HANGZHOU, China, Feb. 2,
2021 /PRNewswire/ -- China Jo-Jo Drugstores, Inc. (NASDAQ:
CJJD) ("Jo-Jo Drugstores" or the "Company"), a leading online and
offline retailer, wholesale distributor of pharmaceutical and other
healthcare products, and healthcare provider in China,
released a letter to shareholders from the Chairman of the
Company's board of directors today.
Dear shareholders,
The 2020 COVID-19 pandemic has brought unexpected challenges
to everyone. It also brought tremendous impact and pressure to the
development of enterprises. During this period, we made every
effort to guarantee sufficient medicine supply, build a pandemic
medicine center and provide online pharmacy consultation services.
We used our expertise to fight against the pandemic.
Facing Challenges and Seizing Opportunities
2020 was a difficult year. Due to the pandemic, the value of the
national pharmaceutical retail market in China dropped to RMB107.7 billion in the
second quarter, representing a 1.7% decrease, and it tends to
further decline. Business transformation promoted due to frequent
policy changes. During this period, we enhanced various information
and data systems, continued to develop the management system
serving for member patients who have chronic diseases, upgraded our
"Medical + Medicine" business model, introduced digital services
such as Xiaoqiao robots to our customers, developed 24-hour service
stores, launched a new OA system, and accelerated comprehensive
budget management.
Opening up a New Page with Rapid Development
During the Company's 17th anniversary celebration, the
single-day sales of our Daguan store exceeded RMB1.2 million, and the overall performance of
the store achieved an unprecedented success, the revenue increased
by 323% compared to the same period of last year. Regarding our
online business, revenue increased by 26.1% year-over-year during
the "618" shopping festival, and revenue increased by 64.5%
year-over-year during the "Double 11" shopping festival. Following
the online and offline business cooperation with Yingda Insurance
in 2019, Jo-Jo Drugstores officially took over the medical and
health management services from Yingda Insurance in 2020. The
Company also signed an MOU with Zhejiang Provincial Government to
conduct research and development on building the first smart
medicine vending machine with medical insurance payment of the
province. Once complete, we plan to promote it all over the
province.
Highlights of 2020
In January 2020, the Company's
Binjiang district comprehensive clinic jointly launched an eye care
charity program with Zhejiang Colorful Sunshine Charity
Foundation.
In February 2020, Jo-Jo Drugstores
was recognized as one of seven municipal-level temporary reserve
organizations for prevention and control materials in Hangzhou; It is also one of the pilot
organizations to distribute free masks authorized by the government
during the COVID-19 outbreak.
In March 2020, Jo-Jo Drugstores
received thank-you letters from Hangzhou Economic and Information
Bureau, conveyed their appreciation for the Company's contribution
to fight against the novel coronavirus outbreak. In May 2020, the leaders of the Hangzhou Municipal
Medical Insurance Bureau sent Jo-Jo Drugstores a silk banner to
express their gratitude for our strong support in the battle
against the pandemic.
In July 2020, the Company's
Binjiang District comprehensive clinic successfully launched a
medical insurance program, and became the designated medical
institution for patients with basic medical insurance.
In August 2020, Hangzhou Jo-Jo
Drugstores was awarded the Top 30 National Health New
Retailers.
In September 2020, Hangzhou Jo-Jo
Drugstores remains the Top 100 Chinese Pharmaceutical Retail
Company in the industry for 13 consecutive years.
In October 2020, our chronic
disease management team won the first place in the Health
Ambassador Selection Competition.
In November 2020, Mr. Lei Liu,
Chairman of Jo-Jo Drugstores, won the "Gold Leaf Award" as the
"Influential Entrepreneur of the Year"; Jo-Jo Drugstores won the
Outstanding Enterprise Award in the 15th China Growth
Pharmaceutical Enterprise Development Forum; We also won the Daguan
Street Pioneer Enterprise Award and the Public Welfare Enterprise
Award.
Outlook for 2021
With quality-driven mentality, Jo-Jo Drugstores will continue to
promote chronic disease and membership management. With 85
hospital-side pharmacies, the Company will focused on the "Medical
+ Medicine" model speed up team building, consolidate internal
strength, improve medical service standards, and continue to
improve the quality of our medicine. At the same time, we will
continue to cooperate with suppliers, governments, associations,
prestigious universities and other partners. We will strive to
realize the smart medicine diagnosis model.
Innovation is our ultimate goal. In 2021, Jo-Jo Drugstores will
continue to accelerate digital transformation in organizational
system and business processes, improve work efficiency and risk
control at the management level, enhance online and offline
integration, and further improve user experience and service
quality in our pharmacies. At the same time, the Company will
continue to leverage our existing platforms and create more value
for our community.
Providing quality services is our never-changing commitment. The
need to customize and individualize one's medical consumption is
increasing. Jo-Jo Drugstores adheres to the customer-oriented
guidance, and continues to upgrade its services to be more
diversified, muti-dimensional, and personalized. With the aim of
creating a one-stop health management and service platform for
consumers, the Company will keep on improving medical quality,
upgrading service and the optimizing work flow.
On behalf of China Jo-Jo Drugstores, I would like to
express my sincere gratitude to our customers and partners for your
trust in us, to the shareholders for your continuous support, and
to the board members, management team and staff for your commitment
in the past year.
Mr. Lei Liu
Chairman and Chief Executive Officer
China Jo-Jo Drugstores, Inc.
About China Jo-Jo Drugstores, Inc.
China Jo-Jo Drugstores, Inc. ("Jo-Jo Drugstores" or the
"Company"), is a leading online and offline retailer and wholesale
distributor of pharmaceutical and other healthcare products
in China. Jo-Jo Drugstores currently operates retail
drugstores and an online pharmacy. It is also a wholesale
distributor of products similar to those carried in its pharmacies
and it cultivates and sells herbs used for traditional Chinese
medicine. For more information about the Company, please
visit http://jiuzhou360.com. The Company routinely posts
important information on its website.
Forward-Looking Statements
This press release contains information about the Company's
view of its future expectations, plans and prospects that
constitute forward-looking statements. Actual results may
differ materially from historical results or those indicated by
these forward-looking statements as a result of a variety of
factors including, but not limited to, risks and uncertainties
associated with its ability to raise additional funding, its
ability to maintain and grow its business, variability of operating
results, its ability to maintain and enhance its brand, its
development and introduction of new products and services, the
successful integration of acquired companies, technologies and
assets into its portfolio of products and services, marketing and
other business development initiatives, competition in the
industry, general government regulation, economic conditions,
dependence on key personnel, the ability to attract, hire and
retain personnel who possess the technical skills and experience
necessary to meet the requirements of its clients, and its ability
to protect its intellectual property. The Company's encourages
you to review other factors that may affect its future results in
the Company's annual reports and in its other filings with the
Securities and Exchange Commission.
For more information, please contact:
Company Contact:
Frank Zhao
Chief Financial Officer
+86-571-88077108
frank.zhao@jojodrugstores.com
Steve Liu
Investor Relations Director
steve.liu@jojodrugstores.com
Investor Relations Contact:
Tina Xiao
Ascent Investor Relations LLC
+1-917-609-0333
tina.xiao@ascent-ir.com
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SOURCE China Jo-Jo Drugstores,
Inc.
