1

(Stock code: 1112 HK)

Disclaimer

These materials have been prepared solely for the use at the presentation by Biostime International Holdings Limited (“the Company”) 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, correctness or completeness of the information presented or contained in these materials. The Company or any of

its affiliates, advisers or representatives accepts no liability whatsoever for any loss howsoever arising from any information presented or

contained in these materials. The information presented or contained in these materials is subject to change without notice and its

accuracy is not guaranteed.

These materials contain certain forward-looking statements with respect to the Company, including its beliefs and expectations about the

future as at the date of this presentation. These forward-looking statements are based on a number of assumptions regarding the

Company's operations and factors beyond the Company's control, including but not limited to, the political and economic environment in

which the Company and its subsidiaries will operate in the future. Our actual results of operations, financial condition or business

prospects may differ materially from those expressed or implied in these forward-looking statements for a variety of reasons and as such,

no reliance should be placed on these forward-looking statements. The Company and its affiliates, advisors and representatives undertake

no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such dates. This

presentation does not constitute or form part of any offer for sale or invitation, or solicitation of an offer to subscribe for or purchase any

securities in the United States, Hong Kong or anywhere else. No part of this presentation shall form the basis of or be relied upon in

connection with any contract or commitment whatsoever. The information of the presentation should not be relied upon as representation

of the Company.

These materials are highly confidential, are being given solely for your information and for your use and may not be copied, reproduced or

redistributed to any other person (whether within or outside your organization/firm) in any manner. You agree to treat the contents of this

presentation and these materials as strictly confidential.

2 2

3

Presentation Team

Mr. Luo Fei Chairman & CEO

Mr. Frank Cao Chief Financial Officer

Ms. Laetitia GarnierInternational Investment and

Cooperation Director

Mr. Jason Xu Investor Relations

Presenter Title

RESULTS

HIGHLIGHTS

4

RMB million For the Six Months ended 30 June

2015 2014 Changes(%)

Revenue 1,962.9 2,189.0 (10.3%)

Net profit 205.0 312.2 (34.4%)

Operating cash flow 147.4 -193.0 N/A

Basic EPS RMB0.34 RMB0.52 (34.6%)

2015 Interim Results Highlights

5 5

1H 2015 1H 2014 Growth Rate

RMB’000 RMB’000

Infant formulas 1,697,843 1,858,928 (8.7%)

Probiotic supplements 173,135 186,235 (7.0%)

Dried baby food and nutrition supplements 43,128 70,597 (38.9%)

Baby care products 48,796 73,214 (33.4%)

Total 1,962,902 2,188,974 (10.3%)

Probiotic supplements

8.5%

Infant formulas84.9%

Dried baby food and nutrition

supplements3.3%

Baby care products

3.3%

Diversified Revenue Mix

Probiotic supplements

8.8%

Infant formulas86.5%

Dried baby food and nutrition

supplements2.2%

Baby care products

2.5%

1H 2015 1H 2014

6 6

1H 2015 1H 2014

Revenue

Growth

Volume

Growth

RMB’000 RMB’000

High-tier segment* 1,125,746 1,144,554 (1.6%) 2.9%

Supreme-tier segment* 572,097 714,374 (19.9%) (11.7%)

Total 1,697,843 1,858,928 (8.7%) (1.2%)

* Supreme-tier segment refers to infant formulas with the price over RMB300 per can of 900g

* High-tier segment refers to infant formulas with the price below RMB300 per can of 900g

Revenue Mix of Infant Formulas

by Price Category

High-tier61.6%

Supreme-tier

38.4%

High-tier66.3%

Supreme-tier

33.7%

1H 2015 1H 2014

7 7

85.7%

14.3%

Biostime Adimil

Revenue Mix of Infant Formulas by Brand

1H 2015

8 8

BUSINESS

REVIEW

9

Infant Formula Industry Review

Sales volume growth +6% yoy

Price discounting activities

Consumption upgrade

Channel competition

Frequent online promotions

followed by offline channels

Emerging cross border e-commerce

and diminishing price gap between

domestic and oversea

Lower dairy cost and depreciation

of the currencies of main dairy

export countries

Inventory clearance due to

implementation of new labelling

regulations

Reasons for the Price Discounting

Activities in the IndustryMain Trends in 1H2015

10 10

Launch of SN-2 PLUS Balanced Formulas

SN-2 PLUS Lipid Optimization

Fat quantity, profile, structure humanization is the future direction

of infant formula development.

• Launched at the end of June

• With upgraded formula and packaging

• To promote balanced growth of babies

Milk Source from

Normandy, France

11

12

Ingredient

SN-2 PLUS Lipid Optimization Technology

Customized for Biostime bya leading lipid producer

Process

Research projects with an Irish organization, e.g.,

Formula

Clinical study in Chinain cooperation with strategicpartners• Study of powder structure

• Manufacturing processes

SN-2 PLUS Balanced Formulas –

An Output of Global Collaboration

13

To study the effect of SN-2 PLUS in infant formula during

intervention period of 6 months from birth

Primary: Stool fatty acid biochemistry (at 6 weeks)

Secondary: Stool characteristics, general health and well being

Population: 171 healthy Chinese term infants

Study groups:

1.SN-2 PLUS formula

2.Control formula

3.Human breast milk (reference)

Both formulas included GOS as prebiotics

OBJECTIVE

END POINTS

DESIGN

Better Absorption & Soothing Emotions

First Clinical Study in China Proves

SN-2 PLUS Beneficial to Infant Health

RESULTS

Note: Term infant – An infant born between the end of 37th week and the end of the 42th week of gestation

Positive Consumer Feedback

on the New Products

14

Enhancement of

Biostime Brand Recognition

Milk Source from Normandy, France

Resource + Technology

15

• Celebrity ambassador

• Key marketing concept: vitality

Enhancement of

Adimil Brand Recognition

16

Member Data Base

CouponsManager

Develop Customer

Cultivate Loyalty

My Bonus

My Sales Target

Member Asset

Coupons for New Customers

Parenting Advice

Status of Coupons

Sharing

My Budget

• Develop new customers with precision

• Nurture loyal members• Improve efficiency of

promotions

ONE TO ONEPrecision Marketing SystemMobile Internet Based

17

SupermarketsVIP Baby

Specialty stores

Nationwide sales office

Regional distributors (671)

VIP Pharmacies

* Store number is based on contracts signed.

Rapid Growth of Store Numbers*

30 Jun 2014 30 Jun 2015 2015 Target

VIP Baby Specialty

Stores16,941 28,649 30,000

Supermarkets 5,659 6,933 7,000

VIP Pharmacies 1,900 4,869 6,000

Diversified Distribution Network

and Emerging B2C Online Business

Sophisticated Offline Distribution Network

VIP Baby Specialty

Stores 68.3%

Supermarkets 19.7%

VIP Pharmacies

7.5%

B2C 4.5%

Sales Contribution by Channels

in 1H 2015

B2C Sequential Growth

compared to 2H2014: 527%

Online Market Share

in 1H 2015: 1.3%

18 18

2.9 Million

20

Mama100 APP

Registered Users

and WeChat Followers

as at 30 Jun 2015

High Quality Third-Party

Brands Introduced into the

Platform since April

Continuous Development of

Mama100 E-commerce

19 19

Enhancement of

R&D and Quality Management

• Commencement of the new R&D and

quality control center in Guangzhou

• Official launch of the microbiological

platform built in cooperation with

Merieux NutriSciences in the center

• Mayors of Guangzhou and Lyon

participated in the event

20

Inauguration of ISM’s

New Infant Formula Plant

• Isigny Sainte Mere (ISM)’s new infant formula plant commenced operation

• Total investment of 65million Euro

1/3 financed by Biostime through investment in ISM’s equity and bonds in 2013

• Built on a four-hectare plot near ISM’s main premises

• ISM’s annual production capacity increased and long term supply to Biostime

secured

21

PROSPECTS

22

Category Expansion

Observation & Opportunities

• Acquired the first historical organic baby products company in US

• To introduce organic infant formulas and baby food to China

Action & Plan

• More and more diversified needs of Chinese mothers

• Emerging demand for organic and safe baby food

23

Continue to Invest in

Baby Care Products Segment

Review of BMcare Diapers Business:

• Premium positioning

• Global sourcing and local production by

JV factory

• Lower retail price and better quality than

the old version

• Well received by consumers (over 75% of

surveyed consumers gave a 8/10 rating)

24

Growth Opportunities

Continue to gain

market share in

infant formulas,

baby nutrition and

baby care

Category expansion

across existing and

new categories

through acquisition

or strategic

partnerships with

global brands

Selected

geographical

expansion

Continue to

strengthen financial

profile (sales

growth, margins,

healthy capital

structure, etc.)

Leverage our core competencies and network to achieve these goals

25

What We Will Become in the Long Run

Our Vision –

Innovative Nutrition and

Care Provider

Health

Food

And

Supplements

26

FINANCIAL

INFORMATION AND

OPERATING DATA

27

28

312.2

205.0

1H 2014 1H 2015

433.3

280.1

1H 2014 1H 2015

2,189.0

1,962.9

1H 2014 1H 2015

Revenue and Profit Growth

(RMB million) (RMB million) (RMB million)

Revenue Growth Pre-tax Profit Growth Net Profit Growth

29

Profit Margin

Pre-tax Profit Margin Net Profit Margin

14.3%

10.4%

1H 2014 1H 2015

19.8%

14.3%

1H 2014 1H 2015

30

Gross Margin Analysis

Revenue Mix

Gross Profit Margin by Products

1H 2015 1H 2014

% of total revenue Gross Profit Margin % of total revenue Gross Profit Margin

Infant Formulas 86.5% 58.6% 84.9% 61.7%

Probiotic Supplements 8.8% 63.8% 8.5% 71.6%

Dried Baby Food and Nutrition

Supplements2.5% 44.5% 3.3% 46.0%

Baby Care Products 2.2% 36.8% 3.3% 46.0%

Total 100.0% 58.2% 100.0% 61.5%

1H 2015 1H 2014

Probiotic supplements

8.8%

Infant formulas86.5%

Dried baby food and nutrition

supplements2.2%

Baby care products

2.5%

Probiotic supplements

8.5%

Infant formulas84.9%Dried baby

food and nutrition

supplements3.3%

Baby care products

3.3%

31

Selling and Distribution Expense

(% of sales) (RMB millions)

800.4

746.2

1H 2014 1H 2015

36.6%38.0%

1H 2014 1H 2015

Selling and distribution expenses Selling and distribution expenses

32

86.180.2

1H 2014 1H 2015

Administrative Expense

(% of sales)

3.9%

4.1%

1H 2014 1H 2015

(RMB millions)

Administrative expenses Administrative expenses

33

143123

108

80

53

48

1H 2014 2014 1H 2015

156

223

176

29 31 38

Working Capital Management

1 2

1H 2014 1H 2015

67

54

1H 2014 1H 2015

Accounts Receivables Turnover Days (1)

Inventory Turnover Days (2)

Account Payable Turnover Days (3)

Distributor’s turnover days

Biostime's Turnover Days - Goods in TransitionBiostime's Turnover Days - Goods in Warehouse

Notes:

1)Turnover days of accounts receivable is derived by dividing the arithmetic mean of the opening and closing balances of trade and bills receivables for the relevant

period by turnover and multiplying by 360 days.

2)Turnover days of inventory is derived by dividing the arithmetic mean of the opening and closing balances of inventory for the relevant period by cost of sales

multiplying 360 days.

3)Turnover days of accounts payable is derived by dividing the arithmetic mean of opening and closing balances of trade payables, for the relevant period by cost of

sales and multiplying by 360 days.

34

Cash Flow

(RMB: million)(RMB: million)

1,678.2 2,204.6

2,447.5

2,272.5

30 Jun 2014 30 Jun 2015

Cash and bank balances Time deposits

4,125.74,477.1

(RMB: million)

-193.0

147.4

1H 2014 1H 2015

Operating Cash Flow Inventory Balance Cash Balance

1,113.4

626.5

30 Jun 2014 30 Jun 2015

35

6,432.7

2,539.8

6,614.0

2,958.1

Total assets Net assets

30 Jun 2014 30 Jun 2015

Notes: (i) ROA is calculated by dividing net profit for the period by total asset amounts as at the end of the period; ROE is calculated by dividing net profit for the period by total equity amounts as at the end of the period.

9.7%

24.6%

6.2%

13.9%

Return on assets Return on equity

1H 2014 1H 2015

Consolidated Capital Structure

Asset Growth ROA and ROE (1)

(RMB: million)

36

1,995,2332,138,631

1H 2014 1H 2015

Member Base Growth

Average Number of Mama100Active Members

Around 92% of sales were contributed by Mama100 active members in 1H2015.

37

25983

13248

40320

24874

15965

9084

2946

Operated since 2012 orbefore

Operated since 2013 Operated since 2014 Operated since 2015

1H 2014 1H 2015

Same Store Points GrowthBABY SPECIALTY STORES

Average Points per Store per Month-4.3%

+20.5%

+125.3%

Note: 1 point equals to approximately RMB0.93 of the Group’s revenue

* No. of stores is based on point record

30 June 2014 30 June 2015

No. of stores* % of total stores No. of stores* % of total stores

Operated since 2012 or before 8591 55% 7916 33%

Operated since 2013 3903 25% 3538 15%

Operated since 2014 3145 20% 7942 33%

Operated since 2015 - - 4512 19%

Total 15639 100% 23908 100%

38

25374

12886

31350

27720

14870

9572

2955

Operated since 2012 orbefore

Operated since 2013 Operated since 2014 Operated since 2015

1H 2014 1H 2015

Same Store Points GrowthSUPERMARKETS

Average Points per Store per Month+9.2%

+15.4%

30 June 2014 30 June 2015

No. of stores* % of total stores No. of stores* % of total stores

Operated since 2012 or before 3063 70% 2637 62%

Operated since 2013 742 17% 577 14%

Operated since 2014 598 13% 646 15%

Operated since 2015 - - 378 9%

Total 4403 100% 4238 100%

+205.3%

Note: 1 point equals to approximately RMB0.93 of the Group’s revenue

* No. of stores is based on point record

39

77.6%

22.4%

Old Stores New Stores

Points Contribution by Old Stores & New Stores

74.8%

25.2%

Old Stores New Stores

Baby Specialty

Stores

1H 2014

Supermarkets

VIP Pharmacies

91.8%

8.2%

Old Stores New Stores

68.8%

31.2%

Old Stores New Stores

1H 2015

* Old stores refer to the stores in operation for over 2 years.

89.0%

11.0%

Old Stores New Stores

1H 2014

1H 2014

1H 2015

1H 2015

68.0%

32.0%

Old Stores New Stores

THANK YOU

40