BYHEALTH CO.,LTD

BYHEALTH CO., LTD, also known as 汤臣倍健, is a manufacturing company listed on the ChiNext board of the Shenzhen Stock Exchange since 2010. The company focuses on the production of Vitamin & Dietary Supplements (VDS) and is dedicated to enhancing consumer health through science-based nutrition. With a mission of "Nurturing Life with Science," BYHEALTH has established itself as a global leader in the VDS industry by developing a comprehensive product portfolio and adhering to high standards of quality and safety. The company's operations are centered around its "science-based nutrition" strategy, which emphasizes technological innovation and research in nutrition and health. BYHEALTH invests in the development of patented raw materials and advanced formulas, collaborating with global research institutions to drive scientific advancements in the field. The company maintains a rigorous quality control system and has received various certifications, ensuring the high quality of its products. BYHEALTH aims to enhance its market position by focusing on product power, brand strength, and service capabilities, solidifying its leadership in the VDS market.

Under the "science-based nutrition" strategy, the Company, committed to the pursuit of scientific excellence, has conducted in-depth scientific research on nutrition and health, and created the ultimate science-based nutrition product power, promoting the concept of science-based nutrition. In 2022, the Company formulated the Core Objectives and Action Plan for 2030 Science-based Nutrition in February 2022, establishing specific implementation paths for its transition into a high-tech enterprise under the "science-based nutrition" strategy. With a vision to become one of the strongest VDS companies worldwide in terms of technology and innovation, the Company elevates the scientific foundation of the VDS industry and drive incremental value growth. The implementation of the "science-based nutrition" strategy will focus on building technological core competitiveness, while the Company will continue to enhance its core competitiveness in product power, brand power, channel power, service power, etc., consolidating and improving its market leadership advantages. (1) Technology power In order to build core technological competitiveness, the Company steadily advances the research and development of self-owned patented raw materials and formulas, research and development of hero products with new and high functions, forward-looking basic research and achievement transformation such as anti-aging and precision nutrition, and continues to build unique "hard technology" product power and technological competitiveness advantage. Combining independent research and development and joint development, the Company has been working with global research forces such as Shanghai Institute of Nutrition and Health, CAS and University of Aberdeen to build a collaborative research and innovation system, conduct research on science-based nutrition topics such as precision nutrition and chronic disease intervention, and promote the transformation of scientific research results and industrial application. In 2022, the Company was awarded a title of "National Intellectual Property Demonstration Enterprise" and became the first enterprise in the VDS industry to receive this honor. As of the end of the reporting period, the Company has obtained 462 patents in China, and 18 patents overseas, including 145 invention patents for raw materials and formulas, and has been granted 150 registration certificates for health food. (2) Product power The Company adheres to a rigorous raw material source audit system, scientifically selecting high-quality raw materials worldwide and relying on the quality advantage of global raw materials to form a core competitiveness of product quality differentiation in a generally homogenous market. The Company always adheres to the eight concepts for quality control based on "integrity over intelligence" and strict internal control standards, and creates high-quality nutritional products worldwide through strict quality control management and leading lean manufacturing. The Company holds the Laboratory Accreditation Certificate from the China National Accreditation Service for Conformity Assessment (CNAS) and passed the ISO 9001:2015, ISO 22000:2018 system audits and Approval of Registration of Foods for Special Medical Purposes. In the field of international quality system certification, the Company passed the SGS audit, and complies with the "General Principles of Food Hygiene CXC 1-1969 (2022) Good Hygiene Practices", the United States "Current Good Manufacturing Practices (CGMPs) for Dietary Supplements" requirements, and the FSVP system requirements under the FSMA framework; it has received certification from the Australian Therapeutic Goods Administration (TGA) with the highest A1 rating, and obtained the JAKIM and HALAL certifications from Malaysia and Indonesia's BPJPH, respectively. The Company's Transparent Factory was selected as a "2022 Intelligent Manufacturing Demonstration Factory" by the Ministry of Industry and Information Technology and became the only VDS intelligent manufacturing demonstration factory in China. The Company has also won awards such as the "Green Factory" designation from the Ministry of Industry and Information Technology, the Mayor's Quality Award of Zhuhai City and the National Quality Management Benchmark. (3) Brand power The Company values highly its investment in brand assets and continues to promote the leap from an industry leading brand to a national health brand. Following the strategy of "science-based nutrition", the Company continues to create brand competitiveness with science as the core, transmit the ultimate science-based nutrition spirit, and enhance category trust and brand premium power through technology power. Based on the main brand "BY-HEALTH", the Company continuously expands and subdivides professional brands to form a rich brand matrix. Each brand forms good complementarity in brand positioning, targeted consumer groups, and their needs, effectively enhancing brand value. (4) Channel power The Company has built and continuously consolidated the omnichannel sales system, promoting the differentiation and diversification of channels, and leading the industry in terms of retail terminal scale. The Company's offline channels cover retail terminals such as pharmacies, supermarkets, and mother and infant stores, with high-quality distributors and retail terminal resources. It steadily expands its competitive advantage in offline channels through the implementation of the strategy for hero product and offline sales reform. The Company has diversified online channels and e-commerce platforms, achieving a sales volume ranking at the forefront of the industry on platforms such as Alibaba and JD.COM. The company constantly improves the operation and organization ability and sales force of Douyin, Kuaishou and other e-commerce platforms, and promote the digitalization of e-commerce and other ways to continuously promote the healthy and rapid development of online channels. (5) Service power The Company is committed to creating incremental value for all participants in the consumer health value chain. On one hand, it continuously improves service quality for consumers, retail terminal clerks, distributors, and other stakeholders through comprehensive and multi-angle access and efforts via different carriers such as Nutrition Academy, new retail departments, and member service platforms. On the other hand, by leveraging personalized recommendation systems, round-the-clock intelligent customer support, supply chain management systems, and intelligent after-sales systems, the Company enhances conversion rates and user satisfaction, establishing a leading edge in e-commerce services.