On March 26, 2024, Fosun Pharma (stock code: 600196.SH; 02196.HK) released its 2023 ESG and Sustainability Report (the "Report") concurrently with its 2023 annual report. This marks a new milestone for Fosun Pharma to advance its sustainable development strategy and present its practices and achievements in environmental protection, social responsibility and corporate governance to stakeholders, following the release of corporate social responsibility (CSR) reports for fifteen consecutive years and ESG reports for three consecutive years..

As China's economy enters a new phase of high-quality development, particularly against the background of the country's increasingly prominent "Carbon Peaking and Carbon Neutrality" Goals, the practice of ESG principles has become a global consensus and trend. The Report shows that Fosun Pharma, a company listed in "A+H" markets, has continued to enhance its ESG management level and capabilities in 2023 centering on key ESG issues including product quality and safety, product service quality, anti-corruption, compliance management, R&D innovation, medical service quality, climate change mitigation and adaptation, healthcare accessibility, and responsible marketing, thereby promoting sustainable development. Based on a series of ESG practices and measures, Fosun Pharma's MSCI ESG rating was A in 2023. It was also honored as one of the "Top 30 ESG Excellent Practices" by China Media Group, the "Outstanding Responsible Enterprise of 2023" by People's Daily Online, and was included in Fortune magazine's list of the Most Admired Chinese Companies of 2023.

Fosun Pharma has always regarded innovation as its most important social responsibility. It continues to strengthen R&D innovation around unmet clinical needs, promote the launch of innovative products, and enhance the accessibility and affordability of pharmaceutical products. In 2023, Fosun Pharma actively responded to national strategies, deeply participated in the "Rural Doctor" project initiated by Fosun Foundation in conjunction with China Guangcai Foundation, the China Population Welfare Foundation, and others. It launched the "Pink and Blue Ribbon Public Welfare Action (粉蓝丝带公益行)" to assist in free cancer screening in medically underrepresented communities, helping to revitalize rural areas and connect people to receive the care they deserve. As a global pharmaceutical and healthcare industry group, Fosun Pharma, fully leveraging its advantages, has innovatively developed artemisinin to continuously enhance Africa's malaria prevention and treatment capabilities, and helps developing countries improve their medical technologies and public health service levels through promoting localized drug production in Africa and providing free medical aid in countries along "The Belt and Road".

ESG is becoming an important consideration for capital market investments, and domestic regulatory authorities are increasingly focusing on ESG. Fosun Pharma has incorporated sustainable development into the Group's overall development strategy, emphasizing long-term ESG governance capabilities, and established a three-level ESG governance structure supervised by the board of directors (the “Board”), implemented by the ESG Committee, and executed by the ESG Working Group. The ESG Committee of the Board is responsible for formulating and promoting the Group's ESG vision, goals, and strategies, and provides advice to the Board; the ESG Working Group is responsible for sorting out key ESG issues, formulating sustainable development quantitative targets, and tracking progress. The ESG Committee and the ESG Working Group are committed to integrating ESG concepts into corporate operations and enhancing the company's sustainability.

 Wu Yifang, Chairman of Fosun Pharma, said, "In the future, we will continue to deepen the practice of ESG principles, work together with the upstream and downstream of the industry chain, respond to the "Carbon Peaking and Carbon Neutrality" Goals, promote green manufacturing, and create a more harmonious and sustainable industry ecosystem. As a constant innovator, Fosun Pharma will continue to provide patients with more accessible and affordable products and services, strive to become a more sustainable company driven by innovation, and commit to bringing better health for families worldwide.”