Fosun International reported a 160.3% year-on-year surge in net profit to RMB 1.72 billion for the first half of 2026, driven by efficiency gains across its core businesses. Revenue rose 3% to RMB 86.96 billion, excluding the impact of the HAL deconsolidation, while industrial operating profit increased 17% to RMB 3.69 billion.
The diversified conglomerate attributed the profit growth to improved operational performance in its health, wealth, and intelligent manufacturing segments. Overseas revenue expanded 5.3% to RMB 49.16 billion, representing 56.5% of total revenue, up from 53.5% a year earlier. The group’s adjusted net asset value reached RMB 128.0 billion, with a price-to-NAV ratio of 0.29 and a price-to-book ratio of 0.39.
The health segment, anchored by Fosun Pharma, generated RMB 24.03 billion in revenue, a 6.5% increase, with overseas revenue rising 16% to nearly RMB 10 billion. Fosun Pharma’s revenue grew 5% to RMB 20.38 billion, while net profit attributable to owners of the parent reached RMB 1.72 billion. The segment also secured a global partnership with AriBio for the innovative drug AR1001 and saw a 14% rise in revenue from innovative drugs.
The happiness segment, which includes travel and luxury assets, reported RMB 31.63 billion in revenue, a 6.2% decline due to lower contributions from Yuyuan and Lanvin Group. However, industrial operating profit from core companies rose 50% to RMB 320 million. Yuyuan’s net profit surged 157% to RMB 160 million, with gross profit margins improving to 18.6%. Club Med expanded with new resorts in Hangzhou and South Africa, while Atlantis Sanya achieved double-digit revenue growth exceeding RMB 850 million and submitted a public REITs application to Chinese regulators in March 2026.
The wealth segment, comprising insurance operations, posted RMB 27.31 billion in revenue, an 8.1% increase on a comparable basis, with industrial operating profit rising 15% to RMB 2.96 billion. Fosun Insurance Portugal’s total premiums grew 19% to EUR 3.88 billion, with net profit up 24% to EUR 165 million. Pramerica Fosun Life Insurance and Fosun United Health Insurance also reported premium growth of 52.2% and 36.2%, respectively. Peak Re, the group’s global reinsurance platform, saw total premiums rise 11.8% to USD 1.19 billion, with net profit of USD 90 million.
The intelligent manufacturing segment delivered RMB 4.61 billion in revenue, a 14.6% increase, with operating profit up 54% to RMB 180 million. Hainan Mining contributed RMB 510 million in net profit, a 83.4% rise, driven by gains in lithium resources and oil and gas operations.
Fosun reduced interest-bearing liabilities by RMB 4.5 billion to RMB 85.4 billion, maintaining a stable average cost of debt at 5.0%. The group also completed RMB 9.3 billion in cash inflows from asset divestments and dividend upstreaming, while contracted divestments totaled RMB 7 billion. S&P affirmed Fosun’s BB- rating with a stable outlook in May 2026.
The company set a medium-term net profit target of RMB 10 billion or above and increased its dividend payout ratio target to 35%, with fiscal 2026 dividends expected to be no less than HKD 1.5 billion. Fosun also completed HKD 250 million in share buybacks in H1 2026, with major shareholders and management planning to purchase up to HKD 500 million of shares by March 30, 2027.
