Financial Performance - First Service Holding Limited reported a strong performance with a revenue increase of 23% year-over-year for the first half of 2021[29]. - Total revenue for the six months ended June 30, 2021, was approximately RMB 508.8 million, representing an increase of about 53.7% compared to RMB 330.9 million for the same period in 2020[31]. - Profit before tax for the same period was RMB 93.2 million, up approximately 100.0% from RMB 46.3 million in 2020[31]. - Net profit for the six months ended June 30, 2021, was approximately RMB 71.8 million, reflecting a growth of about 109.9% compared to RMB 34.2 million in 2020[40]. - The company achieved a net profit margin of 14.1%, an increase of approximately 0.7 percentage points compared to the same period in 2020[40]. - Revenue increased by approximately 53.8% from RMB 330.9 million in the six months ended June 30, 2020, to RMB 508.8 million in the same period of 2021[48]. - Property management service revenue rose by about 74.2% from RMB 139.2 million to RMB 242.4 million, driven by a 245.3% increase in managed building area from 15.4 million square meters to 53.2 million square meters[49]. - The company recorded total assets of RMB 1,405.0 million as of June 30, 2021, compared to RMB 1,213.8 million as of December 31, 2020[31]. - The company’s equity attributable to owners was approximately RMB 673.7 million, an increase from RMB 652.9 million in the previous year[31]. - The company reported a significant increase in cash and cash equivalents, totaling RMB 548,468 thousand, compared to RMB 734,040 thousand at the end of 2020[142]. Operational Expansion - The company expanded its operational footprint to cover 103 cities across 25 provinces, establishing 10 regional companies by June 30, 2021[30]. - The company managed a total contracted area of approximately 73.0 million square meters and a total area under management of about 53.2 million square meters as of June 30, 2021[37]. - The company expanded its property management services to 103 cities across 25 provinces, municipalities, and autonomous regions in China[37]. - The number of managed properties surged from 30 to 369 due to acquisitions, enhancing the diversity of property types managed[49]. - The total number of contracted property management projects increased to 555, with a total contracted building area of 72,994 thousand square meters[51]. - The total number of managed properties increased to 457 with a managed building area of 53,202 thousand square meters, representing a 21.4% increase from 2020[53]. - The number of contract projects rose to 555, with a total contract building area of 72,994 thousand square meters, marking a 25.7% increase compared to the previous year[54]. Strategic Initiatives - Future outlook includes continued investment in green technology and digital integration to enhance customer living experiences[29]. - The company is focused on expanding its service offerings in residential, villa, office, hospital, university, and industrial park sectors[30]. - First Service Holding Limited aims to leverage its comprehensive management capabilities and green technology brand advantages for market growth[30]. - The company is committed to providing green and healthy living experiences through its technology-driven services[29]. - First Service Holding Limited's strategic initiatives include enhancing community operation services and building technology consulting capabilities[29]. - The company plans to further penetrate the market by developing new products and technologies to meet evolving customer needs[29]. - The company plans to strategically acquire or invest in small to medium-sized property management companies, focusing on regions such as Beijing-Tianjin-Hebei and the Yangtze River Delta[42]. - The company aims to develop smart communities and enhance its IT systems to improve management efficiency and user experience[42]. - The company is committed to continuous research and commercialization of green technology, aligning with national dual carbon strategies[43]. Corporate Governance - The company is committed to maintaining high standards of corporate governance and has complied with all applicable code provisions[100]. - The company has established an audit committee to review the integrity and accuracy of financial information[103]. - The board of directors did not recommend any interim dividend for the six months ended June 30, 2021[102]. - The company has no record of purchasing, selling, or redeeming any of its listed securities during the reporting period[105]. - The company has no changes in the board of directors that require disclosure under the listing rules[104]. - The company has no additional disclosures regarding the interests of directors and senior management in shares or related securities as of June 30, 2021[116]. Employee and Talent Management - As of June 30, 2021, the company had a total of 3,502 employees, all located in China[93]. - The company is focused on attracting and nurturing talent to ensure long-term sustainable growth[44]. - The company aims to attract and cultivate talent, with plans to expand recruitment activities for its talent programs[95]. Cash Flow and Investments - The company experienced a net cash outflow from investing activities of RMB 176,250,000, compared to a cash inflow of RMB 120,484,000 in the previous year[152]. - The company raised RMB 22,076,000 from bank borrowings during the reporting period[154]. - The company incurred a net cash outflow of RMB 5,400,000 from financing activities, a decrease from RMB 129,108,000 in the previous year[154]. - The company’s cash and cash equivalents decreased by approximately 25.3% from RMB 734.0 million as of December 31, 2020, to RMB 548.5 million as of June 30, 2021, mainly due to cash used for acquisitions[79]. Shareholder Information - Major shareholder Zhang Lei owns 395,559,000 shares (39.56%) and his spouse, Yu Jinmei, holds the same amount[118]. - The total shares held by the family group, including Zhang Peng and Zhang Lei, account for approximately 57.46% of the company's issued shares as of June 30, 2021[113]. - The interests of major shareholders in shares and related securities have been disclosed, with significant holdings from entities controlled by Zhang Lei and other related parties[119]. Compliance and Reporting - The company’s financial report for the six months ending June 30, 2021, complies with the International Accounting Standard 34 for interim financial reporting[135]. - The review of the interim financial report was conducted in accordance with the Hong Kong Institute of Certified Public Accountants' standards, confirming no significant issues were found[135]. - The group has applied several revised international financial reporting standards during the current accounting period, but these revisions did not have a significant impact on the group's performance or financial position[159].

Financial Performance - In 2020, First Service Holding Limited achieved revenue of RMB 771.8 million, a 23.6% increase from RMB 624.7 million in 2019[26]. - The company reported a profit before tax of RMB 123.9 million, up 15.9% from RMB 106.9 million in the previous year[26]. - The company recorded revenue of approximately RMB 771.8 million for the year ended December 31, 2020, representing a growth of about 23.5% compared to 2019[57]. - Gross profit was approximately RMB 267.3 million, an increase of about 22.9% year-over-year[57]. - Profit for the year reached approximately RMB 101.9 million, reflecting a growth of about 21.5% from the previous year[57]. - The company recorded a profit of approximately RMB 119.7 million in 2020, representing an increase of about 41.5% compared to 2019, with a net profit margin rising by two percentage points to approximately 15.5%[67]. - Net profit rose by 21.5% from RMB 83.9 million in 2019 to RMB 101.9 million in 2020, driven by an increase in managed gross floor area from 13.7 million square meters to 19.1 million square meters[82]. - Property management services generated revenue of approximately RMB 321.6 million, a 17.9% increase compared to the previous year[84]. - Green living solutions revenue reached RMB 193.5 million, up from RMB 154.6 million in 2019, with energy operation services contributing RMB 101.9 million[90]. - Value-added services revenue totaled RMB 256.7 million, an increase from RMB 197.3 million in 2019, with agency services accounting for RMB 135.2 million[94]. Customer and Market Growth - Total customer households reached 79,560, representing a 13.8% growth compared to the previous year[32]. - The total number of managed projects increased from 94 in 2019 to 131 in 2020, with the managed gross floor area growing from 13.69 million square meters to 19.08 million square meters[85]. - The company signed 105 new projects in 2020, with a total contract value of RMB 240 million, covering various project types[32]. - The third-party signed area increased by 61.9% year-on-year, reaching 15.7 million square meters, accounting for 42.2% of the total signed area[32]. - The company secured a total contracted gross floor area of approximately 37.3 million square meters from 232 contracted projects as of December 31, 2020[88]. - The number of contracts from third-party developers increased significantly, contributing to the overall growth in managed area[88]. Strategic Initiatives and Future Plans - The company aims to leverage its strong technical research and application capabilities in green technology and smart community platforms to enhance its market position[61]. - The company plans to expand its market presence by enhancing its service offerings and leveraging its multi-industry platform capabilities[61]. - The company plans to continue expanding its property management business and aims to strengthen relationships with IoT service providers and engage in more marketing activities targeting third-party developers[69]. - The company aims to enhance its digital technology systems and develop smart communities to improve customer experience and operational performance[73]. - The company is committed to ongoing research and commercialization of green technology systems, including energy systems related to geothermal heat pump technology[74]. - Future outlook includes further market expansion and potential acquisitions to enhance service capabilities and market presence[89]. Corporate Governance and Management - The company has a strong management team with over 20 years of experience in financial matters, including independent non-executive director Sun Jing, who has a background in internet information and technology services[154]. - The management team includes professionals with extensive experience in property management and engineering, such as Long Han and Pan Fengwei, who have over 11 years and 15 years of experience respectively[152][161]. - The company has established a strong presence in the real estate sector, with directors having significant experience in property management and urban development[157]. - The board consists of 4 executive directors, 2 non-executive directors, and 3 independent non-executive directors, ensuring compliance with listing rules regarding independent directors[173]. - The company has adopted a board diversity policy aiming for at least 20% female representation on the board, currently having one female executive director and two female independent non-executive directors[178]. - The company has implemented appropriate liability insurance for directors against legal actions[172]. - The board of directors confirmed that corporate governance is a shared responsibility among directors, including reviewing compliance with laws and regulations[195]. Financial Position and Assets - As of December 31, 2020, total assets amounted to RMB 1.21 billion, with total liabilities of RMB 537.7 million[27]. - Total assets grew from RMB 720.2 million in 2019 to RMB 1,212.0 million in 2020, while total liabilities increased from RMB 443.5 million to RMB 537.7 million[115]. - Current ratio improved from 1.51 in 2019 to 2.16 in 2020, indicating better liquidity[116]. - Cash and cash equivalents increased by 181.3% from RMB 260.1 million in 2019 to RMB 731.7 million in 2020, primarily due to proceeds from global offerings[117]. - Trade and other receivables increased by RMB 123.8 million or 67.3% to RMB 307.8 million as of December 31, 2020, due to business expansion[113]. Recognition and Awards - The company was awarded the title of "Top 100 Property Service Companies in China" and "Leading Company in Property Service Quality" in May 2020[45]. - The company was recognized as "Advanced Collective in Fighting COVID-19" in Beijing, highlighting its commitment to community health and safety during the pandemic[58]. - The company was recognized as an advanced collective in the fight against COVID-19 in Beijing[30]. Listing and Shareholder Information - First Service Holding Limited was successfully listed on the Hong Kong Stock Exchange on October 22, 2020, under stock code 2107[21]. - The board proposed a final dividend of HKD 0.0397 per share, totaling HKD 39.7 million, subject to shareholder approval[122]. - The net proceeds from the global offering amounted to approximately HKD 571.2 million, with specific allocations for strategic acquisitions and investments in property management companies[131]. - 50% of the net proceeds (approximately HKD 285.6 million) is allocated for strategic acquisitions or investments in property management companies, expected to be utilized by the end of 2023[133].