Jin Rong Jie·2026-03-02 03:19Core Viewpoint - Fosun International (00656.HK) announced a share buyback plan with a total amount not exceeding HKD 1 billion, citing that the current stock price does not reflect the company's long-term value and expressing confidence in its future development [1] Group 1: Buyback Announcement - The company plans to conduct share buybacks from the release of its 2025 annual results until the 2026 annual general meeting [1] - The buyback is intended to be conducted in an orderly manner within the legal and regulatory framework [1] - The announcement reflects the company's confidence in its long-term growth prospects and prudent consideration of shareholder interests [1] Group 2: Business Performance - In 2026, Fosun's core sectors, including biomedicine, cultural tourism, and insurance, have shown strong momentum [2] - The biopharmaceutical sector has made significant strides, with agreements in Japan potentially exceeding USD 300 million and a global exclusive licensing agreement with Pfizer worth over USD 2 billion [2] - The cultural tourism sector has seen impressive performance, with Shanghai Yuyuan receiving nearly 1.2 million visitors during the Spring Festival, a year-on-year increase of over 20% [2] Group 3: Insurance Sector Growth - Fosun's insurance companies reported substantial growth in 2025, with Fosun United Health Insurance achieving revenue of CNY 7.84 billion, a 50% increase year-on-year [3] - Fosun's life insurance segment recorded revenue of CNY 12.598 billion, a 36.17% increase, and a net profit of CNY 647 million, up over 450% year-on-year [3] - The robust growth in core businesses is seen as a catalyst for the buyback initiative [3] Group 4: Previous Buyback Activity - Prior to the announcement, Fosun International repurchased 13.027 million shares for HKD 48.2354 million on February 27 [3] - Since January 1, 2022, the company has repurchased a total of 258.859 million shares, representing approximately 3.17% of the total issued shares, with a total expenditure of about HKD 1.19 billion [3] Group 5: Valuation Perspective - The announcement emphasizes that the buyback aligns with the overall interests of the company and its shareholders at the current valuation level [4]