Stock Code: 01448

Stock Code: 01448

Fu Shou Yuan International Group Limited

2020 Annual Results

March 2021

These presentation materials have been prepared by Fu Shou Yuan International Group Limited (the “Group”) and have not been independently verified.

No representation or warranty, expressed or implied, is made and no reliance should be placed on the accuracy, fairness or completeness of the

information presented or contained in these presentation materials. The Company will not accept any liability whatsoever for any loss howsoever arising

from any information presented or contained in these presentation materials. The information presented or contained in these presentation materials is

current as of the date hereof, unless indicated otherwise, and is subject to change without notice and its accuracy is not guaranteed. The Company does

not provide any undertaking to update any such information subsequent to the date hereof.

These presentation materials contain certain “forward-looking statements”. These forward-looking statements include but not limited to projections, targets,

estimates and business plans that the Company expects or anticipates will or may occur in the future. Certain statements, such as those include the words

or phrases “potential”, “estimates”, “expects”, “anticipates”, “objectives”, “intends”, “plans”, “believes”, “will”, “may”, “should”, and similar expressions or

variations on such expressions may be considered forward-looking statements. These forward-looking statements are made based on the operating

conditions, strategies and other circumstances of the Company and are subject to known and unknown risks and uncertainties that may be general or

specific. Readers should note that a variety of factors, many of which may be beyond the Company’s control, affect the performance, growth trends and

actual results of the Company. These factors include, but are not limited to, exchange rate fluctuations, market shares, peer competition, environmental

risks, changes in social, political, legal, financial and regulatory frameworks, international economic and financial market conditions and other risks and

factors beyond the control of the Company. Due to these factors, the future actual operating results of the Company may differ materially from these

forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on any of the Company’s

forward-looking statements. The Company declares that, the Company and any associated companies, directors, officers, employees, consultants or

representatives of the Company assume no obligation to update or revise any forward-looking statement that is contained in these presentation materials

as a result of new information, future events or otherwise. None of the Company, or any of its associated companies, directors, officers, employees,

consultants or representatives is making any representations concerning the future performance of the Company, or is responsible for any losses arising

from reliance on the forward-looking statements contained in these presentation materials.

These presentation materials are for information purposes only and do not constitute or form part of an offer, solicitation or invitation of any offer to buy or

subscribe for any securities of the Company, in any jurisdiction, nor should it or any part of it form the basis of, or be relied upon in any connection with, any

contract, commitment or investment decision whatsoever.

Disclaimer

1

• Total revenue reached RMB 1,893 million, representing an increase of approx. 2.3% YoYSteady Revenue Growth

• Net profit attributable to owners of the Company amounted to approx. RMB 620 million, up 7.2% YoY

• Net profit margin increased 0.3pp YoY to 40.0%

• EBITDA margin reached 56.3%, up 2.1pp YoY

Continuous Growth in Profitability

• Gearing ratio went down 0.9pp to 1.0%

• Net cash was approx. RMB 2.167 billion, providing strong financial support for the Company’s

strategic expansion

Solid Balance Sheet

• M&A Projects: 3

• Multiple Funeral Projects and Completed Projects

• Multiple Ongoing Projects

Good Prospect of Outreach Initiatives

• Basic EPS for 2020 is approx. RMB 27.4 cents

• Final dividend of 8.81 HK cents representing an increase of 4.6% YoY;

Dividend payout ratio is approx. 29.2%

Steady Dividend Policy

• Customer centric, proactively optimized the business operations, product mix, sales channel, revenue contribution from different regions and financial structure to enhance the long-term value

Proactive Optimization and Adjustment

Results Overview

2

Business Performance

3

Policy & Market

Policy Market

Upgrading demands for better quality death care services

Sustainable urbanizationprocess

Traditional culture with a core of filial piety

Largest population in the world

Rapid aging trend

Industry rectification creates fresh operation environmentThe national actions taken to rectify the funeral industry are fundamentallyconducive to the standardization and healthy development of the industryand create a more equitable operating environment and room for growth for

the company.

Separation of Supervisory role and operator role brings new opportunitiesThe government provides basic services, encouraging socialcapital to participate in selective death care services, bringmore development opportunities for the company.

The government is returning to the service role, giving market more vitalityThe government is reducing examination and approval, givinginnovation more space, while providing more service, well-balancing the regulation and liberalization.

Regulations on Funeral Management (Revised Draft for consultation)The issuance of Regulations can effectively solve the problems in the industryand enforce the institutionalization, marketization and normalization of theindustry, will provide the Group with a favorable environment forcompetition, and more room for sustainable development.

Better life requires high quality death care servicesThe report of the 19th National Congress pointed out that the maincontradiction now is between the people's growing demand for a betterlife and the unbalanced and inadequate stage of development. Thedignified, highly regulated quality death care service is also an importantpart of a better life.

Five Factors Drive the Market Upward

4

Goals & Strategies

Goal: Being a Respected Company of 100 Billion Market Value.

Strategy: Growth Strategy Driven by Dual Engines - "Organic Growth + Outreach Initiatives”

Outreach Initiatives by Integration StrategyOrganic Growth by Differentiation Strategy

Regional expansion (horizontal integration)

Industry chain expansion (vertical integration)

• M&A Projects: 3

➢ 80% of Fuze project in Jinsha County of Bijie City, Guizhou Province in June 2020;

100% of Harbin Mingxiyuan Cemetery of Heilongjiang Province completed in

August 2020;

95% of Hailin Jinggang Industrial Co., Ltd. In Lanzhou City of Gansu Province

completed in November 2020.

• Multiple Funeral and Completed Projects

➢ We entered into a contract of funeral service project in Ruichang City, Jiangxi

and selective funeral service project in Chaohu City, Anhui Province;

Xuancheng cemetery project, Qinzhou cemetery project, Hubei Tiansheng

cemetery project, Zheng’an funeral parlor in Guizhou Province, Funeral facilities

in Gaoyou City, Changfeng funeral project etc. have commenced operation in

2020.

• Multiple Ongoing Projects

➢ Funeral projects in Linquan county, Cemetery projects in Qihe County,

Shandong Province, Funeral projects in Chaohu City, Anhui Province and

Binzhou Funeral and Cemetery project, Shandong Province.

We have expanded from Shanghai to 45 cities in 18 provincial-level regions

Listed company withabundant cash reserve

Comprehensive service capability

The well-knownbrand

Innovation on product & services

Advanced business philosophy

Largest professional team in China

5

6

Gansu: Cemetery 1

Henan: Cemetery 3

Hubei: Cemetery 1

Chongqing: Cemetery 2,

Funeral 4

Guizhou: Cemetery 2,

Funeral 2Guangxi: Cemetery 2

Regional Expansion (horizontal integration)

（横向一体化）

Beijing：Design Company 1Heilongjiang: Cemetery 1Jilin: Invest. Cemetery 1Inner Mongolia: Cemetery 1Liaoning: Cemetery 3

Design Company

Cemeteries

Funeral Facilities

New Sites

Land consumed of 2020：36,348 m2（-8.2%YOY）

Total saleable cemeteries area：2.44million m2（+6.1%YOY）

Our business covers 45 cities of 18 province-level regions

28 cemeteries (+2 under custody operation)

and 28 funeral facilities in total

✓ Capture market and optimize layout, continued

presence in the blank provinces

✓ Plough deep into the original area and elaborate

synergy effect

✓ Explore various collaboration modes and

comprehensive cooperation with the

government

Shandong: Cemetery 2,Funeral 2Jiangsu: Cemetery 1,Funeral 5Shanghai: Cemetery 2,Funeral 1Zhejiang: Funeral 3Fujian: Funeral 2Anhui: Cemetery 3,Funeral 6Jiangxi: Cemetery 4,Funeral 3

7

Customer-centric and optimize industrial layout (vertical integration)

Turning cemetery to garden and garden to home,we bring peace to customers. Each cemetery is abrilliant combination of landscape culture,sculptural art and geomancy, with past sages to beworshiped by generations to come, making it anurban humanity memorial park to inherit wisdom,convey warmth and propagate belief.

Turning farewell to beautiful moment toelaborate a deep reverence for life. weprovide more than 30 personalized serviceitems including farewell ceremony and wakeceremony as well as continuous innovation onnew service items to heal customers’ grief.

The automated environmental-friendlycremation machine developed andmanufactured by the Group have wonthe procurement by government. Suchmachines have been installed in Group’sfuneral parlors and operating smoothly.Machines sold to external funeralparlors are welcomed by the market.

Our Pre-need Contract are helping more andmore elderlies to plan for death care ahead oftime. Fu Shou Home Life Care CommunityService Centre located near communities. TheCooperation with insurance company wasreached and the “Green Life Services”, aninsurance contracted product has beenlaunched .

Landscape, facility and product design services areprovided to ourselves and the peers as well. Suchsegment optimizes the overall layout by elaboratingsynergetic effect among other segments andestablishes brand position among peers.

Life Service Academy is theplanner of training, the promoterof innovation management, thedisseminator of the corporateculture, the manager of industryknowledge.

Pre-need services

Funeral services

Burial services Landscape design

✓ Increase the funeral services scope, enhance facilities and landscape design capability

✓ Explore the Death care + Internet

✓ Enhance collaboration between different segments and improve customer experience

Machinery

Life education

Death Care + Internet

8

Fu Shou CloudService Cloud

Industry Cloud

Management Cloud◼ Digital system construction within

the Group;◼ To improve business efficiency,

internal management standards, as well as to upgrade services, intelligent decision-making and other core capabilities

Industry Cloud◼ Technology empower the death care

industry;◼ To provide the entire industry with the

internet + big data comprehensive technology solution which enables the industry and share with the industry

Product Innovation

Channel Innovation

✓ VR site visiting✓ Online mall✓ Cyber marketing

Management Cloud

Industry Cloud

Fu Shou CloudService Cloud

Product Innovation

Channel Innovation

✓ Fu Shou Cloud Online tomb-sweeping

✓ Electronic obituary✓ Cloud blessing

2020 E-commerce Platform

No. of new customer: 72,653

No. of order: 12,259

Amount of order: approx. 2.90million RMB

✓ New Media Marketing

✓ Online mall✓ Cyber

marketing

✓ In 2018, the Ministry of Civil Affairs issued a notice on promoting the “Internet + Death care service”, the Group continued to layout in the

internet sector, the COVID-19 has brought development opportunities

Continuous Optimization on Product & Service – Burial Services

9

Burial Services 2019 2020 Fluctuation

(%)

No. of burial plots for ordinary business

13,539 13,083 -3.4%

Comparable cemeteries 13,526 12,074 -10.7%

ASP of burial plots for ordinary businessRMB’000

102.6 107.7 +4.9%

ASP of comparable cemeteriesRMB’000

102.6 112.6 +9.7%

Land-saving products

0

5000

10000

15000

20000

25000

JAN. FEB. MAR. APR. MAY JUN. JUL. AUG. SEP. OCT. NOV. DEC.

2019 2020

Monthly Revenue of burial services（RMB’000） Total revenue of burial services in 2020 recorded RMB1.58billion, up 1.8% compared to the corresponding period. Among them, revenue of burial services in 2H2020 recorded RMB960million, up 23.3% compared to the corresponding period, showing strong corporate resilience.

• In 2020, sales proportion of artistic burial plots

up 3.1pp, increased to 54.3%, while sales

proportion of customized burial plots decreased to

23.4%, down 1.2pp and that of traditional ones

down 1.1pp.

• We constantly innovate products and

proactively provide guide to the market. Increase

of ASP shows our continuous effort in the value of

products and services.

• The Group continues to strengthen own sales

team, to improve service systematism and

enhance consumption experience.

10

Continuous Optimization on Product & Service – Burial Services

Continuous Optimization on Product & Service - Funeral Services

11

Monthly Revenue of funeral services（RMB’000）

Funeral Services 2019 2020 Fluctuation

(%)

No. of customers 41,758 47,391 +13.5%

Comparable facilities 41,108 37,685 -8.3%

Average selling priceRMB: Yuan

6,153 5,337 -13.3%

ASP from

comparable facilitiesRMB: Yuan

6,193 6,064 -2.1%

0

500

1000

1500

2000

2500

3000

3500

JAN. FEB. MAR. APR. MAY JUN. JUL. AUG. SEP. OCT. NOV. DEC.

2019 2020

Total revenue of funeral services in 2020 recorded RMB253million, down 1.6% compared to the corresponding period. Among them, revenue of funeral services in 2H2020 recorded RMB151million, up 17.2% compared to the corresponding period. The decline in sales volume and sales narrowed down since 2Q and revenue began to rise rapidly QOQ in 2Q , while the ASP was diluted by newly acquired companies.

• As a long-term partner of the government, We have taken the

lead through diversified cooperation with government. By means

of our own advantage, we have accessed to more core funeral

service locations as well as occupied the resources. The

competitive strength and the cooperative ability further emerged.

• We offer over 30 funeral service items, including services as body

spa, mid-range and high-end paper coffins and cosmetic services

etc..

• New facilities mainly provide basic services at present. Along with

the increase of value-added services, the improvement of service

quality and the launch of marketing campaign, there is large

room for revenue growth in funeral segment.

12

Supportive Policies: To speed up ecological development of industry, environmental testing is more stringent while all non-compliant cremation machine will be gradually replaced throughout the country

Patent Advantage: Obtained national invention patent, acquired market approbation from domestic and overseas

Good sales status: During the period, the Group achieved breakthrough in government procurement, sold and installed 19 sets and achieved operating revenue of RMB50.1 million for the Year The contracts not yet delivered amount to 14 sets.

Broader geographic coverage：Expanded pre-need

services to 10 provinces, 21 cities nationwide

Growing sales volume：In 2020, we signed 5,906

pre-need contracts, increased 21.2% compared to

the corresponding period

Government Procurement and recognition: In

2020, we won 40+ batched of collective

procurement by government institutions at all levels

and social organizations

Strategic cooperation: In April 2020, cooperate

with Aeon Life Insurance Company to work together

with the “Insurance + Life Care” business and jointly

launch an insurance contracted product named

“Green Life Service”.

Design services layout：In 2020, we offered the professional design services to cemeteries and funeral parlors throughout the nation

Strong design skills: We have provided services regarding overall planning, construction drawings and interior decoration design for over 400 cemeteries and more than 30 funeral parlors

Awards and Achievements: As anexperienced, original and professional design company in the industry, we have won many international and domesticawards.

.

Environmental-friendly Cremation 设计服务Pre-need Services Landscape Design

Continuous Growth of Strategic New Business Units

Sustainable Development

13

SUSTAINABLE

DEVELOPMENT

LAYOUTLife education

Environmentally

friendly

Technology

Innovation

Public welfare

History heritage

Environment

• Landscape cemetery, land-

saving and ecological

• Green funeral, changing

the customs

• Environmental cremation,

energy saving and

efficiency

• Lean operation, energy

efficiency management

Social

• Talent training, empowering

development

• Charity donation, Anti-

epidemic and disaster relief

• Caring for People’s livelihood,

Implementing charity

• Industry communication,

boosting innovation

Governance

• Updating the terms for the

Compliance Committee，enhancing governance

• Establishment of the Sustainable

Development Committee,

formulating strategies

• Diversified board members,

scientific decision-making

• Three-tier risk management and

internal control system,

strengthening compliance

Financial Performance

14

（RMB Million） 2020 2019 Change

Revenue 1,892.5 1,850.6 +2.3%

Profit from operations 927.9 869.3 +6.7%

EBITDA(1) 1,066.2 1,004.3 +6.2%

Net profit 757.3 735.3 +3.0%

Profit attributable to Owners of the Company 620.1 578.6 +7.2%

Operating profit margin 49.0% 47.0% +2.0pp

EBITDA margin 56.3% 54.3% +2.0pp

Net profit margin 40.0% 39.7% +0.3pp

ROE 15.6% 17.0% -1.4pp

ROIC 28.6% 32.1% -3.5pp

Basic earnings per share （RMB cents） 27.4 25.9 +5.8%

Dividend per share （HKD cents） 8.81 8.42 +4.6%

Dividend payout ratio 29.2% 29.0% +0.2pp

Financial Overview

(1) EBITDA = profit from operations + depreciation and amortizations + share based payment expenses.(2) ROE= Net profit during the period/(total equity at the beginning of the period + total equity at the end of the period)(3) ROIC=(net profit-(interest income - interest expenses + exchange gains)*(1-effective tax rate) )/ average invested capital as of period beginning and end; Invested capital=total equity +loans from non-controlling shareholders of subsidiaries + bank borrowings-bank balances and cash-time deposits-current financial assets.(4) Dividend payout ratio is calculated by reference to the profit attributable to owners of the company, RMB/HKD currency ratio and dividend payout amount in HKD. It is estimated that we will keep a relatively stable dividend payout ratio in the future. And we will also review and assess the dividend policy periodically.

15

(3)

(2)

(4)

Continuous Growth in Revenue and Further Improvement in Structure

2019

Shanghai

50.5 %

Others 10.6%

Anhui 9.9%

Henan 6.3%

Chongqing

3.7 %

Liaoning 10.0%

Optimization of revenue contribution from different regions：For the first time, we entered Heilongjiang and Gansu Province. The

contribution to the burial and funeral revenue of Shanghai decreased to 46.9% (last year 50.5%), The Group continued to rely less on

our business in Shanghai and continued to optimize our business footprint across the nation. Meanwhile, with the ease of COVID-

19, the signs of sales recovery of 2H2020 was clear. E.g. increase rate of the revenue contribution from Chongqing recorded 13%

and that of Jiangsu recorded 26%.

Shandong

4.5%

2020 2019

RMB’000 % of total revenue RMB’000 % of total revenue % changes

Burial Services 1,579,143 83.4% 1,551,394 83.8% +1.8%

Funeral Services 252,938 13.4% 256,928 13.9% -1.6%

Other Services 60,456 3.2% 42,252 2.3% +43.1%

Total 1,892,537 100% 1,850,574 100% 2.3%

Burial and funeral revenue contribution from different regions

16

Jiangxi 4.5%

2020

Shanghai

46.9%Others 13.7%

Anhui 9.7%

Henan 6.7%Jiangsu

4.4%

Liaoning 8.4%

Shandong

5.1%

Jiangxi 5.1%

2020% of 2020 revenue 2019

% of 2019 revenue

Fluctuation (%)

Staff costs 385.8 20.4 416.1 22.5 -7.3

Construction costs,

Consumed materials and goods225.6 11.9 214.4 11.5 +5.2

Depreciation & Amortization 136.7 7.2 123.2 6.7 +11.0

Marketing & sales channel

costs36.1 1.9 38.7 2.1 -6.7

Other operating expenses 180.4 9.5 188.9 10.2 -4.5

Total 964.6 51.0 981.2 53.0 -1.7

Effective Operating Expenditure

• Operating expenditure accounted for 51.0% of total revenue.The decrease in operating expenditure is mainly attributableto adjustments to business structure, effective cost controlunder the management for cost reduction and efficiencyenhancement and various concessionary policies benefittingthe Group.

• As a service provider, staff costs accounted for 40% of theoperating expenditure which has the highest weight in theexpenditure. During the Period, the staff costs decreased by7.3%. The decrease was mainly attributable to the combinedeffect of various social insurance concessions granted to theGroup and optimization of working structure andremuneration structure.

• Marketing and sales channel costs decreased by 6.7%. Suchdecrease was mainly attributable to the optimization of oursales channel, enhancement of our direct sales team andgradual reduction the reliance on external sales agents.

• Depreciation and amortization have increased thanks tonewly operated cemeteries and funeral facilities.

(RMB million)

53.0%

（RMB million）

、17

957.8

882.0

23.5

82.6

820.0

840.0

860.0

880.0

900.0

920.0

940.0

960.0

980.0

1000.0

2019 2020

Comparable New

Staff cost40%

Construction expenditure & materials

consumed23%

Depr.&Amor. 14%

Marketing & Channel

4%

Others19%

17

Robust Capital Structure

The Company has a robust capital structure and strong cash generation capabilities, which bring reasonable return to shareholders, and support its future development.

Strong operating cash flow(1) （RMB Million）

707.1

822.3

2019 2020

Gearing ratio(3)

（%）

2,346.9

2,167.2

2019 2020

Strong cash balance(4)

（RMB Million）

Capital investments(2)

(RMB Million)

18

Note: (1) Net operating cash flow=cash flow from operating activities-paid income tax + payment to acquire cemetery land. (2) Capital investments = M&A investment cash outflow+ investment cash

outflow in the acquisition of cemetery assets, fixed assets and intangible assets and etc. (3) Gearing ratio is calculated as total borrowings divided by total equity. Considering our low gearing

ratio, we prefer to adopt the debt financing to meet any further financing requirements. (4) Cash balance= bank balance and cash + term deposit + financial assets – total borrowings.

2019 2020

Others

M&A

269

1.9 1.0

2019 2020

189

118

753

80

634

No. of employees since 2013

1,211 1,307

1,627 1,724

1,836

2,237 2,349 2,345

2013 2014 2015 2016 2017 2018 2019 2020

68 9 10

15

22

2628

2013 2014 2015 2016 2017 2018 2019 2020

No. of funeral facilities in operation since 2013

710

14 1517

2022

28

2013 2014 2015 2016 2017 2018 2019 2020

No. of cemeteries in operation since 2013

97

139

161

181196

220230

244

2013 2014 2015 2016 2017 2018 2019 2020

Saleable cemeteries areas with land certificate since 2013

Unit: 0’000 sqm

18,230 20,131

26,573 29,237

32,892

49,000

55,297

60,474

2013 2014 2015 2016 2017 2018 2019 2020

No. of customers served since 2013*

Business Structure and Development since Listing

*Exclude public welfare plot and tomb relocation

19

Growth in Revenue and Net Income since Listing

611.8

795.1

1,108.0

1,267.7

1,477.2

1,651.3

1,850.6 1,892.5

2013 2014 2015 2016 2017 2018 2019 2020

RMB million

20

271339

489609

758 846

10041066

2013 2014 2015 2016 2017 2018 2019 2020

EBITDA and EBITDA margin

EBITDA（RMB million）

167230

284339

417488

579620

2013 2014 2015 2016 2017 2018 2019 2020

Net Profit margin and Net Profit attributable to the Owner of the Company

31.1% 35.9% 33.0% 35.4% 37.2% 37.3% 39.7% 40.0%44.20%

42.70%

44.2%48.0%

51.3% 51.2%54.30% 56.30%

EBITDA margin

Appendix

21

212,267

253,708

509,914

208,648

246,212 250,732220,207

90,71367,304 75,897

130,990

27,002 26,701

120,413

160,53549,342

42,096

22,472

29,412

206,104

44,646

5,3408,716 2,634

7,878

1,09451

182,365

S H A N G H A I H E N A N S H A N D O N G A N H U I C H O N G Q I N G L I A O N I N G J I A N G X I I N N E R M O N G O L I A J I A N G S U G U I Z H O U G U A N G X I H U B E I G A N S U H E I L O N G J I A N G

Saleable area Area sold

Extensive Land Bank to Support Future Growth

Unit: m2

36,348m2 of land consumed in 2020 ( 2019: 39,586 m2 )

Total saleable cemeteries area (2) with land certificate (1) reached approximately 2.44million m2

Notes: (1) Total land area with land use right certificate amounts to 3.987 million m2. (2) For land area available for sale, non-cemetery land use are excluded, such as business center, office building, scenery and trunk roads. (3) Allcemeteries are permitted to operate for 50 to 70 years. (4) The remaining saleable land in Jinzhou is in process of applying for the land use right.

22

1398.0

25.4 66.8

328.2

126.3

China Australia United Kindom United States Japan

Total population (in million)

2019 Population and Aging Rate(1) (2) Urbanization Rate in China

Statistics Related to Industry Development

China’s Total Number of Death (in million)

9.869.93

10.00

2017 2018 2019

Notes:

(1) Aging rate is calculated as population aged 65 or above divided by total population.

(2) Sources of Data: National Bureau of Statistics and World bank.

28,228

30,733 32,189

2018 2019 2020

人均可支配收入 (元)

6.7% 6.1%

2.3%

Rising Economy and per capita disposable income

11.5%

15.7%18.6%

16.2% 28.0%

Aging Rate

23

59.6%

60.6%

> 60.0%

2018 2019 2020

Improvement in Human Resource Management

—Internal Training

Actively promote

employee education

and development

—External Training

Actively promote

industry exchanges

1162 1255 1314 1278

499726 760 798175

256 275 269

2017 2018 2019 2020

Employee Breakdown by Segment

Burial Service Funeral Service Others

54

494

693

1108

47

492

670

1136

MasterDegree &

Above

BachelorDegree

Associate BelowAssociate

Employee Breakdown by Education

2019 2020

Life-Service Academy

Regularly hold the national modern cemetery training courses

Initiate public welfare courses in the college

Provide training for the government，association and enterprises

564

1428

357457

1467

421

<30 30-50 >50

Employee Breakdown by Age

2019 2020

24

Fu Shou Yuan, A leading company of death care services industry in China

Introduction of Company

History

• Founded in Shanghai in 1994, Fu Shou Yuan is one of the first private companies that enters into the PRC death care market

Area

• We provide premium death care services in 18 provinces and 45 cities within China and we are the largest death care service provider in China

Business

• We offer the most comprehensive services which cover 6 main segments in the industry chain: cemetery services，funeral services, funeral equipment, pre-need services，design service and Internet+

Brand

• Famous brand in death care service industry, with a great reputation among customers, peers and government

Benchmark

• Combining traditional culture with modern concept ,we provide multi-level and personalized comprehensive death care services. In each city we have entered, we are one of the best service providers as the benchmark in the industry

Asset• We possess the largest and the most professional team and extensive land bank

Concept

• “Converting cemeteries to urban cultural parks; Transforming farewells into beautiful moments” is our mission, and we’ll continuously innovate and lead the development of China’s death care service industry

25

➢ SOP

Continuously improving cemetery and funeral

SOP, the standards supporting rapid

expansion and replication,

➢ IT system

Through the construction of IT system, the

standardization of business process, the

systematization of management process and

the visualization of business results are

properly defined and become the IT

benchmark of cemeteries and funeral service

enterprises in China.

➢ Post-investment managing

mechanism

The regional expansion mechanism and the

incubator mode of mature enterprises to help

new enterprises have been established.

It solidifies the post-investment management

mechanism, realizes seamless connection

between pre-investment and post-investment,

and supports the group's pace of external

expansion.

➢ Improve the overall budget

management system

➢ Continuous optimization of

performance evaluation system

➢ Improved management mechanism

among Headquarter, Regions and

Subsidiaries

Improved the management system to enhance the operation and control capability

Mature

Profit

SOP

IT system

Newly Built

Efficiency

SOP

IT system

New merger

Result

Operational

upgrading

IT system

Unified Management System & Data Base @Cloud

FS

IT T

ech

.

Ma

rketin

g&

Sa

les

HR

Ad

min

.

Inte

rnal C

ontro

l

Cemetery business Funeral business Accounting system

Co

nstru

ctio

n

R&

D

Tra

inin

g.

Bra

ndin

g

Systematic decision makingVisualized BI platform Mobile collaborative OA

26

27

• 1994Established ShanghaiFu Shou Yuan

• 1999Commissioned by the China Funeral Association to provide regular training courses

• 2001Established Shandong Fu Shou Yuan

• 2002Acquired funeral facilities in Chongqing

Became the first Chinese company admitted as a member of the ACCA and the ICFA

Established Hefei Dashushan Cultural Cemetery

• 2006Media coverage by an industry journal in Australia attracted wide attention

• 2007Established Shanghai Nan yuan

• 2008Acquired Henan Fu Shou Yuan

Established Hefei Renben in Hefei City to provide funeral services

• 2012Acquired Maoshan Anling in

Liaoning

• December 2013Successfully listed on the HKEx , raising total proceeds of US$247 million; the first PRC death care services company to list in HK

Expanded funeral services business into Xiamen and Ningbo

• 2014Became a constituent stock of HSCIBegan production of cremation machinesAcquired Chongqing BaitaYuan,Guanlingshan Cultural Landscape Cemetery, Wanshoushan Cemetery and Shanting Xingtai Cemetery

• 2015Acquired Anyang Tianshouyuan, Changzhou Qifengshan and established strategic cooperation with Dafeng Funeral Parlor

• 2016Signed cooperation agreements with local government in Shandong Tai’an and Chongqing Bishan

Jointly built and operated a cemetery project with Anhui Xuancheng Municipal Government

• 2017Acquired XianheCemetery and Huazuyuan

Won BOT project for GaoyouFuneral Service Center

• 2018Acquired 6 cemetery projects and 5 funeral operation projects. tapped into 3 brand new areas in Guizhou, Inner Mongolia and Hubei

Participated in funeral and cemetery buyout fund, achieving more quality projects

• 2019Acquired 80% of TianxianCemetery and commence Hubei layout

Acquired 40% of Chongqing Baitayuan, making it wholly-owned subsidiary

Acquired the remaining 49% of Temshine and further improved design service segment layout

Formulating the “Belt and Road” Action Plan, advancing the development of Machinery Segment

Shanghai Fu Shou Yuan Charitable Foundation was launched on 2nd April,2019

1994 ~ 1999 2000 ~ 2012 2013~ Now

Founding Period

Exploring Period

• 2010Our humanities memorial museum was opened in Shanghai

Key Milestones

• 2020Acquired 80% of Fuze project in Jinsha County of Bijie City, Guizhou Province

Acquired 100% of MingxiyuanCemetery and commence Heilongjiang layout

近期奖项及成就

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2019 Nanchang Leading Enterprise in Service industry

Top 10 Charitable Projects for 2020Top 100 Excellent Enterprise for

Qingpu District

Outstanding ContributionAward of Shanghai Modern

Service IndustryOutstanding Person award

Best Learning ProjectAward

2019 Public Innovation AwardMost Socially Responsible

Listed Company

2020 Welfare Innovition

Spread Love, Expand Love, and let love last forever

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