Core Viewpoint - The core viewpoint of the article emphasizes that Fosun Pharma is focusing on innovation and accelerating globalization through a series of strategic actions in the first half of 2025, despite facing challenges in its core business performance [4][5][11]. Financial Performance - In the first half of 2025, Fosun Pharma achieved revenue of 195.14 billion yuan, a year-on-year decline of 4.63% [5][6]. - The net profit, excluding non-recurring gains, was 9.61 billion yuan, down 23.39% year-on-year, indicating pressure on core business operations [5][6]. - The increase in net profit by 38.96% to 17.02 billion yuan was primarily due to investment income of 21.2 billion yuan from the sale of non-core assets [5][6]. - The pharmaceutical segment, which accounts for 71.24% of total revenue, saw a revenue decline of 5.29% to 139.01 billion yuan [7][19]. Business Segments - The innovative drug business grew by over 14% year-on-year, reaching over 43 billion yuan, and now represents 31% of the pharmaceutical segment's revenue [7][8]. - The medical health services segment generated 35.92 billion yuan, a slight decrease of 1.83%, affected by price adjustments and centralized procurement policies [7]. - The medical devices and diagnostics segment reported revenue of 19.55 billion yuan, down 5.51%, impacted by geopolitical tensions affecting overseas operations [7]. Strategic Actions - The company has been actively restructuring its strategy, including the sale of non-core assets to focus on core innovative businesses, with over 20 billion yuan in signed disposals in the first half of 2025 [11][19]. - In August 2025, Fosun Pharma launched a new round of equity incentive plans with clear performance targets for net profit and innovative drug revenue growth [17][19]. - The company has made significant international collaborations, including licensing agreements for innovative drugs, indicating a strong push for global expansion [12][20]. Management Changes - In April 2025, Fosun Pharma underwent a significant management reshuffle, appointing new leadership with diverse backgrounds to drive its strategic focus on innovation and internationalization [15][16]. - The new management team is characterized by a strong emphasis on technical expertise and international experience, aiming to enhance the company's operational capabilities [16]. Market Response - The stock performance of Fosun Pharma has shown a divergence between A-shares and H-shares, with A-shares lagging behind the industry average while H-shares have outperformed significantly [9][10]. - Analysts have differing views on the company's future, with some optimistic about its innovative pipeline and others cautious due to ongoing pressures from centralized procurement policies [21].