Shares of China Shineway Pharmaceutical Group (02877.HK) plunged 5.09% in intraday trading, following the release of the company's full-year 2024 financial results that fell short of analyst expectations. This sharp decline compounds the 11% drop the stock has experienced over the past week, reflecting investors' growing concerns about the company's performance.

The pharmaceutical firm reported a 16% year-over-year decrease in revenue to CN¥3.78 billion, missing analyst estimates by 6.8%. Net income also declined by 13% to CN¥840.1 million, with earnings per share (EPS) falling to CN¥1.11 from CN¥1.28 in the previous year. The EPS figure disappointed analysts, coming in 11% below their projections.

Despite maintaining a profit margin of 22%, in line with the previous year, investors appear to be reacting negatively to the company's overall financial performance. The market's response underscores the challenges facing China Shineway Pharmaceutical Group, as it navigates a competitive landscape with three products currently in Phase III clinical trials. As the company looks to the future, analysts forecast a 15% per annum revenue growth over the next two years, outpacing the 8.6% growth projected for the Hong Kong Pharmaceuticals industry. However, today's stock movement suggests that investors may need more convincing evidence of the company's ability to reverse its recent declines and capitalize on future growth opportunities.