Fu Shou Yuan Announces 2015 Interim Results; Net Profit Increases by 23.2% to around RMB158.8 Million
- Relentless Pursuit of Service Quality;
- Constant Enhancement of Industrial Integration
HONG KONG, Aug 12, 2015 - (ACN Newswire) - Fu Shou Yuan International Group Limited, the largest provider of death care services in the PRC, today announced its interim results for six months ended June 30, 2015.
2015 is the second year since the Group listed on the Hong Kong Stock Exchange. The Group has continued to develop its core businesses and achieved steady growth as compared with the same period last year. During the period under review, the Groups' revenue amounted to RMB587.6 million, an increase of 43.3% over the corresponding period in 2014. The Group's revenue growth was primarily attributable to the organic growth of key businesses and our successful expansion strategy. During the period under review, the gross profit of the Group significantly increased by 40.7% as compared with the same period in 2014 to RMB459.2 million while gross margin maintained at 78.2%. The Group realized net profit attributable to shareholders of the Company of RMB158.8 million, representing an increase of approximately 23.2% from the same period last year. The Board proposes an interim dividend of HK2.39 cents per share for 2015 to the Shareholders to reward all investors for their support.
During the period under review, the Group has constantly expanded its business network through acquisition of shareholdings, cooperative development, entrusted management, etc. In the first half of 2015, the Group signed and completed acquisition of Anyang Tianshouyuan Cemetery in Anyang City, Henan Province, and entered into cooperative agreement with Dafeng Funeral Parlor in Dafeng City, Jiangsu Province on jointly developing Dafeng Funeral Services Center. The Group has completed acquisition of Guanlingshan Cultural Cemetery in Liaoning and Wuyuan Wanshoushan Cemetery in Jiangxi Province in the first half of 2015. Currently, the Group owns up to 13 cemeteries (including 2 which are under construction), 3 small cemeteries through entrusted management and 9 operating funeral facilities in 14 cities all over China. The ever improving and expanding service scope laid a solid foundation for the Group's future development.
In addition, the Group took advantage of the policy opportunity of cooperation between the government and social capital to enter into strategic partnership with local government bodies. Having signed the framework agreement of strategic cooperation with the government of Jinzhou City, Liaoning Province on 19 December 2014, the Group has made substantive progress in extending to Fushun, the sub-central city of Shenyang Economic Zone. On 29 July 2015, the Group entered into the formal strategic cooperation agreements with the government of Fushun City and Jinzhou City, which indicates strategic importance for the Group's business layout in Northeast China.
Fu Shou Yuan Group is a large-scale death care services provider with strong integration capability. The mergers and acquisitions by the Group since last year have made impressive contribution of RMB85.0 million to the sales revenue during the period, accounting for 47.9% of the total year-on-year sales revenue growth of the first half year of 2015. The Group has introduced Fu Shou Yuan's advance experience into the management and integration of these merged and acquired companies. The brand culture of Fu Shou Yuan is gradually facing the entire nation and our brand value is continuously rising.
Meanwhile, leveraging on the favorable policy which encourages marketization in death care services industry as well as the opportunities brought about by the prevailing trend of aging population and accelerating urbanization, the Group has endeavored to provide superior services to clients. During the period, the Group continued to put effort into the landscaping and cultural constructions of existing cemeteries, improved service quality, and explored new service products and models in a proactive manner. Fu Shou Yuan strives to construct cemeteries into urban cultural parks, upgrade traditional death care industry into modern service industry that caters to customers' needs, and provide customized services and a richer selection to customers. Fu Shou Yuan's quality services are widely recognized by its customers.
Mr. Bai Xiaojiang, Chairman and Executive Director of Fu Shou Yuan International Group Limited, said "Fu Shou Yuan Group will further develop its core businesses, and attach great importance to management, operation, development and innovation. The Group proactively embraces the future trend while inheriting the outstanding Chinese traditional culture, and is determined to maintain a unique Fu Shou Yuan culture through adopting the most advanced technologies and first-class concepts in the world. Moreover, based on the strong capability in industrial consolidation, the Group targets to introduce its brand and advance experiences to more areas in the nation so as to expand our business landscape. In addition, Fu Shou Yuan plans to enhance the synergy between the Group and the merged and acquired subsidiaries by further consolidation, which is expected to improve the overall revenue of the Group as well as laying a solid foundation for future outward expansion. By adhering to our people-oriented philosophy, taking its root in culture, being innovative and pragmatic, and building a harmonious relation with the environment, Fu Shou Yuan Group will consistently pursue sustainable development for achieving win-win of profit growth and social benefits, so as to deliver the best reward to investors."
Source: Fu Shou Yuan International Group Limited
Sectors: Daily Finance
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