Summary by Moomoo AI
China Traditional Chinese Medicine Holdings Limited ("Trad Chi Med") issued a profit warning on August 21, 2024, expecting a 60%-70% year-on-year decrease in net profit for the six months ending June 30, 2024. The reasons for the decline include the erosion of profitability in the traditional Chinese medicine granule business due to price reductions and intensified market competition, an increase in accounts receivable leading to increased credit impairment losses, and the impact of tax payments by certain subsidiaries on net profit. In addition, the company mentioned the privatization proposal with China National Pharmaceutical Group Corporation and indicated that the tender offer period for the proposal began on February 21, 2024. The board of directors takes responsibility for the accuracy of the announcement and confirms that the contents of the announcement have been carefully considered and contain no misleading information.
