Source: Originally published by the Hong Kong Economic Times; the article below is a translated version.

Xu Xiaoliang, Executive Director and Co-CEO of Fosun International

Centering its strategic focus on “business streamlining, adopting an asset-light strategy and collaborating with key partners, achieving balanced investment and divestment”, Fosun International (00656.HK) has sustained steady business development amid a complex global environment.

In the first half of 2025, Fosun International reported total revenue of RMB87.28 billion, industrial operation profit of RMB3.15 billion, and profit attributable to owners of the parent of RMB661.2million. Its four core subsidiaries—Fosun Pharma, Yuyuan, Fosun Insurance Portugal, and Fosun Tourism Group (“FTG”)—collectively contributed RMB63.61 billion, accounting for 73% of total revenue, underscoring the solid foundation of its core businesses. Xu Xiaoliang, Executive Director and Co-CEO of Fosun International, acknowledged that 2025 remains a challenging year but affirmed that Fosun remains committed to its strategic focus.

Maintaining a clear strategic focus to achieve steady development

Regarding its focus on “business streamlining”, Xu Xiaoliang emphasized Fosun’s ongoing divestment of non-core assets to focus on its core businesses in the household consumption industry. “For example, this year Fosun completed the sale of German private bank HAL while retaining the asset servicing business HAFS to expand international markets and develop innovative financial solutions.”

The Taicang Alps Resort Phase II project is funded by the Taicang Municipal Government and managed by FTG

Regarding its focus on “adopting an asset-light strategy and collaborating with key partners”, Xu Xiaoliang explained that Fosun is actively strengthening cooperation with domestic and international capital to enhance its asset-light operating capabilities, leveraging asset-light operations to manage asset-heavy projects. The Taicang Alps Resort Phase II project, which is funded by the Taicang Municipal Government with a total investment of approximately RMB5 billionand managed by FTG, exemplifies this strategy. “The second phase will feature an indoor ski facility boasting five ‘world’s first’ features, and combined with the first phase will become the world’s largest indoor ski complex.”

In addition, Fosun is committed to “achieving balanced investment and divestment”. In March 2025, Fosun completed the privatization of FTG, accelerating its transition toward an asset-light model with a focus on product innovation and intellectual property management. This balanced strategy has also underpinned deeper globalization, with overseas revenue reaching RMB46.67 billion in the first half of 2025, accounting for 53% of total revenue.

Accelerating global operations, leveraging Chinese wisdom to deliver global solutions

Globalization and innovation have long been the two core growth drivers of Fosun’s development. Xu Xiaoliang summarized Fosun’s globalization strategy as “combining global resources with China’s capabilities”. That is leveraging China’s innovation, intelligent manufacturing, and supply chain advantages to achieve profound global operations. At the heart of this strategy lie the principles of “integration” and “fusion”.

Xu Xiaoliang explained that “integration” goes beyond combining resources. It is about generating multiplied value through synergy. He cited Henlius’ innovative drug HANSIZHUANG for the treatment of small cell lung cancer as an example. HANSIZHUANG received regulatory approvals in the United Kingdom and India in May and June, respectively, and has been launched in nearly 40 countries and regions. Fosun’s ongoing investment in the global innovation system has yielded a series of globally competitive innovations. For example, HLX43, the world’s first PD-L1-targeting antibody-drug conjugate (ADC) to enter Phase II clinical trial, is undergoing clinical studies for solid tumors such as non-small cell lung cancer (NSCLC) and thymic carcinoma in countries including China, the United States, Japan, and Australia. It has demonstrated notable competitiveness and holds strong potential to become a broad-spectrum anti-cancer drug. Xu Xiaoliang emphasized, “Chinese wisdom is shaping global solutions, driven by deep integration across the entire industry chain from research and development to manufacturing and commercialization.”

The Yuyuan Lantern Festival in Thailand not only celebrates the 50th anniversary of the establishment of diplomatic relations between China and Thailand, but also creatively showcases the charm of Oriental Lifestyle Aesthetics

Meanwhile, “fusion” focuses on deeply cultivating local markets by fostering collaboration and symbiosis. Xu Xiaoliang revealed that following its debut in Paris, France in 2023, the Yuyuan Lantern Festival has continued its overseas journey in 2025 with a successful run in Thailand, concluding on 15 August. The festival in Thailand attracted over 4 million visitors and generated nearly 1.2 billion global impressions, celebrating the 50th anniversary of the establishment of diplomatic relations between China and Thailand. “The Yuyuan Lantern Festival combined traditional Chinese lanterns with the allure of the Chao Phraya River, creating an ‘immersive experience that resonates universally’.”

Grasping new consumer trends, leading the market with innovative experience

While advancing its globalization strategy, Fosun actively pioneers innovation in the new consumption industry. In the first half of 2025, Fosun achieved outstanding performance in this area. “We observed that functional consumption focused on meeting basic needs such as food and clothing is losing its appeal, while emotional consumption emphasizing ‘experience, aesthetics, and feelings’ is becoming mainstream,” said Xu Xiaoliang. He believes “where the heart goes, the money flows.” To align with this shift, Fosun is embracing three key strategies focused on “rejuvenation, cross-industry collaboration, immersive experience” to comprehensively enhance its products, content, and consumption scenarios, driving market growth.

On the front of product rejuvenation, Shede Spirits has launched a 29% ABV baijiu named “Shede Zizai”, targeting young consumers. It shifts the drinking culture from drinking for quantity to appreciating flavor, promoting a more refined and health-conscious drinking culture.

Regarding “cross-industry collaboration” in consumption scenario, the “Yuyuan Summer Fantasy Nights: Yu-niverse MADEBYBILIBILI” successfully transformed the traditional cultural tourism landmark Yuyuan into “Tongyuan”, a new collaborative space adored by young people. “Tongyuan” stems from ACG (animation, comics, and games) culture, a fan-driven expression of passion. By blending Yuyuan’s historical heritage with the popular youth-oriented “2D” culture, it has converted a cultural landmark into a vibrant emotional consumption space favored by the younger generation. With an average daily footfall surpassing 160,000 and total visitors exceeding 7.5 million, over 60% of whom were under 35, the event has been hailed as a “Popular Nighttime Economy Landmark” in Shanghai.

Shede Spirits has launched a 29% ABV baijiu named “Shede Zizai”

Yuyuan Summer Fantasy Nights captivates Gen Z consumer through immersive settings, China-chic IPs, and interactive experiences

The C Show at Atlantis Sanya underwent another upgrade during the summer of 2025

The original C Show at Atlantis Sanya stands as an example of enhanced immersive content. According to Xu Xiaoliang, the C show underwent another upgrade in July, now featuring a rare 3D stage filled with 7,000 cubic meters of seawater, a 40-meter curved LED giant screen, and a 3D mesh curtain, creating a stunning visual spectacle for guest and successfully transforming the performance into a “magnet for attracting crowds” that extends beyond the resort itself.

“All in”on AI applications to drive business transformation

Fosun’s expansion in the new consumption industry not only captures market momentum but also harnesses AI to enhance emotional value. “AI is the dividend of our era, and Fosun is‘All in’ on AI,” said Xu Xiaoliang. He pointed out that AI is no longer optional. It is imperative. He emphasized that Fosun is not focused on developing foundational AI models but aims to be an industry leader in AI adoption. As he put it, “We don’t make the wheels, but we are the best at driving the car”. He revealed that Fosun’s goal is to evolve from a “business + AI” model to “AI + business”, embedding AI genes from the ground up and completely reshaping business processes.

He candidly acknowledged that Fosun is still in the “business + AI” phase. For example, Fosun Pharma has developed the industry’s first AI decision intelligence platform, PharmAID, which delivers quantifiable decision reports for R&D, such as precise patient selection, optimal drug dosing, and the most reasonable combination therapies before clinical trials. FTG’s AI G.O (Gentle Organizer) enhances the entire vacation experience for customers. He added that transitioning to “AI + business” is a long-term challenge requiring both a robust digital foundation and AI leadership. Nonetheless, Fosun is now “All in” on AI, advancing step-by-step from “business + AI” to ultimately “AI + business”,and partnering with others to ride the wave of AI dividends.

FTG’s AI G.O enhances the entire vacation experience for customers

Deepening industrial ecosystem, striving to become a century-old enterprise

Looking ahead, Xu Xiaoliang stated that after 33 years of entrepreneurship, Fosun aspires to become a century-old enterprise. The key to this lies in identifying what remains constant, creating an ecosystem that fosters Health, Happiness, and Wealth for families worldwide. Fosun upholds a philosophy of long-term value, with every transformation aimed at fulfilling this mission. He noted that Fosun has evolved from global expansion to global operations, deeply cultivating its accumulated industrial strengths. Guided by an innovation-driven strategy, Fosun is poised to launch a series of ground-breaking products, particularly in innovative drugs, that will make meaningful contributions to human health. He is confident that Fosun’s family-centric approach, emphasizing ecosystem synergy across industries through integrated strengths, distinguishes it from traditional industrial or investment companies, ultimately delivering long-term value to investors.