Fosun's Management Decodes 2021 Annual Results: Fosun's 30 Years of establishment, striving to pursue steady and sustainable development
HONG KONG,March 25,2022 -- On 24 March 2022,Fosun International held its 2021 annual results presentation in the form of online webcast. Guo Guangchang,Chairman of Fosun International,Wang Qunbin,Co-Chairman of Fosun International,Chen Qiyu and Xu Xiaoliang,Co-CEOs of Fosun International,Gong Ping,Executive President and Chief Financial Officer of Fosun International,etc.,carried out a dialogue on globalization,innovation,FC2M,ESG and other issues of investors' concern.
On the evening of 23 March 2022,Fosun International released its 2021 annual results. The total revenue for the year was RMB161.29 billion,representing a year-on-year increase of 18%; profit attributable to owners of the parent reached RMB10.09 billion,representing a year-on-year increase of 26%; the profit of industrial operations amounted to RMB10.59 billion,a year-on-year increase of 30%. The 10-year compound growth rate of the three indicators of total revenue,net profit attributable to owners of the parent,and profit of industrial operations reached 11%,respectively.
Guo Guangchang said,"'Striving to Pursue Steady and Sustainable Development'" very well reflects our efforts in the past 30 years and hope for the future." After nearly 30 years of development,Fosun has grown into one of the few domestic enterprises that is equipped with global operations,investment capabilities,and accumulated profound technology and innovation capabilities. In the future,Fosun's globalization capabilities will create greater value,and our continuous investment in innovation will bring development dividend,"after 30 years of development,it is time for Fosun to bring better returns to shareholders."
In 2021,Fosun's overall investment in technology and innovation was RMB8.9 billion. Fosun continued to invest in research and development in the health segment in particular,which includes the launch of Yi Kai Da (Ejilunsai Injection),the first CAR-T cell therapy approved for commercialization in China and other new products. Chen Qiyu said that Fosun has also recently obtained Medicines Patent Pool (MPP) authorization for two COVD-19 drugs developed by Merck & Co. and Pfizer. As an authorized party,Fosun will further combine its own production technology capabilities and process development capabilities to manufacture in bases that comply with the standards of the World Health Organization (WHO) and global production technology. "We hope that after subsequent certification,the products can be supplied to the market as soon as possible."
In the face of the raging COVID-19 epidemic situation and the trend of "de-globalization",Fosun firmly promoted the globalization strategy in 2021. In 2021,Fosun's revenue from overseas countries and regions amounted to RMB67.7 billion,accounting for 42% of the total revenue for the year. Xu Xiaoliang said,"In the past year,Fosun's globalization strategy has been upgraded again,and it has comprehensively promoted 'global organization + local operations',which has provided new impetus for the overall operational improvement and business expansion."
Fosun,which was founded in 1992,enters into the 30 years of establishment this year. Fosun's management proposed four core competencies,which are FC2M ecosystem,globalization 3.0,innovation-driven,and FES system,to drive the Company's development. Xu Xiaoliang believes that these core competencies developed by Fosun over the past 30 years are "not only the guarantee for Fosun's achievements today,but also the driving force to achieve 'multiplier growth' in the future."
In the past year,Fosun's FC2M ecosystem performed remarkably,with 27 million new available members,bringing the total number to 396 million operational members. Wang Qunbin said,"In addition to member data,after we put forward 'Client-end (C-end) as Top Priority',we have enhanced C-end engagement,and also proposed 'Maker-end (M-end) as Top Leader',hoping that by increasing research and development efforts,we can bring more excellent and impressive products."
Regarding ESG issues that investors are concerned about,Wang Qunbin presented that Fosun has established an organizational mechanism from top to bottom and from one end to the other end to promote ESG as an important indicator and dimension of the Group,its controlling companies and investment companies. "In accordance with ESG standards,we continue to find areas of improvement and constantly evolve. In fact,this was prompted by the values of 'Self-improvement,Teamwork,Performance,and Contribution to Society' that Fosun always adheres to."
