Fosun International Holdings Ltd. aims to bolster return on equity to 15% or more, according to CFO Thomas Xue, following a 10.9% rise in net profits in the first half.
The firm's annualized ROE, which measures financial performance in relation to shareholders' equity, was 13.6% in the first half of 2019, a 0.8-percentage-point rise from last year.
The China-based conglomerate wants to improve its product offerings and now identifies itself as a consumer-focused company instead of an investment company. CEO Wang Qunbin said the company would invest in start-up companies and unicorns — private companies valued at at least $1 billion — and improve valuation via third-party investors or through stock exchange listings.
Fosun reported a profit of 7.61 billion yuan for the first half of the year, up from 6.86 billion yuan in the same period in 2018, while revenues rose 57.4% to 68.48 billion yuan. Shares climbed 4.7% to HK$10.02 in Hong Kong on Wednesday.
