Tong Ren Tang Technologies Co. Ltd. (HKEX?01666) Strong Performance Revenue 5.4billion and Net Profit 867million in 2021

HONG KONG SAR – Media OutReach – 19 April 2022 – With the strong support and promotion of the government, the traditional Chinese medicine industry has inherited from the tradition and developed innovatively and rapidly. 2021 is the revolutionary year of Tong Ren Tang Technologies (01666). The company achieved excellent performance by seizing this development opportunities of innovation. The latest annual report announced that Tong Ren Tang Technologies’ annual revenue in 2021 has reached 5.4 billion RMB, with an increment of 17.21% YOY and the net profit was 867 million RMB, with an increment of 10.21% YOY. The company stockholder has entitled a net profit of 508 million RMB, with an increment of 8.49% YOY. Both income and benefits both recorded net growth with strong performance.

Tong Ren Tang Technologies is committed to the development of modern traditional Chinese medicine. The development of innovative pharmaceutical products on the foundation of traditional Chinese medicine has gradually promoted their products to the world. At the same time, it expands the marketing catchment and sales.

Improve production capacity and upgrade marketing Two-track strategy drives business

In 2021, Tong Ren Tang Technologies carefully plans the production strategy in Beijing and Hebei. The company stabilized and reasonably increased industrial production capacity, increased the total production throughout the year compared to the same period last year. On the other hand, the company strategically diversified the products in different varieties, and categorized the medicine in “kidney disease, heart and brain, tonic, nourishing lung, anti-cancer, children’s medicine” and other varieties. At the same time, the company upgrading product packaging, revolutionized the sales model, such as expanding e-commerce channels, live streaming delivery, limited-time specials, and online platforms sales on Ali Health and JD Pharmacy and Tong Ren Tang Technologies online, by adopting “One product, one policy” and “one product and Three regulations” sales differentiation strategy. The company has also strengthened the connection with main-chain pharmacies. No matter whether promotion activities, talent training, after-sales service, brand counter construction and product variety customization, all adopted close relationship and resource sharing strategies. As a result, the product sales has increased successfully with an annual sales of over 100 million RMB in 11 varieties compared to the same period last year.

Comprehensive monitoring to achieve high-quality development

Comprehensive quality control to promote high-quality development is always Tong Ren Tang Technologies’ pursue basis of “quality” for the enterprise. It attaches great importance to and adheres to the adoption of a comprehensive quality control system, improves pharmacovigilance and drug traceability management mechanisms, and vigorously maintains and supervises product quality. Facing the possible impact on the production and the chain effect brought by the epidemic in 2022, Tong Ren Tang Technologies has advanced the procurement and production plans to ensure smooth production and sales. At the same time, it also improves sales and service capabilities and brand competitiveness.

“High-quality development and transformation” to promote the modernization of traditional Chinese medicine

Tong Ren Tang Technologies’ outlook for the future is inclined to “high-quality development and transformation”. In addition to embracing proprietary Chinese medicine as its core business, it will also develop diversified innovative businesses, such as functional products, adhesive products, and disinfection products, to expand the market diversity and sales. At the same time, continue to adhere to the combination of internal and external development, constantly seek innovative methods and continue to promote the modernization and internationalization of traditional Chinese medicine.

This press release is issued by Tong Ren Tang Technologies Co. Ltd.

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