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1
Fosun International2011 Annual Result Presentation
April 2012
This presentation and the presentation materials distributed herewith include forward-
looking statements. All statements, other than statements of historical facts, that
address activities, events or developments that Fosun International Limited (the
“Company”) expects or anticipates will or may occur in the future (including but not
limited to projections, targets, estimates and business plans) are forward-looking
statements. The Company’s actual results or developments may differ materially from
those indicated by these forward-looking statements as a result of various factors and
uncertainties, and other risks and factors beyond our control. In addition, the Company
makes the forward-looking statements referred to herein as of today and undertakes no
obligation to update these statements. The exchange rates used in this PPT are as of
2011/12/31 (USD/CNY=6.30090 EUR/CNY=8.16250 HKD/CNY=0.81070), unless
otherwise stated.
Disclaimer
2
Content
Fosun Overview
Three Growth Engines
Competitive Advantages
Future Growth Drivers
2011 Financial Review
Appendix
3
4
Fosun Overview
Chapter I
2004 2005 2006 2007 2008 2009 2010 20110.0
10.0
20.0
30.0
40.0
50.0
1.46 2.83 3.98
19.83 19.87 24.48
29.87 31.83
9.18 9.47 13.08
27.12
18.73
36.09 41.94
35.02
Year-end NPV Year-end BV
Fosun Int’l 2011 Performance Highlights
As of 2011/12/31, the book value (BV) of Fosun Int’l grew for the 7th consecutive year to RMB 31.83 bn, representing a 7-year CAGR of 55.3%
As of 2011/12/31, the Net Portfolio Value (NPV) of Fosun Int’l reached RMB 35.02 bn, representing a 7-year CAGR of 21.1%
As of 2011/12/31, Fosun and its subsidiaries accomplished 20 initial public offerings for the group itself and various investees, with 7 completed in 2011
5
7-yr NPV CAGR =21.1%
7-yr BV CAGR =55.3%
RMB Bn
Note:1. NPV=attributable market cap of listed asset at the Group level + book value of unlisted subsidiaries & associates at the
Group level + cost of other investments at the Group level - net debt at the Group level
Increase shareholder
value Discover ValueCreate
Value
Realize Value
A Business Model with Fosun Characteristics
Our vision: to become a world premium investment group with a focus on China’s growth momentum
Optimize management efficiency via appointment board members• Design strategy• Recommend key executives• Set effective remuneration package• Control risk• Make key investment decisions
Create added value by sharing resources and knowledge• HR synergies
• China’s domestic consumption market, the 3rd largest in the world, continues to grow rapidly• Importance of Chinese market to MNEs grows• More domestically focused Chinese companies are
becoming the world’s top business leaders• China is becoming one of the world’s most important
capital markets• The demand to upgrade Chinese manufacturing
capacity grows rapidly
Industrial Opportunities:
Other investments (strategic and private equity portfolio) :• Decent returns are generated by appropriate exit while capital efficiency being
increased through recycling
• To lay a solid foundation for future potential acquisition in respective industries, leveraging knowledge and experience accumulated through strategic investments
For oversea investees: help to implement their China strategy by providing networks, platforms and resources
Create added value for investees as an active shareholder
Continue to increase long-term shareholder valueLong-term investments (industrial portfolio) :• The increase of investees’ enterprise value helps to boost
shareholder value of Fosun
• Dividends from investees provide the group with additional capital for new investments
Capitalized on China growth momentum via value-oriented investments Macro Environment :
• Brand building
Investment Strategy:• Combine China momentum with global resources
• Consumption upgrade• Resource & Energy
• Sales promotion• Anti-counterfeit assistance
• Capital market access, etc
Tactic Focus:• 3-5 years: undervalued oversea enterprises with future growth mainly from China
• Financial services• Manufacturing upgrade
• Long -term: domestic players with global leader potential 6
Industrial Operation
Other Investments
• Fosun Pharma
• Forte
• NISCO
• Hainan Mining
•Yuyuan
•Focus Media
•Club Med
•Folli Follie
Asset Management
• Fosun Capital
• Fosun Chuanghong
• Carlyle-Fosun
• Pramerica-Fosun China Opportunity Fund
• Star Capital
• Forte fund series & others
Insurance
• Pramerica-Fosun life insurance (planning)
• Yong’An P&C insurance
7
Our mid-term goal: to build an excellent asset management business with a strengthened industrial foundationOur long-term goal: to establish a premium investment group with insurance as a core business line
A Business Model with Fosun Characteristics
8
Chapter II
Three Growth Engines
Shareholder Value Industrial
ProfitsInvestment Income
Asset Mgmt Income
2004 2005 2006 2007 2008 2009 2010 20110
1,000
2,000
3,000
4,000
5,000
595 594 459
2,404
1,337
2,368 2,699
3,169
Industrial Profits7-year CAGR=27.0%
Despite of the pressure imposed by various macro control measures and economic cycles in the past 8 years, our combined profits from industrial operations delivered rapid growth as a result of the Group’s continuous efforts in asset allocation improvement and the improvement of each operating unit’s competitive strength;
Industrial profit of 2011 reached RMB 3.17 bn, representing a y-o-y increase of 18.9% and a 7-yr CAGR of 27.0%
Fosun Pharma48.1%(2)
Forte99.0%(2)
NISCO(1)
50.3%(2)Hainan Mining
60.0%(2)Inter-segment
Elimination560.4 1,617.6 204.3 661.9 124.8
2011 Industrial Profits Breakdown (RMB Mn)
9Notes : 1. Including profits attributable to the parent by Jin’An Mining, a fully owned subsidiary of NISCO;2. Attributable stakes held by Fosun Int’l as of 2011/12/31
RMB Mn
Growth engine I:Industrial profits continued to grow at a rapid pace
2011 Investment Income Breakdown (RMB Mn)
Fair value of Fosun’s investment portfolio declined in 2011, as a result of the global stock market volatilityInvestment income of 2011 reached RMB 1.38 bn, representing a y-o-y decrease of 32.0% and a 7 year CAGR of 7.4%
2004 2005 2006 2007 2008 2009 2010 20110
1,000
2,000
3,000
4,000
5,000
6,000
840 325
1,245 884
290
2,510 2,033
1,383
Share of profits before tax of key associates
Profit on disposal of stocks
Fair value gain on stocks affecting P&L
Other gains relate to minority investments
451.7 1,029.4 -740.8 642.6
2004-2006
2005-2007
2006-2008
2007-2009
2008-2010
2009-2011
0
2,000
4,000
6,000
8,000
10,000
2,410 2,453 2,418
3,684
4,833
5,926
Investment income by year7-year CAGR=7.4%
RMB Mn
Investment income over rolling three –year periods
RMB Mn
10
Growth engine II:Sustainable investment income on a sizable scale
CAGR based on three-year rolling earnings since 2004=19.7%
In 2011, we invested in 16 new strategic and PE investments at the group level, amounting to a total cost of RMB 5.25 bn (1)
In 2011, we helped 7 investees to be listed, increased the equity value of shareholders of Fosun by RMB 2.28 bn
11
In 2011, total investments in pre-IPO and post-IPO by subsidiaries amounted to RMB 1.32 bn
Note:1. Includes additional capital injections to existing projects
2011 strategic and PE investments at the group level
Cash inflows(million RMB)
Dividends received 515
Proceeds on disposal of listed pre-IPOs 827
Proceeds on disposal of Post-IPOs 2,569
Subtotal 3,911
Dividends received from subsidiaries in 2011 604
Total 4,515
2011 strategic and PE investments at the group level
Category New projects
Existing projects
Total Amount(million RMB)
Direct investments
Pre-IPOs 10 5 1,119
Post-IPOs 6 4 3,111
Subtotal 16 9 4,230
Indirect investments( as GP commitments ) 1,016
Total 5,246
Growth engine II (Cont):Sustainable investment income on a sizable scale
As of 2011/12/31, Fosun asset management business raised a total committed capital of RMB 13.3 bn , among which RMB 2.7 bn were from Fosun Group. In 2011, the asset management business booked a net income of RMB 121 mnIn 2011, Fosun’s asset management platform invested a total of RMB 5.16 bn in 15 projectsThe Carlyle-Fosun JV became one of the first funds to receive QFLP qualification in China; Prudential Financial invested USD 500 mn in Fosun China Opportunity Fund and became Fosun’s first international LP Participating for the first time,, Fosun asset management business ranked #8 among the top 30 PE institutions in China in 2011 (1)
Fosun’s Asset Management Platform as of 31 December 2011
Fosun Asset Mgmt Platform
Star CapitalRMB 3.6 bn
Fosun CapitalRMB 1.5 bn
Fosun ChuanghongRMB 1.5 bn
Carlyle-FosunUSD 100 mn
Pramerica-Fosun China
Opportunity Fund
USD 600 mn
Forte real estate funds & others
RMB 2.2bn
12
Growth engine III:Asset mgmt business made a successful debut
Property fund RMB fund QFLP fund USD fund
Note:1. Awarded by Zero2IPO Group
13
Competitive Advantages
Chapter III
Fosun founders and other key senior executives have worked together for over 17 years. They jointly hold 79.46% stake in Fosun Int’l, making their interests fully aligned with that of the public shareholders.
2003: Acquired Nanjing Steel United (NSU)(3) ( IRR:26% )
2010: Invested in Club Med
2007: Acquired Hainan Mining ( IRR:60% ) 2011:Invested in Folli Follie
Founded Fosun Pharma( IRR:41% ) in 1994 and Forte ( IRR:45% ) in 1998
2002: Invested in Yuyuan ( IRR:25% ) and Jianlong group ( IRR:27% )
2004: Invested in Zhaojin Mining ( IRR:49% )
2008: invested in Focus Media ( IRR:51% )
1992: Launched Fosun with RMB 38,000
2011 : Fosun’s BV increased to a total of rmb 31.8 bn
14
Notes: 1. As of 2011/12/312. All IRRs are calculated based upon either book value as of 2011/12/31 for unlisted assets or attributable market cap as of 2011/12/31 for listed assets 3. In 2010, NSU’s steel-related assets were fully listed by asset injection to NISCO, a listed subsidiary of NSU. As of 2011/12/31, Fosun held 50.3%
attributable stake of NISCO (600282.SH)
Name Ages Position Years in FosunGUO,Guangchang 45 Chairman , Executive Director 20
LIANG,Xinjun 44 Vice Chairman , Executive Director , CEO 20WANG,Qunbing 43 Executive Director , President 19
FAN,Wei 43 Executive Director , associate Co-president 19DING,Guoqi 43 Executive Director , Senior VP , CFO 17
WU,Ping 48 Executive Director , Senior VP 17QIN,Xuetang 49 Executive Director , Senior VP 17
Advantage I: a core management team of an enduring partnership with proven track records
Under the direct leadership of Fosun’s founders and senior executives, Fosun is endeavored to build a world premium investment group (2)
15
Advantage II : 20 years of accumulated resources fostered a headquarter with value creation capacity
Fosun’s headquarter is not only an investment vehicle focusing on returns, but also creates added value for investees by improving management efficiency, as well as resource sharing.
Strategic guidanceTalent mining
Fosun and our Investees
Value creation via management improvement
Industrial synergies
Channels and networks
Media resources
“One Fosun “ Platform
Bank relations
Government supports
Business networks
Investment decision makingSupports in key initiatives
Flow engineering
Fosun Investment Consulting Committee: comprised of ten overseas or domestic business leaders in industries such as insurance, retail, TMT, manufacturing, etc.
Value creation via knowledge transfer and segment synergies
External
Resources
Excellent Partners
Value creation
via sharing
of resourc
es
value creation
via developing win-win partnersh
ips
Advantage III: combine China momentum with global resources, a strategy tailored to Fosun’s unique strength
Global CapacityMaximize
Investment Value
Club Med( France)Folli Follie( Greek)
Prudential Financial( US)Carlyle Group( US)
16
China Expert
Business activities covering over 28 provinces in mainland China Nearly 89,000 employments were created across major businesses
Fosun’s Strength:We are Chinese expert with profound local knowledge, resources and networks;we also have built global capacity, empowered by our international platforms and world premium partnerships
Investment Strategy:To combine China’s growth momentum with global resources
Business Model:To help foreign businesses grow in China, thereby enhancing their global performanceTo help local businesses establish a global vision and a capability of integrating global resources
May 2011 Investment Time
13.4%(1) / €106m Stake 9.72% / €44m
One board seat Board Seats Tow board seats
Expanded distribution channel, developed business in corporate
gifts, helped brand promotionFosun’s value
creation
Attracted more Chinese tourists to visit global sites; explorer
new projects in China
Folli Follie
June 2010
Club Med
• In 2011, revenue increased by 3.2%; net profit increased by 7.5%
• The number of shops in China increased significantly
• Revenue in 2010 on par with 2009; in 2011 it increased by 5.2%• In 2011, net profit turned to positive from previous loss• Businesses from China increased by 40%
2010 20110
20406080
100 83.3 89.5Net profit
2009 2010 2011
-60-50-40-30-20-10
010
-53
-14
2Net profit
Case studies: Folli Follie and Club Med
( Euro Mn ) ( Euro Mn )
17
Upgrade consumption company at a fair valuationInternational market leaderEntrepreneurial mgmt team with clear China strategy
Performance
Notes:1. As of 2011/10/19
18
Future Growth Drivers
Chapter IV
Driver I: growing industrial operations
Fosun Pharma
• Developed underground mining projects; fully exploit small occurrences; newly-built smelters commenced operation generating more output in end product of iron ore
• Improves the technique in cobalt copper ore mining, dressing and refining to stimulate increases in profit
• Promote M&A of iron ore projects• 2012 output guidance: 3.8 million tonnes
• Accelerate acquisition activities for both overseas and domestic pharmaceutical R&D peers
• Strengthen core competitiveness in R&D, marketing and manufacturing
• Help Sinopharm with its integration process in pharmaceutical distribution
• Continue to seek opportunities in medical service area
Forte
NISCO Hainan Mining
To fortify industrial foundations and improve profitability in an environment of both challenges and opportunities, core subsidiaries will strive to grow both organically and via M&As, as they continue to optimize product mix, increase efficiency and strengthen financial position.
19
• Accelerate turnovers and the launch of new projects • Reasonable pricing and positioning• Reasonably expand quality land bank reserve in a
weak industrial cycle• Nation-wide business development • Ever-growing size of completed projects for delivery• Attributable contract sales in 2012 expected to be
930,000 sq. m.
• Strengthened core competitiveness in existing products and strive for a breakthrough in developing a series of key following-up products like steel products for specific purposes, etc.
• Promoted marketing for products with high mark-ups• Propelled technology innovation: ultra-fine grain steel,
corrosion resisting steel, water-cooled mold and super-thick steel plate blank, etc., to further establish competitive advantages in following-up products.
• Production based on sales to keep inventory low• 2012 output guidance: 7 million tonnes
Driver II: more income streams emerging as investments maturing
Notes :1. As of 2011/12/312. Including post-IPO projects3. Portfolio value is calculated based on attributable market cap for listed investees and book value for unlisted investees.
20
2007 2008 2009 2010 20110
5,000
10,000
15,000
20,000
25,000
1,6903,290
4,487
8,256
12,742
Strategic and PE investments ( 2 )
(RMB Mn)
累计分红 + 退出( 3 )
15,449
245
8,813
723
5,907
1,770
11,667
3,785
16,833
7,674
The scale of investments gradually builds up. As more projects approaching a mature stage, we are entering a phase that would allow us to have access to more earning streams
pre-IPO projects that have been listed successfully achieved an average IRR of 58.8%(1)
Accumulated investment cost Year-end portfolio value(1) Accumulated dividends received and proceeds from divestments
21
Driver III: Asset management, a fast-growing business
13.3 bn
>100 bn
Current
Future
• To build win-win partnerships with more quality LPs: We generally focus on large financial and corporate institutions that can provide us access to long-term capitals. For overseas LPs , we would focus on pension funds, sovereign wealth, university endowments, family office, etc. In China, we strive to develop more institutions, large companies and HNW individuals as our future LPs.
• Products in pipeline: China Momentum Fund (USD), Fosun Wealth PE series funds, Shangluwen Fund (fund for retail, travel and culture), Energy Fund, Star Capital II, Forte series funds, etc.
• Fosun will continue to invest in the funds we initiate, as GP commitments
• Asset management: a key business segment of future focus
• Help to utilize Fosun investment capacity without over-leveraging the group’s own financial position
• Help to improve returns on equity
A strong insurance segment generating floats, a form of long-term quality capital
Yong’An P&C Insurance
Pramerica-Fosun Life Insurance (in a preparatory stage)
Other opportunities(eg: Reinsurance)
Driver IV: insurance, a future business segment with vast potential
Yong An Insurance: revenue in 2011 reached RMB 6,545mn, total assets amounted to RMB 10,032mn, 12.9% and 19.0% higher than that of 2010, respectively.
The establishment of Pramerica-Fosun Life Insurance as the first insurance joint venture company between the private and foreign capital has been approved by CIRC.
We continue to explore investment opportunities in other insurances businesses such as reinsurance
22
23
2011 Financial Review
Chapter V
2011 Financial Overview
RMB (in million) 2011 2010 Y-O-Y
Revenue 56,816.2 44,643.7 27.3%
Gross profit 10,566.3 9,366.5 12.8%
Net profit attributable to shareholders 3,403.6 4,227.1 -19.5%
EBITDA 11,460.5 12,014.5 -4.6%
2011 2010
EPS 0.53 RMB/ 0.65 HKD 0.66 RMB / 0.81 HKD
BV per share 4.96 RMB / 6.12 HKD 4.65 RMB / 5.74 HKD
Dividend per share 0.157 HKD 0.17 HKD
24
Net Profit by Segment
25Notes:1. Segment results for 2010 were re-stated for comparison purpose, as asset management income being listed as a stand-alone segment2. Adjusted by management to reflect real financial strength of GPs, before any consolidation adjustments
RMB (in million) 2011 2010(1) YOY
Pharmaceuticals & Healthcare 560.3 302.5 85.2%
Property 1,619.3 1,271.8 27.3%
Steel 34.3 410.0 -91.6%
Mining 1,119.8 932.1 20.1%
Retail, Services, Finance and Other Investment 1,086.8 1,936.6 -43.9%
Asset Management(2) 121.0 6.5 1772.5%
HQ Expense -1,148.3 -571.6 100.9%
Internal Elimination and Consolidation Adjustments 10.4 -60.7 NA
Total 3,403.6 4,227.1 -19.5%
Notes: 1. Before MI2. Total Debt = current & non-current interest-bearing borrowings + interest-free loans from related parties;
Total Capitalization = total equity + total debt 3. Net Debt = total debt – cash & bank balance; Net Capitalization = total equity + net debt
26
RMB (in million) 2011/12/31 2010/12/31 YOY
Cash & bank balance 16,777.8 21,335.0 -21.4%
Unused bank credit facility 40,275.7 25,464.0 58.2%
Total assets 137,537.6 118,374.8 16.2%
Net assets(1) 48,486.2 44,999.1 7.7%
Total debt/Total capitalization(2) 52.7% 49.4% Up by 3.3 % pts
Net debt/net capitalization(3) 43.5% 33.4% Up by 10.1 % pts
Mid-to-long term debt/total debt 56.2% 49.6% Up by 6.6 % pts
Balance Sheet Overview
27
A debt structure being optimized constantly : mid-to-long term debt to total debt ratio has increased for the 5th consecutive year
Unused bank facilities have been on the rise each year
Improved Debt Structure
2007 2008 2009 2010 20110%
50%
100%
31.6% 38.4% 41.6% 49.8% 56.2%
Short-term debtMid-to-long term debt
2007 2008 2009 2010 20110.0
10.0
20.0
30.0
40.0
50.0
60.0
14.1 11.7 15.9 21.3 16.8
10.1 19.1 22.4
25.5 40.3 Unused bank credit facilityCash and bank balance
Billion RMB
www.fosun-international.com
www.fosun-international.com28
29
―Fosun Pharma―Forte―NISCO―Hainan Mining―2012 key operational targets
―NPV breakdown―China opportunities―Shareholding structure―CSR
Appendix
Chapter VI
Market Cap HKD 26.07 bn
Book Value RMB 31.83 bn /HKD 39.26 bn BV per share RMB 4.96
/HKD 6.11
Net Portfolio Value RMB 35.02 bn / HKD 43.20 bn NPV per share RMB 5.45
/ HKD 6.73
Break down of NPV Bn RMB Bn HKD
Listed assets at the group level by attributable market cap as of 2011/12/31: 23.95 29.54
Including:
Industrial investments(Fosun Pharma/ NISCO) 13.23 16.32Strategic investments(Yuyuan/Focus Media/Club Med/Folli Follie) 5.60 6.90Listed Pre-IPOs (Jiashi Technology and others) 1.45 1.79Other investments in listed companies (post-IPOs) 3.67 4.53
Unlisted assets at the group level by BV as of 2011/12/31: 23.54 29.03
Including :Subsidiaries and strategic associates(Forte and others) 19.29 23.79Unlisted Pre-IPOs 2.23 2.75Other investments in unlisted companies(Yon’An insurance and others) 2.02 2.49
Net debt at the group level as of2011/12/31 ( 12.46) ( 15.37)Net Portfolio Value( 2011/12/31) 35.02 43.20
Committed LP funding 13.26 16.36
Fosun Int’l Net Portfolio Value (as of 2011/12/31)
30
Market Cap HKD 29.67 bn
Book Value RMB 31.83 bn /HKD 39.26 bn BV per share RMB 4.96
/HKD 6.11
Net Portfolio Value RMB 36.81bn / HKD 45.45 bn NPV per share RMB 5.73
/ HKD 7.08
Break down of NPV Bn RMB Bn HKD
Listed assets at the group level by attributable market cap as of 2012/3/31: 26.84 33.14
Including:
Industrial investments(Fosun Pharma/ NISCO) 13.68 16.89Strategic investments(Yuyuan/Focus Media/Club Med/Folli Follie) 6.51 8.04Listed Pre-IPOs (Jiashi Technology and others) 1.57 1.94Other investments in listed companies (post-IPOs) 5.08 6.27
Unlisted assets at the group level by BV as of 2011/12/31: 23.50 29.02
Including :Subsidiaries and strategic associates(Forte and others) 19.29 23.82Unlisted Pre-IPOs 2.20 2.71Other investments in unlisted companies(Yon’An insurance and others) 2.02 2.49
Adjusted net debt at the group level ( 13.53) ( 16.70)Net Portfolio Value( 2012/3/31) 36.81 45.45
Committed LP funding 13.26 16.36
Fosun Int’l Net Portfolio Value (as of 2012/3/31)
31Note:1. Taken into consideration cash outflows because of new Post-IPO investments, proceeds received from disposal of stocks and any new IPOs, during the first three
months of 2012, all of which have been reflected in the value of listed assets as well. It doesn’t represent the actual net debt at the group level as of 2012/3/31.
Yum 2011 Revenue
2011 Net Sales 2011 Net Sales 2011 Sales (units)0%
10%
20%
30%
40%
50% 44%
21%
12%
28%Prada
Capture new opportunities brought by China’s two transformations
China is becoming one of the top capital markets in the world
China’s household spending has been growing fast Growing importance of the China market for MNEs
Fastest Growing Asset Management Market
• With the growth of total wealth, AUM will grow as well. Asset management business will have a great potential.
Higher demand for China’s manufacturing capacities with promising investment future
• In the last 10 years, China’s equipment manufacturing industry saw a CAGR of 26%, with its scale topped the world now• In China’s industrial upgrade process, manufacturing will see an even higher demand, along with more demand for resources• Challenge: being free from low-cost dependence, integration and consolidation process featuring technological innovation and increasing value-adds,
higher efficiency of the whole supply chain
• Also, more and more Chinese companies focusing only on the local market are climbing up to the world’s top 10 enterprises in their respective segment.
• During 2011, China exchanges continues to lead the world IPO market in terms of capital raised ($80.6 bn), while US ranked 2nd ($35.6 bn)
• During 2011, there were 356 IPOs of China enterprises raising a total of USD61.532 billion, accounting for 41.9% in count and 52.1% in amount of all IPOs in the world
Best Investment Opportunities
32
1995 年 2000 年 2005 年 2010 年0.0
2.0
4.0
6.0
8.0
10.0
12.0
-40%-20%0%20%40%60%80%100%120%140%160%
1.5 1.1 1.6 1.9
2.9 2.6 2.6
3.2
0.3 0.6 0.9 2.1
5.0
6.8
8.8
10.4
Germany Japan ChinaUS Germany growth Japan growthChina growth US growth
Source of information: World Bank
Yum
Apple
GM
Public ShareholdersFosun Holding
32.1% 19.6%
Fosun Pharma(600196.SH)
48.1%
Sinopharm(01099.HK)
Steel
NISCO(600282.SH)
50.3%
Mining
Jianlong steel26.7%
Property
Forte99.0%
Pharmaceuticals & Healthcare
Zhaojin Mining(01818.HK)8.1%(gold)
Shanghai Zendai(00755.HK)
Fosun Int’l( 00656.HK)
Insurance Asset Management
Yon’An Insurance
18.3%Carlyle-Fosun Mgmt
50.0%
Fosun Chuanghong Mgmt
100.0%
Star Capital Mgmt80.0%
Pramerica-Fosun Life Insurance( planning)
50.0%
Focus Media(FMCN.Nasdaq)
17.2%(1)
Retail, Services, Financial &
others
Yuyuan(600655.SH)
17.3%
Others
Club Med(CU.EPA)
9.7%
Folli Follie(FFGRP.AT)
13.9%
CMBC(600016.SH, 01988.HK)(3)
Hainan Mining60.0% (Fe)
Jin’An Mining 50.3%(Fe)
Huaxia Mining 18.4%(Fe)
Shanjiaowulin20.0%(coking
coal)
Shareholding structure
79.1% 20.9%
Haizimen50.0%
Notes : 1. Calculated based on the total share base as of 2012/1/13, as announced by Focus Media2. The Group and PrAMERICA-Fosun China Opportunity Fund held 10.0% and 3.9% stakes of Folli Follie
Group respectively3. The Group holds the A shares od CMBC representing 1.2% of CMBC’s total number of A shares and holds
its H shares representing 6.41% of its total number of H shares. In addition, Pramerica-Fosun China Opportunity Fund holds its H shares representing 0.7% of its total number of H shares
33
Attributable stake as of 2012/3/31, unless stated otherwise
Fosun Capital Mgmt100.0%
Pramerica-Fosun China Opportunity Fund
Mgmt100.0%
Forte Real Estate Asset Mgmt companies and
others
Fosun as a Corporate Citizen
We donated to the frontline Fukushima rescue forces; we organized the Shining Star project, a large-scale branding activity, in the United States, and we sponsored cultural activities in collaboration with the Musée du Louvre in France
We supported China cultural legacy by helping protect and promote Wu Opera (a local opera) and Dongyang Woodcarving, etc; we also supported Chinese entrepreneurs by cooperating with Youth Business China and Aliloan
In November, Fosun International received the “Entrepreneurs for the World Award” at the World Entrepreneurship Forum in Singapore during the year for its business successes and social responsibilities
In December, Fosun ranked No.4 overall in “2011 China Overall Ranking of Chinese Non-state Owned Enterprise of Corporate Social Responsibility” by the popular Chinese newspaper Southern Weekly among the top 100 non-state-owned enterprises in China
In July, Fosun ranked no. 81 among Fortune's top 500 enterprises of China
Fosun –
20th Anniversary
In the past 20 years of development, Fosun has been upholding gratitude for its people and the society. In 2011, Fosun and its subsidiaries and associates provided 89,000 employment opportunities, an increase of 16,600 when compared with 2010, with total wages of over RMB 5Bn
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• Premium private healthcare
• Global strategy......
Fosun Pharma
35
Future Retail Pharmacies
(~2400 braches )(1)
Distribution(Sinopharm)
R&D and Manufacturing
Note:1. Include retail pharmacies of Fosun Pharma and Sinopharm
Fosun Pharma: to build an integrated industrial chain, encompassing major sectors of health-related industry.
Fosun Pharma
Research and Development (2011): Applied for 70 patents
5 products received new drug certificate and manufacture permits
2005 2006 2007 2008 2009 2010 20110
1,000
2,000
3,000
4,000
5,000
6,000
7,000
2,989 3,102 3,693 3,773 3,872
4,555
6,486
Revenue ( million RMB )6-year CAGR:13.8%
2005 2006 2007 2008 2009 2010 20110
50
100
150
200
250
300
350
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
87 96136 148
189272
310
R&D Expense to Pharmaceutical Industrial Revenue
36
2005 2006 2007 2008 2009 2010 20110
500
1,000
1,500
2,000
2,500
3,000
159 258
626 691
2,498(1)
864 1,166
Net Profit ( million RMB )6-year CAGR:39.4%
Note:1. Sinopharm, a key subsidiary of Fosun Pharma completed its IPO in Hong Kong stock exchange in 2009. As a result, Fosun Pharma booked a net
profit of RMB 1 , 958 mn in 2009
Million RMB
2005 2006 2007 2008 2009 2010 2011 0
200 400 600 800
1,000 1,200 1,400 1,600 1,800
131 174 380
608 967
1,209 1,561
Net Profit ( million RMB )6-year CAGR: 51.1%
Network coverage (2011):― Total network coverage of
30 provinces, 46 distribution centers nationwide
Total clients (2011):― Direct clients include
72.32% of all hospitals in China
― Additional 109,354 clients, with increasing leadership gap
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2005 2006 2007 2008 2009 2010 2011 0
20
40
60
80
100
120
19 24 38 38
53
69
102
Revenue (billion RMB )6-year CAGR : 32.0%
Sinopharm: An Undisputable Industrial Leader
Forte: A Nationwide Property Developer
Region Attributable area ( 1)
(’000 sq.m.)
Shanghai 1,457Cities in Jiang Su
and Zhe Jiang provinces 2,458
Mid western cities 4,599Northern citis 2,602
Hainan 52Total 11,168
Note:1. Including reserves from collaboration projects at
areas attributable to Forte
2005 2006 2007 2008 2009 2010 20110
400
800
1,200
1,600
2,000
561 481 711
102
497
1,760 1,775
Net Profit( million RMB )
38
Datong
Changsha
Hainan
Fuyang
Project reserve as of 2011/12/31
9,891 9,048
11,168
Forte
Y-o-Y Change of Attributable Contract Sales GFA in 2011: ………………… -13.27%
Y-o-Y Change of Attributable Contract Sales in 2011: ………………… -31.81%
Y-o-Y Change of Attributable Booked GFA in 2011: ………………… 3.22%
Y-o-Y Change of Attributable Booked Sales in 2011: ………………… -5.4%
Y-o-Y Change of Attributable Project Reserve: ………………… Increased by 2.12 million sq.m.
2010 2011 2010 2011 2010 2011 2010 2011 2010 2011
13,810
9,417
10,456 1,070 869 897
928
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Attr. Contract Sales GFA ‘000 sq.m.
Attr. Contract Sales Rmb Million
Attr. Booked GFA ‘000 sq.m.
Attr. Booked Sales Rmb Million
Attr. Project Reserve
‘000 sq.m.
Forte: A Nationwide Property Developer
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2005 2006 2007 2008 2009 2010 20110.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
4.50 4.70 5.40 5.19
6.01 6.31 6.84
Outputs of steel products(1) (million tonnes)
NISCO: China’s Leading Steel Enterprise
NISCO:To become the manufacturing base for premium medium and heavy plates and special qualified bars and wire rods.
Competitive strength:
― One of China’s most efficient steel makers
― High product quality
― Technology-led development
― Investing in upstream industries
― One-stop customer service
Note:1. Our subsidiary Nanjing Steel United (NSU) completed overall listing of steel-related assets in October 2010. In the chart above, figures prior to
September (including September) 2010 are attributable historical figures from NSU. Figures after September 2010 are the attributable figures of NISCO after completion of asset restructure.
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2007 2008 2009 2010 20110.00%
1.00%
2.00%
3.00%
4.00%
5.00%R&D expenditure to
revenue
NISCO’s proven strength in improving product mix via its committed R&D initiatives: One of the first few domestic players to be able to produce 9%
Ni steel in batch size, which is used for LNG tank that requires resistance to very high pressure and extremely low temperature.
Sales volume of Pipeline steel and steel for wind-generator towers increased by 29% and 198% respectively
Steel plates for oil storage tanks and alloy pipeline steel such as T91 secured the biggest market shares in the country
NISCO: China’s Leading Steel Enterprise
RMB/tonne 2011 2010 change
ASP of steel products ………………………… 4,699 4,202 12%
Average purchasing cost of iron ore ………………………… 1,190 962 24%
Average purchasing cost of coking coal ………………………… 1,460 1,350 8%
Prices of steel products and raw materials
Reserve(1):
Hainan Mining has 253 million tonnes of iron ore reserve with an average ferrous content at 46.25 %Main products:
― Lump with ~ 55% Fe content
― Fines
― Concentrated ferrous powder ......
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2005 2006 2007 2008 2009 2010 20110.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
2.86 2.81 3.10
2.75
3.41 3.44 3.76
Total Outputs for Finished Products (million tonnes)
Note:1. Documented by Bureau of Land and Resources
Hainan Mining: The largest single-body open pit iron-rich ore mine and one of the most efficient mines in China.
Hainan Mining: A Valuable Premium Asset
2011 2010 Y-o-y
Total outputs ( mn tonnes ) ……………………………… 3.76 3.44 9%
ASP ( RMB/tonne ) ……………………………… 724 664 9%
Cash cost ( RMB/tonne ) ……………………………… 127 115 10%
Average production cost (RMB/tonne ) ……………………………… 171 166 3%
Gross margin ( % ) ……………………………… 73% 71% Up 2 pts.
Sales to top 10 clients (mn tonnes) ……………………………… 3.52 3.17 11%
Sales to top 10 clients as a % of total sales ……………………………… 94% 93% Up 1 pts
Key Operational Indicators
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Hainan Mining: Cost Advantage
44
Jin’An Mining: output targetConcentrated fines/ million tonnes)
Forte: targets for pre-sales and booked GFA(’ 000 s.qm.)
NISCO: output target (steel products/million tonnes)
Hainan Mining: output target(iron ore/million tonnes)
2010 2011 2012E0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00
6.31 6.84 7.00
2010 2011 2012E0.00
0.20
0.40
0.60
0.80
1.00
1.20
0.88 1.00 0.95
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2010 2011 2012E0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00
3.44 3.76 3.80
2012 Operational Targets
2010 2011 2012E0
200
400
600
800
1,000
1,200 1070928 928
869 8971015
Attr. Pre-sales Attr. Booked GFA