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的內容概不負責，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份內容 而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 DEXIN CHINA HOLDINGS COMPANY LIMITED 德信中國控股有限公司 （清盤中） ( 於開曼群島註冊成立的有限公司 ) （股份代號：2019） (1) 季度更新公告 (2) 更改香港股份過戶登記分處 及 (3)繼續停牌 本公告乃由德信中國控股有限公司(清盤中)（"本公司"）根據香港聯合交易所有限公司 （"港交所"）證券上市規則（"上市規則"）第 13.24A 條而作出。 茲提述：(i) 本公司於 2024 年 6 月 11 日刊發的公告，內容有關本公司的清盤及股份 （"股份"）的停牌事宜；(ii) 本公司於 2024 年 8 月 2 日刊發的公告，內容有關委任本公 司的共同及各別清盤人（"清盤人"）以及港交所發出的首份復牌指引（"第一份復牌指 引"）；(iii) 本公司於 2024 年 8 月 26 日及 2024 年 11 月 13 日刊發的公告，內容有關港交 所發出的額外復 ...

Delivery and Revenue Performance - In 2023, the Company delivered approximately 40,000 units across 49 batches, with a total delivered area of 6.20 million sq.m., achieving 100% delivery as contracted[14]. - The Company's total revenue for the year ended December 31, 2023, was approximately RMB24.51 billion, representing a year-on-year increase of approximately 10.7%[20]. - Revenue from property sales was RMB23.98 billion, reflecting a year-on-year increase of 12.9%[20]. - The overall market fundamentals remained weak despite a brief recovery at the beginning of the year[12]. - Contracted sales for the year were approximately RMB 22,160 million, indicating a year-on-year decrease of approximately 38.6%[40]. - The average selling price (ASP) of contracted sales was approximately RMB 18,544 per sq.m., which is a year-on-year increase of approximately 1.4%[40]. - The gross floor area of completed housing increased by 17.0% to 998.31 million sq.m.[32]. - The total recognized GFA for property sales was approximately 1,320,337 sq.m., an increase of approximately 24.3% compared to the previous year[45]. - Revenue from property sales increased by approximately 12.9% year-on-year to approximately RMB 23,976.2 million, accounting for approximately 97.8% of total revenue[74]. Market Environment and Challenges - The real estate market in China faced challenges in 2023, including negative population growth and tightened liquidity, leading to a complex industry environment[12]. - The national real estate development investment decreased by 9.6% year-on-year, amounting to RMB 11,091.3 billion[32]. - The sales area of commercial housing fell by 8.5% year-on-year, totaling 1,117.35 million sq.m.[32]. - The Company emphasized the importance of on-time delivery to meet buyer expectations and maintain livelihood stability[13]. Land Reserves and Strategic Focus - By the end of 2023, the Company's land reserve in first- and second-tier cities reached 80% of its portfolio, focusing on high-quality land resources in the Yangtze River Delta region[19]. - The company focused on land reserves in first and second-tier cities, achieving an 80% share of land reserves in these areas by the end of 2023[1]. - As of 31 December 2023, the Group had land reserves amounting to approximately 10,110,017 sq.m., with 134 projects in total[65]. - The total land reserves held by joint ventures and associates amount to 923,777 sq.m., representing 9.1% of the total[180]. Financial Performance and Losses - The Group recorded a net loss of approximately RMB 1,960.3 million for the year, with loss attributable to owners of the Company decreasing by approximately 685.7% year-on-year to approximately RMB 2,188.9 million[73]. - Basic and diluted losses per share for the year ended December 31, 2023, were RMB 0.74, representing a decrease of approximately 628.6% from earnings per share of RMB 0.14 in 2022[105]. - The Group's profit and total comprehensive income decreased significantly, resulting in a loss of approximately RMB 1,960.3 million for the year ended December 31, 2023, compared to a profit of RMB 161.5 million in 2022[104]. - The loss attributable to the owners of the Company increased from approximately RMB 373.7 million for the year ended December 31, 2022, to approximately RMB 2,188.9 million for the year ended December 31, 2023, a decrease of approximately 685.7%[109]. Operational Efficiency and Cost Management - The Group aims to improve the efficiency in the development and operation of its investment properties to ensure stable rental income growth[66]. - Selling and marketing expenses rose by approximately 22.73% year-on-year, increasing from RMB 689.2 million in 2022 to RMB 845.8 million in 2023, driven by higher capitalized sales and selling expenses[89][92]. - Administrative expenses increased by approximately 21.2% year-on-year, from RMB 870.5 million in 2022 to RMB 1,054.8 million in 2023, largely due to provisions for impairment of inventories and receivables[93][98]. - Finance costs surged by approximately 260.2% year-on-year, rising from RMB 97.9 million in 2022 to RMB 352.5 million in 2023, primarily due to increased costs related to non-controlling interests and decreased income from bank deposits[94][99]. Employee and Organizational Changes - The Group's total employee count decreased to 1,273 as of December 31, 2023, down from 1,561 in the previous year[167]. - Total expenditure on employee salaries and welfare for the year ended December 31, 2023, was approximately RMB423.2 million, a decrease from approximately RMB713.2 million in 2022[167]. - The Group has implemented a performance-based remuneration system to enhance employee engagement and motivation[169]. - The Group's organizational structure is being optimized to empower base-level employees and improve overall efficiency[168]. Future Development and Expansion Plans - The Group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and external borrowings[163]. - The Yangtze River Delta Region, which accounts for about one-fourth of China's GDP, remains a key focus for the Group's expansion efforts[173]. - The Group aims to maintain high-efficiency operations and outperform market-level sales growth and cash collection rates[173]. - The Group continues to focus on high-quality product development and service enhancement to create value for customers[175]. Project Development and Portfolio - The company has completed multiple projects in Hangzhou, including the Sky City Complex and Elegant Mansion, with a focus on residential and commercial use[186]. - The company is currently developing the Douhuiqiantang project in Hangzhou, which will serve both residential and commercial purposes[187]. - The company has a significant number of completed projects in Huzhou and Nanjing, focusing on residential and commercial developments[186]. - The company is actively pursuing new strategies for market expansion through the development of innovative projects and partnerships in key cities[188].

Revenue Performance - For the year ended December 31, 2023, the Group recorded total revenue of approximately RMB 24.51 billion, representing a year-on-year increase of approximately 10.7%[7] - Revenue from property sales was RMB 23.98 billion, reflecting a year-on-year increase of 12.9%[22] - Revenue from property sales increased by approximately 12.9% to about RMB 23,976.2 million, accounting for approximately 97.8% of the Group's total revenue[75] - Contracted sales amounted to approximately RMB 22,160 million, down 38.6% year-on-year, with a contracted GFA of approximately 1,195,000 sq.m., representing a decrease of approximately 39.4%[28] - The average selling price (ASP) of contracted sales was approximately RMB 18,544 per sq.m., reflecting a year-on-year increase of approximately 1.4%[56] Delivery and Project Management - The Group delivered 49 batches of properties, with a total delivery area of 6.2 million square meters and nearly 40,000 units, achieving 100% on-time delivery[6] - The Group delivered approximately 40,000 units in 49 batches, with a total delivered area of 6.20 million sq.m., achieving 100% delivery as contracted[48] - The gross floor area of housing completed amounted to 998.31 million sq.m., representing an increase of 17.0%[53] Market Conditions - The Chinese government introduced a series of relaxation policies for the real estate market, including easing interest rates and optimizing land supply[9] - The real estate industry faced challenges such as financing obstacles, declining market transactions, and stringent regulation of pre-sale funds[19] - The overall market fundamentals remained weak despite a brief recovery at the beginning of the year[20] - The year 2023 was characterized by a complex and changeable situation in China's real estate market due to negative population growth and late-stage urbanization[19] Financial Performance - The Group recorded a net loss of approximately RMB 1,960.3 million for the year ended December 31, 2023, with a loss attributable to owners of the company decreasing by about 685.7% to approximately RMB 2,188.9 million[74] - Administrative expenses increased by approximately 21.2% year-on-year to approximately RMB 1,054.8 million, primarily due to the impact of impairment provisions[78] - Finance costs increased by approximately 260.2% year-on-year to approximately RMB 352.5 million, mainly due to increased finance costs related to non-controlling interests[78] - The share of results of joint ventures and associates decreased by approximately 132.6% year-on-year, from profits of approximately RMB 626.1 million to a loss of approximately RMB 204.1 million[78] - Income tax expenses decreased by approximately 35.1% year-on-year to approximately RMB 649.2 million, primarily due to a decrease in pre-tax profits and overall gross margin[78] Land Reserves and Development Strategy - As of December 31, 2023, the Group had 134 projects with land reserves amounting to approximately 10,110,017 sq.m., with 113 projects located in the Yangtze River Delta Region[71] - The company has a total land reserve of approximately 10,110,017 square meters across 134 projects as of December 31, 2023, with 113 projects located in the Yangtze River Delta region[90] - The company strategically selects and acquires land in key areas with strategic advantages for further business development in those markets[90] - The Group aims to leverage its local brand advantages in the Yangtze River Delta Region, which accounts for about one-fourth of China's GDP, to drive future growth[135] Cost and Profitability - For the year ended December 31, 2023, the Group's cost of sales was approximately RMB 22,710.6 million, representing a year-on-year increase of approximately 13.7%[95] - The Group's gross profit for the year ended December 31, 2023, was approximately RMB 1,799.3 million, reflecting a year-on-year decrease of approximately 17.4%[95] - The overall gross profit margin decreased from approximately 9.8% for the year ended December 31, 2022, to approximately 7.3% for the year ended December 31, 2023, a decline of approximately 2.5 percentage points[95] Employee and Operational Efficiency - The Group's employee compensation expenses for the year ended December 31, 2023, were approximately RMB 423.2 million, compared to RMB 713.2 million for the previous year[132] - The Group had a total of 1,273 employees as of December 31, 2023, a decrease from 1,561 employees as of December 31, 2022[160] - The Group has implemented a performance-based remuneration system for employees, including competitive packages and social security insurance[161] - The Group continues to focus on employee training to enhance expertise in real estate and related fields[161] Investment and Financing Activities - The Group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and external borrowings[194] - The Group's strategy includes optimizing capital structure and improving financing costs to achieve balanced growth in scale, profit, and brand[136] - The Group's focus on high-quality product development and service aims to create long-term value for customers and investors[135] Project Developments - Hangzhou's Sky City Phase I project is completed, focusing on residential and commercial use[167] - The Group's project portfolio includes a mix of residential and commercial properties, reflecting a diversified approach to market demands[173] - The Group is actively developing new projects, with several under construction, indicating a robust pipeline for future growth[173]

Economic Overview - In the first half of 2023, China's GDP growth was 5.5% due to a series of economic measures taken by the central government[14]. - The performance of the manufacturing sector is dragging down economic recovery in the US and Eurozone, while the service sector shows better recovery[13]. - Global supply chain issues are gradually normalizing, and energy supply problems in Europe are easing, contributing to a slower downward trend in the global economy[13]. - The liquidity and financing environment is expected to continue tightening, impacting investment, financing, and consumption[13]. - The overall economic recovery characteristics are clearly differentiated, with the service sector in a recovery cycle while manufacturing struggles[13]. Real Estate Market Performance - Total sales of commercial properties in China reached RMB 6.31 trillion, representing a year-on-year increase of 1.1%, while the sales area decreased by 5.3% to 0.595 billion square meters[14]. - Investment in real estate development amounted to RMB 5.86 trillion, a year-on-year decrease of 7.9%, with new construction area down 24.3% to 0.499 billion square meters[14]. - The area of completed construction increased by 19.0% to 0.339 billion square meters, indicating some recovery in construction activity[14]. - The real estate market continues to face challenges, including weak investment, high inventory, and sluggish sales, despite government policy support[14]. - The central government has implemented various policies to support the real estate industry, including "city-based policies" and financial measures, although their effectiveness has been limited in certain areas[14]. Financial Performance - For the six months ended June 30, 2023, the Group recorded a net loss of approximately RMB 366.1 million, a period-on-period decrease of 140.5%[17]. - The loss attributable to owners of the Company was approximately RMB 518.3 million, representing a period-on-period decrease of 170.0%[17]. - Total revenue for the same period was approximately RMB 11,969.1 million, reflecting a period-on-period increase of approximately 16.8%[21]. - Contracted sales amounted to approximately RMB 13,520.0 million, a period-on-period decrease of 30.2%, with total contracted GFA sold of approximately 791,000 sq.m., down 23.7%[22]. - Revenue from property sales increased by approximately 17.8% to approximately RMB 11,666.2 million, accounting for about 97.5% of total revenue[23]. Revenue Breakdown - Revenue from property construction and project management services decreased by approximately 51.2% to approximately RMB 123.6 million, accounting for about 1.0% of total revenue[35]. - Revenue from hotel operations increased by approximately 44.9% to approximately RMB 24.6 million, accounting for about 0.2% of total revenue[38]. - Management and consulting service revenue increased by approximately 501.8% to about RMB 100.6 million for the six months ended June 30, 2023, accounting for about 0.8% of total revenue[40]. - Rental income from commercial properties decreased by approximately 3.1% to about RMB 54.1 million for the six months ended June 30, 2023, representing about 0.5% of total revenue[41]. Debt and Financing - The Group's net gearing ratio was 80.3%, with a liabilities to assets ratio of 71.3% after excluding advance receipts[17]. - The Group's net financing costs increased by approximately 15.8% year-on-year from approximately RMB127.0 million for the six months ended 30 June 2022 to approximately RMB147.0 million for the six months ended 30 June 2023, primarily due to a decrease in interest income[88]. - Income tax expenses increased by approximately 82.5% from approximately RMB224.0 million for the six months ended 30 June 2022 to approximately RMB408.9 million for the six months ended 30 June 2023, mainly due to increased land appreciation taxes[92]. - The Group's profit and total comprehensive income decreased by approximately 140.5%, resulting in a total comprehensive loss of approximately RMB366.1 million for the six months ended 30 June 2023, compared to a profit of approximately RMB903.8 million for the same period in 2022[93]. Employee and Operational Metrics - As of June 30, 2023, the Group had a total of 1,240 employees, a decrease from 1,561 employees as of December 31, 2022[157]. - Total employee salary and welfare expenditure for the six months ended June 30, 2023, was approximately RMB 198.7 million, down from approximately RMB 356.7 million for the same period in 2022, representing a decrease of about 44.3%[157]. - The Group has adopted a project co-investment scheme and share option scheme to enhance employee motivation and engagement[157]. - The Group emphasizes systematic training for employees to enhance their expertise in real estate and related fields[157]. Strategic Focus and Future Plans - The Group's strategy focuses on the Yangtze River Delta region, emphasizing customer needs and maintaining a high-quality brand image[162]. - Future prospects indicate a commitment to stabilizing land prices and housing prices while promoting the healthy development of the real estate market through city-specific measures[158]. - The Group plans to expand the supply of subsidized housing and support the demand of first- and second-time home buyers in the second half of 2023[158]. - The Group continues to strategically select and acquire land parcels in advantageous locations to further develop its business in targeted markets[54]. Project Development and Portfolio - The Group's total land reserves amounted to 11,741,616 sq.m. as of June 30, 2023, with 1,851,326 sq.m. completed, 644,494 sq.m. under development, and 9,185,694 sq.m. held for future development[172]. - The company is currently developing the Dexin Konggang City project in Hangzhou, which is expected to enhance its commercial property offerings[175]. - The company is actively pursuing new development opportunities in key cities, including Nanjing and Shanghai, to strengthen its market position[175]. - The company has a strategic focus on expanding its commercial property portfolio, with several projects planned for future development[175]. Completed and Ongoing Projects - The completed projects include a mix of residential and commercial properties, with significant locations in Hangzhou, enhancing the company's market presence[179]. - The company has successfully completed commercial projects like Dexin Konggang City and Heping Dexin Center, showcasing its capability in the commercial real estate sector[179]. - The company is currently developing several residential projects, such as Center Mansion and Central One Mansion, indicating ongoing expansion efforts[181]. - The company has a total of 8 completed commercial projects, contributing to its diversified revenue streams[188]. Market Expansion and Future Growth - The company is focusing on expanding its market presence in Hangzhou, with multiple projects scheduled for completion in the coming years[200]. - The company reported a robust project pipeline with a mix of completed and under-development projects, ensuring sustained growth[192]. - The company is actively developing mixed-use projects, such as the Dexin Park Vision in Kunshan, which combines residential and commercial spaces[188]. - Future projects are expected to contribute an estimated $300 million in revenue upon completion, enhancing overall financial performance[198].

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，並明確表示概不會就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。 DEXIN CHINA HOLDINGS COMPANY LIMITED 德 信 中 國 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：2019） 截至2023年6月30日止六個月 未經審核中期業績公告 2023年中期業績摘要： • 截至二零二三年六月三十日止六個月，本集團的總收入約為人民幣11,969.1 百萬元，同比增長約16.8%； • 截至二零二三年六月三十日止六個月，毛利約為人民幣1,515.9百萬元，同 比增長約19.1%； • 截至二零二三年六月三十日止六個月，淨虧損約為人民幣366.1百萬元； • 截至二零二三年六月三十日止六個月，合約負債（即預售樓款）約為人民幣 38,014.2百萬元； ...

Economic Performance - In 2022, China's GDP rose by 3% year-on-year, reflecting a stable economic performance despite global challenges[11]. - The real estate industry faced significant challenges in 2022, including a sales slump and increased competition, prompting the Group to prioritize quality and timely delivery[12]. - The real estate market is gradually showing signs of recovery due to supportive policies, and the Group aims to be well-positioned for future growth[27][29]. - The company anticipates a recovery in economic activities and market demand in 2023, driven by government policies aimed at stabilizing investment and promoting consumption[171]. - The real estate sector will continue to focus on "housing for living, not speculation" and "ensuring delivery," with the government implementing supportive policies to stimulate the market[173]. Land Acquisition and Development - The Group acquired 3 premium land parcels, adding approximately 287,000 sq.m. to its land reserve, totaling nearly 14.6 million sq.m. as of December 31, 2022[16]. - Approximately 80% of the Group's land reserves are located in first- and second-tier cities, with 20% in strong third-tier cities, focusing on high value-add locations[17]. - The Group's business expansion strategy is cautious, focusing on intensive cultivation of land resources with development potential[16]. - The Group's strategic focus remains on deep cultivation in key urban areas, including the Yangtze River Delta and the Guangdong-Hong Kong-Macao Greater Bay Area, while slowing down national expansion efforts[21][23]. - The company has significant land reserves, with a total gross floor area (GFA) of 9,765,821 sq.m., of which 67% is held for future development[178]. Financial Performance - As of December 31, 2022, the Group recorded total revenue of RMB 22,150 million, down by 4.2% year-on-year, and net profit attributable to shareholders amounted to approximately RMB 370 million, representing a decrease of approximately 60.3% compared to last year[21][23]. - The Group's contracted sales for the year ended December 31, 2022, amounted to approximately RMB 36.10 billion, a year-on-year decrease of approximately 51.2%, with a contracted sales area of approximately 1,973,000 sq.m., down by approximately 43.5%[21][23]. - For the year ended December 31, 2022, total revenue was approximately RMB 22,145.5 million, representing a year-on-year decrease of approximately 4.2%[86]. - Gross profit for the same period was approximately RMB 2,177.8 million, reflecting a year-on-year decrease of approximately 56.5%, with a gross profit margin of approximately 9.8%[86]. - The Group's profit and total comprehensive income decreased by approximately 93.2% to approximately RMB 161.5 million for the year ended December 31, 2022, down from RMB 2,376.7 million in 2021[118]. Operational Efficiency and Customer Satisfaction - The Group has delivered over 20,000 units in 31 batches by the end of 2022, achieving 100% on-time delivery, and has maintained a high customer satisfaction ratio in Zhejiang Province for five consecutive years[22][24]. - The Group emphasizes craftsmanship and quality in its brand positioning as "Your Life Companion," continuously improving its product line to meet diverse housing needs[22][24]. - The Group aims to improve the efficiency in the development and operation of its investment properties to ensure stable rental income growth[71]. - The completion of several projects in 2022 reflects the company's operational efficiency and ability to meet market needs[190]. Strategic Focus and Future Plans - The Group plans to maintain a cautious approach to market conditions while focusing on refined management and long-term product strategies to achieve balanced growth in scale, profit, and brand[27][28]. - Future plans include continued investment in property development projects and acquisition of suitable land parcels, funded by internal resources and external borrowings[157][160]. - The company plans to leverage its brand advantages in the Yangtze River Delta region, which accounts for approximately 25% of China's GDP, to capture growth opportunities[171]. - The company will continue to optimize its capital structure and improve financing costs while adhering to a prudent financing strategy[174]. - The company is committed to high-quality product development and continuous upgrades to enhance customer value[171]. Market Position and Recognition - The Group was ranked 45th in "China's Top 100 Real Estate Enterprises 2022" and has received multiple awards, highlighting its market position and recognition in the capital market[26][29]. - The Group's resilience was demonstrated by its commitment to product quality and operational fundamentals amid a volatile market environment[12]. - The Group's operational philosophy emphasizes that business operation is a marathon, focusing on sustainable and stable development amidst market fluctuations[31]. Employee and Operational Metrics - The total expenditure on employee salaries and welfare for the year ended December 31, 2022, was approximately RMB 713.2 million, compared to approximately RMB 860.6 million for the year ended December 31, 2021[162]. - The Group had a total of 1,561 employees as of December 31, 2022, a decrease from 2,476 employees as of December 31, 2021, with around 62% holding a bachelor's degree or above[162].

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，概不就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。 DEXIN CHINA HOLDINGS COMPANY LIMITED 德 信 中 国 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：2019） 截至2022年12月31日止年度業績公告之補充公告 茲提述德信中国控股有限公司（「本公司」）日期為2023年3月31日的公告，內容有 關本公司及其附屬公司（「本集團」）截至2022年12月31日止年度的綜合年度業績 （「該公告」）。除文義另有所指外，本公告所用詞彙與該公告所界定者具有相同涵 義。 董事會謹此提供下列有關該公告的補充資料。 核數師 本公司外部核數師開元信德會計師事務所有限公司（「開元信德」）已同意本公司公 佈有關本集團截至2022年12月31日止年度的綜合資產負債表、綜合全面收益表及 相關附註內的數字（金額載於本集團截至2022年12月31日止年度的經審核綜合財 務報表）。開元信德就此執行的工作不構成根據香港會計師公會頒 ...

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的內容概不負責，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 賴該等內容而引致的任何損失承擔任何責任。 DEXIN CHINA HOLDINGS COMPANY LIMITED 德 信 中 國 控 股 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：2019） 截至2022年12月31日止年度 年度業績公告 財務概要 ‧ 截至2022年12月31日止年度，物業預售賬款約為人民幣46,327百萬元，較 截至2021年12月31日止年度同比增長4%; ‧ 截至2022年12月31日止年度，總負債約為人民幣89,926百萬元，較截至 2021年12月31日止年度同比下降5%； ‧ 截至2022年12月31日止年度，有息負債約為人民幣21,191百萬元，較截至 2021年12月31日止年度同比下降30%； ‧ 截至2022年12月31日止年度，剔除預收賬款的資產負債率約為68%，持續 ...

Real Estate Market Overview - In the first half of 2022, the total sales of commercial housing in China amounted to RMB 6,607.2 billion, representing a year-on-year decrease of 28.9%[24]. - The overall economic situation in China is on a relatively stable track despite challenges posed by the pandemic resurgence in some regions[24]. - The real estate market is expected to improve gradually due to the introduction of supportive policies aimed at stabilizing the economy through the real estate sector[25]. - The real estate market is expected to stabilize and recover in the second half of 2022, with improved sales anticipated[150]. - The real estate market is anticipated to stabilize in the second half of 2022, with improved sales expected as economic conditions stabilize[152]. Government Policies and Support - The central and local governments have implemented various city-specific policies to stimulate the real estate market, including reducing down payment ratios and lowering housing loan interest rates[25]. - Financial services in the housing sector are being improved to support high-quality projects and alleviate liquidity risks for real estate enterprises[25]. - The overall economic stabilization effect through real estate is expected to become more prominent as policies take effect[25]. Company Performance and Financials - The Group's net profit for the first half of 2022 was approximately RMB903.8 million, with profit attributable to owners of the Company at approximately RMB740.5 million, representing a period-on-period decrease of 34.4% and an increase of 17.5%, respectively[28][29]. - The Group's total revenue for the first half of 2022 was approximately RMB10,246.5 million, reflecting a period-on-period decrease of approximately 21.6%[32][33]. - Contracted sales for the first half of 2022 amounted to approximately RMB19,380.0 million, a decrease of 55.0% year-on-year, with total contracted GFA sold of approximately 1,037,000 sq.m., down 49.2%[34][35]. - Revenue from property sales decreased by approximately 21.9% to approximately RMB9,903.7 million, accounting for about 96.7% of the total revenue[36][37]. - The Group's interest-bearing debts as of June 30, 2022, amounted to approximately RMB23,705.8 million, a decrease of 21.9% from December 31, 2021[28][29]. - The net gearing ratio among the "Three Red Lines" reduced to 57.1% from 60.5% at the end of 2021, with all "Three Red Lines" in green lights[28][29]. - The Group's gross profit for the six months ended June 30, 2022, was approximately RMB 1,272.4 million, a year-on-year decrease of about 55.4%, with a gross profit margin dropping from 21.8% to 12.4%[91]. - The Group's profit and total comprehensive income decreased by approximately 34.4% from RMB 1,378.4 million to RMB 903.8 million, while profit attributable to owners increased by 17.5% to RMB 740.5 million[109]. Operational Developments - The Group aims to improve operational efficiency of investment properties to ensure stable rental income growth and strengthen earnings sustainability[64]. - The Group's strategy includes the strategic selection and acquisition of land parcels in advantageous locations to further develop its business in targeted markets[67]. - The Group acquired 3 new land parcels with a total gross floor area (GFA) of approximately 286,000 sq.m. in the first half of 2022[28][29]. - The Group's total land reserves amounted to 10,462,862 sq.m. as of June 30, 2022, with 8,628,625 sq.m. under development[160]. - The Group has a total of 34 ongoing projects, showcasing its active engagement in the real estate market[177]. Project Development and Pipeline - The company has 5,205,329 sq.m. of projects under development, indicating a strong pipeline for future growth[165]. - The company is actively expanding its project pipeline, with several projects under development, indicating a robust growth strategy[174]. - The company is currently developing multiple residential and commercial projects across various cities, including Nanjing, Quzhou, and Xuzhou, with significant land parcels allocated for these developments[187]. - The company is focusing on expanding its residential portfolio, with numerous projects in various stages of development across key cities[176]. - The company aims to leverage its completed projects to drive future sales and revenue growth, positioning itself favorably in the real estate market[170]. Employee and Operational Costs - The Group's total expenditure on employee salaries and welfare for the six months ended June 30, 2022, was approximately RMB 356.7 million, up from RMB 302.7 million for the same period in 2021[150]. - The Group had a total of 1,931 employees as of June 30, 2022, a decrease from 2,476 employees as of December 31, 2021[150]. - Administrative expenses increased by approximately 17.6% from RMB 389.4 million to RMB 457.7 million, driven by higher staff costs and consulting fees[99]. Future Outlook - The company plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and external borrowings[142]. - The company aims to enhance its market presence through the completion of high-quality residential and commercial properties[180]. - The ongoing projects are expected to contribute positively to the company's revenue in the upcoming quarters, aligning with its growth outlook[200].

Industry Challenges and Resilience - The real estate industry faced significant challenges in 2021, including tightened market regulations and a downturn, but the company achieved breakthroughs in operations, resources, quality, and organization [11]. - Despite the industry's downturn, the company demonstrated strong organizational resilience and managed to achieve growth [16]. - The company recognizes the transition from the era of land and leverage dividends to the era of management dividends, with future opportunities in brand dividends [15]. - The economic environment in 2021 was affected by the COVID-19 pandemic, but China managed to implement moderate policies to counteract economic pressures [14]. - The real estate market is experiencing a divergence among cities and intense competition, leading to a need for strategic adaptation [15]. - The company is committed to maintaining quality and controlling risks amid the industry's challenges [12]. - The company’s performance reflects its ability to navigate through a "cold winter" in the real estate sector [12]. - The company anticipates significant opportunities in the future despite the current market conditions [15]. Financial Performance - For the year ended December 31, 2021, the Group's total contracted sales amounted to approximately RMB 73.98 billion, representing a year-on-year increase of 16.45% [23]. - The recognized revenue for the Group was approximately RMB 23.1 billion, reflecting a 45.6% increase compared to 2020 [23]. - The Group's net profit was approximately RMB 2.38 billion, with a year-on-year increase of 5.1% [23]. - The annual cash collection rate exceeded 90%, enhancing the safety margin amid tightened bank credit conditions [23]. - The Group achieved total revenue of approximately RMB23,109.1 million, representing a year-on-year increase of 45.6% [41]. - The Group's gross profit for 2021 was RMB5,010.8 million, reflecting a period-on-period growth of 22.0% [41]. - Core profit for the year was RMB3,499.3 million, with a year-on-year growth of 16.1% [41]. - Contracted sales for 2021 amounted to approximately RMB73,980 million, a year-on-year increase of 16.4% [46]. - Revenue from property sales increased by approximately 43.5% year-on-year to approximately RMB22,269.3 million, accounting for approximately 96.4% of the total revenue of the Group [51]. Land Reserves and Acquisitions - As of December 31, 2021, the Group's land reserves included nearly 19.1 million sq.m., with about 73% located in first- and second-tier cities [23]. - In 2021, the Group entered three new cities, adding approximately 5.811 million sq.m. to its land reserves [19]. - The Group acquired 32 premium land parcels through various methods, including bidding and mergers, during the reporting period [19]. - The average land cost for new land reserves acquired was approximately RMB 5,550.9 per sq.m., with a total saleable GFA of approximately 5,810,625 sq.m. [85]. - The largest land reserve was in Hangzhou, accounting for 27.9% of the total land bank with 5,330,617 sq.m. [82]. - The total GFA of the Group's land reserves by geographical location includes significant holdings in the Yangtze River Delta and Pearl River Delta regions [80]. Revenue Streams - Revenue from property construction and project management services increased by approximately 1,086.2% year-on-year to approximately RMB437.7 million, accounting for approximately 1.9% of the total revenue of the Group [59]. - Revenue from management and consulting services increased by approximately 11.0% year-on-year to approximately RMB227.8 million, accounting for approximately 1.0% of the total revenue of the Group [63]. - Revenue from rental income increased by approximately 40.0% year-on-year to approximately RMB140.6 million, accounting for approximately 0.6% of the total revenue of the Group [63]. - Revenue from hotel operations increased by approximately 86.8% year-on-year to approximately RMB33.6 million, accounting for approximately 0.1% of the total revenue of the Group [63]. Employee and Operational Management - The Group's total employee count increased to approximately 2,476 as of December 31, 2021, up from 2,147 in the previous year, with around 60% holding a bachelor's degree or higher [176]. - Total expenditure on employee salaries and welfare for the year ended December 31, 2021, amounted to approximately RMB 860.6 million, compared to approximately RMB 636.2 million for the year ended December 31, 2020, reflecting a year-over-year increase of about 35.3% [178]. - The Group's employee training initiatives included 228 in-class trainings or professional lectures, benefiting approximately 2,476 employees by enhancing their expertise in the real estate industry [178]. Strategic Focus and Future Plans - The Group aims to maintain a focus on cash flow safety and profit while adhering to a strategic layout rooted in Zhejiang and expanding to key hub cities in China [27]. - The Group is focused on expanding its presence in key hub cities across China, particularly in the Yangtze River Delta region [51]. - The Group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and external borrowings, with no other material investment plans disclosed as of the report date [172]. - The Group's operational philosophy is described as marathon-style management, aiming for quality growth amidst changing market conditions [182]. - The Group emphasizes a quality management concept centered on customer needs and aims to create value for customers while adhering to a steady development strategy [184]. Financial Health and Risk Management - The Group's net gearing ratio was approximately 60.5% as of December 31, 2021, a decrease of 14.5 percentage points from approximately 75.0% as of December 31, 2020 [139]. - The Group's current ratio slightly decreased from approximately 1.38 times as of December 31, 2020 to approximately 1.31 times as of December 31, 2021 [139]. - The Group's credit ratings from Standard & Poor's, Moody's, and Lianhe Ratings Global were "B" (Negative outlook), "B2" (Stable outlook), and "BB-" (Stable outlook) respectively [133]. - The Group plans to monitor exchange rate risks regularly and will make foreign exchange hedging arrangements when necessary [142]. Recognition and Rankings - The Group has been recognized as one of "China's Top 10 Real Estate Companies in Annual Financial Performance 2021" and "China's Top 10 Listed Real Estate Enterprises in Solvency 2021" [95]. - The Group ranked 55th in "China's Top 100 Real Estate Enterprises" for 2021, marking its ninth consecutive year in this ranking [95].