The pharmaceutical industry is an important part of our national economy, combined with traditional industries and modern industries. However, China's pharmaceutical industry profitability has declined in recent years. There is a certain gap compared with other manufacturing industry. This paper selected 129 listed companies in the pharmaceutical industry as the research object. Establish the multiple linear regression models based on the factors that affect profitability. These factors include research and development ability (R&D ability), development capacity, solvency, operational capacity, marketing capabilities, cost Management, capital structure, cash flow management and level of risk. According to the models, analyze the current development of China's pharmaceutical industry and put forward some advices.