Fosun for Good, Together for A Better Life
HONG KONG, May 2, 2023 /PRNewswire/ -- Fosun International Limited (HKEX stock code: 00656, "Fosun International"), together with its subsidiaries ("Fosun" or the "Group"), today issued the Environmental, Social and Governance (ESG) Report 2022 (the "ESG Report"). Facing the increasingly severe challenges of global climate change, Fosun based on the Task Force on Climate-Related Financial Disclosures ("TCFD") recommendations, disclosed its climate-related financial risks voluntarily and issued its first Task Force on Climate-Related Financial Disclosures report (the "TCFD Report"), with a view to striving to build a long-term climate adaptive capacity and drive the transformation towards a low-carbon economy through supporting and implementing the TCFD recommendations.
2022 marked Fosun's 30th anniversary. This year's ESG Report focused on the development of the Group's core businesses and elaborated Fosun's utilization of its "global operations" and "technology innovation" capabilities to gather good for the world at its thirty years of establishment. The ESG Report also focused on the corporate governance and business ethics, customer privacy and data security, customer service and satisfaction, product quality and safety, safety and environmental protection, responsible investment, sustainable supply chain management, employee health and safety, employee benefits and welfare, social welfare, etc. The ESG Report comprehensively demonstrated Fosun International's ESG strategies, practices and achievements in 2022 to stakeholders including shareholders, customers and consumers, employees, governments, partners and the general public.
The ESG Report complied with the Global Reporting Initiative (GRI) Sustainability Reporting Standards (GRI Standards) and the Environmental, Social and Governance Reporting Guide in Appendix 27 to the Listing Rules of Hong Kong Stock Exchange. The Report was also audited and assured by SGS, an independent third-party and internationally recognized verification company.
Issued the first TCFD Report to call on all sectors to promote carbon neutrality
In 2022, Fosun ushered in the "second year" of its "Carbon Neutrality Goal". Facing the increasingly severe challenges of global climate change, Fosun took an important step to strengthen Fosun's climate resilience by issuing the first TCFD Report, demonstrating its commitment of climate action to international community, and call on all sectors to work together to promote carbon neutrality.
In 2021, the Group set the carbon reduction target and committed to society - "strive to peak carbon emissions by 2028 and achieve carbon neutrality by 2050". Fosun has formulated effective strategies for climate change mitigation and adaptation to align with 1.5°C temperature control target set in the Paris Agreement. By conducting the analysis and assessment of climate-related risks and opportunities, Fosun has identified key risks and opportunities and mapped out response measures, and further improved the management of metrics and targets accordingly, to ultimately cultivate a capability to address climate issues in the long term and enhance climate resilience.
Established Carbon Neutrality Committee and Working Group to actively advance Fosun's carbon peak and carbon neutrality targets
In order to further push forward the 2050 "Carbon Neutrality Goal" of Fosun, the Group has established a Carbon Neutrality Committee and a Carbon Neutrality Working Group, with carbon neutrality led and progressed by the Environment, Health, Safety & Quality Department. The Carbon Neutrality Committee, composed of directors of Fosun International and directors of member companies, is responsible for supervising and promoting the overall carbon neutrality strategy, and regulating and monitoring climate-related risks and opportunities. Fosun has also added the indicator of "carbon neutrality management" to the ESG management performance appraisal mechanism of responsible persons of each business segment of the Group, with the aim of promoting further implementation and enforcement of carbon-neutral management across the Group.
In addition, to enhance Fosun's leading position in the green and low-carbon market, the Group has stepped up investments in clean technology. At present, the Group has invested in a number of clean technology companies in different sectors. Most investments were made in the clean energy sector (wind, solar, tidal, biomass, etc.) and energy efficiency sector (battery, advanced materials, energy storage, heat & power, smart grid, industrial automation, natural gas combined, etc.), and some were made in the green building sector (certified green property, building insulation, etc.). The Group has also reduced product lifecycle carbon emissions through adopting recyclable raw materials, increasing the use of clean energy and improving energy efficiency. In addition, the Group has stepped up its investment in the green consumer goods sector and is committed to providing consumers with green and low-carbon products and services.
Actively promoting energy conservation and carbon reduction to contribute to the sustainable development of the Earth
The Group has been actively monitoring and recording greenhouse gas (GHG) emissions of each member company for continuous improvement. GHG emissions intensity in 2022 was 95.6 (tonnes/RMB million of revenue), decreased by 8.02% from 2021. Energy consumption intensity in 2022 was 239.0 (MWh/RMB million of revenue), decreased by 12.90% from 2021.
The Group and its member companies actively promote energy conservation and carbon reduction and are determined to become carbon reduction pioneers in their industries. The Group's Atlantis Sanya obtained the National Certificate of Three-star Green Building Design and Operation Label, the highest level of Chinese green building certification; obtained the LEED (Leadership in Energy and Environmental Design) Gold Building Design and Construction Certification and the "EarthCheck" Silver Certification, the leading environmental certification for the global tourism industry. The Bund Finance Center (BFC), the Group's base in Shanghai and a landmark in Shanghai, was awarded the LEED Platinum certification, which is hailed as the "Oscar Award" in the green building industry, with a score of 97 points to set a new world record.
Became a member company of UN Global Compact to actively promote the sustainable development of the world, while ESG ratings have been highly recognized by the market
After over 30 years of development, Fosun has grown into a global innovation-driven consumer group with a focus on Health, Happiness, Wealth and other business segments in more than 35 countries and regions (based on the enterprise whose annual revenue exceeds RMB100 million). While growing its business operations, Fosun has been also actively undertaking corporate social responsibility. Leveraging Fosun's global industrial ecosystem to achieve "multiplying growth", the Group is dedicated to creating a better world.
As a responsible global citizen, Fosun has continued to strengthen sustainable development management, implement and monitor Fosun's ESG strategies and targets. Fosun joined the UN Global Compact in 2014 and is committed to the global commitment of sustainable development. The Group fully supports the ten principles of the UN Global Compact in the fields of human rights, labor, environment, anti-corruption, etc., continuously promotes their close integration with its own ESG strategies and actively engages its member companies in the implementation of ESG strategies.
In 2022, Fosun's ESG management work was widely recognized. During the Reporting Period, Fosun received an AA MSCI ESG Rating and was the only conglomerate in Greater China with such AA rating, and was selected as a constituent of the MSCI CHINA ESG LEADERS 10-40 Index again. Fosun also received a rating of A in the Hang Seng Sustainability Index and has been selected as a constituent stock of the Hang Seng ESG 50 Index for two consecutive years and a constituent stock of the Hang Seng Corporate Sustainability Benchmark Index for three consecutive years; it was selected as one of the constituents of FTSE4Good Index Series for the first time; its S&P CSA ESG score has risen significantly, outperformed 91% of its global peers.
Developing business for good and actively contribute to the society
2022 marked the 30th anniversary of Fosun and also marked the 10th anniversary of Fosun Foundation. Fosun Foundation has put forward its public welfare strategy of "Together for A Better Life" and continued to support emergency and disaster relief, rural revitalization, health promotion, community construction, care for children and youth, education, culture and art and other public welfare actions.
Fosun's forward-looking deployment of "vaccine and drug" during the COVID-19 outbreak has contributed to the fight against the pandemic. The Comirnaty (mRNA COVID-19 vaccine) has helped build an immune barrier in Hong Kong SAR, Macau SAR and Taiwan region. Since its launch to the end of February 2023, more than 31 million doses had been administered in Hong Kong, Macau and Taiwan region. The Comirnaty BNT162b2 and Comirnaty Bivalent Vaccine have been officially registered as drugs/products in Hong Kong and approved as regular imported vaccines in Macau, fully covering the public and private markets.
Azvudine tablets, China's first small-molecular oral medication for COVID-19 jointly developed by Fosun Pharma and Henan Genuine Biotech, was included in the National Health Commission's Diagnosis and Treatment Protocol for COVID-19 in 2022, and was covered by the national medical insurance scheme. As of 6 April 2023, through "A Healthy Winter Action", more than 289,200 bottles of Azvudine tablets were donated to township health centers and village clinics in 258 counties in 29 provinces, municipalities and autonomous regions. The campaign played an important role in "protecting people's health and preventing severe cases" in rural areas.
Since its launch at the end of 2017, Fosun Foundation's Rural Doctors Program has covered 73 counties in 16 provinces, municipalities and autonomous regions, benefited 3 million grassroots families. On 17 February 2023, the Rural Doctors Program was awarded the "Shanghai Charity Award", the highest government prize in the field of philanthropy in Shanghai.
As an official member of Roll Back Malaria, a global cooperative initiative advocated by the WHO, Fosun Pharma had 30 antimalarial pharmaceutical products prequalified for production by the WHO (WHO-PQ), and became an antimalarial product manufacturer which received the most such certification. It has been a significant supplier of antimalarial drugs to the global foundation, the United Nations Children's Fund, WHO and national drug purchase centers in African countries for many years. Fosun Pharma has the Artesun® (Artesunate for Injection), a proprietary innovative drug with full intellectual property, which has been recommended by WHO and has now become the international gold standard for the treatment of severe malaria. As of the end of 2022, over 280 million doses of Artesun® (Artesunate for Injection) were supplied to the international market, contributing to the recovery of more than 56 million sufferers of severe malaria worldwide.
Top-down and long-term mechanism for ESG improvement to link ESG performance with the performance appraisal of the Board
Since its establishment, Fosun has defined its corporate operating principles and cultural values of "Self-improvement, Teamwork, Performance, and Contribution to Society". It has been closely linking the development and achievement of individuals and enterprise with the improvement of social welfare all along. In order to ensure the smooth and continuous progress of ESG work, Fosun has established a top-down and long-term mechanism for ESG improvement. Fosun includes ESG management performance as an evaluation factor in the Executive Directors' performance assessment and remuneration assessment. With this mechanism, the Group and its member companies can deeply incorporate ESG into the operations and management progressively.
To further improve the ESG management system, Fosun has set up an ESG Board Committee under the Board of Directors (the "Board") to assist the Board in guiding and overseeing the Group's ESG development and implementation. At the management and decision level, Fosun has established an ESG Executive Committee under the management to provide decision support for the implementation of ESG strategies. At the implementation level, the Group has also set up an ESG Management Committee and an ESG Working Group to implement ESG strategies and related actions and ensure the establishment of appropriate and effective ESG risk management and internal control system.
Established for 30 years, continue to uphold its original aspiration of "Contribution to Society"
Standing at a new starting point after thirty years of development, Fosun will continue to uphold its original aspirations of developing business for good and "Contribution to Society", actively shoulder more social responsibilities, implement ESG strategies, constantly create value and give back to the society. Fosun will adhere to its strategic focus, leverage its advantages of "global operations" and "technology innovation", deepen its core businesses with global competitiveness, so as to drive faster and better development of the Group. In addition, Fosun will continue to actively cooperate with its member companies to promote the implementation of ESG strategies, especially in the areas of carbon emissions peak, carbon neutrality, energy conservation and consumption reduction, and actively promote the sustainable development of the Group.
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For more information on Fosun's ESG, please refer to Fosun International's ESG Report 2022 posted on:
the Hong Kong Stock Exchange's website (http://www.hkexnews.hk)
or the Company's sustainability webpage (https://en.fosun.com/development/)
The electronic copy of the TCFD Report 2022 is available on the Company's sustainability webpage:
(https://en.fosun.com/development/)
About Fosun
Fosun was founded in 1992. After more than 30 years of development, Fosun has become a global innovation-driven consumer group. Adhering to the mission of creating happier lives for families worldwide, Fosun is committed to creating a global happiness ecosystem fulfilling the needs of one billion families in health, happiness and wealth. In 2007, Fosun International Limited was listed on the main board of the Hong Kong Stock Exchange (stock code: 00656.HK). As of 31 December 2022, Fosun International's total assets amounted to RMB823.1 billion. Fosun International ranks No.589 on the 2022 Forbes Global 2000 List, with a MSCI ESG rating of AA.
