[Financial Summary](index=1&type=section&id=Financial%20Summary) Rongwanjia Life Service Co., Ltd. reported interim results for the six months ended June 30, 2025, with net profit increasing by 2.0% year-on-year to RMB 94.7 million, gross profit by 8.1% to RMB 259.2 million, and total revenue by 1.7% to RMB 1,011.9 million 2025 H1 Key Financial Indicators | Indicator | June 30, 2025 (RMB million) | June 30, 2024 (RMB million) | YoY Growth (%) | | :--- | :--- | :--- | :--- | | Net Profit | 94.7 | 92.8 | 2.0 | | Net Profit Margin | 9.3% | - | Broadly Stable | | Gross Profit | 259.2 | 239.7 | 8.1 | | Gross Profit Margin | 25.6% | 24.1% | 1.5 percentage points | | Total Revenue | 1,011.9 | 995.2 | 1.7 | [Interim Results](index=2&type=section&id=Interim%20Results) The Group announced its unaudited consolidated interim results for the six months ended June 30, 2025, including the consolidated balance sheet and consolidated income statement, compared with the same period in 2024 [Consolidated Balance Sheet](index=2&type=section&id=Consolidated%20Balance%20Sheet) As of June 30, 2025, the Group's total assets were RMB 4,356.0 million, an increase of approximately 4.4% from December 31, 2024, with total current assets at RMB 3,956.5 million and total liabilities at RMB 2,054.8 million Consolidated Balance Sheet Summary (RMB) | Item | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | **Assets** | | | | Total Current Assets | 3,956,477,657.39 | 3,777,249,135.72 | | Total Non-Current Assets | 399,546,037.50 | 396,848,219.51 | | **Total Assets** | **4,356,023,694.89** | **4,174,097,355.23** | | **Liabilities** | | | | Total Current Liabilities | 2,036,918,395.68 | 1,941,948,820.32 | | Total Non-Current Liabilities | 17,907,415.72 | 24,221,814.78 | | **Total Liabilities** | **2,054,825,811.40** | **1,966,170,635.10** | | **Shareholders' Equity** | | | | Total Equity Attributable to Parent Company Shareholders | 2,278,597,029.11 | 2,188,011,573.93 | | Non-controlling Interests | 22,600,854.38 | 19,915,146.20 | | **Total Shareholders' Equity** | **2,301,197,883.49** | **2,207,926,720.13** | | **Total Liabilities and Shareholders' Equity** | **4,356,023,694.89** | **4,174,097,355.23** | [Consolidated Income Statement](index=6&type=section&id=Consolidated%20Income%20Statement) For the six months ended June 30, 2025, the Group's total operating revenue was RMB 1,011.9 million, a year-on-year increase of 1.7%, with net profit rising 2.0% to RMB 94.7 million Consolidated Income Statement Summary (RMB) | Item | Jan-Jun 2025 (Unaudited) | Jan-Jun 2024 (Unaudited) | | :--- | :--- | :--- | | Total Operating Revenue | 1,011,856,907.76 | 995,168,060.86 | | Total Operating Costs | 813,752,698.50 | 819,790,907.54 | | Operating Profit | 123,501,827.34 | 117,720,399.89 | | Total Profit | 120,815,716.74 | 119,702,732.69 | | Income Tax Expense | 26,163,138.73 | 26,935,595.36 | | Net Profit | 94,652,578.01 | 92,767,137.33 | | Net Profit Attributable to Owners of the Parent Company | 89,398,187.55 | 91,099,587.40 | | Non-controlling Interests | 5,254,390.46 | 1,667,549.93 | | Basic EPS (RMB/share) | 0.24 | 0.24 | | Diluted EPS (RMB/share) | 0.24 | 0.24 | [Notes to Financial Statement Items](index=9&type=section&id=Notes%20to%20Financial%20Statement%20Items) This section details the notes to various items in the Group's financial statements, including company overview, accounting policies, composition and changes in assets and liabilities, and specific details on revenue, costs, taxes, and earnings per share [General Information](index=9&type=section&id=General%20Information) Rongwanjia Life Service Co., Ltd. was incorporated in China on November 2, 2000, primarily engaged in property management and related value-added services, with its H-shares listed on the Main Board of the Hong Kong Stock Exchange on January 15, 2021 - Company incorporated in China on **November 2, 2000**, primarily engaged in property management and related value-added services[17](index=17&type=chunk) - H-shares listed on the Main Board of the Hong Kong Stock Exchange on **January 15, 2021**[18](index=18&type=chunk) [Summary of Significant Accounting Policies](index=9&type=section&id=Summary%20of%20Significant%20Accounting%20Policies) The Group's financial statements are prepared on a going concern basis, in accordance with China Accounting Standards for Business Enterprises, Hong Kong Companies Ordinance, and HKEX Listing Rules, confirming the Group's recent profitable operating history and financial resources - Financial statements prepared on a going concern basis, complying with China Accounting Standards, Hong Kong Companies Ordinance, and HKEX Listing Rules[19](index=19&type=chunk) - Group has a recent profitable operating history and financial resources, supporting the going concern assumption[20](index=20&type=chunk) [Accounts Receivable](index=10&type=section&id=Accounts%20Receivable) As of June 30, 2025, the Group's total accounts receivable was RMB 2,824.7 million, with the highest proportion aged within 1 year, and a bad debt provision rate of 17.72% Accounts Receivable Aging Analysis (RMB) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within 1 year (inclusive) | 1,587,887,747.70 | 1,420,972,949.85 | | 1-2 years | 481,044,942.79 | 484,220,845.26 | | 2-3 years | 343,919,999.48 | 309,037,741.69 | | Over 3 years | 411,842,411.30 | 337,167,354.06 | | Total | 2,824,695,101.27 | 2,551,398,890.86 | Accounts Receivable Bad Debt Provision Classification (RMB) | Category | June 30, 2025 Book Balance | June 30, 2025 Bad Debt Provision | June 30, 2025 Provision Rate (%) | June 30, 2025 Carrying Amount | | :--- | :--- | :--- | :--- | :--- | | Provision for bad debts by portfolio | 2,824,695,101.27 | 500,624,368.37 | 17.72 | 2,324,070,732.90 | | **Total** | **2,824,695,101.27** | **500,624,368.37** | **17.72** | **2,324,070,732.90** | [Prepayments](index=11&type=section&id=Prepayments) As of June 30, 2025, the Group's total prepayments were RMB 132.2 million, an increase of 19.5% from December 31, 2024, with prepayments aged 2-3 years significantly increasing to 44.69% Prepayments Aging Analysis (RMB) | Item | June 30, 2025 Amount | June 30, 2025 Percentage (%) | December 31, 2024 Amount | December 31, 2024 Percentage (%) | | :--- | :--- | :--- | :--- | :--- | | Within 1 year | 45,594,304.69 | 34.49 | 41,848,250.64 | 37.84 | | 1-2 years | 19,822,255.62 | 15.00 | 60,153,778.08 | 54.39 | | 2-3 years | 59,073,147.79 | 44.69 | 7,441,921.45 | 6.73 | | Over 3 years | 7,690,823.10 | 5.82 | 1,148,374.18 | 1.04 | | Total | 132,180,531.20 | 100.00 | 110,592,324.35 | 100.00 | [Other Receivables](index=11&type=section&id=Other%20Receivables) As of June 30, 2025, the Group's total other receivables were RMB 578.5 million, a slight increase of 1.3% from December 31, 2024, with a bad debt provision rate of 21.23% Composition of Other Receivables (RMB) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Interest Receivable | 248,182.37 | 223,294.22 | | Other Receivables | 578,227,868.56 | 570,881,960.80 | | Total | 578,476,050.93 | 571,105,255.02 | Other Receivables Bad Debt Provision Classification (RMB) | Category | June 30, 2025 Book Balance | June 30, 2025 Bad Debt Provision | June 30, 2025 Provision Rate (%) | June 30, 2025 Carrying Amount | | :--- | :--- | :--- | :--- | :--- | | Provision for bad debts by portfolio | 734,103,803.70 | 155,875,935.14 | 21.23 | 578,227,868.56 | | **Total** | **734,103,803.70** | **155,875,935.14** | **21.23** | **578,227,868.56** | [Inventories](index=13&type=section&id=Inventories) As of June 30, 2025, the Group's total inventories were RMB 340.2 million, remaining relatively stable compared to December 31, 2024, primarily consisting of raw materials, merchandise inventory, and revolving materials Composition of Inventories (RMB) | Item | June 30, 2025 Book Balance | June 30, 2025 Carrying Amount | December 31, 2024 Book Balance | December 31, 2024 Carrying Amount | | :--- | :--- | :--- | :--- | :--- | | Raw Materials | 7,647,249.18 | 7,647,249.18 | 6,717,488.34 | 6,717,488.34 | | Merchandise Inventory | 319,098,962.65 | 319,098,962.65 | 319,282,013.76 | 319,282,013.76 | | Revolving Materials | 13,438,332.21 | 13,438,332.21 | 13,141,138.23 | 13,141,138.23 | | Total | 340,184,544.04 | 340,184,544.04 | 339,140,640.33 | 339,140,640.33 | [Contract Assets](index=13&type=section&id=Contract%20Assets) As of June 30, 2025, the Group's contract assets primarily consisted of construction in progress, with a carrying amount of RMB 32.7 million, an increase of 21.3% from December 31, 2024 Contract Assets (RMB) | Item | June 30, 2025 Book Balance | June 30, 2025 Impairment Provision | June 30, 2025 Carrying Amount | | :--- | :--- | :--- | | Construction in Progress | 34,432,029.11 | 1,721,601.52 | 32,710,427.59 | | **Total** | **34,432,029.11** | **1,721,601.52** | **32,710,427.59** | - As of June 30, 2025, the carrying amount of contract assets was **RMB 32,710,427.59**, an increase from **RMB 26,954,668.97** as of December 31, 2024[29](index=29&type=chunk)[30](index=30&type=chunk) [Intangible Assets](index=14&type=section&id=Intangible%20Assets) As of June 30, 2025, the Group's intangible assets, primarily software usage rights, had a carrying amount of RMB 6.9 million, a decrease from RMB 8.1 million as of December 31, 2024, mainly due to amortization during the period Changes in Intangible Assets (Software Usage Rights) (RMB) | Item | Software Usage Rights | | :--- | :--- | | Period-end Carrying Amount (June 30, 2025) | 6,903,148.73 | | Period-beginning Carrying Amount (December 31, 2024) | 8,108,312.60 | | Increase during the period | 19,690.60 | | Decrease during the period | 15,079.80 | | Amortization for the period | 1,224,854.47 | [Accounts Payable](index=14&type=section&id=Accounts%20Payable) As of June 30, 2025, the Group's total accounts payable was RMB 736.8 million, a slight increase of 0.4% from December 31, 2024, primarily consisting of engineering payments Composition of Accounts Payable (RMB) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Engineering Payments | 473,087,180.04 | 468,483,974.58 | | Service Fees | 201,566,648.01 | 193,365,517.78 | | Merchandise Payments | 62,097,616.98 | 71,997,714.58 | | Total | 736,751,445.03 | 733,847,206.94 | Accounts Payable Aging Analysis (RMB) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within 1 year | 261,974,764.05 | 415,258,382.59 | | 1-2 years | 222,656,299.16 | 130,587,491.76 | | 2-3 years | 102,365,271.69 | 85,915,596.41 | | 3-4 years | 68,738,380.30 | 83,581,844.92 | | 4-5 years | 69,735,839.46 | 8,026,282.91 | | Over 5 years | 11,280,890.37 | 10,477,608.35 | | Total | 736,751,445.03 | 733,847,206.94 | [Advances from Customers](index=15&type=section&id=Advances%20from%20Customers) As of June 30, 2025, the Group's advances from customers primarily consisted of rental fees, amounting to RMB 1.46 million, a slight increase from December 31, 2024 Advances from Customers (RMB) | Category | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Rental Fees | 1,462,228.14 | 1,392,505.44 | [Contract Liabilities](index=15&type=section&id=Contract%20Liabilities) As of June 30, 2025, the Group's contract liabilities primarily consisted of prepaid property management fees, amounting to RMB 564.0 million, a significant increase of 25.8% from RMB 448.2 million as of December 31, 2024 Contract Liabilities (RMB) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Prepaid Property Management Fees, etc | 564,023,602.39 | 448,197,573.83 | [Other Payables](index=15&type=section&id=Other%20Payables) As of June 30, 2025, the Group's total other payables were RMB 465.0 million, a decrease of 7.0% from December 31, 2024, primarily consisting of other payables with stable dividends payable Other Payables by Nature (RMB) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Interest Payable | 0.00 | 0.00 | | Dividends Payable | 7,270.63 | 7,270.63 | | Other Payables | 464,991,512.70 | 499,749,745.29 | | Total | 464,998,783.33 | 499,757,015.92 | [Share Capital](index=16&type=section&id=Share%20Capital) As of June 30, 2025, the Group's total share capital was RMB 376.0 million, unchanged from December 31, 2024, with no changes in share capital during the period Changes in Share Capital (RMB) | Item | Beginning Balance | Changes during the year (+,-) Subtotal | Ending Balance | | :--- | :--- | :--- | :--- | | Total Shares | 376,000,000.00 | 0.00 | 376,000,000.00 | [Capital Reserve](index=16&type=section&id=Capital%20Reserve) As of June 30, 2025, the Group's total capital reserve was RMB 985.8 million, an increase of RMB 1.19 million from December 31, 2024, mainly due to an increase in share premium Changes in Capital Reserve (RMB) | Item | December 31, 2024 | Increase during the period | Decrease during the period | June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | | Share Premium | 906,045,603.32 | 1,187,267.63 | 0.00 | 907,232,870.95 | | Other Capital Reserve | 78,584,601.78 | 0.00 | 0.00 | 78,584,601.78 | | Total | 984,630,205.10 | 1,187,267.63 | 0.00 | 985,817,472.73 | [Surplus Reserve](index=16&type=section&id=Surplus%20Reserve) As of June 30, 2025, the Group's total surplus reserve was RMB 111.0 million, an increase of RMB 6.41 million from December 31, 2024, mainly due to an increase in statutory surplus reserve Changes in Surplus Reserve (RMB) | Item | December 31, 2024 | Increase during the period | Decrease during the period | June 30, 2025 | | :--- | :--- | :--- | :--- | :--- | | Statutory Surplus Reserve | 104,634,931.96 | 6,410,547.64 | 0.00 | 111,045,479.60 | [Operating Revenue, Operating Costs](index=16&type=section&id=Operating%20Revenue%2C%20Operating%20Costs) For the six months ended June 30, 2025, the Group's operating revenue was RMB 1,011.9 million, a year-on-year increase of 1.7%, with operating costs slightly decreasing by 0.37% to RMB 752.6 million Operating Revenue and Operating Costs (RMB) | Item | 2025 Revenue | 2025 Costs | 2024 Revenue | 2024 Costs | | :--- | :--- | :--- | :--- | :--- | | Main Business | 1,008,722,633.29 | 752,062,151.41 | 991,060,287.98 | 754,743,406.62 | | Other Business | 3,134,274.47 | 577,050.67 | 4,107,772.88 | 689,523.27 | | Total | 1,011,856,907.76 | 752,639,202.08 | 995,168,060.86 | 755,432,929.89 | Revenue from Contracts by Category (RMB) | Contract Category | Jan-Jun 2025 | Jan-Jun 2024 | | :--- | :--- | :--- | | Community Services | 725,237,463.00 | 720,716,494.04 | | Commercial & Enterprise Services | 30,732,258.15 | 23,361,226.75 | | City Services | 112,137,842.79 | 85,317,879.12 | | Value-added Services to Property Owners | 143,749,343.82 | 165,772,460.95 | | Total | 1,011,856,907.76 | 995,168,060.86 | - Revenue transferred over time accounted for **93.5%**, indicating that service revenue primarily consists of continuous services[37](index=37&type=chunk) [Income Tax Expense](index=17&type=section&id=Income%20Tax%20Expense) For the six months ended June 30, 2025, the Group's income tax expense was RMB 26.2 million, a year-on-year decrease of 2.9%, with an effective tax rate of approximately 21.7% due to preferential tax rates for "small-profit enterprises" Composition of Income Tax Expense (RMB) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Current Income Tax | 48,222,734.49 | 44,099,170.67 | | Deferred Income Tax Expense | -22,059,595.76 | -17,163,575.31 | | Total | 26,163,138.73 | 26,935,595.36 | - The effective income tax rate was approximately **21.7%**, lower than the general rate of **25%**, as more subsidiaries qualified as "small-profit enterprises" and enjoyed a **5%** preferential tax rate[38](index=38&type=chunk)[86](index=86&type=chunk) [Return on Net Assets and Earnings Per Share](index=17&type=section&id=Return%20on%20Net%20Assets%20and%20Earnings%20Per%20Share) As of June 30, 2025, the weighted average return on net assets attributable to parent company shareholders was 4.00%, with basic and diluted earnings per share both at RMB 0.24, consistent with the prior year Return on Net Assets and Earnings Per Share | Profit for the Period | Weighted Average Return on Net Assets (%) | Basic EPS | Diluted EPS | | :--- | :--- | :--- | :--- | | Net profit attributable to parent company shareholders | 4.00 | 0.24 | 0.24 | | Net profit attributable to parent company shareholders after deducting non-recurring gains and losses | 4.29 | 0.26 | 0.26 | [Dividends](index=17&type=section&id=Dividends) For the six months ended June 30, 2025, the Board of Directors did not recommend the payment of an interim dividend, consistent with the same period in 2024 - The Board of Directors did not recommend the payment of an interim dividend for the six months ended June 30, 2025[40](index=40&type=chunk)[41](index=41&type=chunk) [Management Discussion and Analysis](index=18&type=section&id=Management%20Discussion%20and%20Analysis) This section reviews the Group's business performance, financial position, future outlook, and financial risks for the six months ended June 30, 2025, highlighting steady growth in GFA under management and revenue, improved gross profit margin, and active business structure adjustments [Business Review](index=18&type=section&id=Business%20Review) As a nationwide comprehensive property management service provider, the Group managed a GFA of 90.6 million sq.m. across 69 cities in 19 provinces of China as of June 30, 2025, offering diversified services through four business lines and continuously expanding its GFA under management and contracted GFA - As of June 30, 2025, the Group managed **485** property management projects, with a total GFA under management of approximately **90.6 million sq.m.**, covering **69** cities in **19** provinces of China[42](index=42&type=chunk) - During the period, revenue was approximately **RMB 1,011.9 million** (a year-on-year increase of **1.7%**), gross profit was approximately **RMB 259.2 million** (a year-on-year increase of **8.1%**), and net profit was **RMB 94.7 million** (a year-on-year increase of **2.0%**)[43](index=43&type=chunk) [Overview](index=18&type=section&id=Overview) The Group is a nationwide comprehensive property management service provider, with GFA under management of approximately 90.6 million sq.m. and contracted GFA of approximately 101.5 million sq.m. as of June 30, 2025, covering 69 cities in 19 provinces of China - As of June 30, 2025, GFA under management was approximately **90.6 million sq.m.**, and contracted GFA was approximately **101.5 million sq.m.**[42](index=42&type=chunk) - Business covers **69** cities in **19** provinces, municipalities, and autonomous regions of China[42](index=42&type=chunk) [Business Model](index=18&type=section&id=Business%20Model) The Group primarily provides diversified services through four business lines: community services, commercial & enterprise services, city services, and value-added services to property owners, covering the entire property management value chain - Four business lines: Community Services, Commercial & Enterprise Services, City Services, and Value-added Services to Property Owners, forming a comprehensive service system[44](index=44&type=chunk)[48](index=48&type=chunk) - Community services primarily include basic property management and value-added services, with property management fees collected on an all-inclusive basis[44](index=44&type=chunk) - Commercial & enterprise services cover non-residential property management for commercial, government, industrial parks, hotels, schools, and hospitals[48](index=48&type=chunk) [GFA Under Management and Contracted GFA for Community Services and Commercial & Enterprise Services Business Lines](index=19&type=section&id=GFA%20Under%20Management%20and%20Contracted%20GFA%20for%20Community%20Services%20and%20Commercial%20%26%20Enterprise%20Services%20Business%20Lines) As of June 30, 2025, the Group's contracted GFA was approximately 101.5 million sq.m. (up 0.3% YoY) and GFA under management was approximately 90.6 million sq.m. (up 4.6% YoY), with continued expansion into non-residential property types and urban operation services - As of June 30, 2025, contracted GFA was approximately **101.5 million sq.m.** (a year-on-year increase of **0.3%**), and GFA under management was approximately **90.6 million sq.m.** (a year-on-year increase of **4.6%**)[45](index=45&type=chunk) - In the first half of 2025, **42** cooperation agreements were signed with independent third-party property developers to expand non-residential property types and urban operation service projects[46](index=46&type=chunk) Changes in Contracted and GFA Under Management (Thousand sq.m.) | Item | 2025 Contracted GFA | 2025 GFA Under Management | 2024 Contracted GFA | 2024 GFA Under Management | | :--- | :--- | :--- | :--- | :--- | | As at beginning of period | 101,330 | 89,294 | 101,053 | 83,620 | | Newly appointed | 363 | 1,477 | 1,290 | 3,765 | | Terminated | (204) | (204) | (1,159) | (830) | | As at end of period | 101,489 | 90,567 | 101,184 | 86,555 | Total GFA Under Management by Geographical Region (Thousand sq.m.) | Geographical Region | 2025 (Thousand sq.m.) | 2025 (%) | 2024 (Thousand sq.m.) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Bohai Rim Economic Circle | 54,298 | 60.0 | 51,299 | 59.3 | | Yangtze River Delta Region | 17,525 | 19.3 | 17,137 | 19.8 | | Greater Bay Area and surrounding regions | 2,929 | 3.2 | 2,924 | 3.4 | | Central and Western Regions | 15,815 | 17.5 | 15,195 | 17.6 | | Total | 90,567 | 100.0 | 86,555 | 100.0 | GFA Under Management and Number of Projects by Property Type | Property Type | 2025 Number of Projects | 2025 GFA (Thousand sq.m.) | 2024 Number of Projects | 2024 GFA (Thousand sq.m.) | | :--- | :--- | :--- | :--- | :--- | | Community Properties | 385 | 83,104 | 407 | 79,208 | | Non-community Properties - Commercial Properties | 45 | 2,661 | 54 | 2,602 | | Non-community Properties - Public and Other Properties | 23 | 4,802 | 24 | 4,745 | | Subtotal (Non-community Properties) | 68 | 7,463 | 78 | 7,347 | | Total | 453 | 90,567 | 485 | 86,555 | [City Services](index=22&type=section&id=City%20Services) The Group provides urban operation services such as municipal sanitation, waste treatment, landscaping, and water management, having signed 9 urban service operation projects in 6 cities across Hebei and Heilongjiang provinces as of June 30, 2025 - Provides municipal sanitation, waste treatment, landscaping, and water management urban operation services[59](index=59&type=chunk) - As of June 30, 2025, **9** urban service operation projects were signed in **6** cities, covering Hebei Province and Heilongjiang Province[59](index=59&type=chunk) [Value-added Services to Property Owners](index=22&type=section&id=Value-added%20Services%20to%20Property%20Owners) The Group's value-added services to property owners include parking space leasing and sales, new retail, and value-added services for property developers, with the new retail business model upgraded to "chain convenience stores + self-operated front-end warehouses + community group buying" - Value-added services to property owners include parking space leasing and sales, new retail, commercial procurement, home repair, housekeeping services, and value-added services for property developers[60](index=60&type=chunk) - New retail business model upgraded to "chain convenience stores + self-operated front-end warehouses + community group buying," with **83** physical stores and over **1.24 million** registered users as of June 30, 2025[62](index=62&type=chunk) - To counter the downturn in the real estate industry, new businesses such as engineering maintenance, home decoration, landscape maintenance, and direct drinking water services are actively being deployed for delivered communities, and renovation and maintenance services for public buildings, municipal facilities, and industrial parks are being expanded[64](index=64&type=chunk) [Future Outlook](index=23&type=section&id=Future%20Outlook) Looking ahead to the second half of 2025, the Group will continue to be customer-centric, enhance service quality and brand influence, intensify market expansion, diversify its business, and strengthen financial control and talent development - Continue to uphold a customer-centric philosophy, enhancing service quality, brand influence, and market share[65](index=65&type=chunk) - Diversify business, strategically invest in environmental sanitation, medical aesthetics, and tourism accommodation, deploy new businesses such as government public construction and city services, and optimize revenue structure[65](index=65&type=chunk) - Continuously improve the "full life cycle, full chain service" system, promoting car wash and beauty, convenience kiosks, real estate brokerage, community health and wellness, and other businesses[66](index=66&type=chunk) - Develop a new health and wellness brand "Linlin Yuehu," offering one-stop, comprehensive health and wellness services[66](index=66&type=chunk) - Strengthen financial control, enhance risk resistance, and cultivate and introduce professional talent, promoting informatization construction[66](index=66&type=chunk) [Financial Review](index=24&type=section&id=Financial%20Review) The Group's revenue increased by 1.7% year-on-year to RMB 1,011.9 million, gross profit by 8.1% to RMB 259.2 million, and gross profit margin improved by 1.5 percentage points to 25.6%, while net profit increased by 2.0% despite a slight 1.9% decrease in profit attributable to owners of the parent company [Revenue](index=24&type=section&id=Revenue) The Group's total revenue for the period was RMB 1,011.9 million, a year-on-year increase of 1.7%, with significant growth in commercial & enterprise services and city services, while value-added services to property owners revenue decreased due to business optimization Revenue by Business Line (RMB Thousand) | Business Line | 2025 | 2024 | Change (%) | | :--- | :--- | :--- | :--- | | Community Services | 725,237 | 720,717 | 0.6 | | Commercial & Enterprise Services | 30,732 | 23,361 | 31.6 | | City Services | 112,138 | 85,318 | 31.4 | | Value-added Services to Property Owners | 143,749 | 165,773 | -13.3 | | Total | 1,011,857 | 995,168 | 1.7 | - Revenue from value-added services to property owners decreased by **13.3%**, mainly due to the optimization of new retail business layout, streamlining product categories, shifting to online and front-end warehouse sales, and the transformation of home decoration business from new homes to existing homes[70](index=70&type=chunk) [Community Services](index=26&type=section&id=Community%20Services) Community services revenue increased by 0.6% year-on-year to RMB 725.2 million, with basic property management services accounting for 96.6%, primarily from properties developed by Rongsheng Group, and the Bohai Rim Economic Circle remaining the main revenue source Community Services Revenue Composition (RMB Thousand) | Item | 2025 | 2025 (%) | 2024 | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Basic Property Management Services | 700,549 | 96.6 | 698,153 | 96.9 | | Other Services | 24,688 | 3.3 | 22,563 | 3.1 | | Total | 725,237 | 100.0 | 720,716 | 100.0 | Basic Property Management Services Revenue by Property Developer Type (RMB Thousand) | Item | 2025 | 2025 (%) | 2024 | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Properties developed by Rongsheng Group | 692,676 | 98.9 | 691,252 | 99.0 | | Properties developed by independent third-party property developers | 7,873 | 1.1 | 6,901 | 1.0 | | Total | 700,549 | 100.0 | 698,153 | 100.0 | Basic Property Management Services Revenue by Geographical Coverage (RMB Thousand) | Region | 2025 | 2025 (%) | 2024 | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Bohai Rim Economic Circle | 408,113 | 58.3 | 412,303 | 59.1 | | Yangtze River Delta Region | 127,075 | 18.1 | 126,153 | 18.1 | | Greater Bay Area and surrounding regions | 35,393 | 5.1 | 29,681 | 4.3 | | Central and Western Regions | 129,968 | 18.6 | 130,016 | 18.6 | | Total | 700,549 | 100.0 | 698,153 | 100.0 | [Commercial & Enterprise Services](index=27&type=section&id=Commercial%20%26%20Enterprise%20Services) Commercial & enterprise services revenue increased by 31.6% year-on-year to RMB 30.7 million, primarily driven by the Group's active expansion of new projects - Commercial & enterprise services revenue increased by **31.6%** to **RMB 30.7 million**, mainly due to active business expansion and an increase in new projects[70](index=70&type=chunk)[77](index=77&type=chunk) [City Services](index=27&type=section&id=City%20Services) City services revenue increased by 31.4% year-on-year to RMB 112.1 million, primarily due to the company's active expansion of regions and projects - City services revenue increased by **31.4%** to **RMB 112.1 million**, mainly due to the company's active expansion of regions and projects[70](index=70&type=chunk)[78](index=78&type=chunk) [Value-added Services to Property Owners](index=28&type=section&id=Value-added%20Services%20to%20Property%20Owners) Revenue from value-added services to property owners decreased by 13.3% year-on-year to RMB 143.7 million, with a decline in living services revenue partially offset by a slight increase in value-added services for property developers Value-added Services to Property Owners Revenue Composition (RMB Thousand) | Item | 2025 | 2025 (%) | 2024 | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Parking Space Leasing and Sales Services | 16,037.0 | 11.2 | 18,474.2 | 11.1 | | Living Services | 71,962.2 | 50.1 | 92,700.0 | 55.9 | | Value-added Services for Property Developers | 55,750.2 | 38.8 | 54,598.3 | 32.9 | | Total | 143,749.4 | 100.0 | 165,772.5 | 100.0 | - Revenue from value-added services to property owners decreased by **13.3%**, mainly due to the continuous optimization of the new retail business in the living services segment, streamlining product categories, shifting to online and instant retail, and the transformation of home decoration business[70](index=70&type=chunk) [Cost of Sales](index=28&type=section&id=Cost%20of%20Sales) The Group's cost of sales decreased by 0.37% year-on-year to RMB 752.6 million, primarily due to effective cost control measures - Cost of sales decreased by approximately **0.37%** from **RMB 755.4 million** to **RMB 752.6 million**, primarily due to cost control[81](index=81&type=chunk) [Gross Profit and Gross Profit Margin](index=29&type=section&id=Gross%20Profit%20and%20Gross%20Profit%20Margin) The Group's gross profit increased by 8.1% year-on-year to RMB 259.2 million, with gross profit margin improving from 24.1% to 25.6%, mainly due to business expansion and strategic adjustments in value-added services to property owners Gross Profit and Gross Profit Margin by Business Line (RMB Thousand) | Category | 2025 Gross Profit | 2025 Gross Profit Margin (%) | 2024 Gross Profit | 2024 Gross Profit Margin (%) | | :--- | :--- | :--- | :--- | :--- | | Community Services | 164,987 | 22.7 | 163,296 | 22.7 | | Commercial & Enterprise Services | 5,988 | 19.5 | 4,254 | 18.2 | | City Services | 26,457 | 23.6 | 16,499 | 19.3 | | Value-added Services to Property Owners | 61,786 | 43.0 | 55,686 | 33.6 | | Total | 259,218 | 25.6 | 239,735 | 24.1 | - Gross profit margin increased by **1.5 percentage points** to **25.6%**, mainly due to business expansion and adjustments to the business model of value-added services to property owners, eliminating low-margin businesses[83](index=83&type=chunk) [Selling Expenses](index=29&type=section&id=Selling%20Expenses) The Group's selling expenses decreased by 4.3% year-on-year to RMB 2.7 million, primarily due to a slight reduction in marketing and expansion expenses - Selling expenses decreased by **4.3%** to **RMB 2.7 million**, mainly due to a slight reduction in marketing and expansion expenses[84](index=84&type=chunk) [Administrative Expenses](index=30&type=section&id=Administrative%20Expenses) The Group's administrative expenses decreased by 9.3% year-on-year to RMB 51.4 million, primarily due to streamlining functional personnel and reducing related expenses, achieving cost reduction and efficiency improvement - Administrative expenses decreased by **9.3%** to **RMB 51.4 million**, mainly due to streamlining functional personnel and reducing functional personnel expenses, achieving cost reduction and efficiency improvement[85](index=85&type=chunk) [Income Tax Expense](index=30&type=section&id=Income%20Tax%20Expense) The Group's income tax expense decreased by 2.9% year-on-year to RMB 26.2 million, with an effective tax rate of approximately 21.7%, primarily due to more subsidiaries qualifying for "small-profit enterprise" tax benefits - Income tax expense decreased by **2.9%** to **RMB 26.2 million**, with an effective income tax rate of approximately **21.7%**, lower than the general rate of **25%**, as more subsidiaries qualified as "small-profit enterprises"[86](index=86&type=chunk) [Profit for the Period](index=30&type=section&id=Profit%20for%20the%20Period) The Group's profit for the period increased by 2.0% to RMB 94.7 million, primarily due to an increase in gross profit contribution of RMB 19.5 million, driven by business expansion and revenue growth in community and commercial & enterprise services - Profit for the period increased by **2.0%** to **RMB 94.7 million**, mainly due to an increase in gross profit contribution of **RMB 19.5 million**, driven by business expansion and revenue growth in community and commercial & enterprise services[87](index=87&type=chunk) [Profit Attributable to Owners of the Company](index=30&type=section&id=Profit%20Attributable%20to%20Owners%20of%20the%20Company) Profit attributable to owners of the company for the period was approximately RMB 89.4 million, a decrease of approximately 1.9% compared to the same period in 2024 - Profit attributable to owners of the company was approximately **RMB 89.4 million**, a year-on-year decrease of approximately **1.9%**[88](index=88&type=chunk) [Property, Plant and Equipment, Right-of-Use Assets and Long-term Deferred Expenses](index=31&type=section&id=Property%2C%20Plant%20and%20Equipment%2C%20Right-of-Use%20Assets%20and%20Long-term%20Deferred%20Expenses) As of June 30, 2025, the Group's property, plant and equipment, right-of-use assets, and long-term deferred expenses totaled approximately RMB 53.4 million, a decrease of RMB 9.1 million from December 31, 2024, mainly due to depreciation and amortization of assets - Property, plant and equipment, right-of-use assets, and long-term deferred expenses totaled approximately **RMB 53.4 million**, a decrease of **RMB 9.1 million** from December 31, 2024, mainly due to depreciation and amortization of assets during the period[89](index=89&type=chunk) [Investment Properties](index=31&type=section&id=Investment%20Properties) As of June 30, 2025, the Group's investment properties were approximately RMB 69.3 million, a slight decrease from December 31, 2024, but remained relatively stable - Investment properties were approximately **RMB 69.3 million**, a slight decrease from December 31, 2024, remaining relatively stable[90](index=90&type=chunk) [Intangible Assets](index=31&type=section&id=Intangible%20Assets) As of June 30, 2025, the Group's intangible assets were approximately RMB 6.9 million, a decrease from December 31, 2024, mainly due to amortization of intangible assets during the period - Intangible assets were approximately **RMB 6.9 million**, a decrease from December 31, 2024, mainly due to amortization of intangible assets during the period[91](index=91&type=chunk) [Inventories](index=31&type=section&id=Inventories) As of June 30, 2025, the Group's inventories were approximately RMB 340.2 million, a slight increase from December 31, 2024, remaining relatively stable, and primarily including raw materials, convenience store merchandise, and parking spaces acquired through debt settlement - Inventories were approximately **RMB 340.2 million**, a slight increase from December 31, 2024, remaining relatively stable[92](index=92&type=chunk) - Inventories primarily include raw materials, convenience store merchandise, revolving materials, low-value consumables, and parking spaces acquired through debt settlement agreements[92](index=92&type=chunk) [Accounts Receivable, Other Receivables and Prepayments](index=31&type=section&id=Accounts%20Receivable%2C%20Other%20Receivables%20and%20Prepayments) As of June 30, 2025, the Group's accounts receivable, other receivables, and prepayments totaled approximately RMB 3,040.8 million, an increase of approximately 8.4% from December 31, 2024, driven by revenue growth and increased prepayments for engineering and outsourcing service contracts - Accounts receivable, other receivables, and prepayments totaled approximately **RMB 3,040.8 million**, an increase of approximately **8.4%** from December 31, 2024[93](index=93&type=chunk) - Accounts receivable were approximately **RMB 2,324.1 million**, an increase of approximately **9.8%**, mainly due to revenue growth during the period[93](index=93&type=chunk) - Prepayments were approximately **RMB 132.2 million**, an increase of approximately **19.5%**, mainly due to increased prepayments for engineering services and outsourcing service contracts[94](index=94&type=chunk) [Accounts Payable and Other Payables](index=32&type=section&id=Accounts%20Payable%20and%20Other%20Payables) As of June 30, 2025, the Group's accounts payable and other payables totaled approximately RMB 1,428.6 million, a decrease of approximately 1.7% from December 31, 2024, mainly due to settlement of energy payables, refund of decoration deposits, and a reduction in employee numbers - Accounts payable and other payables totaled approximately **RMB 1,428.6 million**, a decrease of approximately **1.7%** from December 31, 2024[95](index=95&type=chunk) - Other payables decreased by approximately **7.0%**, mainly due to the settlement of energy payables and decoration deposit refunds[96](index=96&type=chunk) - Salaries and wages payable decreased by approximately **2.6%**, mainly due to a reduction in employee numbers[96](index=96&type=chunk) [Working Capital](index=33&type=section&id=Working%20Capital) The Group continuously meets its working capital, capital expenditure, and other capital requirements through cash generated from operations and net proceeds from its listing - Working capital sources primarily include cash generated from operations and net proceeds from the H-share listing[97](index=97&type=chunk) [Net Current Assets](index=33&type=section&id=Net%20Current%20Assets) As of June 30, 2025, the Group's net current assets were approximately RMB 1,919.6 million, an increase of approximately 4.6% from December 31, 2024, with both total current assets and total current liabilities increasing - Net current assets were approximately **RMB 1,919.6 million**, an increase of approximately **4.6%** from December 31, 2024[98](index=98&type=chunk) - Total current assets increased by approximately **4.7%** to **RMB 3,956.5 million**, and total current liabilities increased by approximately **4.9%** to **RMB 2,036.9 million**[98](index=98&type=chunk) [Cash and Cash Equivalents](index=33&type=section&id=Cash%20and%20Cash%20Equivalents) As of June 30, 2025, the Group's cash and cash equivalents were approximately RMB 494.5 million, a decrease of approximately 10.7% from December 31, 2024, mainly due to reduced net operating cash flow resulting from business expansion and new business investments - Cash and cash equivalents were approximately **RMB 494.5 million**, a decrease of approximately **10.7%** from December 31, 2024[99](index=99&type=chunk) - The decrease was mainly due to the Group's expanded scale and investment in new businesses, leading to increased procurement of materials and labor costs, resulting in a decrease in overall net operating cash flow[99](index=99&type=chunk) [Indebtedness](index=33&type=section&id=Indebtedness) As of June 30, 2025, the Group's total outstanding bank loans were RMB 3.0 million, consistent with December 31, 2024, and are expected to be repaid in September 2025 - As of June 30, 2025, total outstanding bank loans were **RMB 3.0 million**, expected to be repaid in September 2025[100](index=100&type=chunk) [Pledge of Assets](index=33&type=section&id=Pledge%20of%20Assets) As of June 30, 2025, the Group had no pledged assets, consistent with December 31, 2024 - As of June 30, 2025, the Group had no pledged assets[101](index=101&type=chunk) [Financial Risks](index=33&type=section&id=Financial%20Risks) The Group faces foreign exchange risk, credit risk, and liquidity risk, which it manages by monitoring exchange rates, depositing funds with highly-rated banks, investing in high-rated wealth management products, and assessing the financial condition of related parties - The Group faces foreign exchange risk, credit risk, and liquidity risk, focusing on mitigating potential adverse impacts[102](index=102&type=chunk) [Foreign Exchange Risk](index=34&type=section&id=Foreign%20Exchange%20Risk) The Group's operations are primarily conducted in RMB, resulting in minimal foreign exchange risk, and while no foreign currency hedging policy is currently implemented, management will closely monitor it - Operations are primarily conducted in RMB, so foreign exchange risk has little impact, and no foreign currency hedging policy is currently implemented[103](index=103&type=chunk) [Credit Risk](index=34&type=section&id=Credit%20Risk) The Group's credit risk primarily arises from accounts receivable, other receivables, contract assets, bank cash deposits, and financial assets at fair value through profit or loss, with minimal expected risk from bank deposits and financial assets due to high credit ratings and liquidity - Credit risk arises from accounts receivable, other receivables, contract assets, bank cash deposits, and financial assets at fair value through profit or loss[104](index=104&type=chunk) - Bank cash deposits and financial assets are expected to have no significant credit risk, as they are deposited with high credit rating banks or invested in high-liquidity wealth management products[104](index=104&type=chunk)[105](index=105&type=chunk) - Adequate provision for doubtful accounts from related parties has been considered, and asset-for-debt swaps will be considered if recovery is not possible[105](index=105&type=chunk) [Liquidity Risk](index=35&type=section&id=Liquidity%20Risk) The Group manages liquidity risk by monitoring and maintaining sufficient cash and cash equivalents to support operations and mitigate the impact of cash flow fluctuations - Liquidity risk is managed by monitoring and maintaining sufficient cash and cash equivalents[107](index=107&type=chunk) [Contingent Liabilities and Litigation](index=35&type=section&id=Contingent%20Liabilities%20and%20Litigation) As of June 30, 2025, the Group had no significant contingent liabilities or litigation - As of June 30, 2025, the Group had no significant contingent liabilities or litigation[108](index=108&type=chunk) [Commitments](index=35&type=section&id=Commitments) As of June 30, 2025, the Group's lease commitments as a lessee were approximately RMB 19.3 million, a decrease from December 31, 2024 - As of June 30, 2025, the Group's lease commitments as a lessee were approximately **RMB 19.3 million**, a decrease of approximately **RMB 5.3 million** from December 31, 2024[109](index=109&type=chunk) [Key Financial Ratios](index=35&type=section&id=Key%20Financial%20Ratios) As of June 30, 2025, the Group's current ratio was 1.9 times, and its asset-liability ratio was approximately 47.2%, both broadly stable compared to December 31, 2024 Key Financial Ratios | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Current Ratio | 1.9 times | Approx 1.9 times | | Asset-Liability Ratio | Approx 47.2% | Approx 47.1% | [Significant Investments, Acquisitions and Disposals of Subsidiaries, Associates and Joint Ventures](index=35&type=section&id=Significant%20Investments%2C%20Acquisitions%20and%20Disposals%20of%20Subsidiaries%2C%20Associates%20and%20Joint%20Ventures) On June 18, 2025, the Company entered into a debt offset framework agreement with Rongsheng Development, conditionally agreeing to acquire properties with a total consideration of approximately RMB 1.07 billion to offset outstanding receivables, a transaction approved at the shareholders' meeting on August 8, 2025 - On June 18, 2025, the Company entered into a debt offset framework agreement with Rongsheng Development, conditionally agreeing to acquire properties (including parking spaces, storage rooms, and residential/commercial units) with a total consideration of approximately **RMB 1.07 billion** to offset outstanding receivables owed to the Group[111](index=111&type=chunk) - The debt offset transaction was approved by the Company at the extraordinary general meeting held on August 8, 2025[111](index=111&type=chunk) [Future Plans for Material Investments or Capital Assets](index=36&type=section&id=Future%20Plans%20for%20Material%20Investments%20or%20Capital%20Assets) As of the date of this announcement, the Group has not entered into any agreements for material investments or capital assets, nor does it have any other related plans, with future potential investment opportunities to undergo feasibility studies and be funded by internal resources - As of the date of this announcement, the Group has not entered into any agreements or plans for material investments or capital assets[113](index=113&type=chunk) - Potential investment opportunities will undergo feasibility studies and be funded by internal resources, including net proceeds from the listing[113](index=113&type=chunk) [Use of Proceeds from Listing](index=36&type=section&id=Use%20of%20Proceeds%20from%20Listing) The net proceeds from the listing were approximately HKD 1,168 million, with a Board resolution on June 16, 2023, reallocating certain unutilized proceeds to strategic acquisitions, enriching community value-added services, and for working capital and general corporate purposes - Net proceeds from the listing were approximately **HKD 1,168 million**[114](index=114&type=chunk) - On June 16, 2023, the Board resolved to change the use of certain net proceeds, reallocating approximately **HKD 385.4 million**[114](index=114&type=chunk) - The revised uses include: **40%** for strategic investments and acquisitions, **20%** for enriching community value-added services, **15%** for enhancing information technology infrastructure, and **25%** for general business purposes and working capital[116](index=116&type=chunk) [Employees and Remuneration Policy](index=37&type=section&id=Employees%20and%20Remuneration%20Policy) As of June 30, 2025, the Group had 7,290 full-time employees, with employee costs of approximately RMB 350.75 million, and has established a competitive incentive and performance appraisal system while focusing on talent development through extensive training programs - As of June 30, 2025, the Group had **7,290** full-time employees, with employee costs of approximately **RMB 350.75 million** during the period[117](index=117&type=chunk) - Established competitive incentive and performance appraisal systems, including equity incentives and performance-based remuneration[118](index=118&type=chunk) - Focused on talent development, organizing nearly **619** training sessions for approximately **23,189** participants during the period[119](index=119&type=chunk) [Other Information](index=37&type=section&id=Other%20Information) This section covers significant post-reporting period events, compliance with corporate governance code, standard code for securities transactions by directors and supervisors, purchase/sale/redemption of listed securities, audit committee responsibilities, interim dividend recommendation, and publication of interim results [Significant Events After Reporting Period](index=37&type=section&id=Significant%20Events%20After%20Reporting%20Period) Except for the approval of the 2025 Debt Offset Framework Agreement at the extraordinary general meeting on August 8, 2025, the Group had no other significant post-reporting period events impacting it as of the date of this announcement - Except for the approval of the **2025 Debt Offset Framework Agreement** at the extraordinary general meeting on August 8, 2025, there were no other significant post-reporting period events[120](index=120&type=chunk) [Compliance with Corporate Governance Code](index=37&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The Company has adopted and complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 Part 2 of the HKEX Listing Rules during the period - The Company has adopted and complied with all applicable code provisions of the Corporate Governance Code set out in Appendix C1 Part 2 of the HKEX Listing Rules during the period[121](index=121&type=chunk)[122](index=122&type=chunk) [Compliance with the Standard Code for Securities Transactions by Directors and Supervisors](index=38&type=section&id=Compliance%20with%20the%20Standard%20Code%20for%20Securities%20Transactions%20by%20Directors%20and%20Supervisors) The Company has adopted the Standard Code set out in Appendix C3 of the Listing Rules as the code of conduct for securities transactions by directors, supervisors, and employees, with all directors and supervisors confirming compliance during the period - The Company has adopted the Standard Code set out in Appendix C3 of the Listing Rules as the code of conduct for securities transactions by directors, supervisors, and employees[123](index=123&type=chunk) - All directors and supervisors confirmed compliance with the Standard Code and the Securities Dealing Code during the period, with no violations found[123](index=123&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=38&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities, and as of June 30, 2025, the Company held no treasury shares - During the period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[124](index=124&type=chunk) - As of June 30, 2025, the Company held no treasury shares[124](index=124&type=chunk) [Audit Committee](index=38&type=section&id=Audit%20Committee) The Audit Committee comprises three members, with Mr. Xu Shaohong as Chairman and Mr. Jin Wenhui possessing appropriate accounting qualifications, and has reviewed the Group's interim results and adopted accounting standards, reaching an agreement with management - The Audit Committee comprises three members, with Mr. Xu Shaohong as Chairman, and Mr. Jin Wenhui possessing appropriate accounting qualifications[125](index=125&type=chunk) - The Committee has reviewed the Group's interim results for the period and the accounting standards adopted, reaching an agreement with management[125](index=125&type=chunk) [Interim Dividend](index=38&type=section&id=Interim%20Dividend) The Board of Directors does not recommend the payment of an interim dividend for the six months ended June 30, 2025, consistent with the same period in 2024 - The Board of Directors does not recommend the payment of an interim dividend for the six months ended June 30, 2025[126](index=126&type=chunk) [Publication of Interim Results and 2025 Interim Report](index=39&type=section&id=Publication%20of%20Interim%20Results%20and%202025%20Interim%20Report) This announcement has been published on the HKEX website and the Company's website, and the Company's interim report, containing all information required by the Listing Rules, will be dispatched to shareholders and published in due course - This announcement has been published on the HKEX website (www.hkexnews.hk) and the Company's website (www.roiserv.com)[127](index=127&type=chunk) - The Company's interim report, containing all information required by the Listing Rules, will be dispatched to shareholders and published on the HKEX and Company websites in due course[127](index=127&type=chunk)

Core Viewpoint - The company Rong Wan Jia (02146.HK) has announced that its board meeting will be held on August 29, 2025, to review and approve the interim results for the six months ending June 30, 2025, and to consider the proposal for an interim dividend, if any [1] Summary by Relevant Categories - **Board Meeting Announcement** - The board meeting is scheduled for August 29, 2025 [1] - The meeting will focus on reviewing and approving the interim results for the six months ending June 30, 2025 [1] - **Financial Performance Review** - The company will discuss its interim performance during the board meeting [1] - **Dividend Consideration** - The board will consider the proposal for an interim dividend, subject to approval [1]

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 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的任何損失承擔任何責 任。 Roiserv Lifestyle Services Co., Ltd. （股 份 代 號：2146） 榮萬家生活服務股份有限公司 （一 家 於 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司） 董事長兼執行董事 耿建富 中 國，廊 坊，二 零 二 五 年 八 月 十 九 日 於 本 公 告 日 期，董 事 會 包 括 執 行 董 事 耿 建 富 先 生、劉 紅 霞 女 士 及 隆 小 康 先 生； 非執行董事張文革先生；以及獨立非執行董事金文輝先生、許少宏先生及唐義書 先 生。 董事會會議通告 榮萬家生活服務股份有限公司（「本公司」）董 事（「董 事」）會（「董事會」）謹 此 宣 佈， 董事會會議將於二零二五年八月二十九（星 期 五）舉 行，藉 以（其 中 包 括）審議及 批准本公司及其附屬公司截至二零二五年六月三十日止六 ...

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 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的任何損失承擔任何責任。 Roiserv Lifestyle Services Co., Ltd. 榮萬家生活服務股份有限公司 （一 家 於 中 華 人 民 共 和 國 註 冊 成 立 的 股 份 有 限 公 司） （股 份 代 號：2146） 於2025年8月8日舉行之臨時股東大會投票結果 茲提述榮萬家生活服務股份有限公司（「本公司」）日期均為2025年7月21日的臨 時股東大會（「臨時股東大會」）通 函（「通 函」）及通告（「通 告」，連 同 通 函 統 稱「臨 時 股東大會文件」）。除 文 義 另 有 所 指 外，本 公 告 所 用 詞 彙 與 臨 時 股 東 大 會 文 件 所 界 定 者 具 有 相 同 涵 義。 董 事 會 欣 然 宣 佈，臨 時 股 東 大 會 已 於2025年8月8日（星 期 五）假座中國河北省廊 坊市經濟技術開發區祥雲道81號 榮 盛 發 ...

截至月份: 2025年7月31日 狀態: 新提交 致：香港交易及結算所有限公司 FF301 股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 II. 已發行股份及/或庫存股份變動 公司名稱: 榮萬家生活服務股份有限公司 呈交日期: 2025年8月1日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | H | | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 02146 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 94,000,000 | RMB | | 1 | RMB | | 94,000,000 | | 增加 / 減少 (-) | | | 0 | | | | RMB | | 0 | | 本月底結存 | | | 94,000,000 | RMB | | 1 | RMB | | 94,00 ...

Company Overview - Rongwanjia, established in November 2000, is a large-scale comprehensive property service enterprise with a national first-class qualification in property management and is a member of the China Property Management Association [3] - The company was listed on the Hong Kong Stock Exchange on January 15, 2021, under the stock code HK02146 [3] Financial Performance - As of December 31, 2024, Rongwanjia achieved total operating revenue of 1.957 billion yuan, a year-on-year increase of 6.83%, while the net profit attributable to shareholders was 114 million yuan, a decrease of 9.91% [2] - The gross profit margin stood at 21.24%, and the asset-liability ratio was 47.1% [2] Market Position - Rongwanjia manages 473 property management projects with a total managed area of approximately 89.3 million square meters across 68 cities in 19 provinces, municipalities, and autonomous regions in China [4] - The company has contracted to manage 519 property management projects, covering a total contracted area of about 101.3 million square meters [4] Industry Recognition - In 2024, Rongwanjia was recognized as one of the top 14 property service companies in China, ranked among the top 20 for comprehensive strength, and ranked 13th in brand value among property service companies, with a brand value of 6.058 billion yuan [4] - The company has received multiple industry honors, including being recognized as a leading enterprise in market-oriented property service operations [4] Valuation Metrics - The average price-to-earnings (P/E) ratio for the real estate industry (TTM) is 4.88 times, with Rongwanjia's P/E ratio at 4.16 times, ranking 14th in the industry [3]

Core Viewpoint - Several real estate companies are reported to be selling assets to address financial challenges and optimize their balance sheets [1]. Group 1: Rongwanjia's Debt Settlement - Listed property company Rongwanjia (02146.HK) announced a debt settlement framework agreement with its major shareholder Rongsheng Development (002146), involving the sale of properties to offset a debt balance of approximately 1.07 billion yuan [2][5]. - The properties to be sold include 12,700 parking spaces, 5,479 storage units, and 112 residential, apartment, and commercial units across various provinces [5]. - The agreement stipulates that the purchase price for the properties will offset the debt balance, resulting in an increase of approximately 1.07 billion yuan in inventory and a corresponding decrease in accounts receivable [6]. Group 2: China Communications Real Estate's Asset Sale - China Communications Real Estate announced a major asset sale plan, proposing to transfer its real estate development-related assets and liabilities to its controlling shareholder for a nominal price of 1 yuan [3][8]. - This transaction aims to focus the company on property services and asset management, transitioning to a light asset operation model [8]. - The company has been facing continuous losses in its real estate development business, with a reported net asset deficit of 3.579 billion yuan by the end of 2024, prompting the need to divest loss-making assets [9].

Core Viewpoint - Real estate companies are increasingly using asset-backed debt repayment strategies to manage their financial obligations, with a notable example being Rongwanjia's recent agreement to convert receivables into physical assets worth approximately 1.07 billion yuan [1][2]. Group 1: Debt Restructuring Strategies - Rongwanjia announced a debt repayment framework agreement with Rongsheng Development, involving the acquisition of assets valued at 1.07 billion yuan to offset receivables [2][3]. - The total amount of debt resolved through asset-backed transactions by Rongsheng Development has reached 3.383 billion yuan, including previous agreements with suppliers [1][4]. - The real estate sector is witnessing an acceleration in debt restructuring efforts, with many companies exploring various strategies, including asset-backed debt repayment [1][3]. Group 2: Financial Performance and Challenges - Rongwanjia's accounts receivable stood at 2.116 billion yuan in 2024, exceeding its revenue of 1.959 billion yuan for the same period, indicating significant financial pressure [2][3]. - The company has recorded a decline in revenue and net profit over the past few years, with revenues dropping from 2.563 billion yuan in 2021 to 1.957 billion yuan in 2024 [3]. - Rongsheng Development has faced substantial financial challenges, reporting a net loss of 8.4 billion yuan in 2024 and a cash decline to 1.648 billion yuan by the end of the first quarter of 2024 [6]. Group 3: Asset Types and Transactions - The assets involved in the recent debt repayment include 12,700 parking spaces, 5,479 storage units, and 112 residential and commercial units across various provinces [2][3]. - Previous asset-backed debt repayment transactions by Rongsheng Development included the use of land and property assets to settle approximately 810 million yuan in debts [4][5]. - The company has also explored equity-based debt repayment strategies, proposing to use shares from its subsidiaries to address a total of 16 billion yuan in debts [6].

Group 1 - China Resources Land has secured an offshore RMB 5.85 billion loan, enhancing its financial stability and liquidity, which will support project development and improve market competitiveness [1] - Rongwanjia plans to acquire properties from Rongsheng Development for RMB 1.07 billion to offset receivables, significantly improving its financial situation and reducing bad debt risk [2] - Shanghai Pufang Group has transferred 68.7547% of Pudong Investment's equity to Pudong Development Bank without compensation, allowing for a more focused business strategy and potential synergies in land development [3] Group 2 - Sanya has successfully auctioned three residential land parcels for a total of RMB 4.197 billion, injecting vitality into the local real estate market and attracting more investment interest [4] - Xinda Real Estate has received approval from the China Securities Regulatory Commission to issue up to RMB 3 billion in corporate bonds, which will enhance liquidity and alleviate debt pressure [5]

Core Viewpoint - The company has established a debt compensation framework agreement with Rongsheng Development to recover outstanding receivables through the acquisition of properties, amidst challenges in the real estate market and liquidity tightening [1][2][3] Group 1: Debt Compensation Framework - The company successfully settled receivables amounting to RMB 288 million under the debt compensation framework agreement [1] - A new debt compensation framework agreement for 2025 has been signed, with a total value of RMB 1.07 billion for property acquisition to offset outstanding receivables [1] - The company has the discretion to refuse to offset debts if any properties experience adverse changes before the offset [1][2] Group 2: Market Context and Challenges - Rongsheng Development, like other Chinese real estate developers, is affected by a sluggish real estate market and liquidity issues, leading to difficulties in settling receivables [2] - The company has faced challenges in executing the debt compensation framework due to properties being seized or frozen by the government or courts shortly after the agreement's effective date [2] Group 3: Future Strategies and Market Opportunities - The company plans to sell the acquired properties to third-party buyers to recover cash, leveraging its experience in property management to identify parking space demands [3] - The ongoing urbanization in China is expected to enhance the market value of residential properties, particularly in key cities, driven by population influx and improved housing policies [3] - The company is considering selling properties through debt compensation to downstream suppliers and has established a specialized sales team to facilitate property disposal [3]