 年半年度报告
Ltd.
Sinopharm Holding
Guoda Drug Store
Notes receivable 134,851.25 0.00 989,431.36 0.00
Guangdong Co.,
Ltd.
Sinopharm Holding
Chengdu
Notes receivable 105,451.00 0.00 0.00 0.00
Pharmaceutical
Co., Ltd.
Sinopharm Holding
Notes receivable 100,000.00 0.00 0.00 0.00
Ningxia Co., Ltd.
Sinopharm Holding
Notes receivable 99,733.50 0.00 0.00 0.00
Nanyang Co., Ltd.
Sinopharm Group
Xinjiang Special
Notes receivable Drugs National 97,300.00 0.00 0.00 0.00
Pharmaceutical
Co., Ltd.
Sinopharm Holding
Notes receivable 68,664.00 0.00 36,456.00 0.00
Yantai Co., Ltd.
Sinopharm Holding
Notes receivable Sub Marketing 26,000.00 0.00 0.00 0.00
Center Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 148,911.00 0.00
Shan`xi Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 378,000.00 0.00
Hubei Co., Ltd.
Sinopharm Holding
Hunan Guoda
Notes receivable Minshengtang 0.00 0.00 184,000.00 0.00
Drug Store Chain
Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 223,074.00 0.00
Zhejiang Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 12,800.00 0.00
Taizhou Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 100,000.00 0.00
Anyang Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 42,183.00 0.00
Huainan Co., Ltd.
148
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding
Notes receivable 0.00 0.00 100,000.00 0.00
Fuyang Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 39,055.91 0.00
Lunan Co., Ltd.
Sinopharm Holding
Notes receivable 0.00 0.00 119,016.00 0.00
Ningde Co., Ltd.
Sinopharm Le
Notes receivable -Ren-Tang 0.00 0.00 84,503.26 0.00
Medicine Co., Ltd.
NanJing Iron &
Notes receivable 0.00 0.00 200,000.00 0.00
Steel Co., Ltd.
Nanjing Iron &
Steel Group
Notes receivable 0.00 0.00 100,000.00 0.00
International Trade
Co., Ltd
China National
Pharmaceutical
Notes receivable 0.00 0.00 30,000.00 0.00
Foreign Trade Co.,
Ltd.
Sinopharm Group
Other receivables Medicine Logistic 1,215,000.00 0.00 1,215,000.00 0.00
Co., Ltd.
Other receivables Sinopharm Group 250,000.00 0.00 250,000.00 0.00
China National
Pharmaceutical
Other receivables 131,823.93 0.00 250,000.00 0.00
Foreign Trade Co.,
Ltd.
Guang dong South
Pharmaceutical
Other receivables 36.75 0.00 36.75 0.00
Foreign Trade Co.,
Ltd.
China National
Other receivables 0.00 0.00 184,730.14 0.00
Medicines Co., Ltd.
Sinopharm
Chongqing
Advances to Pharmaceutical
6,142,166.67 0.00 16,612,166.67 0.00
suppliers and Medical
Industry Design
Institute
Advances to Winteam 5,003,400.42 0.00 0.00 0.00
149
国药集团一致药业股份有限公司 2015 年半年度报告
suppliers Pharmaceutical
Group Ltd.
Chengdu
Advances to
Rongsheng 389,600.00 0.00 118,628.00 0.00
suppliers
Pharmacy Co., Ltd.
Wuhan Institute of
Advances to
Biological Products 362,200.00 0.00 310,400.00 0.00
suppliers
Co., Ltd.
Sinopharm Holding
Advances to
Sub Marketing 301,360.00 0.00 0.00 0.00
suppliers
Center Co., Ltd.
Advances to Shenzhen Wanle
45,602.97 0.00 45,602.97 0.00
suppliers Medical Co., Ltd.
Shanghai Institute
Advances to
of Pharmaceutical 40,000.00 0.00 0.00 0.00
suppliers
Industry
Sino-Swed
Advances to
Pharmaceutical 18,400.00 0.00 0.00 0.00
suppliers
Corp.Ltd.
Foshan Nanhai
Advances to
Uptodate & Special 8,993.75 0.00 649.36 0.00
suppliers
Medicines Co., Ltd.
Advances to China National
5,541.40 0.00 8,608.07 0.00
suppliers Medicines Co., Ltd.
Advances to Sinopharm Holding
3,884.87 0.00 11,581.25 0.00
suppliers Suzhou Co., Ltd.
Yichang
Advances to Humanwell
2,993.74 0.00 0.00 0.00
suppliers Pharmaceutical
Co., Ltd.
Sinopharm Group
Advances to
Guorui Medicine 957.26 0.00 957.26 0.00
suppliers
Co., Ltd.
China National
Advances to Pharmaceutical
947.81 0.00 0.00 0.00
suppliers Foreign Trade Co.,
Ltd.
Advances to Sinopharm Holding
214.86 0.00 0.00 0.00
suppliers Macheng Co., Ltd.
Advances to Guangdong Dong 46.55 0.00 0.00 0.00
150
国药集团一致药业股份有限公司 2015 年半年度报告
suppliers Fang Uptodate &
Special Medicines
Co., Ltd.
Sinopharm Group
Advances to
Chemical Reagent 0.00 0.00 27,307.69 0.00
suppliers
Co., Ltd.
Advances to Sinopharm Holding
0.00 0.00 1,480.70 0.00
suppliers Hunan Co., Ltd.
Advances to Sinopharm Holding
0.00 0.00 4,386.00 0.00
suppliers Fujian Co., Ltd.
Advances to Sinopharm Holding
0.00 0.00 379.92 0.00
suppliers Guizhou Co., Ltd.
China National
Scientific
Advances to
Instruments & 0.00 0.00 1,806,138.00 0.00
suppliers
Materials Imp/Exp
Shenzhen CO., Ltd
Beijing Huasheng
Pharmaceutical
Advances to
Biotechnology 0.00 0.00 437.62 0.00
suppliers
Development Co.,
Ltd.
China National
Advances to
Pharmaceutical 0.00 0.00 10.50 0.00
suppliers
Industry Co., Ltd.
Qinghai
Advances to
Pharmaceutical 0.00 0.00 5,138,698.55 0.00
suppliers
(Group) Co., Ltd.
(2)Accounts payables to related parties
Unit:RMB
Nature Related parties 30 June 2015 31 December 2014
Sinopharm Holding Sub
Accounts payable 150,387,205.95 168,855,238.90
Marketing Center Co., Ltd.
China National Medicines
Accounts payable 48,133,232.95 40,965,238.69
Co., Ltd.
Accounts payable Sinopharm Group 42,205,548.33 68,114,014.57
Sino-Swed Pharmaceutical
Accounts payable 16,496,283.73 7,452,712.28
Corp.Ltd.
151
国药集团一致药业股份有限公司 2015 年半年度报告
Shenzhen Wanwei Medicine
Accounts payable 10,050,520.04 12,058,843.67
trading Co., Ltd.
Jiangsu Wanbang Pharmacy
Accounts payable 7,637,070.79 5,511,809.11
Marketing Co., Ltd.
Guang dong South
Accounts payable Pharmaceutical Foreign 6,826,776.18 7,999,963.51
Trade Co., Ltd.
Chongqing Yaoyou
Accounts payable 6,508,613.00 2,242,748.93
Pharmaceutical Co., Ltd.
Lanzhou Institute of
Accounts payable 3,440,560.00 3,360,000.00
Biological Products Co., Ltd.
Foshan Nanhai Uptodate &
Accounts payable 3,401,035.52 1,773,366.89
Special Medicines Co., Ltd.
Winteam Pharmaceutical
Accounts payable 2,119,154.16 2,782,751.64
Group Ltd.
Sinopharm Group Medicine
Accounts payable 810,654.51 708,527.88
Logistic Co., Ltd.
Sinopharm Holding Beijing
Accounts payable 710,666.35 388,738.14
Co., Ltd.
Sinopharm Holding Beijing
Accounts payable 587,884.15 310,189.92
Huahong Co., Ltd.
Shanghai Shyndec
Accounts payable 573,538.00 220,866.53
Pharmaceutical Co., Ltd.
Sinopharm Holding Beijing
Accounts payable Tianxing Puxin Biological 457,929.43 0.00
Medical Co., Ltd.
Sinopharm Group
Accounts payable Rongsheng Pharmaceutical 422,264.41 78,975.41
Co., Ltd.
Chongqing Haisiman
Accounts payable 401,573.21 1,462,551.60
Pharmaceutical Co., Ltd.
Beijing Huasheng
Pharmaceutical
Accounts payable 388,297.01 637.01
Biotechnology Development
Co., Ltd.
Guizhou Tongjitang
Accounts payable 325,537.57 282,671.52
Pharmaceutical Co., Ltd.
China Otsuka
Accounts payable 264,611.06 196,492.56
Pharmaceutical Co., Ltd.
152
国药集团一致药业股份有限公司 2015 年半年度报告
Handan Pharmaceutical Co.,
Accounts payable 242,911.34 263,842.34
Ltd
Sinopharm Group Zhonglian
Accounts payable 235,048.83 176,769.70
Pharmaceutical Co. Ltd.
Anhui Jingfang
Accounts payable 144,572.13 31,541.61
Pharmaceutical Co., Ltd.
Qinghai Pharmaceutical
Accounts payable 138,453.45 0.00
(Group) Co., Ltd.
Sinopharm Group Chemical
Accounts payable 135,240.19 443,678.43
Reagent Co., Ltd.
Sinopharm Holding Hunan
Accounts payable 123,520.50 249.04
Co., Ltd.
Yichang Humanwell
Accounts payable 110,894.07 15,820.01
Pharmaceutical Co., Ltd.
Guilin South pharmaceutical
Accounts payable 103,018.41 96,499.78
Co., Ltd.
Sinopharm Holding Luoyang
Accounts payable 97,094.01 0.00
Co., Ltd.
Guangdong Dong Fang
Accounts payable Uptodate & Special 93,221.91 661,951.36
Medicines Co., Ltd.
Shenyang Hongqi
Accounts payable 86,550.67 97,796.06
Pharmaceutical Co., Ltd.
Suzhou Erye Pharmaceutical
Accounts payable 72,650.00 92,623.93
Limited Company
Foshan Nanhai Medicine
Accounts payable 66,378.81 62,758.66
Co., Ltd.
Sinopharm Guoda Drug
Accounts payable Store(Shenzhen) Chain Co., 62,589.80 23,757.18
Ltd.
Hunan Dongting
Accounts payable 61,301.52 47,614.27
Pharmaceutical Co., Ltd.
Sinopharm Xingsha
Accounts payable Pharmaceuticals (Xiamen) 60,622.82 39,113.92
Co., Ltd.
Foshan Dezhong
Accounts payable 60,002.93 60,002.93
Pharmaceutical Co., Ltd.
Shandong Lu Ya
Accounts payable 53,469.45 53,469.45
Pharmaceutical Co., Ltd.
153
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Holding Hubei
Accounts payable 46,014.36 35,238,692.18
Co., Ltd.
Shanghai Institute of
Accounts payable biomedical Pharmaceutical Co. 43,012.23 0.85
Ltd
Foshan Fengliaoxing
Accounts payable 40,514.97 437,829.45
Pharmaceutical Co., Ltd.
Sichuan Hexin
Accounts payable 32,659.20 0.00
Pharmaceutical Co., Ltd.
Guangdong Medi-World
Accounts payable 30,114.22 30,541.40
Pharmacertical Co., Ltd.
Guizhou Longlife
Accounts payable 26,922.69 26,948.33
Pharmacertical Co., Ltd.
Sinopharm Holding Sanyi
Accounts payable 21,261.25 22,356.76
Medicine(Wuhu) Co., Ltd.
Shanghai Modern Hasen
Accounts payable (Shangqiu) Pharmacertical 20,881.84 29,802.78
Co., Ltd.
Changchun Changsheng
Accounts payable Gene Pharmaceutical Co., 17,914.80 17,914.80
Ltd.
Sinopharm Group Chemical
Accounts payable 17,583.33 58,032.78
Reagent Suzhou Co., Ltd.
Sinopharm Group Shanghai
Accounts payable 16,603.02 16,603.02
Medicine Device Co., Ltd.
Sinopharm Holding
Accounts payable 16,197.93 16,197.93
Liaocheng Co., Ltd.
Sinopharm Holding Dalian
Accounts payable 11,282.05 0.00
Co., Ltd.
Sinopharm Group Beijing
Accounts payable 8,827.77 8,827.77
Medical equipment Co., Ltd.
Sinopharm Holding Jiangsu
Accounts payable 8,386.03 27,794.23
Co., Ltd.
Sinopharm Group Weiqida
Accounts payable 8,150.45 201.73
Medicine Co., Ltd.
Shanghai Chaohui
Accounts payable 7,494.85 7,494.85
Pharmecurical Co., Ltd.
Sinopharm Holding Shan`xi
Accounts payable 6,119.55 0.00
Co., Ltd.
154
国药集团一致药业股份有限公司 2015 年半年度报告
China National Scientific
Accounts payable Instruments & Materials 5,849.56 0.00
Imp/Exp Shenzhen CO., Ltd
Shenzhen Wanle Medical
Accounts payable 4,444.06 4,290.22
Co., Ltd.
Sinopharm Holding Dezhou
Accounts payable 4,333.65 4,333.65
Co., Ltd.
Foshan Fengliaoxing
Accounts payable 3,914.41 3,914.41
Pharmaceutical Co., Ltd.
Shanghai Sailun Biological
Accounts payable 2,941.10 2,941.10
Technology Co., Ltd.
Jiangsu Huanghe
Accounts payable 2,789.73 2,789.73
Pharmaceutical Co., Ltd
Sinopharm Holding Huaideju
Accounts payable Pharmaceutical (Xiamen) 1,113.85 1,113.85
Co., Ltd.
Chengdu Rongsheng
Accounts payable 794.87 794.87
Pharmacy Co., Ltd.
The Fourth Pharmaceutical
Accounts payable 752.14 752.14
Co., Ltd. of Zhonglian Group
Sinopharm Holding Guoda
Accounts payable Fumei Pharmaceutical 189.71 189.71
(Shanghai) Co., Ltd.
Sinopharm Holding Fujian
Accounts payable 51.00 0.00
Co., Ltd.
Sinopharm Holding Guizhou
Accounts payable 41.02 41.02
Co., Ltd.
Sinopharm Holding Sanming
Accounts payable 12.82 12.82
Co., Ltd.
Sinopharm Group Southwest
Accounts payable 0.00 222,265.56
Medicine Co., Ltd.
Sinopharm Holding Inner
Accounts payable 0.00 78,106.98
Mongolia Co., Ltd.
China National
Accounts payable Pharmaceutical Foreign 0.00 367,884.12
Trade Co., Ltd.
China State Institute of
Other payables 8,590,000.00 150,000.00
Pharmaceutical Industry
Other payables Sinopharm Group 4,530,696.87 4,330,696.87
155
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Chongqing
Other payables Pharmaceutical and Medical 4,030,000.00 1,730,000.00
Industry Design Institute
Sinopharm Group Medicine
Other payables 2,900,553.36 14,148.79
Logistic Co., Ltd.
Sinopharm Holding Shanghai
Other payables 1,660,431.38 1,660,431.38
Co., Ltd.
China Traditional Chinese
Other payables 1,300,000.00 1,300,000.00
Medicine Co.
Sinopharm Group Chemical
Other payables 240,944.50 220,000.00
Reagent Co., Ltd.
Sinopharm Guoda Drug
Other payables Store(Shenzhen) Chain Co., 72,000.00 0.00
Ltd.
Sinopharm Guoda Drug
Other payables Store Guangxi Chain Co., 55,300.00 0.00
Ltd.
Sinopharm Holding Guoda
Other payables Drug Store Guangzhou 46,000.00 0.00
Chain Co., Ltd.
Sinopharm Group
Other payables Guangdong Medicine Device 44,000.00 44,000.00
Co., Ltd.
Sinopharm Holding Hainan
Other payables 20,000.00 20,000.00
Hongyi Co., Ltd.
Sinopharm Holding Shanxi
Other payables 15,000.00 15,000.00
Co., Ltd.
Sinopharm Holding Tianjin
Other payables 10,000.00 10,000.00
Co., Ltd.
Sinopharm Group (Tianjin)
Other payables Eastern Bokang 10,000.00 10,000.00
Pharmaceutical Co., Ltd.
Sinopharm Group Southwest
Other payables 5,000.00 5,000.00
Medicine Co., Ltd.
Sinopharm Holding Hubei
Other payables 5,000.00 5,000.00
Co., Ltd.
Sinopharm Holding Sub
Other payables 5,000.00 5,000.00
Marketing Center Co., Ltd.
Other payables Sinopharm Holding 5,000.00 5,000.00
156
国药集团一致药业股份有限公司 2015 年半年度报告
(Yangzhou) Chinese Western
Medicine Branch Co., Ltd.
Sinopharm Holding Wuxi
Other payables 5,000.00 5,000.00
Co., Ltd.
Sinopharm Le -Ren-Tang
Other payables 5,000.00 5,000.00
Medicine Co., Ltd.
Other payables CNPGC 0.00 900,000.00
Notes payable Sinopharm Group 50,760,344.94 72,843,584.86
Sinopharm Group Chemical
Notes payable 25,465.00 45,110.30
Reagent Suzhou Co., Ltd.
Sinopharm Holding Beijing
Notes payable 0.00 212,400.00
Co., Ltd.
China National Medicines
Notes payable 10,939,643.27 10,591,195.40
Co., Ltd.
Sinopharm Holding Sub
Notes payable 161,338,460.37 140,809,327.41
Marketing Center Co., Ltd.
Chongqing Yaoyou
Notes payable 2,474,852.99 918,825.60
Pharmaceutical Co., Ltd.
Shenyang Hongqi
Notes payable 149,450.00 0.00
Pharmaceutical Co., Ltd.
Jiangsu Wanbang Pharmacy
Notes payable 1,000,209.72 2,013,158.00
Marketing Co., Ltd.
Chongqing Haisiman
Notes payable 1,628,968.60 2,071,879.20
Pharmaceutical Co., Ltd.
Guizhou Tongjitang
Notes payable 1,224,804.50 1,228,680.00
Pharmaceutical Co., Ltd.
Anhui Jingfang
Notes payable 283,256.00 477,198.00
Pharmaceutical Co., Ltd.
Winteam Pharmaceutical
Notes payable 318,943.43 0.00
Group Ltd.
Lanzhou Institute of
Notes payable 794,447.76 600,000.00
Biological Products Co., Ltd.
Shanghai Shyndec
Notes payable 0.00 223,384.80
Pharmaceutical Co., Ltd.
Sinopharm Group
Notes payable Rongsheng Pharmaceutical 85,625.00 308,385.00
Co., Ltd.
Shenzhen Wanwei Medicine
Notes payable 1,357,430.50 1,291,900.00
trading Co., Ltd.
157
国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm Guoda Drug
Advances from customers Store Guangxi Chain Co., 94,692.36 94,692.36
Ltd.
Guang dong South
Advances from customers Pharmaceutical Foreign 43,920.00 292,192.94
Trade Co., Ltd.
Sinopharm Holding Gansu
Advances from customers 11,003.00 11,003.00
Co., Ltd.
Sinopharm Holding Xuzhou
Advances from customers 5,744.00 11,530.00
Co., Ltd.
Sinopharm Holding Suzhou
Advances from customers Kangmin Pharmaceutical Co. 5,635.00 0.00
Ltd.
Sinopharm Group Southwest
Advances from customers 2,456.00 0.00
Medicine Co., Ltd.
Sinopharm Holding Chengdu
Advances from customers 1,450.09 1,802.98
Pharmaceutical Co., Ltd.
Sinopharm Holding
Advances from customers 755.62 755.62
Chongqing Co., Ltd.
Sinopharm Holding Zhejiang
Advances from customers 505.00 505.00
Biological Product Co., Ltd.
Sinopharm Lerentang
Advances from customers 291.52 0.00
Tangshan Medicine Co., Ltd.
Chongqing Yaoyou
Advances from customers 203.47 0.00
Pharmaceutical Co., Ltd.
Sinopharm Sichuan
Advances from customers 100.00 100.00
Pharmaceutical Co., Ltd.
Sinopharm Holding Jingmen
Advances from customers 1.00 1.00
Co., Ltd.
Sinopharm Le -Ren-Tang
Advances from customers 0.00 329,098.00
Medicine Co., Ltd.
Guangdong Dong Fang
Advances from customers Uptodate & Special 0.00 187,200.00
Medicines Co., Ltd.
Sinopharm Holding
Advances from customers 0.00 133,290.00
Yangzhou Co., Ltd.
Sinopharm Holding Guoda
Advances from customers 0.00 129,200.00
Pharmacy Co., Ltd.
Advances from customers Sinopharm Holding Beijing 0.00 91,800.00
158
国药集团一致药业股份有限公司 2015 年半年度报告
Co., Ltd.
Hetian Region Ankang Chain
Advances from customers 0.00 63,128.00
Drugstore Co., Ltd.
Sinopharm Holding Longyan
Advances from customers 0.00 59,508.00
Co., Ltd.
Sinopharm Holding Anhui
Advances from customers 0.00 44,302.05
Co., Ltd.
Sinopharm Holding Shanxi
Advances from customers 0.00 38,340.00
Co., Ltd.
Sinopharm Holding Wenzhou
Advances from customers 0.00 33,999.60
Co., Ltd.
Sinopharm Holding Suzhou
Advances from customers 0.00 32,220.00
Co., Ltd.
Sinopharm Holding ChiFeng
Advances from customers 0.00 30,384.00
Co., Ltd.
Sinopharm Holding Sub
Advances from customers 0.00 24,741.60
Marketing Center Co., Ltd.
Sinopharm Holding Jilin Co.,
Advances from customers 0.00 16,496.52
Ltd.
Sinopharm Holding
Advances from customers 0.00 16,320.00
Shandong Co., Ltd.
Sinopharm Group Shanghai
Advances from customers Likang Pharmaceutical Co. 0.00 12,620.00
Ltd.
Sinopharm Holding Zhejiang
Advances from customers 0.00 11,652.00
Co., Ltd.
Sinopharm Holding Tianjin
Advances from customers 0.00 8,600.00
Co., Ltd.
Sinopharm Holding Jiangsu
Advances from customers 0.00 4,833.00
Co., Ltd.
Sinopharm Holding
Advances from customers 0.00 1,872.00
Heilongjiang Co., Ltd.
Sinopharm Holding Hebei
Advances from customers 0.00 3.48
Medical Co., Ltd.
Interests payable CNPGC 60,291.18 52,140.00
Interests payable Group Financial Co. 56,155.04 0.00
159
国药集团一致药业股份有限公司 2015 年半年度报告
7. Commitment with related parties
Undertaking contracted for at the balance sheet date but not recognised in balance sheet are anaylsed
as follows:
As a leasee
Unit: RMB’0,000
30 June 2015 31 December 2014
Shaoguan Wujiang District Muyang Medicine
766.17 640.52
Information Consultant Co., Ltd.
Sinopharm Group Medicine Logistic Co., Ltd. 729.00 0.00
Wang Yang 248.40 0.00
Foshan Nanhai Medicine Group Co., Ltd. 18.24 3.70
Total 1,761.81 644.22
As a leaser
Unit: RMB’0,000
30 June 2015 31 December 2014
Sinopharm Guoda Drug Store Guangxi Chain
150.99 275.25
Co., Ltd.
Sinopharm Guoda Drug Store(Shenzhen)
107.94 10.25
Chain Co., Ltd.
Sinopharm Holding Guoda Drug Store
41.17 54.03
Guangzhou Chain Co., Ltd.
Sinopharm Group Guangdong Medicine
14.19 28.38
Device Co., Ltd.
Total 314.29 367.91
Guarantee (Unused quotas)
Unit: RMB’0,000
30 June 2015 31 December 2014
Sinopharm Group 7,697.05 10,024.25
Total 7,697.05 10,024.25
XI. Commitments and Contingencies
1. Commitments
(1) Capital commitments
160
国药集团一致药业股份有限公司 2015 年半年度报告
Capital expenditures contracted for at the balance sheet date but not recognised in balance sheet are analysed as follows:
Unit: RMB’0,000
30 June 2015 31 December 2014
Buildings, machinery and equipment 2,660.67 14,228.32
Total 2,660.67 14,228.32
(2) Operating lease commitments
The future minimum lease payments due under the signed irrevocable operating leases contracts are summarised as
follows:
Unit: RMB’0,000
30 June 2015 31 December 2014
Within one year 3,585.99 2,446.33
Between 1 and 2 years 2,682.19 2,407.97
Between 2 and 3 years 2,489.98 2,364.04
Over 3 years 13,233.29 16,372.28
Total 21,991.45 23,590.62
XII. Notes to the main items of financial statement of the Company
1. Accounts receivable
(1)The accounts receivable and related provision for bad debts by category are analysed below:
Unit:RMB
30 June 2015 31 December 2014
Bad debt
Carrying amount Carrying amount Bad debt provision
provision
Book
% of % of Book value
value amoun
amount total amount rate total amount rate
t
balance balance
individually
significant are
subject to separate 0.00 0.00% 0.00 0.00% 0.00 0.00 0.00% 0.00 0.00% 0.00
impairment
assessment
receivable
513,79
accounts within 561,068, 100.00 561,068, 100.00 513,791,982.
0.00 0.00% 1,982. 0.00 0.00%
similar credit risk 339.16 % 339.16 % 48
48
group
161
国药集团一致药业股份有限公司 2015 年半年度报告
individually not
significant but
individually 0.00 0.00% 0.00 0.00% 0.00 0.00 0.00% 0.00 0.00% 0.00
evaluated for
impairment
513,79
561,068, 100.00 561,068, 100.00 513,791,982.
Total 0.00 0.00% 1,982. 0.00 0.00%
339.16 % 339.16 % 48
48
The aging of accounts receivable and related provision for bad debts are analysed below:
Unit:RMB
30 June 2015
Aging
Accounts receivable Provision for bad debts rate
Within 1 year 561,068,339.16 0.00 0.00%
Total 561,068,339.16 0.00 0.00%
(2)The top five accounts receivable by customer are summariesd as below:
% of the total accounts
Amount Bad debt provision amount
receivable
Total amount of the top five
149,192,318.92 0.00 26.59%
accounts receivables
2. Other receivables
(1)Other receivables and related provision for bad debts by category are analysed below:
Unit:RMB
30 June 2015 31 December 2014
Bad debt
Carrying amount Carrying amount Bad debt provision
provision
Classification Book
% of % of Book value
value
amount total amount rate amount total amount rate
amount amount
Individually
significant are
8,980,00 8,980,00 100.00 8,980,0 8,980,00
subject to separate 0.66% 0.00 0.80% 100.00% 0.00
0.00 0.00 % 00.00 0.00
impairment
assessment
Receivable 1,349,02 99.25% 41,054.9 0.00% 1,348,9 1,111,4 99.10% 41,461.3 0.00% 1,111,423,80
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国药集团一致药业股份有限公司 2015 年半年度报告
accounts within 0,824.40 0 79,769. 65,271. 0 9.76
similar credit risk 50 06
group
Individually not
significant but
1,157,86 1,157,86 100.00 1,157,8 1,157,86
individually 0.09% 0.00 0.10% 100.00% 0.00
0.00 0.00 % 60.00 0.00
evaluated for
impairment
1,348,9 1,121,6
1,359,15 100.00 10,178,9 100.00 10,179,3 1,111,423,80
Total 0.75% 79,769. 03,131. 0.91%
8,684.40 % 14.90 % 21.30 9.76
50 06
As at 30 June 2015, impairment provision for other receivables individually significant are analysed as below:
Unit:RMB
30 June 2015
Other receivables(by
Assessment for
company) Amount Bad debt provision Rate
impairment
Shenzhen Yinghai
Uncertainty in
Technology Investment 8,980,000.00 8,980,000.00 100.00%
recoverability
Co., Ltd.
Total 8,980,000.00 8,980,000.00 -- --
Provisions for impairment of the receivables which have a similar risk group are analysed below:
Unit:RMB
30 June 2015
Aging
Amount Bad debt provision Rate
Within 1 year 1,348,199,726.44 0.00 0.00%
1 to 2 years 821,097.96 41,054.90 5.00%
Total 1,349,020,824.40 41,054.90 0.00%
(2)Other receivables by nature are analysed below
Unit:RMB
Nature 30 June 2015 31 December 2014
Amounts due from related parties 1,344,841,150.15 1,107,496,851.78
Petty cash advance to employees 2,329,088.34 1,050,529.32
Deposit 1,372,469.72 2,370,709.80
Purchasing rebates 414,367.80 0.00
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国药集团一致药业股份有限公司 2015 年半年度报告
Others 10,201,608.39 10,685,040.16
Total 1,359,158,684.40 1,121,603,131.06
(3)As at 30 June of 2015，the top 5 parties that owe the largest amounts of other receivable
balances are analysd as below:
Unit:RMB
Company name Nature Balance Aging % of total amount Provision of bad debt
Entrusted
Sinopharm Yuexing 209,700,000.00 Within 1 year 15.43% 0.00
borrowings
Entrusted
Suzhou Zhijun 177,949,000.00 Within 1 year 13.09% 0.00
borrowings
Sinopharm Entrusted
130,000,000.00 Within 1 year 9.56% 0.00
Guangzhou borrowings
Sinopharm Entrusted
118,000,000.00 Within 1 year 8.68% 0.00
Zhanjiang borrowings
Entrusted
Guangxi Logistics 81,840,000.00 Within 1 year 6.02% 0.00
borrowings
Total -- 717,489,000.00 -- 52.78% 0.00
3. Long-term equity investments
Unit:RMB
30 June 2015 31 December 2014
Provision for Provision for
Carrying Amount Book Value Carrying Amount Book Value
impairment impairment
Investments
in 2,735,399,494.38 121,000,000.00 2,614,399,494.38 2,735,399,494.38 121,000,000.00 2,614,399,494.38
subsidiaries
Investments
151,691,888.29 0.00 151,691,888.29 157,604,846.85 0.00 157,604,846.85
in associates
Total 2,887,091,382.67 121,000,000.00 2,766,091,382.67 2,893,004,341.23 121,000,000.00 2,772,004,341.23
(1)Investments in subsidiaries
Unit:RMB
Original Increases in Decreases in Provision for
Investees 30 June 2015 Impairment
investment cost investment cost investment cost impairment
Zhijun Medicine 204,903,284.87 0.00 0.00 204,903,284.87 0.00 0.00
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国药集团一致药业股份有限公司 2015 年半年度报告
Sinopharm
60,054,911.04 0.00 0.00 60,054,911.04 0.00 0.00
Jianming
Sinopharm
Shenzhen 15,450,875.93 0.00 0.00 15,450,875.93 0.00 0.00
Material
Shenzhen
5,019,062.68 0.00 0.00 5,019,062.68 0.00 0.00
Logistics
Sinopharm
1,035,440,323.63 0.00 0.00 1,035,440,323.63 0.00 0.00
Guangzhou
Zhijun Medicine 11,116,866.42 0.00 0.00 11,116,866.42 0.00 0.00
Sinopharm
45,763,288.00 0.00 0.00 45,763,288.00 0.00 0.00
Hengxing
Sinopharm
21,407,965.79 0.00 0.00 21,407,965.79 0.00 0.00
Liuzhou
Sinopharm
17,942,000.00 0.00 0.00 17,942,000.00 0.00 0.00
Dongguan
Huixin
64,416,937.72 0.00 0.00 64,416,937.72 0.00 0.00
Investment
Guangdong
10,596,006.21 0.00 0.00 10,596,006.21 0.00 0.00
Logistics
Sinopharm
113,459,326.27 0.00 0.00 113,459,326.27 0.00 0.00
Yuexing
Sinopharm
19,995,065.51 0.00 0.00 19,995,065.51 0.00 0.00
Foshan
Suzhou Zhijun 265,900,000.00 0.00 0.00 265,900,000.00 0.00 121,000,000.00
Sinopharm
504,048,985.28 0.00 0.00 504,048,985.28 0.00 0.00
Guangxi
Sinopharm
70,769,864.65 0.00 0.00 70,769,864.65 0.00 0.00
Zhanjiang
Sinopharm
38,207,800.00 0.00 0.00 38,207,800.00 0.00 0.00
Yanfeng
Sinopharm
21,281,900.00 0.00 0.00 21,281,900.00 0.00 0.00
Meizhou
Zhijun(Shenzhen
37,850,830.38 0.00 0.00 37,850,830.38 0.00 0.00
)Pingshan
Sinopharm
16,644,200.00 0.00 0.00 16,644,200.00 0.00 0.00
Huizhou
Sinopharm 18,060,000.00 0.00 0.00 18,060,000.00 0.00 0.00
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国药集团一致药业股份有限公司 2015 年半年度报告
Zhaoqing
Sinopharm
106,000,000.00 0.00 0.00 106,000,000.00 0.00 0.00
Jiangmen
Sinopharm
10,000,000.00 0.00 0.00 10,000,000.00 0.00 0.00
Zhongshan
Sinopharm
13,580,000.00 0.00 0.00 13,580,000.00 0.00 0.00
Shaoguan
Sinopharm
7,490,000.00 0.00 0.00 7,490,000.00 0.00 0.00
Shantou
Total 2,735,399,494.38 0.00 0.00 2,735,399,494.38 0.00 121,000,000.00
(2)Investments in associates
Unit:RMB
Movement
Provision
31 December Provision
Additional Share of Dividend 30 Jnue 2015 ending
2014 of
investment profit or loss declared balance
impairment
Associates
Wanle Medical 157,604,846.85 0.00 28,160,061.44 35,190,000.00 0.00 150,574,908.29 0.00
Sinopharm Zhuhai 0.00 1,002,980.00 114,000.00 0.00 0.00 1,116,980.00 0.00
subtotal 157,604,846.85 1,002,980.00 28,274,061.44 35,190,000.00 0.00 151,691,888.29 0.00
Total 157,604,846.85 1,002,980.00 28,274,061.44 35,190,000.00 0.00 151,691,888.29 0.00
4. Sales and cost of sales
Unit:RMB
For the six months ended 30 June 2015 For the six months ended 30 June 2014
Revenue Cost Revenue Cost
Revenue of main
1,404,606,954.44 1,349,606,896.49 1,339,376,773.85 1,289,133,611.14
operations
Other operating income 5,308,781.06 489,205.40 5,156,613.11 1,778,763.16
Total 1,409,915,735.50 1,350,096,101.89 1,344,533,386.96 1,290,912,374.30
5. Investment income
Unit:RMB
For the six months ended 30 June 2015 For the six months ended 30 June 2014
166
国药集团一致药业股份有限公司 2015 年半年度报告
Gain on long-term equity investment
514,513,119.54 456,948,364.73
under cost method
Gain on long-term equity investment
28,274,061.44 23,595,722.50
under equity method
Total 542,787,180.98 480,544,087.23
XIII.Supplementary information
1. Non-routine items
Unit:RMB
amount Notes
Mainly was compensation for demolition
Gains on disposal of non-current assets 4,114,941.12 from disposal the investment real estate
by Sinopharm Holding Liuzhou.
Mainly contained various of special
Government grants related to income 10,567,256.16
subsidies and financial discount.
Receivables impairment reversal by
2,568,108.32
individual assessment
Mainly comes from hosting service for
Entrusted management custody fee
375,000.00 Sinopharm Group and China National
income
Pharmaceutical Foreign Trade Co., Ltd.
Mainly was relocation rewards and
closed resettlement compensation for
Other non-operating income 2,189,460.15
demolition of Sinopharm Holding
Liuzhou.
Less:Tax impact of above non-routine
4,051,085.07
items
Share of minority interests of above
2,103,582.14
non-routine items after tax
Total 13,660,098.54 --
2. Return on equity and earnings per share
Earnings per share
Profit during the reporting period Weighted average return on equity (%) Basic earnings per Diluted earnings per
share share
Consolidated net profit
attributable to the shareholders 7.85% 1.068 1.068
of the Company
167
国药集团一致药业股份有限公司 2015 年半年度报告
Consolidated net profit
attributable to the shareholders
7.58% 1.030 1.030
of the Company, excluding
non-routine items
168
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Section X. Documents Available for Reference
1. Accounting Statements carried with the signature and seals of legal representative, chief financial officer and
person in charge of accounting;
2. Original text of all documents of the Company as well as manuscript of the announcement disclosed in
reporting period on Securities Times, China Securities Journal and Hong Kong Commercial Daily appointed by
the CSRC;
3. Annual Report carried with the personal signature of the Chairman;
4. The Place Where the document placed: Office of Secretariat of the Board of Directors, Accord Pharm
Bldg., No. 15, Ba Gua Si Road, Futian District, Shenzhen
169
