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SSY Group Limited Earnings Release 2014

Oct 29, 2014

50335_rns_2014-10-29_1e65b4db-9d32-4158-82c1-c180c53115ad.pdf

Earnings Release

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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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(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 2005)

ANNOUNCEMENT OF TURNOVER AND GROSS PROFIT INFORMATION FOR THE NINE MONTHS ENDED 30 SEPTEMbER 2014

The Company announces the turnover and gross profit information, which has not been reviewed by its auditors, for the nine months ended 30 September 2014.

The board of directors (the “Board”) of Lijun International Pharmaceutical (Holding) Co., Ltd. (the “Company”) announces the financial information of turnover and gross profit of the Company and its subsidiaries (together, the “Group”) for the nine months ended 30 September 2014 based on its management accounts which have not been reviewed by the auditors.

Turnover of the Group, which has not been reviewed by the auditors, for the nine months ended 30 September 2014 increased by 10.9% as compared with the same period of 2013 to HK$2,265 million, with gross profit margin of 46.8% (for the nine months ended 30 September 2013: 44.1%) and in particular:

– Turnover of intravenous infusion solution for the first nine months in 2014 increased by approximately 19.4% as compared with the same period of 2013 to HK$1,522 million, with gross profit margin of 50.2% (for the nine months ended 30 September 2013: 45.3%). Among which, sales of Non-PVC Soft Bag infusion solution was HK$764.3 million, representing 57.4% of the total sales of intravenous infusion solution and an increase of 27.5% as compared with the same period of 2013; sales of PP Plastic Bottle infusion solution was HK$403.1 million, representing 30.3% of the total sales of intravenous infusion solution and an increase of 13.8% as compared with the same period of 2013; and

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  • Turnover of antibiotics finished medicines and non-antibiotics finished medicines businesses for the first nine months in 2014 decreased by approximately 6.3% to HK$363.3 million and decreased by approximately 0.2% to HK$379.8 million respectively as compared with the same period of 2013, with the gross profit margin of 40.0% (for the nine months ended 30 September 2013: 42.2%); among which, sales of Lijunsha amounted to HK$213.8 million, represented a decrease of 6.5% as compared with the same period of 2013; sales of Paiqi amounted to HK$58.1 million, represented a decrease of 9.4% as compared with the same period of 2013; sales of Dobesilate amounted to HK$82.5 million, represented an increase of 16.2% as compared with the same period of 2013; sales of Lixiding amounted to HK$30.7 million, represented an increase of 10.0% as compared with the same period of 2013.

In terms of business segments analysis, intravenous infusion solution, antibiotics finished medicines and non-antibiotics finished medicines accounted for approximately 67.2%, 16.0% and 16.8% respectively of the total turnover of the Group, which has not been reviewed by the auditors, for the first nine months in 2014 (for the nine months ended 30 September 2013: 62.4%, 19.0% and 18.6% respectively).

The Completion of the Disposal Agreement on the disposal of entire issued share capital of Xi’an Lijun Pharmaceutical Co., Ltd. (“Xi’an Lijun”) will take place on 31 October 2014. Immediately after the Completion, the Company will not have any interest in Xi’an Lijun that carry on with manufacturing and sale of the antibiotics finished medicines and non-antibiotics finished medicines as its business segments.

Shareholders and investors are advised to exercise caution in dealing in the shares of the Company.

On behalf of the Board Chan Ka Kit Company Secretary

Hong Kong, 29 October 2014

As at the date of this announcement, the Board comprises Mr. Qu Jiguang, Mr. Wang Xianjun and Mr. Duan Wei as executive Directors, and Mr. Wang Yibing, Mr. Leung Chong Shun and Mr. Chow Kwok Wai as independent non-executive Directors.

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