New Ray Medicine International Holding Limited

Climate Impact & Sustainability Data (2018)

Total Carbon Emissions:155.7 tCO2e/year

Total Energy Consumption:137,340 kWh/year

Water Consumption:1,220 m3/year

Waste Generated:9.2 tons/year (packaging materials, paper)

Introduced various steps and procedures to ensure all resources are efficiently utilised. Well-established practices in reducing electricity consumption and recycling ink cartridges and toner cartridges. Encouraged employees to participate in environmental protection activities.
Reduced carbon footprint to 155.7tCO2e through optimizing distribution and transportation networks and promoting paperless working environment.

Maintained good partnership with employees, close cooperation with suppliers, and provided reliable products and services to customers.
Offered competitive compensation, treated all staff equally and fairly, and complied with laws and regulations.
Provided various training courses covering procurement management, warehouse and delivery management, product knowledge, etc. 28 employees participated in trainings with 1,320 training hours in total.
No major accidents or material workplace injuries recorded.

Established an independent board committee to investigate issues relating to acquisitions of Saike International and WinHealth International.
Adopted the Model Code for Securities Transactions by Directors of Listed Issuers.
Established an audit committee, remuneration committee, nomination committee, and corporate governance committee.

Long-term Goals:

Medium-term Goals:

Continue to enhance and expand sales and marketing capabilities.
Explore opportunities to enhance distribution capabilities.
Seek potential merger and acquisition opportunities in medical-related industries.

Short-term Goals:

Continue to enhance product portfolio, distribution channels, and marketing and promotion strategy.

Challenges in the pharmaceutical industry due to government policies such as the “4+7 centralised purchase policy” and the “Two-Invoice” System, leading to price cuts and lower profit margins.
Competition with national leading pharmaceutical distribution companies due to the “Two-Invoice” System.
Drug pricing pressure and loss of market share due to the “4+7 centralised purchase policy”.
Suspension of trading in shares due to concerns about materially false, incomplete, or misleading information in company announcements.

Actively tightened cooperation with suppliers and end customers to improve sales and marketing capabilities and expand distribution network.
Adjusted distribution channels due to the “Two-Invoice” System.
Acquired exclusive national distribution right of a prescription tablet drug.
Identified and hired additional sales and marketing personnel.
Explored opportunities to enhance distribution capabilities and sought potential merger and acquisition opportunities.
Established an independent board committee to investigate issues relating to acquisitions and obtain external legal advice.

Supplier Audits: Continuous assessments on existing suppliers and potential suppliers prior to obtaining new distribution rights.

Obtaining Pharmaceutical Operation Permit and GSP Certificate from CFDA.
Assessing potential suppliers with reference to operation scale, reputation, manufacturing capacity, product quality, financial performance, and historical quality control records.
Appointing an independent search agency to conduct background searches on potential suppliers.
Conducting annual appraisals of existing suppliers.

Frameworks Used: HKEx ESG Reporting Guide