FOSUN INTL(HK:00656)2023-04-28 08:30Financial Performance - The profit attributable to shareholders for 2022 was RMB 538.7 million, a significant decrease from RMB 10,084.5 million in 2021[2][8]. - Total revenue for 2022 reached RMB 175,393.4 million, up from RMB 161,291.2 million in 2021, representing a growth of approximately 8.5%[8]. - The group achieved a total revenue of RMB 175.39 billion in 2022, representing an increase of 8.7% year-on-year[10]. - Profit attributable to shareholders of the parent company was RMB 540 million, a significant decrease of 94.7% year-on-year[11]. - The group's operating profit was RMB 7.1 billion, a decrease of 32.9% year-on-year due to the impact of recurring domestic pandemic[29]. - The profit attributable to shareholders was RMB 540 million, down from RMB 1.008 billion in the same period of 2021[29]. - The profit attributable to equity holders of the parent company in 2022 was RMB 538.7 million, down from RMB 10,084.5 million in 2021, representing a decline of approximately 94.67%[186]. - The basic earnings per share for 2022 was RMB 0.06, a significant drop from RMB 1.21 in 2021[186]. Revenue Segmentation - The health segment generated revenue of RMB 48,001.3 million, an increase from RMB 43,979.8 million in the previous year[8]. - The happiness segment reported revenue of RMB 70,739.5 million, compared to RMB 66,898.3 million in 2021, reflecting a growth of about 5.5%[8]. - Overseas revenue reached RMB 77.36 billion in 2022, accounting for 44.1% of total revenue, with a year-on-year growth of 14.3%[15]. - The wealth segment's revenue was RMB 47,722.4 million, reflecting a 9.2% increase year-on-year, with insurance and asset management contributing RMB 32,427.8 million and RMB 15,294.6 million respectively[60]. - The happiness segment's brand consumption and tourism culture revenue accounted for 80% and 20% of its total revenue, respectively[59]. - The wealth segment's insurance and asset management revenues accounted for 68% and 22% of its total revenue, respectively[59]. Investment and Innovation - The group invested RMB 10.4 billion in scientific innovation in 2022, marking a 17% increase year-on-year[5]. - R&D investment reached RMB 10.4 billion, a year-on-year increase of 17%[17]. - The company plans to continue increasing innovation investment and will focus on the quantity and quality of R&D inputs in subsidiary assessments[19]. - The company aims to leverage its global operations and technological innovation to drive sustainable development and fulfill its social responsibilities[58]. - The strategic business segments include new energy materials, electronic chemicals, and biotechnology, focusing on continuous technological innovation and R&D investment[57]. Debt and Financial Strategy - Total debt to total capital ratio was 53.2% as of December 31, 2022, maintaining stability, with cash and bank deposits reaching RMB 100.56 billion[20]. - The company emphasizes a strategy of reducing interest-bearing debt and improving credit ratings as part of its financial strategy[21]. - The total debt for 2022 was RMB 226,919.2 million, a decrease from RMB 237,119.5 million in 2021, with a total debt to total capital ratio of 53.2%[186]. - The interest coverage ratio for 2022 was 3.1 times, down from 4.4 times in 2021, due to a decrease in EBITDA from RMB 42,107.6 million in 2021 to RMB 32,016.9 million in 2022[181]. Market Expansion and Global Operations - The company is focusing on enhancing its global operations and innovation capabilities, with a presence in over 35 countries and regions[4]. - The company aims to deepen its industry operations and enhance vertical integration to create leading enterprises in its advantageous sectors[12]. - The company has signed contracts for non-strategic asset disposals exceeding RMB 40 billion since June 2022, recovering nearly RMB 30 billion in cash flow[3]. - The company secured a loan of up to RMB 12 billion from a consortium of banks, indicating strong confidence in its future growth[11]. ESG and Sustainability - The company aims to achieve carbon peak by 2028 and carbon neutrality by 2050, with an MSCI ESG rating of AA, the only comprehensive enterprise in Greater China with this rating[6]. - The group has achieved a MSCI ESG rating of AA, being the only comprehensive enterprise in Greater China with this rating[24]. - The company has established an ESG board committee and management committee to implement its ESG strategy effectively[39]. - The group plans to enhance its ESG standards through investments, including the acquisition of Bai Zhong Environment, to prepare for carbon peak and carbon neutrality in the steel industry[54]. Consumer Engagement and Digital Transformation - Digital membership increased by 50.8 million, a year-on-year growth of 27%, with over 133 products achieving over 100 million in sales, a 20% increase[22]. - The average occupancy rate of Atlantis Sanya reached 96.0% in the first two months of 2023, with other resorts also achieving over 90% occupancy[13]. - The company emphasizes the importance of consumer confidence in economic growth and aims to provide healthier and happier lifestyles for families globally[12]. - The company is committed to improving its ESG governance, with Yuyuan Group's MSCI ESG rating upgraded from BB to BBB[95]. Product Development and Healthcare - The first PD-1 monoclonal antibody for small cell lung cancer was approved, and the CAR-T cell therapy product has benefited nearly 300 patients[18]. - The group has developed a new oral COVID-19 drug, Azvudine, which has been included in national treatment guidelines and medical insurance[26]. - The health sector focuses on innovative drug development and medical devices, responding to the increasing demand for quality healthcare products and services[42]. - Fosun Pharma achieved revenue of RMB 43,811 million, representing a year-on-year growth of 12.73%, and net profit attributable to shareholders (excluding non-recurring items) increased by 18.37% to RMB 3,879 million[71]. Corporate Governance - The board has appointed at least one-third independent non-executive directors in compliance with listing rules[192]. - The company has mechanisms in place to ensure the independence of directors, including annual confirmations of independence and the ability to seek independent professional advice[193]. - The board encourages all directors to express independent opinions and constructive questions during meetings[193]. - The company has established governance policies and procedures, ensuring compliance with legal and regulatory requirements[199].