ESG Report 2024

and 6.1 R&D Innovation Pharmaceutical innovation and the issue of medical accessibility continue to receive widespread attention in the global pharmaceutical and intellectual property sectors. They are closely related to the balanced development of public health and the intellectual property landscape. In order to enhance the Group's independent innovation capabilities and market competitiveness, we are persistently committed to innovative research and development. We have established multiple research platforms to continuously develop and improve pharmaceutical products to meet the evolving market demands. The Group is also dedicated to promoting industry development through academic outreach projects aimed at disseminating knowledge and information in the field of medicine. Additionally, while focusing on innovation and research and development, we place great importance on patent protection. The Group has implemented the "Intellectual Property Management Methods of The United Laboratories" to fully safeguard our own brand and pharmaceutical patents and to prevent any infringement activities. 24 The Group continues to strengthen its research and development (R&D) efforts and invest in innovation, establishing diverse pharmaceutical R&D platforms. We focus on developing and optimizing more high-quality and safe pharmaceutical products to contribute further to the healthcare sector. The Group's pharmaceutical R&D focuses on novel drugs and high-value generic drugs, with key research areas including endocrine medications, autoimmune disease treatments, ophthalmic medications, and more. Besides, our R&D and innovation efforts encompass pharmaceutical production processes, manufacturing technologies, environmental upgrades, and smart transformation. We are committed to utilising superior technologies to provide customers with the highest quality pharmaceutical products. 6.1.1 R&D Platform The Group has established the Research and Development Institutes for biological drugs, chemical drugs, innovative (chemical) drugs and animal healthcare, as well as the Clinical Research Centre to collaborate on research and development. These research institutes are equipped with professional scientific research teams and domestically and internationally advanced R&D facilities, with over 1,000 research and technical personnel. We provide comprehensive coverage in the R&D of innovative drugs, generic drugs, animal healthcare, intermediates and bulk medicines including both products and technologies. The Clinical Research Centre is tasked with designing, organising, implementing, quality management, compliance, and other related work for all clinical trial projects undertaken by the Group. It maintains close collaborations with nearly 200 domestic institutions possessing national drug clinical trial qualifications and authoritative treatment in relevant fields. Under the guidance of renowned experts from both within the country and abroad, the Centre has successfully organised and completed more than 110 pharmaceutical clinical trials. Moreover, the Group collaborates with universities, research institutes, and laboratories both within the country and abroad to carry out research and development activities 6.1.2 R&D Investment and Achievements The Group persists in innovative research and development, continuously allocating substantial resources to progressively increase the investment in R&D. During the Year, the Group has invested RMB986 million for research and development purposes, representing a year-on-year increase of 21.9%. Investment in R&D (RMB million) 2022 2023 2024 594 808 986 Environmental, Social and Governance Report 2024 The United Laboratories International Holdings Limited