Hunan Nucien Pharmaceutical Co Ltd

The Hunan Securities Regulatory Bureau issued an administrative penalty decision against Nanxin Pharmaceutical, finding that its 2023 annual report inflated revenue by 64.6828 million yuan and inflated profit by 11.9522 million yuan. The company and three senior executives were fined and had a total of 11 million yuan confiscated. The inflated profit accounted for 157.11% of the total profit disclosed for the period. After removing the inflated amount, the company's main business actually recorded a loss in 2023. The fraud was concentrated in its controlling subsidiary Guangzhou Nanxin, involving two issues: customer returns that were not offset against revenue and profit, and cash discounts on accounts receivable that took effect but were not offset against revenue. Starting June 11, 2026, the company was placed under other risk warnings, and its stock abbreviation was changed to ST Nanxin, but it did not trigger mandatory delisting for major violations. After listing on the STAR Market in 2020, Nanxin Pharmaceutical's performance declined continuously. Its core product peramivir was included in centralized procurement, with prices falling by about 90%. The company recorded losses from 2021 through 2025. In the first quarter of 2026, revenue fell 35.88% year on year, and net loss attributable to the parent company was 13.24 million yuan.