Financial Performance - The company reported a total revenue of RMB 39,973 for the six months ended June 30, 2022, compared to RMB 117,098 in the same period of 2021, representing a decline of approximately 65.8%[7]. - Revenue decreased by 61.0% from RMB 6,247.9 million for the six months ended 30 June 2021 to RMB 2,438.8 million for the six months ended 30 June 2022, primarily due to the overall downturn of the real estate market[80]. - Revenue from primary market real estate agency services decreased by 77.6% to RMB 367.2 million, down from RMB 1,637.4 million for the same period[80]. - Revenue from real estate brokerage network services decreased by 68.1% to RMB 689.0 million, down from RMB 2,162.3 million for the same period[80]. - Revenue from real estate data and consulting services decreased by 40.2% to RMB 296.3 million, down from RMB 495.9 million for the same period[80]. - Revenue from digital marketing services decreased by 44.4% to RMB 1,086.3 million, down from RMB 1,952.3 million for the same period[80]. - The Group recorded a loss of RMB 1,838.3 million during the reporting period due to a sluggish property market and a downward trend in real estate sales collections[65]. - The company reported a loss for the period of RMB 1,838.3 million for the six months ended 30 June 2022, compared to a loss of RMB 1,562.7 million for the same period in 2021[109]. - Operating loss for the six months ended 30 June 2022 was RMB 1,487.1 million, with an operating loss margin of 61.0%, compared to an operating loss of RMB 1,665.2 million and a margin of 26.7% for the same period in 2021[136]. - EBITDA loss for the six months ended 30 June 2022 was RMB 1,312.3 million, compared to RMB 1,071.1 million for the same period in 2021[164]. Liabilities and Equity - Total liabilities amounted to RMB 8,993,612 as of June 30, 2022, compared to RMB 8,586,131 at the end of 2021, reflecting an increase of approximately 4.8%[3]. - The net current liabilities were reported at (RMB 4,496,660), a significant increase from (RMB 1,031,973) in the previous period[3]. - The equity attributable to owners of the Company showed a decline to (RMB 2,587,272) from (RMB 1,164,529), indicating a decrease of approximately 122.4%[3]. - The total equity reported was (RMB 1,873,405) as of June 30, 2022, compared to (RMB 9,995) at the end of 2021, indicating a significant decline in equity[3]. - The gearing ratio as of 30 June 2022 was 66.7%, up from 56.6% as of 31 December 2021, primarily due to a decrease in total assets[144]. Cash Flow and Liquidity - Cash and cash equivalents decreased from RMB 3,314.7 million as of 31 December 2021 to RMB 2,101.8 million as of 30 June 2022[117]. - The company plans to satisfy its liquidity requirements through a combination of internally generated cash, external borrowings, and funds raised from capital markets[119]. - The Group's cash usage for the six months ended 30 June 2022 primarily supported working capital and other recurring expenses for business expansion[167]. Cost Management - Staff costs decreased by 37.8% to RMB 1,109.1 million, while staff costs as a percentage of revenue increased from 28.5% to 45.5%[80]. - Advertising and promotion expenses decreased by 22.7% to RMB 1,121.1 million, down from RMB 1,450.2 million for the same period[82]. - Distribution expenses decreased by 67.0% from RMB 1,982.4 million for the six months ended 30 June 2021 to RMB 654.9 million for the six months ended 30 June 2022, primarily due to a decrease in revenue from real estate brokerage network services[3]. - Other operating costs decreased by 43.0% from RMB 316.9 million for the six months ended 30 June 2021 to RMB 180.7 million for the six months ended 30 June 2022, primarily due to the company's cost reduction efforts[4]. - Finance costs decreased by 10.0% from RMB 269.6 million for the six months ended 30 June 2021 to RMB 242.5 million for the six months ended 30 June 2022, mainly due to a decrease in the weighted average balances of interest-bearing loans[107]. Impairment and Credit Losses - The company reported an additional expected credit loss (ECL) of RMB 2,295.4 million due to deteriorating market conditions in the PRC real estate industry[177]. - An additional impairment loss of RMB 267.5 million was recognized on non-current assets, reflecting the financial performance falling short of management's expectations[177]. - The assessment of ECL is based on historical data and forward-looking information, considering factors such as default probability and loss given default[180]. - The management revised the major assumptions in the assessment model for expected credit loss (ECL) and impairment, leading to material differences in financial results[153]. - The Group identified 16 credit deterioration property developers as high-risk counterparties, with the probability of default for accounts receivables ranging from 72% to 100%[157]. Corporate Governance - The company has adopted strict corporate governance principles to enhance transparency and accountability to shareholders[190]. - The company confirmed compliance with the Model Code regarding directors' dealings in securities throughout the reporting period[194]. - The company will continue to monitor its corporate governance practices to ensure compliance with the New CG Code effective from January 1, 2022[193]. - The audit committee reviewed the unaudited interim results for the six months ended June 30, 2022, and discussed accounting policies and internal controls with senior management[192]. Strategic Initiatives - The Group's digital marketing strategy focuses on Tmall Haofang, enhancing online real estate marketing and transactions through a strategic partnership with Alibaba[66]. - The Group's digital service strategy is centered on CRIC Big Data, aiming to create a real estate digital solution platform ecosystem[70]. - The construction of Tmall Haofang's platform has been initially completed, integrating Alibaba's resources with E-House's experience in real estate marketing[67]. - Tmall Haofang's information service platform covers more than 300 cities, with over 35,000 online new housing projects, 200,000+ second-hand housing listings, and 400,000+ rental housing listings, achieving more than 20 million monthly active users[67].

Financial Performance - Total revenue for the six months ended June 30, 2022, was RMB 2,438.8 million[2] - The company reported a net loss attributable to shareholders of RMB 1,428,653,000 for the six months ended June 30, 2022, compared to a loss of RMB 1,423,344,000 for the same period in 2021[39] - The group reported a loss of approximately RMB 1,838,303,000 for the six months ended June 30, 2022, with a net cash outflow from operating activities of approximately RMB 733,455,000[14] - The company reported a net loss of RMB 1,838.3 million for the six months ended June 30, 2022, compared to a net loss of RMB 1,562.7 million for the six months ended June 30, 2021[73] - Total comprehensive expenses for the six months ended June 30, 2022, amounted to RMB 1,832.4 million, compared to RMB 1,562.4 million for the six months ended June 30, 2021[75] - Operating loss for the six months ended June 30, 2022, was RMB 1,487.1 million, with an operating loss margin of 61.0%, compared to an operating loss of RMB 1,665.2 million and a margin of 26.7% for the same period in 2021[77] Revenue Breakdown - The total Gross Transaction Value (GTV) for real estate agency services was RMB 47.8 billion for the same period[2] - Revenue from primary property agency services was RMB 367,205 thousand, down 77.49% from RMB 1,637,360 thousand year-on-year[22] - Revenue from real estate brokerage network services was RMB 688,959 thousand, a decrease of 68.15% compared to RMB 2,162,298 thousand in the previous year[22] - Digital marketing services generated revenue of RMB 1,086,294 thousand, down 44.39% from RMB 1,952,327 thousand in the same period last year[22] - Revenue from real estate data and consulting services decreased by 40.2% from RMB 495.9 million to RMB 296.3 million, reflecting the impact of the weak real estate market[55] Assets and Liabilities - Non-current assets totaled RMB 4,266.6 million as of June 30, 2022, compared to RMB 4,575.2 million as of December 31, 2021[7] - Current liabilities amounted to RMB 8,993.6 million as of June 30, 2022[9] - The net current liabilities were RMB 4,496.7 million, compared to RMB 1,031.9 million in the previous year[9] - Total equity attributable to owners of the company was RMB (2,587.3) million as of June 30, 2022[9] - The capital debt ratio increased to 66.7% as of June 30, 2022, from 56.6% as of December 31, 2021, primarily due to a decrease in total assets[86] Credit and Receivables - The fair value of receivables measured at fair value through other comprehensive income was RMB 1,431,735,000 as of June 30, 2022, with expected credit loss provisions amounting to RMB 5,861,521,000[21] - The carrying amount of accounts receivable, net of expected credit loss provisions, was RMB 48,204,000, with provisions of RMB 834,615,000 as of June 30, 2022[21] - The group identified significant increases in credit risk for several real estate developer clients, leading to substantial expected credit loss provisions during the reporting period[19] - The allowance for expected credit losses on financial assets totaled RMB 428,457,000 for the six months ended June 30, 2022, down from RMB 1,937,551,000 in the same period of 2021[47] Operational Strategies - The group plans to improve working capital to address its financial obligations, including raising funds for operational needs and controlling administrative costs[15] - The company plans to enhance its marketing strategies in the second half of the fiscal year to address seasonal revenue fluctuations in primary property agency services[29] - The company aims to leverage digital solutions through "Kerry Data" to enhance its position as a leading provider of real estate digital solutions in China[53] Cost Management - Employee costs decreased by 37.8% from RMB 1,783.6 million to RMB 1,109.1 million, with the proportion of employee costs to revenue increasing from 28.5% to 45.5% due to declining revenue[57] - Marketing and promotional expenses fell by 22.7% from RMB 1,450.2 million to RMB 1,121.1 million, primarily due to the decline in revenue from digital marketing services[58] - Other operating costs decreased by 43.0% from RMB 316.9 million for the six months ended June 30, 2021, to RMB 180.7 million for the six months ended June 30, 2022, primarily due to cost reduction measures[65] Financial Reporting and Compliance - The group has adopted all new and revised International Financial Reporting Standards effective from January 1, 2022, with no significant changes to accounting policies or presentation of financial statements[17] - The audit committee has reviewed the unaudited interim results for the six months ended June 30, 2022[99] - The company has confirmed that there are no undisclosed inside information as of the announcement date[116] Shareholder Information - The company did not declare any dividends for the six months ended June 30, 2021, and 2022[37] - The company does not plan to declare an interim dividend for the six months ended June 30, 2022[103] - Trading of the company's shares was suspended on September 1, 2022, and resumed on December 1, 2022, following the publication of financial reports[117]

Financial Performance - The company reported a loss of RMB 12.265 billion for the reporting period, primarily due to the overall downturn in the real estate market, which led to a decrease in business scale and additional provisions for expected credit losses on trade receivables [26]. - The decline in the real estate market has resulted in a significant impact on the company's performance, with a notable decrease in sales recovery from real estate developers [26]. - The company faced additional impairment losses on other assets due to the overall market downturn, further contributing to the financial losses reported [26]. - The Group recorded a total revenue of RMB 8,866.0 million for the year ended December 31, 2021, representing a 10.1% increase from RMB 8,051.5 million in 2020 [39][47]. - The Group incurred a loss of RMB 12,264.7 million for the year ended December 31, 2021, primarily due to the overall downturn in the real estate market [41]. - Revenue from real estate agency services decreased by 37.9% to RMB 1,989.1 million in 2021, down from RMB 3,203.5 million in 2020 [44][47]. - The loss for the year amounted to RMB 12,264.7 million in 2021, compared to a profit of RMB 439.2 million in 2020 [1]. - Total comprehensive expense for the year was RMB 12,260.9 million in 2021, compared to total comprehensive income of RMB 458.7 million in 2020 [1]. - Operating loss for the year ended 31 December 2021 was RMB 10,427.4 million, compared to an operating profit of RMB 955.5 million for the year ended 31 December 2020 [67]. - EBITDA loss for the year ended 31 December 2021 was RMB 10,929.6 million, compared to EBITDA of RMB 1,384.1 million for the year ended 31 December 2020 [72]. Market Conditions - The real estate industry is experiencing a downturn characterized by policies aimed at stabilizing land prices, housing prices, and expectations, which has affected the company's operations [26]. - The company is positioned as a major service platform in the downstream real estate industry, which has been adversely affected by the credit quality deterioration of several real estate developer clients [26]. - Future outlook remains cautious as the company navigates through the ongoing challenges in the real estate market [26]. - The company is committed to maintaining its service quality and supporting clients during this period of market instability [26]. - The management will continue to monitor market trends and adjust strategies accordingly to ensure long-term sustainability [26]. Operational Efficiency and Strategy - The management is focused on enhancing operational efficiency and mitigating risks associated with the current market environment [26]. - The company aims to adapt to the changing market conditions and explore new strategies for growth amidst the challenges faced in the real estate sector [26]. - The Group actively optimized receivables and credit periods, prioritizing high-quality projects with guaranteed collection [30]. - The Group's digital marketing strategy focuses on building a full-chain platform for online and offline real estate digital marketing [34][36]. - The Group aims to develop CRIC into a leading real estate digital solution provider in China, enhancing its service offerings through big data applications [37]. Revenue and Expenses - Revenue from digital marketing services increased by 205.1% to RMB 3,443.2 million in 2021, primarily due to the acquisition of Leju [44][47]. - Employee costs rose by 18.6% to RMB 3,243.2 million in 2021, with employee costs as a percentage of revenue increasing from 34.0% in 2020 to 36.6% in 2021 [45]. - Advertising and promotion expenses surged by 222.0% from RMB 946.8 million in 2020 to RMB 3,048.3 million in 2021, largely due to expenses incurred by Leju [51]. - Depreciation and amortisation expenses increased by 106.7% from RMB 210.6 million in 2020 to RMB 435.3 million in 2021, driven by increased amortisation of intangible assets from acquisitions [54]. - Loss allowance on financial assets subject to expected credit loss increased by 5,094.9% from RMB 172.5 million in 2020 to RMB 8,963.7 million in 2021, due to worsened credit quality of certain customers [55]. - Impairment losses on non-current assets were recorded at RMB 858.5 million in 2021, compared to nil in 2020, primarily from goodwill impairment [60]. Cash Flow and Liquidity - Cash and cash equivalents decreased from RMB 7,515.8 million as of 31 December 2020 to RMB 3,314.7 million as of 31 December 2021 [75]. - The company plans to meet its liquidity needs through internally generated cash, external borrowings, and issuance of dollar-denominated senior notes maturing in 2022 and 2023 [75]. - The principal uses of cash during the year included funding working capital and recurring expenses to support operational expansion [79]. - The company plans to satisfy liquidity requirements through a combination of internally generated cash, external borrowings, and capital market funds [79]. Corporate Governance and Management - The company has appointed new non-executive directors to strengthen governance and oversight, effective from September 2021 [109]. - The Group's management team includes individuals with significant experience in financial and operational roles, enhancing strategic decision-making capabilities [167]. - The leadership team has a strong educational background, with degrees from prestigious institutions such as Renmin University of China and the University of Toronto [165]. - The Company is committed to maintaining strong relationships with stakeholders that significantly impact its success [196]. - E-House (China) Holdings is committed to maintaining high standards of corporate governance, as evidenced by its independent audit committee chaired by Mr. Cheng [132]. Future Outlook and Growth Plans - The company provided guidance for the next fiscal year, projecting revenue growth of 10% to 12% [109]. - New product launches are expected to contribute an additional $200 million in revenue, with a focus on innovative technology solutions [108]. - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2025 [107]. - E-House plans to expand its market presence in Tier 2 and Tier 3 cities, targeting a 30% increase in market share in these regions over the next two years [152]. - The company is investing in new technology development, with a budget allocation of $50 million for enhancing its real estate data analytics capabilities [152]. Risks and Challenges - The company is susceptible to fluctuations in the Chinese real estate market, which may materially and adversely affect revenues and results of operations [198]. - A substantial portion of the company's revenue is generated from a concentrated number of real estate developers [198]. - The company faces increased credit risk due to a large balance of trade receivables and customer deposits, which may significantly adversely affect operating performance [200]. - Government measures aimed at China's real estate industry may materially and adversely affect the company's business [198]. - The company relies on contractual arrangements with several subsidiaries, which may not be as effective as direct ownership and carry legal and operational risks [200].

Financial Results - The company plans to release audited financial results for the year ending December 31, 2021, by April 29, 2022[2] - The unaudited financial results announcement will be supplemented with additional information regarding any significant differences from the audited results[2] - The company has discussed with its auditors to ensure the audit process is completed unless unforeseen circumstances arise[2] - The company emphasizes the importance of maintaining the integrity of the unaudited financial results announcement[3] Leadership Structure - The board of directors includes various executive and non-executive members, indicating a diverse leadership structure[3]

Financial Performance - In the first half of 2021, the company achieved a revenue of RMB 6,247.9 million, representing a year-on-year increase of 119.6%[40] - Total revenue amounted to RMB6,247.9 million, increased by 119.6% compared to the six months ended June 30, 2020[57] - Revenue from digital marketing services amounted to RMB1,952.3 million during the reporting period[46] - Revenue from real estate brokerage network services increased by 96.2% to RMB2,162.3 million compared to the six months ended June 30, 2020[61] - Revenue from primary housing agency services increased by 29.2% to RMB1,637.4 million compared to the six months ended June 30, 2020[61] - The company reported a loss for the period amounting to RMB1,562.7 million[59] - The loss for the period amounted to RMB1,562.7 million in the six months ended June 30, 2021, compared to a profit of RMB104.7 million in the six months ended June 30, 2020[102] - Total comprehensive expense for the period was RMB1,562.4 million in the six months ended June 30, 2021, compared to total comprehensive income of RMB104.7 million in the six months ended June 30, 2020[104] - Operating loss was RMB1,665.2 million in the six months ended June 30, 2021, compared to an operating profit of RMB269.8 million in the six months ended June 30, 2020, resulting in an operating loss margin of 26.7%[104] - EBITDA loss was RMB1,071.1 million in the six months ended June 30, 2021, compared to an EBITDA profit of RMB436.2 million in the six months ended June 30, 2020[107] Real Estate Services - The total sales area of real estate agency services in the primary market reached 18.0 million square meters, with a Gross Transaction Value (GTV) of RMB 222.6 billion, a year-on-year growth of 51.0%[40] - The total gross transaction value (GTV) of real estate agency services was RMB222.6 billion, increased by 51.0% compared to the six months ended June 30, 2020[58] - The total GTV of real estate brokerage network services was RMB100.1 billion, increased by 131.1% compared to the six months ended June 30, 2020[58] - The real estate brokerage network service business realized a GTV of RMB 100.1 billion, with a year-on-year increase of 131.1%, and the number of units sold reached 67,536, up 110.2% year-on-year[41] Expenses and Costs - Staff costs increased by 50.7% from RMB1,183.9 million to RMB1,783.6 million, but as a percentage of revenue, it decreased from 41.6% to 28.5%[68] - Advertising and promotion expenses surged by 1,313.8% from RMB102.6 million to RMB1,450.2 million, mainly due to costs incurred by Leju after its acquisition[74] - Other operating costs rose by 223.4% from RMB98.0 million to RMB316.9 million, primarily due to costs incurred by Leju[87] - Distribution expenses increased by 104.7% from RMB968.4 million to RMB1,982.4 million, reflecting growth in the real estate brokerage network services segment[86] - Consultancy expenses increased by 120.9% from RMB79.3 million to RMB175.2 million, attributed to the recovery of operations[85] - Finance costs rose by 28.9%, from RMB209.1 million in the six months ended June 30, 2020, to RMB269.6 million in the six months ended June 30, 2021, mainly due to increased average balances of senior notes and bank loans[100] Cash and Financing - As of June 30, 2021, the company had cash and cash equivalents of RMB6,090.9 million, down from RMB7,515.8 million as of December 31, 2020[113] - The principal uses of cash during the six months ended June 30, 2021, were for working capital and recurring expenses to support business expansion[114] - The company's gearing ratio increased to 66.5% as of June 30, 2021, up from 64.1% as of December 31, 2020, primarily due to a decrease in cash and cash equivalents[117] - The Group had utilized approximately RMB1,309.1 million from the proceeds of USD-denominated senior notes for general corporate purposes and refinancing existing indebtedness[171] - The remaining balance of net proceeds from the senior notes issuance is approximately US$99.6 million, equivalent to RMB648.4 million, which is placed with banks for gradual application[171] Corporate Governance and Management - The Company has established an audit committee to review and supervise the financial reporting process and internal controls, consisting of three members: Mr. Zhang Bang, Mr. Li Jin, and Mr. Wang Liqun, with Mr. Zhang as the chairman[148] - The Company has complied with all code provisions set out in the Corporate Governance Code during the reporting period[148] - The Company has established a nomination committee and a remuneration committee in addition to the audit committee[150] - The Audit Committee reviewed the unaudited interim results for the six months ended June 30, 2021, discussing accounting policies and internal controls with senior management and the auditor[148] Strategic Initiatives - The company aims to establish a digital marketing strategy centered on "Tmall Haofang" to create a full-chain platform for online and offline real estate digital marketing[49] - The company plans to leverage CRIC Big Data to expand its real estate digital service platform ecosystem[53] - The Company announced the conditional agreement to sell 76,401,247 ordinary shares of Leju and the entire equity interest in E-House (China) International Property Development Limited for HK$2,558,696,093, to be settled by issuing 11,692,966 new JV shares[144] - A second strategic cooperation amendment agreement was signed with Alibaba China, granting exclusive rights to develop and operate a Tmall Haofang branded online real estate marketing platform[144] Changes in Directors - Mr. Zhu Hongchao was appointed as an independent director effective from June 2021[195] - Mr. Tang Xing was appointed as a non-executive Director effective from September 2, 2021[195] - Mr. Li Silong resigned as a non-executive Director effective from September 2, 2021[195] - Mr. Lv Peimei was appointed as a non-executive Director effective from September 2, 2021[195] - Mr. Huang Haojun resigned as a non-executive Director effective from September 2, 2021[195] - There has been no change to the information of the Directors which is required to be disclosed pursuant to Rule 13.51B(1) of the Listing Rules[195]

Financial Performance - Total revenue for the year ended December 31, 2020, was RMB8,051.5 million, a decrease of 11.5% from RMB9,094.7 million in 2019[54][62]. - Profit for the year decreased by 54.8% from RMB970.7 million in 2019 to RMB439.2 million in 2020[100]. - Total comprehensive income for the year fell by 52.7% from RMB970.7 million in 2019 to RMB458.7 million in 2020[101]. - Operating profit decreased by 24.4% from RMB1,263.1 million in 2019 to RMB955.5 million in 2020, with the operating profit margin declining from 13.9% to 11.9%[104]. - EBITDA for the year ended December 31, 2020, was RMB1,384.1 million, a decrease of 17.2% from RMB1,672.3 million in 2019[105]. - Core net profit attributable to owners of the Company for the year ended December 31, 2020 was RMB357.4 million, a decrease of 64.2% from RMB997.9 million for the year ended December 31, 2019[114]. Revenue Breakdown - Revenue from real estate agency services decreased by 29.8% to RMB3,203.5 million, primarily due to COVID-19 disruptions[54][63]. - Revenue from real estate brokerage network services decreased by 23.1% to RMB2,732.3 million, also impacted by COVID-19[54][64]. - Revenue from real estate data and consulting services increased by 1.0% to RMB987.0 million, driven by growth in rating and ranking services[54][65]. - Digital marketing services revenue post-acquisition of Leju amounted to RMB1,128.7 million[54][65]. Operational Highlights - The Group's EBITDA increased by 35% in the second half of 2020 compared to the same period in 2019[31]. - The Group's operational recovery has returned to normal levels by the second half of 2020[31]. - The impact of COVID-19 on the Company's operations has been largely mitigated by the second half of 2020[31]. - The Company achieved positive operating cash flows for the first time since its listing on The Stock Exchange of Hong Kong Limited[31]. Strategic Initiatives - The Company has shifted towards high-quality growth by consolidating premium resources and projects in its real estate agency services[32]. - The strategic partnership with Alibaba, announced in July 2020, focuses on online and offline real estate transactions and digital marketing[47]. - The company plans to enhance its digital marketing capabilities and expand its business scale while maintaining its traditional marketing advantages[43]. - Future strategies include building a data asset platform ecosystem and promoting the sharing and application of data assets across the real estate sector[42]. Acquisitions and Investments - The acquisition of control of Leju in November 2020 aims to enhance the company's media influence and create a new ecosystem for real estate transactions[47]. - The company agreed to acquire a total of 56.19% interest in Leju's issued share capital, or 51.40% on a fully diluted basis[152]. - The total consideration for the acquisition from SINA Parties is USD 93,600,000 (approximately HKD 725,400,000), satisfied by issuing 78,676,790 shares at HKD 9.22 each[153]. - The company conditionally agreed to purchase the entire equity interest in the Target Company for a total consideration of RMB600.0 million[146]. Cash Flow and Financial Position - Cash and cash equivalents increased from RMB2,294.4 million as of 31 December 2019 to RMB7,515.8 million as of 31 December 2020[115]. - Net cash from operating activities amounted to RMB587.8 million in 2020, influenced by operating cash flows before movements in working capital of RMB1,261.6 million[127]. - Net cash used in investing activities was RMB1,585.0 million in 2020, primarily due to proceeds from the disposal of financial assets of RMB1,610.3 million and net cash inflow from the acquisition of subsidiaries of RMB1,919.3 million[133]. - The gearing ratio as of 31 December 2020 was 64.1%, a decrease of 1.1 percentage points from 65.2% as of 31 December 2019, primarily due to the increase in cash and cash equivalents[124]. Cost Management - Staff costs decreased by 18.2% to RMB2,734.3 million, with staff costs as a percentage of revenue dropping from 36.7% to 34.0%[60][66]. - Advertising and promotion expenses increased by 141.2% to RMB946.8 million, largely due to Leju's marketing costs post-acquisition[61][67]. - Depreciation and amortisation expenses rose by 131.7% to RMB210.6 million, attributed to increased intangible asset amortisation from acquisitions[71][75]. - Distribution expenses decreased by 23.1% to RMB2,395.8 million, mainly due to reduced revenue from real estate brokerage network services[80]. Leadership and Management - Mr. Zhou Xin, the founder and executive director, has over 22 years of experience in China's real estate industry[180]. - The Company has a strong leadership team with extensive experience in real estate and financial analysis, enhancing its strategic capabilities[195]. - Dr. Cheng Li-Lan has served as chief financial officer of E-House (China) Holdings from 2006 to 2012 and as chief operating officer since 2012[198]. - The management team has a combined experience in various roles within the real estate sector, indicating a robust understanding of market dynamics[194].

Financial Performance - Total revenue for the six months ended June 30, 2020, amounted to RMB2,845.0 million[27]. - Profit and total comprehensive income for the period was RMB104.7 million[27]. - EBITDA for the six months ended June 30, 2020, was RMB436.2 million[27]. - The company recorded a total sales amount of RMB43.3 billion for the first half of 2020, with 32,122 units sold, realizing a profit of RMB37.5 million[17]. - Revenue decreased by 34.3% from RMB4,330.4 million in the six months ended 30 June 2019 to RMB2,845.0 million in the six months ended 30 June 2020, primarily due to COVID-19 and government measures[33]. - Profit and total comprehensive income for the period decreased by 84.0% from RMB654.1 million in the six months ended June 30, 2019, to RMB104.7 million in the six months ended June 30, 2020[73]. - Operating profit decreased by 65.6% from RMB784.0 million for the six months ended June 30, 2019, to RMB269.8 million for the six months ended June 30, 2020, with the operating profit margin decreasing from 18.1% to 9.5%[76]. - Core net profit attributable to owners decreased by 89.7% from RMB667.0 million for the six months ended June 30, 2019, to RMB68.5 million for the six months ended June 30, 2020[78]. Cash Flow and Financial Position - In the first half of 2020, the operating cash flow turned from negative to positive, with net cash from operating activities reaching RMB 833.2 million, compared to a net cash outflow of RMB 244.7 million in the same period last year[12]. - As of June 30, 2020, cash and cash equivalents were RMB2,413.1 million, an increase from RMB2,294.4 million as of 31 December 2019[81]. - Net cash from operating activities amounted to RMB833.2 million for the six months ended 30 June 2020, primarily due to a decrease in accounts receivables and bills receivables[94]. - Net cash used in investing activities was RMB618.1 million, primarily due to the purchase of financial assets measured at FVTPL of RMB615.3 million[95]. - The gearing ratio as of 30 June 2020 was 70.7%, an increase of 5.5 percentage points from 65.2% as of 31 December 2019, primarily due to new bank borrowings[93]. - Net cash used in financing activities was RMB115.3 million, primarily due to new bank borrowings of RMB1,101.8 million, offset by repayments of bank borrowings of RMB848.0 million[98]. Revenue Breakdown - Total sales of real estate agency services and real estate brokerage network services reached RMB190.8 billion during the same period[27]. - Revenue from real estate agency services in the primary market decreased by 50.8% from RMB2,577.6 million to RMB1,267.0 million during the same period, mainly due to the suspension of operations of real estate sales centers[34]. - Revenue from real estate brokerage network services decreased by 15.9% from RMB1,310.1 million to RMB1,102.2 million, attributed to the suspension of sales by real estate developers[35]. - Revenue from real estate data and consulting services increased by 7.4% from RMB442.7 million to RMB475.7 million, driven by higher income from rating and ranking services[36]. Cost Management - Staff costs decreased by 35.1% from RMB1,824.9 million to RMB1,183.9 million, with staff costs as a percentage of revenue slightly decreasing from 42.1% to 41.6%[37]. - Advertising and promotion expenses decreased by 26.9% from RMB140.4 million to RMB102.6 million, mainly due to reduced revenue from real estate agency services[38]. - Consultancy expenses decreased by 15.3% from RMB93.7 million to RMB79.3 million, primarily due to a decrease in project consultation[57]. - Distribution expenses decreased by 16.6% from RMB1,160.5 million to RMB968.4 million, reflecting a decrease in revenue from real estate brokerage network services[58]. - Other operating costs decreased by 46.0% from RMB181.5 million to RMB98.0 million, attributed to improved operational efficiency and cost control[59]. Strategic Initiatives - The company has shifted its focus towards high-quality growth in real estate agency services by consolidating premium resources and projects[16]. - The management is optimistic about the recovery of agency income in the second half of the year due to the substantial reserve projects[15]. - A strategic partnership with Alibaba was announced to enhance digitalization in real estate services[20]. - The company aims to shift from high-speed growth to high-quality growth in real estate agency services[20]. - The company plans to expand its market share in real estate transaction services rapidly[24]. - The company will continue to focus on real estate big data to empower the wider real estate industry[20]. Acquisitions and Investments - Significant acquisitions included the transfer of equity interests in Shanghai Fangjiao Information Technology Co., Ltd. for RMB51 million and an 80% equity interest in Yijin Culture for nil consideration[104]. - E-House Management agreed to transfer the entire equity interest in Shanghai Shanglin Property Management for a total consideration of RMB84,920,000[108]. - The total consideration for the acquisition of the entire partnership interest in Shanghai Wanju Investment Partnership Enterprise is RMB660.0 million[110]. - The company conditionally agreed to purchase 49,686,192 ordinary shares and 2,239,804 ADSs of Leju for a total consideration of US$198,579,099 (approximately HK$1,538,988,015), issuing 166,918,440 consideration shares at HK$9.22 each[129]. Corporate Governance - The company established a nomination committee and a remuneration committee in addition to the Audit Committee[152]. - The report emphasizes the importance of corporate governance and transparency in the ownership structure of the companies involved[197]. - The company continues to maintain compliance with the Securities and Futures Ordinance regarding disclosures of interests[185].

Real Estate Market Performance - In 2019, the total sales area of real estate agency services in the primary market reached 43.33 million square meters, a year-on-year increase of 4.9%, with total sales amounting to RMB 532.4 billion[23][26]. - The amount of signed and unsold reserve projects was 288.1 million square meters, ensuring stable future development of the primary market real estate agency services[23][26]. - The real estate industry in China faced significant pressures and challenges in 2019, yet the company delivered satisfactory results through employee efforts[22][25]. - The company’s performance in the primary market was characterized by stability amidst market volatility, contributing to an increase in market scale and share[22][25]. Brokerage Network Services - The brokerage network services recorded a total sales amount of RMB 138.2 billion in 2019, with 105,433 units sold, representing increases of 298.1% and 408.7% year-on-year, respectively[24][27]. - The brokerage network services segment achieved a profit of RMB 57.9 million for the full year, following a turnaround to profitability in the first half of 2019[24][27]. - The company maintained its industry-leading position in the brokerage network services business, significantly increasing brand awareness and industry influence[24][27]. - The company’s strategic focus on developing the distribution business and empowering brokers has proven effective, leading to substantial revenue growth in the brokerage network services[24][27]. Financial Performance - The company achieved a total revenue of RMB 9,094.7 million in 2019, representing a year-on-year increase of 52.9% compared to 2018[45]. - Revenue from real estate agency services and brokerage network services amounted to RMB 670.6 billion, an increase of 18.4% year-on-year[46]. - Profit and total comprehensive income for the period was RMB 970.7 million, a decrease of 10.3% compared to the previous year[46]. - EBITDA for 2019 was RMB 1,672.3 million, reflecting a year-on-year increase of 9.7%[47]. - Revenue from real estate data and consulting services rose to RMB 977.7 million, a 26.4% increase from RMB 773.3 million in 2018[50]. Cost and Expense Management - Employee costs increased by 11.6% to RMB 3,342.1 million in 2019, but the proportion of employee costs to revenue decreased from 50.3% in 2018 to 36.7% in 2019[51]. - Distribution expenses skyrocketed by 840.0% from RMB 331.5 million in 2018 to RMB 3,116.2 million in 2019, reflecting significant growth in the real estate brokerage network services segment[79]. - Other operating costs decreased by 11.9% from RMB 368.7 million in 2018 to RMB 324.9 million in 2019, due to improved operational efficiency[80]. - Financing costs surged by 981.2% from RMB 25.2 million in 2018 to RMB 272.2 million in 2019, mainly due to costs associated with the issuance of USD 500 million senior notes[85]. Leadership and Management - Mr. Zhou Xin, the founder and executive director, has over 21 years of experience in China's real estate industry[149]. - The company has a strong leadership team with extensive experience in real estate and financial analysis[171]. - The management team includes individuals with extensive backgrounds in finance and real estate, contributing to the company's growth and market strategies[192]. - The company focuses on strategic development and management oversight under the leadership of its executive directors[159]. Future Outlook and Strategic Initiatives - In 2020, the company aims to shift from high-speed growth to high-quality growth in its real estate agency services[41]. - The company plans to enhance technology-driven management to expand market share in real estate brokerage network services[41]. - The company is investing in new technology development, with a budget allocation of $DD million aimed at enhancing its service offerings[200]. - E-House is pursuing market expansion strategies, targeting new regions with an expected increase in market share of EE% over the next two years[200].

Real Estate Market Performance - In 2019, the total sales area of real estate agency services in the primary market reached 43.33 million square meters, representing a year-on-year increase of 4.9%[26]. - The total sales amount for real estate agency services was RMB 532.4 billion, demonstrating steady growth during the year[26]. - The amount of signed and unsold reserve projects was 288.1 million square meters, ensuring future stability in the primary market[26]. - The total sales amount in the real estate brokerage network services business saw nearly eight times growth in revenue[27]. - Revenue from real estate brokerage network services surged by 742.5% to RMB 3,550.8 million in 2019, driven by increased commissions from new property buyers[49]. - Revenue increased by 52.9% from RMB 5,948.2 million in 2018 to RMB 9,094.7 million in 2019, primarily due to the growth of real estate brokerage network services[52]. Financial Performance - The company achieved a record high revenue of RMB 977.7 million in 2019, representing a year-on-year increase of 26.4%, and a profit of RMB 231.7 million, up 7.8% year-on-year[31][33]. - The total revenue for the year amounted to RMB 9,094.7 million, an increase of 52.9% compared to the year ended December 31, 2018[44][45]. - Profit and total comprehensive income decreased by 10.3% from RMB 1,081.7 million in 2018 to RMB 970.7 million in 2019, influenced by various factors[88]. - Core net profit attributable to owners of the Company for 2019 was RMB 997.9 million, a decrease of 12.8% compared to RMB 1,144.6 million in 2018[105]. - Operating profit decreased by 10.7% from RMB 1,414.3 million in 2018 to RMB 1,263.1 million in 2019, with the operating profit margin dropping from 23.8% to 13.9%[99]. Cost and Expense Management - Employee costs rose by 11.6% to RMB 3,342.1 million in 2019, but the proportion of employee costs to revenue decreased from 50.3% in 2018 to 36.7% in 2019[49]. - Distribution expenses skyrocketed by 840.0% from RMB 331.5 million in 2018 to RMB 3,116.2 million in 2019, reflecting significant growth in the real estate brokerage network services segment[78]. - Finance costs increased dramatically by 981.2% from RMB 25.2 million in 2018 to RMB 272.2 million in 2019, mainly due to costs associated with the issuance of USD 500 million senior notes[86]. - Depreciation and amortization expenses surged by 247.2% from RMB 26.2 million in 2018 to RMB 90.9 million in 2019, attributed to additional depreciation from right-of-use assets[68]. Strategic Initiatives and Innovations - The company launched several new products in 2019, including You Fang Multiple Listing Service Platform and Fangyou Management System 2.0, to enhance its service offerings[27]. - The company launched several innovative products during the reporting period, including CAIC Asset Management Cloud and CAIC Investment Management Cloud, expanding its service offerings[31][33]. - The company plans to shift focus from high-speed growth to high-quality growth in real estate agency services, concentrating resources on premium projects[41][42]. - The company aims to enhance technology-driven management in its real estate brokerage network services to expand market share[41][42]. Leadership and Governance - The board currently consists of 12 directors, including 4 executive directors, 4 non-executive directors, and 4 independent non-executive directors[143]. - The company has a strong leadership team with extensive experience in the real estate sector, enhancing its strategic capabilities[156]. - The executive team is focused on strategic development and management oversight to drive the company's growth[158]. - The company has a diverse board composition, which may contribute to a balanced decision-making process[143]. Market Challenges and Responses - The company’s efforts in the real estate sector were recognized despite market pressures and challenges faced in 2019[25]. - In response to the COVID-19 pandemic, the company established an emergency response taskforce and introduced a blockchain-driven "sales center smart control" system[34][34]. - The company reported a decrease in profit and total comprehensive income for the period, amounting to RMB 970.7 million, down 10.3% compared to the previous year[44][45].

Financial Performance - E-House reported a revenue of RMB 1.2 billion for the first half of 2019, representing a year-over-year increase of 15%[2]. - The company achieved a net profit of RMB 200 million, up 10% compared to the same period last year[2]. - In the first half of 2019, the Company achieved revenue of RMB 4,330.4 million, representing a year-on-year increase of 55.8%, and profit of RMB 654.1 million, representing a year-on-year increase of 16.1%[12]. - Total revenue amounted to RMB 4,330.4 million, increased by 55.8% compared to RMB 2,779.8 million for the six months ended 30 June 2018[30]. - Profit and total comprehensive income for the period amounted to RMB 654.1 million, increased by 16.1% compared to the same period in 2018[31]. - Core net profit attributable to owners of the Company amounted to RMB 667.0 million, increased by 22.4% compared to RMB 545.5 million for the six months ended 30 June 2018[31]. - Profit before taxation for the period was RMB 834,017,000, with an income tax expense of RMB 179,958,000, compared to RMB 768,181,000 and RMB 204,710,000 respectively in 2018[184]. - For the six months ended June 30, 2019, the profit and total comprehensive income attributable to owners of the Company was RMB 467,525,000[198]. User Growth and Market Expansion - User data indicated a 20% increase in active users on the platform, reaching 1.5 million users[2]. - E-House plans to expand its market presence in Tier 2 and Tier 3 cities, targeting a 25% growth in these regions by the end of 2020[2]. - The Company plans to implement a "30,000+" strategy, aiming for 10,000+ stores, 10,000+ channels, and 10,000+ communities to enhance its brokerage service platform[19]. Investment and Development - The company is investing RMB 300 million in new technology development, focusing on AI and big data analytics to enhance service offerings[2]. - E-House aims to launch three new products in the next quarter, including a mobile app for real estate transactions[2]. - The Company will continue to develop a Primary Multiple Listing Service (PMLS) platform to address core pain points for developers and distributors[25]. - The Company aims to improve its big data application service platform across six major business segments to consolidate its leading position in the industry[26]. Financial Position and Cash Flow - E-House's cash flow from operations improved by 30%, totaling RMB 400 million in the first half of 2019[2]. - Cash and cash equivalents increased from RMB 2,280.2 million as of 31 December 2018 to RMB 3,024.7 million as of 30 June 2019[89]. - Net cash used in operating activities amounted to RMB 244.7 million for the six months ended 30 June 2019, primarily due to a net increase in cash used in operations and income tax paid[103]. - Net cash used in investing activities was RMB 526.7 million, mainly due to the purchase of financial assets of RMB 481.2 million and property and equipment of RMB 109.0 million[104]. - Net cash generated from financing activities was RMB 1,473.8 million, primarily from the issue of senior notes due 2021 amounting to RMB 2,014.7 million[105]. Corporate Governance and Compliance - The company emphasized its commitment to corporate governance and transparency in its operations[2]. - The Audit Committee reviewed the unaudited interim results of the Group for the six months ended June 30, 2019, and discussed accounting policies and internal controls with senior management and the auditor[115]. - The Company is committed to maintaining stringent corporate governance and has complied with all code provisions as set out in the Corporate Governance Code during the reporting period[115]. Shareholder Structure and Equity - As of June 30, 2019, the total number of shares issued was 1,470,254,200[139]. - Mr. Zhou Xin holds 307,730,975 shares, representing approximately 20.93% of the total shares[136]. - The beneficial ownership of shares is concentrated among a few major shareholders, indicating potential influence over company decisions[146]. - The company has pledged 228,920,000 shares as collateral for a loan from SPD Bank[140]. Expenses and Cost Management - Staff costs increased by 35.7% to RMB 1,824.9 million compared to RMB 1,345.2 million for the six months ended 30 June 2018, while the percentage of staff costs to revenue decreased from 48.4% to 42.1%[42]. - Distribution expenses surged by 757.9% from RMB 135.3 million in the six months ended 30 June 2018 to RMB 1,160.5 million in the six months ended 30 June 2019, driven by significant growth in the real estate brokerage network services segment[63]. - Other operating costs rose by 25.9% from RMB 148.1 million in the six months ended 30 June 2018 to RMB 186.5 million in the six months ended 30 June 2019, mainly due to increased travelling and business entertainment expenses[64]. Future Outlook - The management provided an optimistic outlook, projecting a revenue growth of 20% for the full year 2019[2]. - The Company will focus on enhancing customer relationships and execution capabilities to maintain growth in a deteriorating market environment[19]. - The Company will continue to innovate in real estate data and consulting services to tap new growth points and strengthen its overall service capabilities[14].