Financial Performance - For 2023, the Group's operating revenue amounted to RMB 28.8 billion, with a profit attributable to owners of the Company of RMB 133 million, and equity attributable to shareholders of RMB 9,912 million[8]. - The company reported a revenue of RMB 12 billion for the fiscal year, representing a year-over-year increase of 15%[79]. - In 2023, the Group's profit amounted to RMB 1,251,815,000, representing a year-on-year decrease of approximately 27.6%[131]. - Profit attributable to the owners of the Company was RMB 133,414,000, a decrease of approximately 59.5% compared to the previous year[131]. - Gross profit amounted to RMB3,870,543,000, reflecting a year-on-year decrease of approximately 3.3% from RMB4,003,533,000 in 2022, with a gross profit margin of approximately 13.44%[93]. - The Group's aggregate contracted sales decreased to RMB 38,600,000,000, down approximately 19.35% from RMB 47,861,000,000 in 2022[137]. - The average selling price per square meter was approximately RMB 20,331, reflecting a year-on-year decrease of approximately 17.9%[137]. Market Environment - The overall market environment remains challenging, with geopolitical risks and economic uncertainties impacting the real estate sector[12]. - The national investment in real estate development in 2023 was RMB 11,091.3 billion, representing a decrease of 9.6% from the previous year, while the sales area and sales value of commercial properties decreased by 8.5% and 6.5%, respectively[9]. - The Chairman indicated that the GDP growth target for 2024 is set at around 5%, with a focus on accelerating the construction of a new model of real estate development to meet housing needs[17]. - In 2023, China's annual GDP reached RMB126,058.2 billion, with a year-on-year growth of 5.2% at constant prices[122]. Strategic Initiatives - The Group plans to strengthen policies on both supply and demand sides to restore buyer confidence and industry expectations over time[18]. - The Group launched several new product lines, including the "Cuican Series" and "Tianqing Series," enhancing customer satisfaction and experience significantly[13]. - The company is investing RMB 500 million in R&D for new technologies aimed at urban development solutions[79]. - The company is considering strategic acquisitions to enhance its service offerings, with a budget of RMB 1.5 billion allocated for potential deals[79]. - A new partnership with a leading tech firm is expected to enhance product capabilities and drive innovation[79]. Asset Management and Development - The asset-liability ratio stood at 57%, with a net debt ratio of 75%, maintaining a stable capital structure to withstand economic cycles[16]. - The Group added 5 new projects with a total land premium of RMB 8,220 million, increasing the value of goods by RMB 17.5 billion in 2023[125]. - The total future saleable gross floor area (GFA) in Xi'an is projected to be 1,015,469 sq.m., with significant projects including China Merchants Lanyue at 387,293 sq.m.[165]. - The company has a total of 3,241,853 square meters in future development projects, indicating a significant pipeline for growth[193]. - The total GFA under development is 1,078,360 square meters, showcasing the company's commitment to expanding its portfolio[193]. Operational Efficiency - The Group's average financing cost for bank and financial institution borrowings was 4.08%, remaining at a relatively low level within the industry, with cash holdings of RMB 10.3 billion at the end of 2023[16]. - The company aims to improve operational efficiency by 8% through new management strategies implemented in the next quarter[79]. - The capital cost of the Group remained at an industry-low level, indicating effective capital management[91]. Project Portfolio - As of December 31, 2023, the Group's portfolio includes 48 property development projects across Guangzhou, Foshan, Chongqing, Xi'an, Nanjing, and Jurong, focusing primarily on residential properties and mixed-use developments[162]. - The Group's projects were recognized in the "Top 10 High-end Projects" and "Top 10 Light Luxury Projects" by CRIC, reflecting the quality of its offerings[13]. - The company has multiple residential and commercial projects in Foshan, Guangdong Province, with completion dates ranging from January 2019 to July 2021[198]. - The company is actively pursuing market expansion with multiple ongoing projects across various cities[170]. Sustainability Goals - The company has set a target to reduce carbon emissions by 25% over the next five years as part of its sustainability strategy[79].

Financial Performance - The profit for the year 2023 was RMB 1,251,815,000, a decrease of approximately 27.6% compared to RMB 1,730,026,000 in 2022[27]. - The profit attributable to the owners of the company was RMB 133,414,000, down about 59.5% from RMB 329,659,000 in 2022[27]. - The basic earnings per share for 2023 were RMB 2.72, a decline of approximately 59.5% from RMB 6.72 in 2022[27]. - The total revenue for 2023 was RMB 28,800,845,000, representing a decrease of about 3.6% from RMB 29,871,347,000 in 2022[28]. - The gross profit for 2023 was RMB 3,870,543,000, a decrease of about 3.3% from RMB 4,003,533,000 in 2022, with a gross margin of approximately 13.44%[50]. - Total comprehensive income for the year was RMB 1,270,747,000, down from RMB 1,776,896,000 in the previous year[136]. - The profit before tax for 2023 was RMB 2,691,070,000, compared to RMB 1,439,255,000 in 2022[136]. Revenue Sources - Revenue from customer contracts primarily originated from China, totaling RMB 14,971,000, compared to RMB 30,457,000 in the previous year[9]. - The asset management service revenue for the year was approximately RMB 14,971,000, a decrease from RMB 30,457,000 in 2022[95]. - The company reported a total of RMB 28,539,717,000 in revenue from contracts with customers for the year ended December 31, 2023, down from RMB 29,639,850,000 in 2022, a decrease of approximately 3.7%[165]. Assets and Liabilities - As of December 31, 2023, total assets amounted to RMB 132,670,547,000, with property segment assets at RMB 119,171,168,000[14]. - The total liabilities as of December 31, 2023, were RMB 97,545,558,000, with property segment liabilities at RMB 73,285,416,000[14]. - The group recorded a net asset value attributable to owners of RMB 9,912,250,000 as of December 31, 2023, compared to RMB 9,862,815,000 in 2022[96]. - The total interest-bearing debt of the group was RMB 35,238,088,000, slightly down from RMB 35,245,097,000 in 2022[133]. Construction and Sales - The total contract sales amount for the group, including its joint ventures and associates, was RMB 38.6 billion, a decrease of approximately 19.35% compared to RMB 47.86 billion in 2022[58]. - The total contract sales area was 1,898,545 square meters, down approximately 1.72% from 1,931,711 square meters in 2022[58]. - The average selling price was approximately RMB 20,331 per square meter, a decrease of about 17.9% from RMB 24,777 per square meter in 2022[58]. - The total land reserve available for sale as of December 31, 2023, was 5,201,674 square meters[53]. Employee and Operational Costs - The group reported a decrease in employee costs to RMB 379,328,000 from RMB 413,686,000 in the previous year[21]. - The group aims to control the three expense levels (sales, management, and financing) below industry benchmarks to achieve management efficiency[99]. Taxation - The effective corporate income tax rate for subsidiaries established in China is 25%[20]. - The group reported a total income tax expense of RMB 1,439,255,000 for the year 2023, compared to RMB 1,250,617,000 in 2022, reflecting an increase of approximately 15.1%[121]. Market and Industry Trends - The real estate industry continues to experience significant adjustments, with over half of the top 100 real estate companies exiting since 2021[26]. - The urbanization rate in China increased by 0.94 percentage points to 66.16%, indicating ongoing demand for housing[97]. Corporate Governance and Compliance - The group has complied with the corporate governance code as per the listing rules, with no specific term limits for directors, ensuring a similar effect to term limits[112]. - The audit committee has reviewed the consolidated financial statements for the year ended December 31, 2023, ensuring compliance with accounting principles[109]. Strategic Focus - The company is focusing on expanding its market presence in key regions, leveraging strategic locations to enhance sales potential[62]. - The group plans to enhance digital applications to improve online marketing and asset quality, ensuring cash flow remains within a safe boundary[99]. - The group has launched new product lines, including the "Brilliant Series," to enhance product and service quality[99].

Shareholder Loans and Receivables - The company's shareholder loans have been restructured, with a total of RMB 898,656 thousand as of June 2023, reflecting an 8% interest rate[5][7]. - As of December 31, 2022, the net receivables from joint ventures and associates amounted to RMB 757,077 thousand, with a 6.17% interest rate[9][5]. - The total amount of receivables from joint ventures and associates represents approximately 6.04% of the group's total assets, which is below the 8% threshold defined by listing rules[32]. - As of December 31, 2022, the group's other receivables and prepayments amounted to approximately RMB 1,573,020,000, an increase from RMB 1,398,876,000 in 2021[52]. - Other receivables included approximately RMB 1,463,271,000 related to project funding for joint ventures and urban renewal projects[52]. - Prepayments totaled approximately RMB 109,748,000, primarily for construction fees, utility payments, and distribution commissions[52]. - The nature of receivables from related parties includes advances to indirect holding companies and subsidiaries, potentially used to settle outstanding balances[53]. Joint Ventures and Investments - The company holds a 52% beneficial ownership in a joint venture engaged in real estate development, confirming its status as a subsidiary[19]. - The company has a 45.9% stake in another joint venture, with the largest shareholder being a wholly-owned subsidiary of Minmetals Land Limited[20]. - The company regularly reviews investments in joint ventures based on local sales data and project performance metrics[27]. - The company emphasizes strict adherence to investment principles and risk management practices in its dealings with joint ventures and associates[25]. - The company aims to enhance capital efficiency and returns through strategic investments in project companies[24]. - The company has established a significant presence in the real estate development sector, with ongoing projects requiring shareholder contributions[40]. Compliance and Transparency - The company plans to continue monitoring compliance with listing rules and maintain transparency in its financial reporting[47].

Sales Performance - For the six months ended June 30, 2023, the Group achieved aggregate contracted sales of approximately RMB 19,940 million, representing a year-on-year decrease of approximately 3.5%[20] - The aggregate contracted sales area for the same period was approximately 1,011,454 square meters, indicating a year-on-year increase of approximately 26%[20] - The average selling price for the six months ended June 30, 2023, was approximately RMB 19,714 per square meter[20] - The sales performance in Xi'an accounted for 31% of the total contracted sales area, amounting to approximately 312,809 square meters[22] - The sales performance in Nanjing & Jurong represented 22% of the total contracted sales area, totaling approximately 227,704 square meters[22] Financial Performance - For the first half of 2023, the Group recorded a turnover of RMB9,814,296,000, representing a decrease of approximately 29% compared to RMB13,794,534,000 in the corresponding period of 2022[48] - Gross profit amounted to RMB1,893,107,000, a decrease of approximately 12% from RMB2,158,488,000 in the same period last year, with a gross profit margin of 19%, up by approximately 3 percentage points from 16%[50] - Profit attributable to the owners of the Company was RMB84,140,000, representing a decrease of approximately 66% compared to RMB249,763,000 in the same period of 2022[53] - Basic earnings per share for the first half of 2023 was RMB1.72 cents, down approximately 66% from RMB5.09 cents in the corresponding period of last year[53] Development and Land Bank - As of June 30, 2023, the Group's total GFA under development was approximately 1,597,286 square meters[16] - The total GFA completed during the period was approximately 2,185,911 square meters[16] - As of June 30, 2023, the Group's land bank consisted of 4,932,545 sq.m. of saleable GFA, with a focus on residential and commercial complex properties[62] - Newly acquired land bank in the first half of 2023 included projects in Xi'an and Nanjing, with total considerations of RMB1,170 million and RMB1,815 million respectively[59] - The total future saleable GFA in Nanjing is 537,529 sq.m., indicating strong market presence in that region[65] Market Conditions - In the first half of 2023, China's GDP reached RMB 59,303.4 billion, growing by 5.5% year-on-year, which is 1.0 percentage point faster than the first quarter[37] - Real estate investment in China amounted to RMB 5,800 billion, representing a year-on-year decrease of 7.9%[37] - The overall land market is experiencing a dichotomy, with some areas remaining hot while others are cold[37] - The real estate market is expected to maintain an orderly recovery in the second half of 2023, supported by a recent cut in the LPR benchmark interest rate by the central bank[101] Strategic Focus - The company plans to reduce operating costs and improve product quality to differentiate itself in the competitive market[46] - The company aims to leverage strategic opportunities by enhancing its product offerings and services in developed cities[46] - The company aims to focus on cities with favorable demographics, particularly those with a higher number of young people, to capture development opportunities[98] - The Group's strategy focuses on "deep urban cultivation," integrating residential development, hotel operation, and REIT asset management[104] Financial Health and Stability - The Group's financial position remains stable, with no material exposure to fluctuations in exchange rates[53] - As of June 30, 2023, the Group's net gearing ratio was 62%, down from 70% as of December 31, 2022[82] - The cash to short-term debt ratio was 2.14 times, indicating strong liquidity[82] - The Group's liabilities to asset ratio was 53% as of June 30, 2023[82] Employee and Governance Changes - The Group had 762 employees as of June 30, 2023, a decrease from 799 employees as of December 31, 2022[123] - Mr. Xu Yongjun resigned as director and chairman of the board of CMSK effective September 8, 2023[190] - Dr. Wong Wing Kuen was appointed as chairman of the Audit Committee, ensuring compliance with the Listing Rules[198] Other Financial Information - The company has maintained the same accounting policies and methods of computation for the six months ended June 30, 2023, as those presented in the annual financial statements for the year ended December 31, 2022[165] - The company reported a significant increase in trade and other payables, with total amounts reaching RMB 7,879,441,000 as of June 30, 2023, compared to RMB 7,427,932,000 at the end of 2022, indicating a growth of 6.06%[150] - The Group had bank borrowings amounting to RMB 2,664,553,000 as of June 30, 2023, an increase from RMB 2,594,112,000 as of December 31, 2022[116]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部 或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 招 商 局 置 地 有 限 公 司（「本公司」）董 事（「董 事」）會（「董事會」）欣 然 公 佈，本 公 司 及 其 附 屬 公 司（「本集團」）由 二 零 二 三 年 一 月 一 日 起 至 二 零 二 三 年 六 月 三 十 日 止 期 間 之 未經審核簡明綜合中期業績連同比較數字如下： – 1 – 簡明綜合財務狀況表 於二零二三年六月三十日 | --- | --- | --- | --- | |----------------------------------------------|---------|----------------------------------------|---------------------------------------| | | | 於 二零二三年 | 於 二零二二年 | | | 附 註 | 六 月 三十日 人民幣千元 （未經審核） | 十二月 三十 ...

Financial Performance - The annual results for China Merchants Land Limited for the year ended 2022 were presented, highlighting the overall performance of the Group[15]. - The Group reported a significant increase in revenue, achieving a total of HKD 10.5 billion, representing a year-on-year growth of 15%[15]. - In 2022, the Group reported operating revenue of RMB 29.871 billion, with a profit attributable to owners of the Company of approximately RMB 330 million, and earnings per share of RMB 0.067[17]. - The company reported a significant increase in revenue, achieving a total of $1.2 billion, representing a 15% year-over-year growth[73]. - The company reported a significant increase in revenue, with a year-on-year growth of 15% in the 2022 annual report[80]. - In 2022, the company's profit amounted to RMB 1,730,026,000, representing a year-on-year increase of approximately 9.3%[127]. - Profit attributable to the owners of the company was RMB 329,659,000, reflecting a year-on-year decrease of approximately 41.2%[127]. - Basic earnings per share decreased to RMB 6.72 cents, down approximately 41.2% from RMB 11.43 cents in 2021[127]. - Equity attributable to owners of the company increased by approximately 1.3% to RMB 9,862,815,000 as of December 31, 2022[128]. Market Expansion and Strategy - The future outlook includes a projected revenue growth of 10% for the upcoming fiscal year, driven by new market expansions and product launches[15]. - Market expansion strategies include entering three new cities in the next year, aiming to increase market share by 5%[15]. - The company is planning to expand its market presence in Southeast Asia, targeting a 20% market share within the next three years[87]. - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[73]. - The company has completed a strategic acquisition of a smaller competitor for $300 million, expected to enhance market share by 5%[73]. - The Group is considering potential acquisitions to enhance its portfolio, with a focus on companies that complement its existing operations[15]. Operational Efficiency and Cost Management - The company has implemented new strategies to improve operational efficiency, targeting a 10% reduction in costs by the end of 2023[15]. - Cost management strategies have led to a reduction in operational expenses by 8%, improving overall profitability[73]. - The Group aims to control the three main expenses (selling, administrative, and financing costs) below the industry benchmark to achieve management bonuses[41]. - The company aims to increase its dividend payout by 20% in the upcoming fiscal year, reflecting strong financial performance[73]. Technology and Innovation - The company is investing in new technology development, with a budget allocation of HKD 500 million for R&D initiatives in 2023[15]. - The company is investing $50 million in research and development for new technologies aimed at enhancing user experience[73]. - A new product line is set to launch in Q3 2023, expected to contribute an additional HKD 1 billion in revenue[15]. - New product developments include the launch of a smart property management system, expected to enhance operational efficiency by 30%[86]. - The company has established a new partnership with a technology firm to integrate AI solutions into its property management services, expected to reduce operational costs by 20%[91]. Environmental and Social Responsibility - Environmental policies are being strengthened, with a commitment to reduce carbon emissions by 25% over the next five years[15]. - The Group's environmental policy and performance will be reported in accordance with the Hong Kong Stock Exchange's guidelines[166]. - The Company has developed a green technology system, upgrading its development model for green construction to a comprehensive model combining "Green Planning", "Technique Application", and "Energy Saving through Action"[199]. - The Group has established a Safety Management Committee to enhance safety standards and protect the health of construction workers[167]. - The Company has established a safety management committee to ensure the health and safety of frontline construction workers and support staff[197]. Human Resources and Talent Development - The Group is committed to strengthening staff talent training and creating growth opportunities for outstanding employees[41]. - Recruitment principles are based on fairness and transparency, ensuring equal opportunities for all employees[173]. - The management team emphasized a focus on enhancing customer experience, aiming for a 90% satisfaction rate in the next customer survey[90]. Industry Outlook and Economic Context - The annual GDP of China reached RMB 121 trillion in 2022, with a year-on-year growth of 3.0%, demonstrating strong resilience despite economic pressures[17]. - The PRC government set a GDP growth target of around 5% for 2023, which is expected to lead to a recovery in the economy and improvement in real estate sales[34]. - The 2023 GDP growth target for China is set at approximately 5%, aiming for a stable and pragmatic recovery of the economy[37]. - The ongoing industry relief policies are anticipated to positively impact real estate companies and stabilize investment[37]. - The real estate sector is expected to see improved credit and sales, increasing the likelihood of a rebound in property sales[37].

於二零二二年十二月三十一日，本集團有或然負債人民幣7,908,240,000元（二零二 一年：人民幣6,561,657,000元）。 項目商用物業地處重慶城市CBD黃 金 三 角，打 造 了 長 嘉 匯 購 物 公 園、彈 子 石 老 街、彈子石廣場等著名設施，其中長嘉匯購物公園彙聚全球時尚潮流、彈子石老 街掛牌國家級4A旅遊風景區、彈子石廣場則是觀賞兩江交匯更廣闊的視野，被譽 為「兩 江 交 匯 最 佳 攝 影 地」。 財務及資金管理原則 於二零二二年十二月三十一日，本公司擁有人應佔資產淨值為人民幣9,862,815,000 元（二零二一年：人民幣9,738,462,000元）。 於二零二二年十二月三十一日，銀行結餘及現金為人民幣12,343,547,000元（二零二 一年：人民幣14,423,276,000元）。以貨幣計值而言，銀行結餘及現金可分為以人民 幣列值人民幣11,574,694,000元、以美元列值人民幣153,911,000元及以港幣（「港幣」） 列值人民幣614,942,000元。 於二零二二年十二月三十一日，本集團的計息債務總額為人民幣35,245,097,000元 （二零二一年：人民幣3 ...

Economic Overview - In the first half of 2022, China's GDP was RMB 56,264.2 billion, representing a year-over-year increase of 2.5%[9]. - National sales of commercial properties fell 22.2% year-on-year to 689.23 million square meters, with sales amounting to RMB 6,607.2 billion, a decrease of 28.9%[9]. - The outlook for the second half of 2022 indicates that domestic production recovery is expected to accelerate, with suppressed consumer demand gradually improving[68]. - The accelerated issuance of local special bonds is anticipated to enhance infrastructure investment support, contributing to economic stabilization[68]. Company Financial Performance - The Group's profit for the six months ended June 30, 2022, was RMB 824,670,000, an increase of approximately 47% compared to RMB 560,168,000 in the same period of 2021[15]. - Profit attributable to the owners of the Company decreased by approximately 16% to RMB 249,763,000 from RMB 296,714,000 in the corresponding period of 2021[16]. - Basic earnings per share for the first half of 2022 was RMB 5.09 cents, representing a decrease of approximately 16% compared to RMB 6.05 cents in the corresponding period of 2021[20]. - The group recorded a turnover of RMB 13,794,534,000 for the first half of 2022, representing an increase of approximately 89% compared to RMB 7,304,633,000 in the same period of 2021[21]. - Gross profit amounted to RMB 2,158,488,000, an increase of approximately 48% from RMB 1,456,516,000 in the same period of 2021, with a gross profit margin of 16%, down approximately 4 percentage points from 20% in the previous year[22]. - For the six months ended June 30, 2022, the Group achieved aggregate contracted sales of approximately RMB20,658.7 million, representing a year-on-year decrease of approximately 28%[45]. - The aggregate contracted sales area for the same period was approximately 802,104 square meters, reflecting a year-on-year decrease of approximately 36%[46]. - The average selling price for the six months ended June 30, 2022, was approximately RMB25,756 per square meter[46]. Profitability and Costs - The profit attributable to owners of the company was RMB 249,763,000, a decrease of approximately 16% from RMB 296,714,000 in the same period of 2021[17]. - The total borrowing costs for the six months ended June 30, 2022, amounted to RMB 843,074, up from RMB 497,967 in the same period of 2021, representing an increase of approximately 69.2%[189]. - The income tax expenses for the six months ended June 30, 2022, were RMB 863,661, compared to RMB 449,526 for the same period in 2021, reflecting an increase of about 92.2%[192]. - Selling and marketing expenses increased to RMB 438,892, up 57.0% from RMB 279,914 in the previous year[143]. - Finance costs decreased slightly to RMB 302,839 from RMB 306,504 in the same period last year[143]. Assets and Liabilities - As of June 30, 2022, equity attributable to owners of the company was RMB 9,755,614,000, an increase of approximately 0.18% from RMB 9,738,462,000 at the end of the previous financial year[20]. - The total interest-bearing debt of the Group as of June 30, 2022, was RMB39,057,240,000, an increase from RMB36,536,844,000 as of December 31, 2021[56]. - The net gearing ratio (net interest-bearing debt to equity) was 78% as of June 30, 2022, compared to 65% as of December 31, 2021[58]. - The carrying value of pledged lands (including properties for sale) was approximately RMB4,357,178,000, an increase from RMB2,043,820,000 as of 31 December 2021[75]. - The company reported a basic earnings per share of 5.09 RMB cents, down from 6.05 RMB cents in the previous year[147]. Development and Projects - As of June 30, 2022, the company had a land bank of 5,064,331 sq.m. across 49 property development projects in various cities[28]. - The company focuses on the development of residential properties and commercial complexes, with product types including apartments, villas, offices, and retail shops[27]. - The company’s property development business continues to expand, with multiple projects across various regions in China[36]. - The company is actively expanding its market presence with multiple ongoing projects across various regions[39]. - The company plans to strengthen its investment property businesses in Hong Kong and explore larger markets to create value for shareholders[75]. Strategic Initiatives - The Group aims to reduce operating costs and improve product quality to differentiate itself in the competitive market[11]. - The Group will continue to implement stable financial policies to control the net gearing ratio at the industry average level[58]. - The Company plans to focus on advantageous areas in advantageous cities and utilize data tools for scientific decision-making to control investment risks[69]. - The Group will refrain from blindly acquiring land and will deepen development in existing advantageous areas to achieve steady growth[69]. - The company is focusing on market expansion and new product development as part of its strategic initiatives moving forward[158]. Corporate Governance and Compliance - The independent board committee confirmed compliance with the non-competition deed during the six months ended June 30, 2022[67]. - The Company has complied with the Corporate Governance Code provisions during the six months ended June 30, 2022, except for specific provisions regarding director terms[134]. - The audit committee is responsible for reviewing financial reports and maintaining appropriate relationships with external auditors[121]. Shareholder Information - As of June 30, 2022, China Merchants Group Ltd. holds approximately 74.35% of the issued share capital of the Company through controlled corporations[110]. - The interests of substantial shareholders include Success Well Investments Limited, which holds 3,646,889,329 shares, representing 74.35% of the Company's issued share capital[108]. - The Company had no share option scheme in effect during the six months ended June 30, 2022[112]. - The Company declared dividends amounting to RMB 252,490 during the first half of 2022, reflecting a strategic decision to return value to shareholders[156].

Financial Performance - The Group achieved total operating income of RMB25.921 billion in 2021, with a profit attributable to owners of the Company of RMB561 million[15]. - Profit attributable to shareholders per share was RMB0.11, and a final dividend of HK$0.06 per share was declared, maintaining a dividend payout ratio of approximately 40%[15]. - In 2021, the Group achieved a total revenue of RMB 25.921 billion and a profit attributable to shareholders of RMB 561 million, with earnings per share of RMB 0.11[18]. - For the year 2021, profit amounted to RMB1,582,866,000, representing a year-on-year increase of approximately 4.6%[151]. - The profit attributable to the owners of the Company was RMB560,569,000, representing a year-on-year decrease of approximately 20%[151]. - The Group recorded turnover of RMB25,921,416,000, representing a year-on-year increase of approximately 36.7%[151]. - Gross profit amounted to RMB4,791,751,000, representing a year-on-year increase of approximately 1.5%[151]. - Share of profits of associates was RMB330,551,000, representing a year-on-year increase of approximately 68.9%[154]. - Share of profits of joint ventures was RMB83,937,000, representing a year-on-year increase of approximately 502%[154]. Sales and Market Performance - Aggregate contracted sales reached RMB55.196 billion, representing a year-on-year increase of approximately 11%, while the contracted sale area decreased by approximately 13% to 2.3920 million sq.m.[16]. - Contracted sales in Nanjing exceeded RMB28.0 billion, accounting for more than 6.5% of the local market share[16]. - The breakdown of contracted sales by region shows that Nanjing & Jurong accounted for 50.71% of the total sales area, followed by Chongqing at 25.12% and Guangzhou at 10.74%[165]. - The Group's future saleable gross floor area in Chongqing is projected to be 2,314,123 sq.m., with significant projects including Main Urban Site DK1 and DK2[175]. - The total future saleable gross floor area in Guangzhou is estimated at 381,061 sq.m., with key projects such as Nansha Qingsheng Project and Bao Sui Tian Yu Court[175]. Strategic Focus and Development - The Group aims to enhance its development business using the "one city, one model" strategy to improve efficiency and market competitiveness[16]. - The Group's strategic focus includes urban development and launching properties earlier to capitalize on market opportunities[16]. - The Group plans to focus on new industries and technology applications, emphasizing digitalization as a key area for future competitiveness[41]. - The Group aims to strengthen its industrial investment and services to support long-term development[42]. - The company emphasizes the importance of digitalization in the industry, focusing on customer-centric digital technology applications to improve service quality and business competitiveness[44]. - The company is expanding its market presence in Southeast Asia, targeting a 30% market share by 2025[78]. - The company aims to expand its market presence through strategic project developments and acquisitions[181]. Operational Stability and Challenges - The Company maintained stability in operations despite challenges from the COVID-19 pandemic and stringent regulatory requirements[14]. - The overall performance reflects a commitment to achieving annual performance goals while navigating a complex industry landscape[14]. - The financing environment for real estate enterprises gradually improved, although the transmission of credit policy improvements to the market will take time[147]. - The central government has continuously released signals to maintain stability in the real estate market since October 2021[147]. Governance and Management - Dr. WONG Wing Kuen has been an independent non-executive director since June 2, 2012, and is currently the chairman of the audit committee[95]. - Ms. CHEN Yanping joined as an independent non-executive director on June 2, 2012, and serves as the chairlady of the remuneration committee[102]. - Dr. SHI Xinping has been an independent non-executive director since June 2, 2012, and is a member of both the audit and nomination committees[105]. - The company has a diverse board with members holding various qualifications, including senior engineer and registered planner certifications[103][104]. - The board's composition includes professionals with experience in finance, urban planning, and governance, enhancing the company's strategic decision-making[104][106]. - The company emphasizes the importance of governance and compliance through its independent non-executive directors[95][102]. Future Outlook - Future outlook includes ongoing efforts in market expansion and strengthening operational frameworks to sustain growth[14]. - The company provided an optimistic outlook, projecting a revenue growth of 20% for the next fiscal year[78]. - New product launches are expected to contribute an additional $200 million in revenue, with a focus on sustainable technology[78]. - The management remains optimistic about future sales and project completions, anticipating continued demand in the real estate sector[181]. Project Development and Portfolio - The Group acquired 12 pieces of land with a total capacity of 2.235 million square meters, ensuring a proportionate interest of 1.8715 million square meters, with a majority interest in 9 of the 12 pieces[23]. - The company has a diverse portfolio with multiple projects across different regions, enhancing market presence[178]. - The company is actively pursuing a mix of residential and commercial developments across various cities, indicating a strategic approach to market expansion[192][195]. - The company has several ongoing property development projects across China, including residential and commercial properties in Foshan, Guangzhou, and Chongqing, with completion dates ranging from 2016 to 2024[189][192][195].

Economic Performance - In the first half of 2021, China's GDP was RMB 53,216.7 billion, reflecting a year-on-year growth of 12.7%[9] - The average growth rate of GDP in the second quarter was 5.5%, indicating a steady recovery to pre-pandemic levels[9] Real Estate Market Overview - Nationwide property development investment reached RMB 7,217.9 billion, up 15.0% year-on-year, with residential property investment at RMB 5,424.4 billion, an increase of 17.0%[11] - The construction area for properties reached 6,174.8 million square meters, marking a 10.5% increase[11] - The sales area of commercial housing was 886.35 million square meters, up 27.7% year-on-year, with residential sales area increasing by 29.4%[11] - Personal mortgage loans amounted to RMB 1,635.5 billion, reflecting a 23.9% increase, supporting the growth in real estate sales[11] Company Financial Performance - For the six months ended June 30, 2021, the Group's profit amounted to RMB560,168,000, representing an increase of approximately 234% compared to RMB167,658,000 in the same period of 2020[18] - Profit attributable to the owners of the Company was RMB296,714,000, an increase of approximately 258% from RMB82,861,000 in the corresponding period of 2020[19] - The Group recorded a turnover of RMB7,304,633,000 for the first half of 2021, which is an increase of approximately 145% compared to RMB2,980,635,000 in the same period of 2020[24] - Gross profit for the first half of 2021 was RMB1,456,516,000, representing an increase of approximately 66% from RMB875,503,000 in the corresponding period of 2020[25] - The gross profit margin decreased to 20%, down approximately 9 percentage points from 29% in the same period of 2020[25] Project and Asset Management - The Group's land bank consisted of 5,597,550 sq.m. of saleable GFA as of June 30, 2021[31] - The total future saleable GFA (Gross Floor Area) for the Group's projects in China as of June 30, 2021, is 2,468,608 square meters[36] - The completed GFA for the Group's projects includes 1,402,004 square meters, with 562,330 square meters sold but not yet delivered[39] - The total GFA under development is 626,755 square meters, with 321,839 square meters held for future development[39] - The Group's portfolio included 49 property development projects focused on residential and commercial complex properties as of June 30, 2021[29] Market Demand and Strategy - The company anticipates continued demand for residential properties in core urban areas due to economic synergies and population growth[14] - The management emphasizes ongoing development and future project launches to capitalize on market demand[41] - The company is focusing its efforts on cities like Xi'an, Chongqing, and Foshan, which have shown a net inflow of people[75] Shareholder and Corporate Governance - As of June 30, 2021, China Merchants Group Ltd. holds approximately 74.35% of the issued share capital of the Company, amounting to 3,646,889,329 shares[105] - The Company is controlled by China Merchants Group, which is owned by the State-owned Assets Supervision and Administration Commission of the State Council of the PRC[107] - The company complied with the Corporate Governance Code during the reporting period, with all directors adhering to the required standards[152] Debt and Financial Obligations - The total interest-bearing debt of the Group was RMB 20,019,812,000 as of June 30, 2021, compared to RMB 19,492,774,000 as of December 31, 2020[64] - The net gearing ratio (net interest-bearing debt to equity) was 24% as of June 30, 2021, down from 31% as of December 31, 2020[64] - The company must maintain at least 40% beneficial ownership by CMSK to avoid triggering breaches in loan agreements[141] Cash Flow and Liquidity - Net cash used in operating activities was RMB (3,282,937) for the six months ended June 30, 2021, compared to RMB (1,309,748) in the prior year[178] - Cash and cash equivalents at the end of the period reached RMB 12,465,948, up from RMB 8,468,524 in the previous year, indicating improved liquidity[181] Revenue Sources - Revenue from sales of properties for sale amounted to RMB 7,144,654,000, compared to RMB 2,784,614,000 in the previous year, indicating an increase of about 156%[200] - Rental income from investment properties was RMB 129,960,000, slightly decreased from RMB 133,912,000 in the prior year, reflecting a decline of around 3%[200] - Asset management service revenue remained stable at RMB 9,112,000, compared to RMB 9,103,000 in the previous year, indicating minimal change[200]