On July 8, Gelon Hui announced Teyi Pharmaceutical Group's (002728.SZ) performance forecast for the first half of 2024. The net income attributable to shareholders of the listed company during the reporting period was 2.3 million yuan to 3.2 million yuan, a year-on-year decrease of 98.49%-97.90%; the net income after deducting non-recurring gains and losses was 1.8 million yuan to 2.7 million yuan, a year-on-year decrease of 98.80%-98.21%; and the basic earnings per share were 0.005 yuan/share-0.006 yuan/share.
During the reporting period, the company underwent a marketing organizational change, optimizing and adjusting the original organizational structure and marketing channels. Through the marketing organizational change, the sales in pharmacies gradually transitioned from a dealer model to a mixed model of self-operation and distribution. Due to the marketing organizational change and adjustment of the marketing model, channel connection and transfer of part of the pharmacy sales business were also involved. In this process, to ensure the smooth progress of the transformation, the company reduced the shipment of its core product cough reliever tablets, leading to a significant year-on-year decline in sales revenue of the high-margin cough reliever tablets. At the same time, in order to further enhance the market visibility and reputation of the Teyi brand, the company did not correspondingly reduce the expenses of brand promotion while reducing the shipment of cough reliever tablets, resulting in a higher proportion of sales expenses in the period. These had caused a significant decline in the company's performance during the reporting period.