Fosun Pharma Annual Report

Fosun Pharma has developed well in the first half of 2012 and has made a lot of profits. The semi-annual report shows that the company achieved an operating income of 3,494,274,200 yuan, an increase of 12.63% over the same period of 2011; of which, the pharmaceutical business realized operating revenue of 2,197.5048 million yuan, an increase of 23.00% over the same period of last year.

The growth of the company's operating income was mainly due to the rapid growth of the company's pharmaceutical business during the reporting period, and the growth of its core products such as metabolic and digestive tract, cardiovascular system, central nervous system, blood system, and anti-infective diseases.

In the first half of 2012, the company realized an operating profit of RMB 968,387,400, a total profit of RMB 987,227,400, a net profit attributable to shareholders of a listed company of RMB 701,767,000, and a net profit attributable to shareholders of a listed company after deducting non-recurring gains and losses of RMB 401,511,100, respectively. Compared with the same period in 2011, it decreased by 14.00%, 20.58%, 19.03% and 38.01%.

The decrease in operating profit, total profit, and net profit attributable to shareholders of listed companies was mainly due to the completion of additional issuance of shares of Sinopharm Holdings and Jincheng Pharmaceuticals, which were equity-share companies in the same period last year, and the company’s contribution to total profit of 728 million yuan contributed by the disposal company’s deemed disposal proceeds. 506 million yuan.

The net profit after deducting non-recurring gains and losses attributable to shareholders of the listed company as compared to the same period in 2011 was mainly due to: (1) As mentioned above, the company's pharmaceutical business maintained rapid growth, and the growth of major core products was significant; and (2) Sinopharm Holdings Sales revenue and net profit increased significantly year-on-year.

During the reporting period, the company continued to increase investment, focusing on the development of biosimilar drugs and innovative drugs. As of the end of the reporting period, the company had made about 110 new drug and vaccine research projects, including production of pemetrexed disodium and other four regulations; during the reporting period, the company had applied for 32 patents in the pharmaceutical sector.