Immediate Release | 23 August 2024 |
SHENGUAN HOLDINGS (GROUP) LIMITED
神冠控股（集團）有限公司
（於開曼群島註冊成立的有限公司）
（股份代號：00829）
Shenguan Holdings Announces 2024 Interim Results The Accelerated Development of the Health Industry Under the "Three Developments and One Core" Strategy Further Consolidates its Leading Position
(23 August 2024 - Hong Kong) Shenguan Holdings (Group) Limited ("Shenguan Holdings" or the "Company" and its subsidiaries (collectively the "Group", Stock Code: 00829.HK) announces its unaudited interim results for the period ended 30 June 2024 (the "Period").
2024 marks the 45th anniversary of the research and development and application of the Group's products, the 35th anniversary of the establishment of the plant, the 20th anniversary of its restructuring, and the 15th anniversary of its listing in Hong Kong, as well as a critical year for the implementation of the "Fourteenth Five-Year Plan". In the face of opportunities and challenges, The Group is accelerating the development of the health industry under the "Three Developments and One Core" strategy. Relying on the collagen core technology with a complete triple helix, the Group has successfully launched six series of new products of collagen sausage casings to further consolidate its leading position in the collagen sausage casings market. At the same time, the Group intensifies its expansion in three major industries, namely collagen food products, collagen skincare products and collagen medical biomaterials, with operational performance remaining stable and sound. During the Period, the revenue of the Group was approximately RMB452.4 million. Gross profit was approximately RMB79 million, an increase of 72.5% year-on-year; the gross profit margin was approximately 17.5%, an increase of 8.5 percentage points year-on-year. Although there was an after-tax gain of approximately RMB29.8 million in the Prior Period in respect of other gains on the assignment of marketing authorisations for pharmaceutical products while there was no similar gain in the Period, the profit attributable to owners of the parent increased significantly by approximately 580.2% to approximately RMB8.2 million for the Period as a result of
1
the significant improvement in the gross profit margin with a significant increase in gross profit by RMB33.2 million in the Period.
Collagen Sausage Casings: Six new products were well received by the market, and the production expansion plan was basically achieved
During the Period, the Group successfully developed and launched six new products of the collagen sausage casings series, namely "fried", "crispy", "fresh", "tender", "bright" and "colorful", and held new product promotional seminars and global investment promotion seminars. Meanwhile, to cope with the launch of new products, the Group constantly strengthens and improves its production capacity. The plan of production capacity expansion formulated by the Group has basically been achieved, with the production capacity of collagen sausage casings reaching 7 billion metres. The Group has also upgraded its facilities from raw material warehousing, storage, and pre-processing to collagen extraction, sausage casings production and environmental protection.
Other Products: Accelerating technological innovation and application to meet diversified consumer needs
For collagen food products, the Group is committed to promoting the innovative application of collagen in the food industry and has developed a series of bovine collagen food products represented by ready-to-eat "beef tendon" with collagen as the main raw material, as well as health food products such as collagen oat drinks and brown sugar ginger tea, etc. Several collagen food products were comprehensively upgraded during the Period from packaging to texture to better in line with consumer needs nowadays. The overall sales of collagen food products also increased compared to the same period last year.
For collagen skincare products, the Group's highly active and easy-to-absorb collagen technology has enabled the creation of a wide range of products with collagen as the main raw material such as essence, facial mask, hand cream, lotion, cream and gel, etc., which provide consumers with safe and mild high-quality skincare products with better effects.
During the Period, the Group performed particularly well in the collagen medical biomaterials segment, while the endotoxin content of the Group's medical collagen raw materials extracted through its proprietary technology is only 0.01EU/ml, which is better than the FDA's standard of 0.5EU/ml in the USA. The selling medical collagen raw materials demonstrated promising prospects of representing an increase of 648.7% as compared with the same period of 2023. The clinical report of "collagen bone filling biomaterials (artificial bone) (膠原蛋白骨填充材料(人工骨))" has been completed, and the application for the next stage of Class III medical device products license is being prepared. The "oral post-operative medical collagen sponge (口腔術
2
後醫用膠原蛋白海綿)" has passed the ethical stage, and will enter the clinical trial stage in the second half of this year. The "medical collagen dressing (醫用膠原蛋白 敷料)" and "small beauty needle (小美容針)" are now entering the stage of physical and chemical index testing and animal trial.
Ms. Zhou Yaxian, Chairman of the Group, said: Looking forward to the second half of 2024, the implementation of promoting consumption policies and the innovation and expansion of consumer scenarios will lay a solid foundation for the sustained growth of demand in China's collagen sausage casings market. The Group will stress the theme of "seeking progress while upholding and maintaining stability and promoting stability through progress" and make every effort to propel the "realization of enterprise's high-qualitydevelopment". As the six new collagen sausage casing series products have gained recognition from customers, the Group will further expand the market through measures such as stabilizing quality, improving supporting production capacity, and improving traditional production processes through digitalization. For collagen food products, the Group will continue to expand the marketing and promotion of various products to achieve better results. For collagen skincare products, the Group will continue to research and develop new products such as daily skin care products and cleaning products to expand the "Luxianna", "COLL-FULL","Collagen Family" and "coll-shine"product chain. For collagen medical biomaterials, the Group will speed up the clinical trials of new products and the application for production licences. The Group will continue to endeavour and speed up the growth of the grand health industry of Shenguan, further broaden the application of collagen technology, and develop more products in the collagen industry chain for the market to generate better investment returns for the shareholders.
-END-
About Shenguan Holdings (Group) Limited
Shenguan Holdings, a manufacturing enterprise specialising in collagen products, is committed to the development of core collagen technologies and is principally engaged in the manufacture and sale of collagen products in China. The Group has further expanded its business to pharmaceutical products, food products and skin care products since 2015. The Group is listed on the main board of The Stock Exchange of Hong Kong Limited.
For further details of Shenguan Holdings, please visit the official website of the Group at http://www.shenguan.com.hk/
This press release is issued on behalf of Shenguan Holdings (Group) Limited by
Wonderful Sky Financial Group Ltd.
3
For further information, please contact:
Wonderful Sky Financial Group Ltd.
Email: po@wsfg.hk
Tel: Angie Li (852) 6150 8598 / Jason Lai (852) 9798 0715
4