Fosun International (656) H1 2026 earnings summary

Executive summary

• Net profit attributable to owners surged 160.3% year-on-year to RMB 1.72 billion, driven by strong core business performance, improved industrial operating profit, asset disposals, and lower finance costs.

• Total revenue was RMB 86.96 billion, up 3% year-on-year excluding HAL deconsolidation, with overseas revenue ratio reaching 56.5% and business covering over 40 countries and regions.

• Strategic focus on streamlining business, divesting non-core assets, and strengthening core segments: health, happiness, wealth, and intelligent manufacturing.

• Continued global expansion, innovation investment, and asset optimization underpin sustainable growth.

Financial highlights

• Core revenue reached RMB 63.88 billion, up 4.6% year-on-year, accounting for 73.5% of total revenue.

• Industrial operating profit rose 17% year-on-year to RMB 3.69 billion.

• Investment in technology and innovation increased 16.7% year-on-year to RMB 4.2 billion.

• Adjusted NAV per share at HKD 18.1; book value per share at HKD 13.5.

• Interest-bearing liabilities reduced from RMB 89.9 billion to RMB 85.4 billion by June 2026; group-level interest-bearing liabilities reduced by RMB 4.5 billion since start of year.

Outlook and guidance

• Midterm target: net profit attributable to owners to reach RMB 10 billion, interest-bearing liabilities to fall below RMB 60 billion, and payout ratio to 35%.

• Dividend for FY2026 expected to be no less than HKD 1.5 billion; major shareholders and management plan to purchase up to HKD 500 million of shares by March 2027.

• Continued focus on deleveraging, global operations, innovation, AI adoption, and ESG integration.