Shanghai Fudan Zhangjiang Bio Pharmaceutical : INSIDE INFORMATION - ANNOUNCEMENT OF PRELIMINARY ANNUAL RESULTS FOR THE YEAR 2020

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

INSIDE INFORMATION

ANNOUNCEMENT OF PRELIMINARY ANNUAL RESULTS

FOR THE YEAR 2020

This announcement is made by Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co.,

Ltd.* (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09 and Rule 13.10B of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information

Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571, of the Laws of Hong Kong).

In accordance with the relevant laws, regulations and regulatory requirements in Mainland China, the Company should disclose the key financial data for the year ended 31

December 2020 (the "Reporting Period") in accordance with the China Accounting Standards for Business Enterprises on the website of the Shanghai Stock Exchange. The data set out in this announcement is preliminarily prepared by the management of the Company, which has not been audited by the Company's auditors. The final audited results will be disclosed in the final result of the Group for the year ended 31 December 2020 and 2020 annual report. Prospective investors and shareholders of the Company are advised to pay attention to the potential investment risks.

I．KEY FINANCIAL DATA AND INDICATORS FOR THE YEAR ENDED 31

DECEMBER 2020:

Unit:RMB

Item	Reporting Period	Corresponding period of last year	Change (%)
Revenue	833,802,693	1,029,294,769	-18.99
Operating profit	176,530,774	247,481,515	-28.67
Total Profit	176,701,110	246,311,582	-28.26
Net profit attributable to equity owners of the Company	164,662,782	227,357,983	-27.58
Net profit attributable to ordinary shareholders of the Company after deducting non-recurring profit or loss	127,366,610	198,897,143	-35.96
Basic and diluted earnings per share	0.17	0.25	-32.00
Weighted average return on net assets	11.32	24.16	Decreased by 12.84 percentage point

Item	As at the end of Reporting Period	As at the beginning of Reporting Period	Change (%)
Total assets	2,500,701,037	1,564,824,553	59.81
Total equity attributable to equity owners of the Company	2,010,930,752	931,525,379	115.88
Share capital	104,300,000	92,300,000	13.00
Net assets per share attributable to equity owners of the Company	1.93	1.01	91. 09

II ． INFORMATION ON THE OPERATION RESULTS AND FINANCIAL CONDITION

Operation and Financial Condition and Factors Affecting Operation Results During the Reporting Period

During the Reporting Period, the spread of the COVID-19 epidemic (the "Epidemic") affected the Group's main business to some extent. As the Group's main products have to be used for treatment in hospitals, the sales volume and terminal use for main products were significantly affected by the restrictions of products transportation and the treatment of patients since the outbreak of the Epidemic.The revenue and other relevant financial indicators of the Group declined accordingly.

Explanation for Items with over 30% Change in the Table above

During the Reporting Period, the decrease of net profit attributable to ordinary shareholders of the Company after deducting non-recurring profit or loss by 35.96% was mainly due to the decline of the Group's overall operating performance and the change of idle cash arrangement from fixed deposits to structural deposits. The interest income generated from structural deposits was recognized as non-recurring profit or loss.

During the Reporting Period, the decline of basic earnings per share by 32% was mainly due to the decline of the Group's overall operating performance and dilute earnings from public offering of A Shares.

During the Reporting Period, the increase of the Group's total assets, total equity attributable to equity owners of the Company and net assets per share attributable to equity owners of the Company was mainly due to the receipt of the proceeds by the Company's public offering of A Shares on the STAR Market of Shanghai Stock Exchange on 19 June 2020 and the current net profit.

By order of the Board

Wang Hai Bo

Chairman

As at the date on the publication of this announcement, the Board comprises:

Mr. Wang Hai Bo (Executive Director)

Mr. Su Yong (Executive Director)

Mr. Zhao Da Jun (Executive Director)

Mr. Shen Bo (Non-executive Director)

Ms. Yu Xiao Yang (Non-executive Director)

Mr. Zhou Zhong Hui (Independent Non-executive Director)

Mr. Lam Yiu Kin (Independent Non-executive Director)

Mr. Xu Qing (Independent Non-executive Director)

Mr. Yang Chun Bao (Independent Non-executive Director)

Shanghai, the PRC

25 February 2021

* For identification purpose only