Sunflower Pharmaceutical's Personnel Chess Game: Vice President Resigns, First Loss in Performance, How the Family and Managers Dance Together

Introduction

By the end of January 2026, Sunflower Pharmaceutical (002737) delivered its first annual loss since listing: a net loss attributable to shareholders of 240 million to 380 million yuan in 2025. Soon after, personnel changes occurred frequently: the founder’s daughter, Guan Yi, resigned as General Manager and was appointed Vice Chairman; veteran pharmaceutical executive Zhou Jianzhong took over as General Manager; former Chairman’s assistant Wang Xifeng was hired as Assistant General Manager.

In two years, six vice presidents have left, while four senior executives with marketing backgrounds have joined. The company’s performance has fluctuated alongside intense leadership changes. As a well-established pharmaceutical company deeply rooted in the “Little Sunflower Mom Class,” during the critical transition period of “second-generation drugs” succession and professional managers stepping up, how do the family and managers navigate this dance?

Author | Lingyao Editorial Team

Editor | Lingyao Editorial Team

Word count: 2391 words

Reading time: 5 minutes

01

Performance “Transformation”: Active Adjustment or Passive Pressure

The losses in 2025 did not come suddenly.

In 2024, Sunflower Pharmaceutical achieved revenue of 3.377 billion yuan, down 40.76% year-on-year; net profit attributable to shareholders was 492 million yuan, down 56.03%. This was the worst performance since 2018.

Entering 2025, the downward trend continued, with full-year forecasted losses, net profit ranging from -380 million to -240 million yuan, a decline of 177.23% to 148.78% year-on-year. The company provided four explanations in its announcement.

First, channel adjustment. Since the second half of 2024, the company has streamlined downstream distributors, controlled shipment volumes, and promoted inventory to return to reasonable levels. The company states that while this move directly impacted sales revenue and performance, it laid a foundation for sustainable, steady, and healthy development in the future. By the end of 2025, the downstream channel and retail terminal restructuring projects were basically completed, and business operations had largely returned to normal.

Second, cost pressures. Due to significant fluctuations in upstream traditional Chinese medicine raw material prices, coupled with a sharp decline in sales volume in 2025, the production costs of some products remained high, leading to a decrease in gross profit margin.

Third, increased sales expenses. In the second half of 2025, the company intensified brand promotion, resulting in higher sales expenses year-on-year.

Fourth, sustained high R&D investment. The company continued to enrich its product pipeline around specific advantageous areas: “one old, one small, one woman.”

The company’s explanation sketches a narrative of “proactive adjustment, focusing on long-term growth.” However, a closer look at the financial data reveals more complex signals.

According to Q3 2025 data, inventory turnover days increased from about 108 days at the end of 2023 to 198.35 days. Gross profit margin dropped from 57.84% in 2022 to 37.65%. The continuous deterioration of core profitability and operational efficiency is more concerning than the simple loss figure.

Industry insiders point out that Sunflower Pharmaceutical’s forecasted losses are the result of industry cycle adjustments, the company’s proactive transformation, and management fluctuations layered together. But once channel adjustments are “basically completed,” can these indicators see substantive improvement?

02

Personnel Chess: Who Moves In, Who Moves Out, and Why?

Under performance pressure, Sunflower Pharmaceutical’s personnel landscape has experienced ongoing turbulence.

Between 2024 and 2025, six vice presidents left the company.

In October 2024, Li Jinming resigned as Vice President and Head of Internal Audit due to retirement; Zhu Xiaonan resigned for personal reasons—note that Zhu Xiaonan had only been in position for three months.

In June 2025, Ma Xin, responsible for HR, retired and left. In July, Chen Liang resigned for personal reasons. In December, Guo Chao resigned for personal reasons (still holding subsidiary positions), and Haiyang also left completely for personal reasons.

Among those who left, Chen Liang joined Sunflower Pharmaceutical in 2014, starting as Assistant General Manager of the Brand Division, gradually rising to General Manager of the pharmaceutical company. During his tenure, the “Little Sunflower” children’s medicine series created several blockbuster products. In 2023, his salary reached 3.06 million yuan, ranking first among peers. His sudden departure, amid the company’s most severe financial report in recent years, naturally drew external speculation.

Meanwhile, new personnel entered.

In March 2025, to promote the company’s “capital + industry” dual-drive strategy and improve overall marketing performance and capabilities, the company appointed Yang Yang and Liu Guangtao as vice presidents. Yang Yang previously served as General Manager of Bison Source’s sales division and General Manager of Dingdang Kuaiyao’s nationwide stores; Liu Guangtao was an internal talent, former General Manager of OTC (over-the-counter) drugs.

In May, the company introduced professional manager Xiao Lin as Vice President, with experience spanning Guangzhou Baiyunshan Zhongyi Pharmaceutical, Jingxiutang, Nanjing Tongrentang, among others. In December, Zhao Peng was appointed Vice President.

Reviewing these appointments and departures reveals that almost all newly hired senior executives have backgrounds in sales or marketing. Market observers see this as a clear signal that Sunflower Pharmaceutical is attempting to revitalize its marketing system and boost performance through personnel overhaul.

Behind these leadership changes, the roles of two core figures—family and professional managers—are shifting, affecting market sentiment.

03

Family and Managers: A Delicate Power Balance

Guan Yi, born in 1982, is the daughter of founder Guan Yanbin and sister to Chairwoman Guan Yuxiu. She joined Sunflower Pharmaceutical in 2002 at age 20, starting as Deputy General Manager of the Advertising Department, gradually rising to General Manager. During her tenure, she promoted the “Sunflower” trademark as a well-known Chinese trademark and led the strategic layout of “Little Sunflower” children’s medicines—the famous “Little Sunflower Mom Class” campaign is a classic example of her brand-building efforts. In early 2019, Guan Yanbin resigned as Chairman and General Manager for personal reasons, and Guan Yi and her sister Guan Yuxiu took over in a hurried transition, guiding the company through a complex period. In 2023, the company’s performance peaked, with net profit attributable to shareholders reaching 1.119 billion yuan. In 2024, Guan Yi’s pre-tax remuneration was 4.8395 million yuan, the highest among the company’s directors and supervisors, twice that of her sister Guan Yuxiu. In February 2026, Guan Yi resigned as General Manager, succeeded by Zhou Jianzhong. In March, she was appointed Vice Chairman, moving from frontline operator to second-in-command of the board. Zhou Jianzhong, born in 1968, has an extensive background, having served as General Manager of Wuhan Yuanda Pharmaceutical Group, General Manager of Wuhan Zhonglian Pharmaceutical, and Chairman of Jilin Yinglian Biopharmaceutical. Notably, he directly owns only 500 shares of Sunflower Pharmaceutical, making him a typical professional manager rather than a family stakeholder. From the shareholding structure, the Guan family still maintains firm control: Guan Yanbin controls 55.55% of the company through three entities; Guan Yi and Guan Yuxiu indirectly hold about 2.56% and 2.45%, respectively. In the 9-member board, Guan Yanbin’s brothers Guan Yanling and Guan Yuxiu, along with Guan Yi, occupy three seats. Guan Yi’s appointment as Vice Chairman and Guan Yuxiu’s role in the Audit Committee reflect governance continuity but also raise questions about independence. On March 5, Wang Xifeng, previously a secretary at Daqing government agencies and General Manager of Gujinggong Liquor sales, was appointed Assistant General Manager while still serving as Chairman’s Assistant. This “dual role” is uncommon in listed companies—does it serve to strengthen communication or create a check-and-balance? It may offer a window into the subtle family-manager relationship. Beyond personnel changes and performance pressures, another issue emerges: does frequent leadership turnover cause internal control gaps and compliance issues? A regulatory warning letter issued in October 2025 provides some answers. In 2024, the company engaged in procurement transactions worth 32.38 million yuan with related party Shanghai Haiwei Biological, accounting for 0.68% of net assets, without proper review or disclosure procedures. The company’s Chairman Guan Yuxiu, then-General Manager Guan Yi, and Secretary Zhou Guangkuo received warning letters, recorded in integrity files. During this period of intense personnel adjustments, can the internal control processes remain stable? Are there blind spots in information transfer and responsibility handover? For a pharmaceutical company driven by “brand + channels,” compliance issues are not only regulatory concerns but also vital to brand reputation.

Conclusion: Looking back at spring 2026, Sunflower Pharmaceutical stands at a delicate historical juncture. Performance-wise, it reports its first annual loss in 11 years; personnel-wise, multiple changes are reshaping the boundary between family and professional managers; governance-wise, violations related to related-party transactions expose internal control weaknesses. The “Little Sunflower Mom Class” ads still resonate, but behind the scenes, the company may be undergoing a profound internal restructuring. The game is not over; victory or defeat remains to be seen. As for Q1 2026, the market awaits a clearer answer.