CSPC Pharmaceutical Group Limited — Annual Report 2020

Mar 4, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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CSPC PharmaCeutiCal GrouP limited 石藥集團有限公司

(Incorporated in Hong Kong under the Companies Ordinance)

(Stock Code: 1093)

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PriNCiPal FiNaNCial iNFormatioN oF CSPC iNNoVatioN PharmaCeutiCal Co., ltd. For the Year eNded 31 deCember 2020

This announcement is made by CSPC Pharmaceutical Group Limited (the “ Company ”) pursuant to Rule 13.09(2) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

CSPC Innovation Pharmaceutical Co., Ltd. (“ CSPC XNW ”) is a subsidiary of the Company and its shares are listed on the ChiNext of Shenzhen Stock Exchange (Stock Code: 300765). In compliance with the relevant requirements of Shenzhen Stock Exchange, CSPC XNW has published its 2020 Annual Report (“ annual report ”) on the information disclosure webpage of Shenzhen Stock Exchange’s website at http://www.szse.cn/disclosure/listed/notice/index.html.

The board of directors of the Company would like to draw the attention of its shareholders and the public investors to the appendices of this announcement (the “ appendices ”) which set out the principal financial information of CSPC XNW prepared in accordance with the PRC Accounting Standard for Business Enterprises for the year ended 31 December 2020.

Please note that the information in the Appendices is an extract of the Annual Report in Chinese. In case of any inconsistency between the Chinese version and the English version, the Chinese version shall prevail.

By Order of the Board CSPC Pharmaceutical Group limited Cai dongchen Chairman

Hong Kong, 4 March 2021

As at the date of this announcement, the Board comprises Mr. CAI Dongchen, Mr. ZHANG Cuilong, Mr. WANG Zhenguo, Mr. PAN Weidong, Mr. WANG Huaiyu, Dr. LI Chunlei, Dr. WANG Qingxi, Mr. CHAK Kin Man and Dr. JIANG Hao as executive directors; and Mr. WANG Bo, Dr. YU Jinming, Mr. CHEN Chuan, Prof. WANG Hongguang and Mr. AU Chun Kwok Alan as independent nonexecutive directors.

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PriNCiPal aCCouNtiNG data aNd FiNaNCial iNdiCatorS

Unit: RMB (Yuan)

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----- Start of picture text ----- increase/decreasecompared with the2020 2019 last year 2018Revenue 1,317,414,122.08 1,256,502,359.88 4.85% 1,240,098,691.33Net profit attributable to listed 299,835,756.44 273,197,126.61 9.75% 223,840,143.77company’s shareholdersNet profit attributable to listed 263,188,500.07 238,465,715.95 10.37% 212,837,369.00company’s shareholders less the non-recurring gain/lossNet cash flows arising from 349,071,664.26 315,384,186.07 10.68% 159,727,619.61operating activitiesBasic earnings per share (Yuan/ 0.714 0.694 2.88% 0.711share)Diluted earnings per share (Yuan/ 0.714 0.694 2.88% 0.711share)Weighted average return on net 11.82% 13.77% -1.95% 25.47%assetsincrease/decreasecompared with theend of 2020 end of 2019 end of last year end of 2018Total assets 2,954,902,756.59 2,852,373,126.14 3.59% 1,390,799,205.46Net assets attributable to listed 2,678,111,938.23 2,406,399,708.49 11.29% 990,767,205.16company’s shareholders----- End of picture text -----

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NoN-reCurriNG GaiN/loSS itemS aNd amouNtS

Unit: RMB (Yuan)

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----- Start of picture text ----- items amounts in 2020 amounts in 2019 amounts in 2018 description----- End of picture text -----

items	amounts in 2020	amounts in 2019	amounts in 2018	description
Gain/loss from disposal of non-current assets (including the partoffset with the provision forimpairment of assets)	-430,725.37	-1,993,792.46	-299,607.08
Government grants recognised inprofit or loss of current period(excluding those closely related tothe company’s business and grantedunder the State’s policies accordingto certain quota of amount orvolume)	23,098,080.33	23,815,570.94	14,521,070.87
Gain/loss from entrusted investmentsor assets management	22,978,112.40	21,808,271.60
Non-operating income and expensesother than the above items	-435,965.16	71,723.10	1,145,461.02
_Less:_Impact of income tax	8,567,097.89	8,910,323.87	3,724,199.83
Impact of minority interests(after tax)	-4,852.06	60,038.65	639,950.21
Total	36,647,256.37	34,731,410.66	11,002,774.77	—

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aPPeNdiX iii SiGNiFiCaNt ChaNGeS iN aSSetS

Unit: RMB (Yuan)

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----- Start of picture text ----- major assets description on significant changes----- End of picture text -----

major assets	description on significant changes
Equityassets	No significant changes
Fixed assets	No significant changes
Intangible assets	No significant changes
Construction in progress	Closing balance is RMB154,828,065.57 and opening balance isRMB108,134,496.09, representing an increase of 43.18%, mainly due tothe increase in the investment in investmentprojects.
Bank balances and cash	Closing balance is RMB1,138,744,787.20 and opening balance isRMB475,141,505.60, representing an increase of 139.66%, mainly dueto the growth in the business scale of the Company, increase in salesreceipts and redemption upon maturity of cash management using idleproceeds.
Financial assets held fortrading	Closing balance is RMB321,943,412.99 and opening balance isRMB960,086,125.04, representing a decrease of 66.47%, mainly due tothe redemption upon maturityof cash management usingidleproceeds.
Long-term equityinvestments	Closing balance is RMB235,874,486.64 and opening balance isRMB156,285,100.38, representing an increase of 50.93%, mainly dueto the acquisition of 9.77% interest in Guoxinhuijin held by NBPPharmaceutical.
Other current assets	Closing balance is RMB26,031,698.78 and opening balance isRMB14,881,297.50, representing an increase of 74.93%, mainly due tothe increase in deductible value-added tax.

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