Sinopharm Accord continues senior management reshuffle.

01
Sinopharm Accord Realigns Its Leadership Team
On March 17, Sinopharm Accord Co., Ltd. (“Sinopharm Accord”) announced that Wang Chu, Deputy General Manager, had resigned due to work relocation and would not hold any other positions at the company after resignation.

Wang Chu was primarily responsible for commercial sales. He assumed the post of Deputy General Manager of Sinopharm Accord in March 2025 and left after only one year in office. He currently remains the legal representative of Sinopharm Holding Guangzhou Co., Ltd., a wholly-owned subsidiary of Sinopharm Accord.
This marks the second deputy general manager to depart Sinopharm Accord in the past six months. In November 2025, Chen Changbing, Deputy General Manager in charge of strategic planning, investment and M&A, left ahead of schedule; his original term was set to expire in July 2027.
Following Wang Chu’s departure, Sinopharm Accord’s senior management team now consists only of Li Jinxiong, General Manager (in office for just over one year), Li Chuan, Board Secretary and Deputy General Manager, and Gu Guolin, Deputy General Manager and Chief Financial Officer.
To ensure business operations and management, on the same day, the board of Sinopharm Accord appointed Huang Minchun, Chi Guoguang and Wang Hubiao as Deputy General Managers of the company.
The three newly appointed deputy general managers share a similar background with the outgoing Wang Chu, all having previously served at Sinopharm Holding Guangzhou.
Huang Minchun is currently Party Secretary and Deputy General Manager of Sinopharm Holding Guangzhou, with prior responsibilities covering procurement, operations and quality management.
Wang Hubiao has an extensive sales background similar to the departed Wang Chu, having served as chairman of several subsidiaries under Sinopharm Holding. He is currently Deputy General Manager of Sinopharm Holding Guangzhou.
Chi Guoguang has a finance background, similar to Gu Guolin. Since 2014, Chi has successively served as Deputy Finance Director, Finance Director, Deputy General Manager and Member of the Discipline Inspection Committee at Sinopharm Holding Guangzhou.
All three are post-70s veterans with around 30 years of experience within the Sinopharm system, with clearly defined responsibilities and strong complementary capabilities.
Over the past year, Sinopharm Accord has seen at least eight changes to its directors, supervisors and senior executives, representing a thorough realignment of its leadership.

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Leadership Reshuffle Amid Stabilizing Performance
This senior management overhaul coincides with a recovery in Sinopharm Accord’s performance. On the same day, the company released its 2025 preliminary earnings report.
In 2025, revenue reached 73.416 billion yuan, down 1.29% year-on-year, while net profit attributable to shareholders excluding non-recurring gains and losses rose 88.53% to 1.096 billion yuan.

Sinopharm Accord attributed the profit growth partly to a 686 million yuan year-on-year decrease in asset impairment provisions for goodwill and intangible assets, and partly to lower fixed costs such as labor and rent resulting from store network optimization.
While reducing costs, how will Sinopharm Accord seek breakthroughs in revenue?
Key indicators from Sinopharm Accord’s 2025 interim report point to several strategic directions.
First, in its distribution segment, amid declining sales of traditional pharmaceuticals, Sinopharm Accord has expanded into high-growth niche areas including biological products, narcotic and psychotropic drugs, medical devices, and nationally negotiated drugs. Its subsidiary Sinopharm Holding Zhaoqing obtained a narcotic and psychotropic drug distribution license, breaking the local monopoly in Zhaoqing. Sales of narcotic and psychotropic drugs at Sinopharm Holding Guangzhou and Sinopharm Holding Guangxi rose 4.5% and 12.97% year-on-year in the first half of 2025.
Meanwhile, Sinopharm Accord has capitalized on the policy dividend and first-mover advantage of the Hong Kong & Macau Medicine and Device Access Program. Highlights include the nationwide first hospital launch of Kaishengdi Injection; the debut of Vutrisiran and Eptinezumab under the program; and exclusive provincial channel access for Belzutifan Tablets following approval. In the first half of 2025, 38 new drug and device specifications were approved, driving a 139% year-on-year increase in related sales.
Furthermore, as profit margins in pharmaceutical distribution narrow, Sinopharm Accord has deepened services to hospitals and patients by establishing Guangdong’s first infusion center and chronic disease management center, and jointly launching 16 medical insurance service stations.
Turning to the retail segment, which has experienced the most volatile performance, Sinopharm Accord noted that amid the challenge of declining gross margins, besides large-scale store closures, its private brand business achieved strong growth in both volume and profit—sales surged 75.6% year-on-year, pushing the gross margin of regular business at directly-operated stores up 1.25% against the trend.
On the other hand, the company has strengthened collaboration with industrial partners. In the first half of 2025, sales of 13 core cooperative products at Guoda Pharmacy rose 11.3% year-on-year. Leveraging Sinopharm Group’s full industrial chain advantages, it has converted internal industrial resources into retail competitiveness, achieving a 23.4% year-on-year increase in synergistic sales.
Sinopharm Accord recently approved a proposal on the adjustment of its headquarters organizational structure. Under the leadership of the new management team, the company expects to deliver further positive performance surprises in 2026.

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2026 Trends in the Pharmaceutical Commerce Sector
The pharmaceutical distribution industry has entered a stage of stock competition. The market size in 2025 is estimated at approximately 2.99 trillion yuan, with year-on-year growth slowing to 1.5%.
With the growth ceiling now in sight, the traditional logic of scale expansion has clearly become ineffective. Beyond deregistering and liquidating non-core entities, pharmaceutical distribution companies are now pivoting toward new paths: industry-commerce integration and service transformation.
Joyastia, a leading distributor in Beijing, serves as a highly representative example. In 2025, the company recorded revenue of 19.525 billion yuan, down 18.71% year-on-year. Faced with this structural shift, Joyastia has adopted a strategic adjustment of “subtraction first, addition later”.
In 2025, Joyastia divested a 51% stake in six medical device subsidiaries, including Joyastia Jiacheng Medical Devices and Jiangsu Joyastia Guokang Medical Devices, and deregistered six subsidiaries such as Liaoning Joyastia Pharmaceutical and Beijing Jiaben Yuhua Pharmacy.
At the start of 2026, Joyastia further entered into a partnership with Tongrentang Group, which plans to become its controlling shareholder, making the State-owned Assets Supervision and Administration Commission (SASAC) of Beijing Municipality the actual controller.
Joyastia’s move is not an isolated case. In 2055, Guangzhou Pharmaceutical announced acquisitions of stakes in Zhejiang Medical Engineering and Nanjing Pharmaceutical, while Jiangyao Holdings intends to take control of Tailong Pharmaceutical. These moves signal that pharmaceutical distribution is moving toward a synergistic model of “industry + distribution”.
For retail terminals, the wave of pharmacy closures indicates that future core competitiveness will no longer depend on the number of stores, but on the depth of community service penetration and the ability to monetize professional services.
The “Health Station” model has emerged as a key transformation focus for 2026. Yixintang Pharmaceutical took the lead by launching an upgrade of its first 194 benchmark stores in Yunnan in early March, creating “Health Station Shared Centers”.
Speaking on the transition to health stations, Ruan Hongxian, Chairman of Yixintang Pharmaceutical, noted that the shift involves, on one hand, a visual transformation from the traditional “counter-style” layout to a “zoned” format—with separate areas for pharmaceuticals, health products, daily necessities, skincare products, and hygiene items—repositioning pharmacies from mere medication-purchasing venues to more convenient one-stop shopping destinations.
On the other hand, it entails product and category adjustments, expanding pharmacy offerings from around 3,000 SKUs to over 10,000 to meet diverse consumer demand, including the introduction of beauty, personal care, maternal and infant products, and functional foods.
A new chapter has begun for the pharmaceutical distribution industry.