Abstract: This paper selects the main business income as the threshold variable, and uses the panel threshold model to study the non-linear relationship between the financial performance of pharmaceutical manufacturing enterprises and its influencing factors. Based on the data of listed companies, the research results show that there is a significant threshold effect between financial performance and R & D level as well as growth ability. The influencing degree and direction of R & D level and growth ability on financial performance change with main business income, showing a nonlinear relationship. Besides, there is a significant positive relationship between current ratio, current assets turnover as well as the degree of ownership concentration and financial performance.