Shandong Lukang Pharmaceutical gets pollution control grant, boosting future profit

Shandong Lukang Pharmaceutical Co. recently received a government grant of CNY 14,360,000.00 from the Shandong Provincial Department of Finance. This funding is specifically for central pollution prevention and control initiatives. The grant represents 3.52% of the company's audited net profit for 2024, highlighting its significance relative to its financial performance.

This subsidy is classified as a government grant related to assets, in line with "Accounting Standards for Business Enterprises No. 16 – Government Grants." The company anticipates this non-operating income will contribute positively to its profit for the 2025 fiscal year.

The company cautions investors that the exact accounting treatment and the ultimate impact on its annual profit and loss are subject to confirmation by an auditing firm during the annual audit process. Investors are advised to exercise caution and be aware of potential investment risks. The announcement was made by the board of directors of Shandong Lukang Pharmaceutical Co. on December 9, 2025.