On 10 November 2022, four A-share subsidiaries of Fosun including Fosun Pharma, Yuyuan, Nanjing Iron & Steel, and Hainan Mining held a joint 2022 third quarter results presentation at the Shanghai Stock Exchange to share their results highlights and latest business development, and communicate on issues that investors are concerned about. The presentation was broadcast live to global investors in both Chinese and English. Guo Guangchang, Chairman of Fosun International, joined the event through a video conference.
▲ Fosun Pharma, Yuyuan, Nanjing Iron & Steel, and Hainan Mining
hold a joint 2022 third quarter results presentation
Facing the recurring epidemics and the challenges of the complex and fast-changing macro environment, Fosun Pharma, Yuyuan, Nanjing Iron & Steel, and Hainan Mining delivered solid results in the first three quarters of this year, and achieved many breakthroughs in their respective fields, maintaining positive momentum for long-term success.
In the first three quarters of this year, Fosun Pharma achieved operating revenue of RMB31.61 billion, representing a year-on-year increase of 16.87%; net profit attributable to shareholders of the listed company after deducting extraordinary gain or loss was RMB2.859 billion, representing a year-on-year increase of 15.51%; net cash flow generated from operating activities was RMB3.174 billion, representing a year-on-year increase of 5.24%. In the first three quarters, Fosun Pharma continued to promote the research and development and registration of innovative products, and a number of products have been rolled out successively, accumulating momentum for future growth. Among them, the independently developed HANSIZHUANG (serplulimab injection) was approved for market launch in March, and the application for market launch of three indications of HANSIZHUANG has been accepted successively by the National Medical Products Administration (NMPA) as of 30 October. In July, HAN QU YOU (trastuzumab injection), a product independently developed by Fosun Pharma and licensing to Cipla Limited with its subsidiaries, was approved for market launch in Australia. The approved indications of the product in Australia have covered all approved indications of the branded drug in that country. In October, the application for market launch and registration of products for the third-indication of YI KAI DA (Ejilunsai injection), a CAR-T cell therapy that has gained much attention, was accepted by the NMPA and was included in the list of priority review products.
▲ From 5 November to 10 November, Fosun Pharma presented a variety of China’s
first and industry-leading medical devices and innovative drugs at the 5th China International Import Expo
Despite the epidemic, Yuyuan's results in the first three quarters of this year has shown a gradual recovery trend. In the first three quarters, Yuyuan achieved an operating revenue of RMB33.429 billion, representing a year-on-year increase of 2.99%, and achieved a net profit attributable to the owners of the parent of RMB903 million. Among them, the operating revenue in the third quarter was RMB11.419 billion, representing a year-on-year increase of 19.35%, and the operating revenue of the consumer sector in the third quarter exceeded RMB10 billion, representing an increase of nearly 30% year-on-year. It is worth mentioning that substantial progress has been made in the construction of the key project, Grand Yuyuan. According to the announcement made by the People's Government of Huangpu District of Shanghai on 1 September, the Yuyuan consortium was confirmed to be the primary developer of the land plot on Fuyou Road. With an area of 10.82235 hectares, the land plot on Fuyou Road is a crucial piece for completing the Grand Yuyuan. Upon development of the Fuyou Road project, it will form a large cultural and commercial complex with a total construction area of more than one million sq.m. together with the existing Yuyuan Tourist Mart, the Bund Finance Center, and the Yuyuan Phase II project, covering culture, business, office, leisure, tourism, entertainment, residence and many other functions.
▲The rendering shown here is a conceptual illustration of Grand Yuyuan,
the actual appearance is subject to final development plan
Under the unfavorable condition of collective losses in the iron and steel industry, in the first three quarters of this year, Nanjing Iron & Steel achieved an operating revenue of RMB52.645 billion and a net profit attributable to the owners of the parent of RMB2.077 billion; of which net profit attributable to the owners of the parent was RMB512 million in the third quarter. According to the data disclosed in the annual report 2021, Nanjing Iron & Steel’s crude steel output ranks 12th among listed companies in the iron and steel industry, while its net profit attributable to the owners of the parent in the first three quarters of this year ranks fourth, achieving remarkable results. Nanjing Iron & Steel’s steady profit is attributable to the upgrading of the "industry operations × industrial investment" strategy, creating an industrial chain ecosystem of mutual empowerment and compound growth with new steel materials as the core, focusing on industrial development and value growth. From January to September this year, the average composite steel pricing index (CSPI) compiled by the China Iron & Steel Association (CISA) fell by 11.42% year-on-year. During the same period, the comprehensive average selling price of steel of Nanjing Iron & Steel was RMB5,092.83/ton (excluding tax), representing a year-on-year increase of 2.38%, among which the comprehensive average selling price of special plates was RMB5,562.01/ton (excluding tax), representing a year-on-year increase of 8.20%, reflecting the strong competitiveness of Nanjing Iron & Steel in the field of medium and heavy plates.
▲ Nanjing Iron & Steel embarks on a new journey with the vision of
“Create a World-class Respected Enterprise Intelligent Life Entity”
Hainan Mining has made progress in the two major fields of "iron ore + oil and gas". In the first three quarters, its operating revenue was RMB3.793 billion, representing a year-on-year increase of 19.09%, while net profit attributable to shareholders of the listed company was RMB598 million. Among them, the operating revenue in the third quarter was RMB1.045 billion, and the net profit attributable to shareholders of the listed company was RMB161 million. In the first three quarters, a number of key projects progressed smoothly. The 20,000-ton lithium hydroxide project settled in Danzhou, Hainan in July, and is expected to start construction within this year. The construction project of the middle section of Shilu Iron Mine, from -120m to -360m, has completed the excavation of 2642m, representing 89% of the plan for this year. The construction of the dehydrocarbon treatment plant and compression station in the Bajiaochang (BJC) field of Roc Oil (ROC) is progressing smoothly, and it is expected to increase production in the first quarter of next year. In early October, ROC and China National Offshore Oil Corporation (CNOOC) jointly achieved a major breakthrough in the exploration of Block 03/33 of the Pearl River Estuary in the South China Sea, nearly 50 meters of net oil layers (vertical thickness) were drilled in the Paleogene system, and a high-yield industrial oil flow of over 1,000 barrels per day was obtained during the trial operation.
▲ In early October, ROC and CNOOC jointly achieved a major breakthrough in the
exploration of Block 03/33 of the Pearl River Estuary in the South China Sea
The person in charge of the information disclosure of the Shanghai Stock Exchange said that, as a private enterprise with great market influence, Fosun's four listed subsidiaries held a joint third-quarter results presentation and actively participated in the collective results presentation of the Shanghai Stock Exchange effectively improved the quality and dissemination efficiency of information disclosure. The Shanghai Stock Exchange welcomes all listed entities and investors to fully share and conduct in-depth exchanges through platforms such as results presentation so as to jointly contribute to the high-quality development of the capital market. At the same time, the Shanghai Stock Exchange will also actively capitalize on the functions of the exchange, and create a good trading and communication platform for investors and listed companies through a series of measures.
Guo Guangchang said at the presentation that Fosun is rooted in China with a global vision, the Group will continue to increase investment in innovation and research and development, and will focus on its core businesses, step up innovation efforts and continue its globalization strategy to better grasp new development opportunities in the future.