1 billion minus 200 million! Ercon Pharmaceuticals net profit "20% off"

Pharmaceuticals shares were suspended from trading on May 10 and will resume trading on November 23 after the report is released. According to the company's self-examination announcement forecast, Erkang Pharmaceutical annual report false profit totaled 232 million yuan, of which the most important false increase data is Cambodia's Erkang false increase in the main business revenue of 229 million yuan, is expected to increase net profit of 209 million yuan.
, which has been suspended for more than six months, issued a self-examination report on the evening of November 22nd, explaining the company's alleged profit-inflating and apologizing to investors. According to the company's disclosure, the problems found in this self-examination will lead to major performance errors in Erkang Pharmaceutical's 2016 financial report, and are expected to reduce net profit by 232 million yuan.
2016 net profit of 1,026 million yuan, according to the company's annual report. On this basis, the annual net profit reduction of about 20%, equivalent to last year's performance of 20%.
Pharmaceuticals shares were suspended from trading on May 10 and will resume trading on November 23 after the report is released. The announcement also reminded that "at present, the CSRC is conducting a case audit of the company, the final results of the investigation to the SFC issued a conclusion, please pay attention to the majority of investors investment risks." "
data
the company's net profit "evaporated" 200 millionaccording to the company's self-examination announcement forecast, Erkang Pharmaceutical annual report false profit increased by a total of 232 million yuan, of which the most important false increase data is Cambodia's Erkang false increase main business revenue of 229 million yuan, expected to increase net profit of 209 million yuan. According to the announcement, in 2015, the provinces and cities have issued a centralized procurement of drugs reform documents and related regulations, dealers to the company feedback information shows that Erkang pharmaceutical production of starch capsule preparation products into Henan, Yunnan and other provinces of a single group tender plan. To this end, the company started the procurement of raw materials for stocking, and through third-party suppliers to Cambodia Erkang procurement of hollow capsules with modified starch.
, there has been a major change in the centralized drug procurement policy in various provinces, with the direct result that the company's stock of hollow capsules with modified starch has not all been sold to the outside world.
in accordance with the requirements of the enterprise accounting standards, the above-mentioned internal procurement unreal sales portion of the revenue in the consolidated statement to offset, the announcement said, the error is expected to inflate net profit of 209 million yuan.
and the other part is the company in North America agent SYN company generated sales returns, failed to carry out timely accounting processing, resulting in a false increase in the main business revenue of 0.26 billion yuan, a false net profit of 0.23 billion yuan.Trend
After the resumption of trading share price pressure is not small in addition to inflated profits, the outside world also on Cambodia's Erkang "180,000 tons of medicinal cassava starch production project" high gross margin and customs data are a lot of doubts, the company in the self-examination report also made a relevant statement. But for investors in Ercon Pharmaceuticals, the biggest concern is the company's stock market after the resumption of trading. Since the suspension on May 10, to November 23 to resume, Erkang Pharmaceuticals has been suspended for more than half a year. In the meantime, the trend of small and medium-sized individual stocks generally depressed, in the announcement of false profits under the influence of the news, the company's stock after the resumption of trading price pressure is not small.
according to the estimates of the self-examination announcement, Erkang Pharmaceutical's 2016 annual net profit will be reduced by 232 million yuan, from 1.026 billion yuan to 794 million yuan, equivalent to an 80% discount on the original basis.
also learned that in the first three quarters of this year, Erkang Pharmaceuticals achieved operating income of 2.269 billion yuan, an increase of 19.76 percent year-on-year, and a net profit of 554 million yuan, a decrease of 23.21 percent year-on-year. (Sanxiang Metropolis Daily)