Business Performance - Revenue for the six months ended June 30, 2024, was approximately RMB 487.3 million, representing an increase of 9.5% compared to the corresponding period in 2023[33]. - Revenue from property management services was approximately RMB 335.0 million, accounting for 68.7% of total revenue, representing an increase of 18.5% compared to the corresponding period in 2023[34]. - Revenue from value-added services to non-property owners was approximately RMB 56.9 million, accounting for 11.7% of total revenue, representing a decrease of 4.5% compared to the corresponding period in 2023[34]. - Revenue from community value-added services was approximately RMB 57.9 million, accounting for 11.9% of total revenue, representing a decrease of 22.1% compared to the corresponding period in 2023[34]. - Revenue from city services was approximately RMB 37.5 million, accounting for 7.7% of total revenue, representing an increase of 32.0% compared to the corresponding period in 2023[34]. - Gross profit for the reporting period was approximately RMB 105.5 million, representing a decrease of 5.7% compared to the corresponding period in 2023[35]. - Profit for the reporting period was approximately RMB 53.3 million, representing a decrease of 10.4% compared to the corresponding period in 2023[37]. - Profit attributable to owners of the Company was approximately RMB 42.8 million, representing a decrease of 15.8% compared to the corresponding period in 2023[37]. Market Position and Recognition - The Group was ranked 25th among the Top 100 Property Service Companies in China in terms of overall strength in 2024, maintaining a position in the TOP 100 for nine consecutive years[3]. - The Group was awarded the title of "2024 China Top 100 Property Management Companies," improving its overall industry strength ranking to 25th, up two places from 2023[45][47]. - As of June 30, 2024, the Group's business contracts covered 35 cities across ten provinces, serving millions of property owners and winning over 300 awards[3]. Community Engagement and Social Responsibility - The Group launched community activities such as "Four Seasons and One Hall" and "Five Clubs" to enhance community engagement and cater to all age groups[6]. - The Group actively undertook social responsibilities, receiving praise for community service activities and being awarded the 2023 Henan Province "Red Property" Demonstration Community[11]. - The Group's initiatives include asset management and community life services aimed at improving the living standards of "Small Owners" through various support services[14]. Operational Strategy and Development - In the first half of 2024, the Group focused on improving service quality, launching community activities, and enhancing customer satisfaction through various initiatives[13]. - The Group's strategic development plan includes a four-year roadmap to support overall business scale and operational capabilities[23]. - The Group's focus on quality service and standardized management aims to eliminate losses and improve customer satisfaction[16][19]. - The Group aims to expand its non-residential property and city services business lines to achieve balanced development across its three pillars: "Joyful Living," "Joyful Commercial Property Management," and "Joyful City Service"[53]. Financial Management and Performance - The Group's cost of sales increased by 14.6% to approximately RMB 381.7 million compared to RMB 333.0 million in the corresponding period in 2023[66]. - The gross profit margin decreased to 21.7%, down 3.5% from 25.2% in the corresponding period in 2023[68]. - Other income decreased by 51.6% to approximately RMB 3.6 million compared to RMB 7.5 million in the corresponding period in 2023, mainly due to reduced government subsidies[72]. - Selling and marketing expenses decreased by 19.0% to approximately RMB 4.3 million compared to RMB 5.3 million in the corresponding period in 2023[73]. - Administrative expenses decreased by 17.8% to approximately RMB 23.9 million compared to RMB 29.1 million in the corresponding period in 2023[74]. Employee Management and Development - The Group emphasized employee satisfaction by increasing salaries for most frontline workers despite a challenging external economic environment[21][22]. - Employee benefit expenses for the six months ended June 30, 2024, amounted to RMB 106.2 million, compared to RMB 95.9 million for the same period in 2023, reflecting an increase of approximately 11.5%[95]. - The Group's talent development initiatives included the establishment of a tiered training system and the cultivation of "Future Leaders" to enhance internal talent capabilities[20]. Digital Transformation and Technology - The Group emphasized the importance of digital intelligence technology in modern management to enhance service delivery and community governance[4]. - The Digital Science Center developed a digital technology support system for "Business Finance Integration," improving management and cost control through intelligent technology applications[23]. - A quality verification software was developed to enhance project inspection efficiency, enabling online self-inspection and standardizing quality actions[24]. Economic Environment and Challenges - The external economic environment remains complex, with property development and sales experiencing declines, indicating a need for strategic adjustments[9]. - The Group's revenue recognition timing showed RMB 437,386 thousand recognized over time and RMB 49,887 thousand recognized at a point in time for the six months ended June 30, 2024[170]. Corporate Governance and Compliance - The company has adopted the Corporate Governance Code and complied with all applicable principles during the reporting period[103][105]. - The Audit Committee confirmed that the unaudited interim condensed consolidated results for the six months ended June 30, 2024 complied with all applicable accounting principles and standards[112][114]. Future Plans and Investments - The Group intends to utilize part of the net proceeds from the global offering to acquire property management and professional service companies, as well as to form joint ventures with local municipal investment companies or property developers[95]. - The proceeds from the global offering will continue to be applied according to the plans disclosed in the Prospectus, with an expected timeline for full utilization by December 2025[121][122].

Revenue and Profitability - For the six months ended June 30, 2024, revenue reached approximately RMB 487.3 million, an increase of 9.5% compared to the same period in 2023[2] - Property management service revenue was approximately RMB 335.0 million, accounting for 68.7% of total revenue, with an 18.5% increase year-on-year[2] - Profit for the period was approximately RMB 53.3 million, a decline of 10.4% year-on-year, with profit attributable to owners of the company at approximately RMB 42.8 million, down 15.8%[2] - The company reported a decrease in community value-added service revenue by 22.1% year-on-year, amounting to approximately RMB 57.9 million[2] - Revenue for the six months ended June 30, 2024, was RMB 487,273 thousand, a rise of 9.4% from RMB 444,939 thousand for the same period in 2023[12] - Property management services revenue reached RMB 335,036 thousand, up 18.5% from RMB 282,719 thousand in the previous year[12] - The net profit attributable to the owners of the company for the six months ended June 30, 2024, was RMB 42,811 thousand, down from RMB 50,858 thousand in 2023, a decrease of 15.8%[15] - Basic and diluted earnings per share for the period were RMB 0.061, compared to RMB 0.073 in the previous year, indicating a decline of 16.4%[15] Assets and Liabilities - Total assets amounted to approximately RMB 1,360.5 million as of June 30, 2024, compared to RMB 1,252.4 million as of December 31, 2023[5] - Total liabilities increased to RMB 593,964 thousand as of June 30, 2024, compared to RMB 488,551 thousand as of December 31, 2023, representing a growth of 21.6%[6] - Total equity and liabilities amounted to RMB 1,360,517 thousand as of June 30, 2024, up from RMB 1,252,376 thousand as of December 31, 2023, indicating an increase of 8.6%[6] - The company's trade receivables as of June 30, 2024, amounted to RMB 770,851,000, an increase of 13.8% from RMB 677,151,000 as of December 31, 2023[18] - The provision for trade receivables impairment increased to RMB 147,715,000 as of June 30, 2024, compared to RMB 132,940,000 as of December 31, 2023[18] - The company's current portion of trade and other receivables was RMB 786,248,000 as of June 30, 2024, up from RMB 695,798,000 as of December 31, 2023[22] - The total trade payables as of June 30, 2024, were RMB 93,031,000, an increase from RMB 84,385,000 as of December 31, 2023[21] Employee and Operational Costs - Employee benefits and labor costs increased to RMB 106,195 thousand, compared to RMB 95,883 thousand in the prior year, reflecting an increase of 11.7%[13] - As of June 30, 2024, the company had 2,108 employees, with employee benefit expenses amounting to RMB 106.2 million for the six months ended June 30, 2024[52] Dividends and Shareholder Returns - The company decided not to declare any interim dividend for the six months ended June 30, 2024[3] - The board of directors resolved not to declare any interim dividend for the six months ended June 30, 2024[46] Corporate Governance and Compliance - The company is committed to maintaining high standards of corporate governance and has adhered to applicable principles and codes during the reporting period[56] - The audit committee has been established according to corporate governance codes, consisting of one non-executive director and two independent non-executive directors[59] - The audit committee reviewed the unaudited interim consolidated results for the six months ended June 30, 2024, confirming compliance with applicable accounting principles and sufficient disclosure[59] Future Outlook and Strategic Plans - The company aims to enhance its product, organizational, operational, and brand capabilities in the second half of 2024, focusing on balanced development across its three main pillars: residential, non-residential, and urban services[28] - The company plans to use part of the net proceeds from its global offering for strategic investments and acquisitions, with 65% allocated for business expansion[53] Market Position and Recognition - The company was ranked 25th in the "Top 100 Property Service Companies in China" by the China Index Academy, improving its position by 2 places from 2023[25]

Financial Performance - The Group's total revenue for 2023 was approximately RMB 934.0 million, representing an increase of 17.8% compared to RMB 792.9 million in 2022[48]. - Gross profit increased by 15.5% to approximately RMB 220.7 million, while net profit attributable to the company decreased by 28.9% to RMB 38.5 million[17]. - Revenue from property management services amounted to approximately RMB 594.1 million, an increase of 23.5% from approximately RMB 480.9 million in 2022[88]. - Revenue from community value-added services reached approximately RMB 136.6 million, reflecting a 1.9% increase from approximately RMB 134.0 million in 2022[70]. - Revenue from city services surged to approximately RMB 64.9 million, marking a significant increase of 145.1% compared to approximately RMB 26.5 million in 2022[70]. - Revenue from value-added services to non-property owners decreased to approximately RMB 138.4 million, down 8.7% from approximately RMB 151.5 million in 2022[99]. - The Group's cost of sales was approximately RMB 713.3 million, representing an increase of 18.5% compared to approximately RMB 601.9 million in 2022[103]. - The gross profit margin for the Group was approximately 23.6%, a decrease of 0.5% from approximately 24.1% in 2022[98]. - The gross profit margin for property management services improved to 21.9%, up from 16.3% in 2022[109]. - The gross profit margin for value-added services to non-property owners decreased to 25.2%, down from 33.0% in 2022[111]. - Other income for the Group was approximately RMB 9.5 million, a decrease of 1.4% from approximately RMB 9.7 million in 2022, mainly due to reduced government subsidies[111]. - The Group's profit for the Year was approximately RMB 52.6 million, representing a decrease of approximately 20.0% compared to RMB 65.7 million for the corresponding period in 2022[123]. - Profit attributable to the owners of the Company was approximately RMB 38.5 million, a decrease of approximately 28.9% from RMB 54.1 million in 2022, primarily due to increased credit impairment losses[123]. Operational Metrics - As of December 31, 2023, the Group's contracted gross floor area (GFA) increased to approximately 67.1 million sq.m., representing a growth of approximately 6.0% compared to 63.3 million sq.m. in 2022[32]. - The GFA under management rose to approximately 41.0 million sq.m., reflecting a significant increase of approximately 28.5% from 31.9 million sq.m. in the previous year[32]. - The GFA under management of non-residential properties increased by 59.8% to approximately 6.6 million sq.m. compared to 4.2 million sq.m. in 2022[32]. - The GFA managed from third-party property developers accounted for approximately 81.3% of the total contracted GFA[32]. - The Group managed a total of 278 projects across 34 cities in China as of December 31, 2023[32]. - New total contract amounts from third parties reached approximately RMB 330 million, with new contract GFA from third parties achieving approximately 6.52 million sq.m.[10]. Strategic Focus and Development - The Group's strategic focus for the next four years includes expanding non-residential property and city services product lines, aiming for balanced development across three pillars: "Joyful Living," "Joyful Commercial Property Management," and "Joyful City Services"[38]. - The Group aims to enhance its "Five Capabilities" which include Service Capability, Operational Capability, Organizational Strength, Digital Science Strength, and Brand Power[39]. - The Group's strategy includes rapid expansion of contracted GFA and increasing the portion of GFA from third-party property developers to enhance market capitalization[61]. - The Group did not implement any new merger and acquisition projects during the year due to stricter risk control requirements[10]. - The Group plans to use part of the net proceeds from the global offering to acquire property management and professional service companies, and collaborate with local investment companies or property developers[177]. Employee and Organizational Development - As of December 31, 2023, the Group had a total of 2,088 employees, an increase from 1,831 employees on December 31, 2022[159]. - The total remuneration cost incurred by the Group was RMB 198.3 million for the year ended December 31, 2023, compared to RMB 177.3 million for the year ended December 31, 2022, reflecting an increase of approximately 11.3%[159]. - The Group emphasizes a well-established recruitment and internal promotion system to attract talented employees through competitive wages, bonuses, and systematic training opportunities[159]. - Employee benefits include housing allowances, cultural and social events, as well as holiday and birthday gifts, promoting work-life balance and diversity within the organization[159]. - The Group's organizational efficiency has improved through structural adjustments and management optimization, although net profit per capita and personnel cost ratio slightly declined due to additional listing-related expenses[40]. Risk Management and Governance - The Group emphasizes the importance of risk management practices to mitigate operational and financial risks effectively[200]. - The board includes independent directors with extensive experience in finance and securities, contributing to governance and strategic oversight[187]. - The Group is committed to maintaining safety standards for projects, property owners, and employees, ensuring quality service corresponding to price[38]. Leadership and Management - Mr. Dai Wei has over 11 years of experience in property management services and was appointed as executive director on January 20, 2021[183]. - Ms. Wang Na has been the vice executive general manager since November 28, 2018, and was appointed as executive president on January 20, 2021[185]. - The management team has a diverse background in real estate and property management, enhancing operational efficiency[185]. - The company aims to leverage its experienced leadership to drive future growth and market expansion[183]. Financial Position and Assets - The Group's current assets as of December 31, 2023, were approximately RMB 1,069.2 million, reflecting a 6.6% increase from RMB 1,003.0 million in 2022[145]. - Cash and cash equivalents amounted to approximately RMB 355.7 million, an increase of 2.8% from RMB 345.9 million in 2022[145]. - The asset-liability ratio as of December 31, 2023, was 39.0%, an increase of 3.7% from 35.3% in 2022[145]. - As of December 31, 2023, trade and other receivables amounted to approximately RMB 690.5 million, an increase of 15.3% from RMB 598.9 million in 2022, due to slow recovery in collections[127]. Events and Acquisitions - The Group did not hold any significant investments during the Year and plans to utilize proceeds from the global offering for future acquisitions and joint ventures[155]. - The Group acquired 51% equity interests in Dingfeng Property in October 2021, which provided a guarantee for a loan of RMB 30,000,000[173]. - As of February 9, 2023, the bank accounts of Dingfeng Property were frozen, and approximately RMB 12.5 million in the frozen account has been enforced in July and August 2023[173]. - Jiatian transferred certain car parking spaces to the Group to compensate for the loss of bank deposits amounting to approximately RMB 12.5 million, with a fair value of RMB 15.5 million as of December 31, 2023[173]. - As of December 31, 2023, the Group has not provided other guarantees or made significant investments or acquisitions[174]. - No significant events affecting the Company occurred after the end of the reporting period up to the date of this annual report[179].

Financial Performance - The company's revenue for the year ended December 31, 2023, was approximately RMB 934.0 million, an increase of 17.8% compared to 2022[3] - The annual profit was approximately RMB 52.6 million, a decrease of about 20.0% from RMB 65.7 million in 2022[5] - The net profit attributable to the company's owners was approximately RMB 38.5 million, a decrease of 28.9% from RMB 54.1 million in 2022[5] - Basic and diluted earnings per share for the year ended December 31, 2023, were RMB 0.05, compared to RMB 0.08 in 2022, reflecting a decline of 37.5%[34] - The gross profit for the year was approximately RMB 220.7 million, an increase of 15.5% from 2022, with a gross margin of 23.6%[3] - The overall gross profit margin decreased to approximately 23.6% from 24.1% in 2022, mainly due to lower margins in non-owner value-added services and city services[93] Revenue Breakdown - Property management service revenue was approximately RMB 594.1 million, accounting for 63.6% of total revenue, and increased by 23.5% year-over-year[3] - Revenue for property management services reached RMB 594,104 thousand in 2023, a significant increase of 23.5% from RMB 480,918 thousand in 2022[29] - Non-owner value-added services revenue decreased to RMB 138,381 thousand in 2023, down 8.7% from RMB 151,527 thousand in 2022[29] - Community value-added services revenue slightly increased to RMB 136,575 thousand in 2023, up 1.3% from RMB 133,970 thousand in 2022[29] - City services revenue surged to RMB 64,956 thousand in 2023, a substantial increase of 144.5% from RMB 26,505 thousand in 2022[29] Assets and Liabilities - The company's total assets as of December 31, 2023, were RMB 1,252.4 million, compared to RMB 1,169.5 million in 2022[10] - Total liabilities increased to RMB 488,551 thousand in 2023 from RMB 413,106 thousand in 2022, representing a growth of 18.2%[12] - Total equity and liabilities amounted to RMB 1,252,376 thousand in 2023, up from RMB 1,169,471 thousand in 2022, indicating a rise of 7.1%[12] Employee and Operational Metrics - Employee benefits expenses increased to RMB 198,312 thousand in 2023 from RMB 177,305 thousand in 2022, marking an increase of approximately 11.8%[31] - The group had a total of 2,088 employees as of December 31, 2023, compared to 1,831 employees as of December 31, 2022[119] - The internal talent development ratio reached 77% in 2023, reflecting the company's commitment to building a skilled workforce[61] Strategic Initiatives - The company aims to enhance operational capabilities and strategically expand its market presence, focusing on urban deep cultivation and surrounding areas of managed projects[60] - The company established a digital technology support system to optimize management and cost control, resulting in the completion of 62 copyrights, 29 systems, and 131 code projects in 2023[64] - The company has implemented a performance incentive system to encourage employees to expand business operations effectively[60] Dividend and Shareholder Information - The company proposed a final dividend of RMB 0.053 per share for the year[5] - The board proposed a final dividend of RMB 0.053 per share for the year ending December 31, 2023, subject to approval at the annual general meeting on June 18, 2024[129] Challenges and Market Conditions - The company faced challenges due to the real estate industry's ongoing regulatory pressures, leading to a weaker overall business and financial performance compared to development plans[57] - Non-owner value-added service revenue decreased by approximately 8.7% to RMB 138.4 million from RMB 151.5 million in 2022, primarily due to the impact of policies on the real estate sector[72] Compliance and Governance - The audit committee reviewed the group's annual performance for the year ending December 31, 2023, and agreed that the performance was prepared in accordance with applicable accounting standards[138] - The company confirmed compliance with the standards set out in the Securities Trading Code for directors throughout the year[128]

Employee Information - As of June 30, 2023, the Group had a total of 1,965 employees, an increase from 1,720 employees as of June 30, 2022[9] - Employee benefit expenses for the six months ended June 30, 2023, amounted to RMB 95.9 million, compared to RMB 80.6 million for the same period in 2022, reflecting a year-on-year increase of approximately 19.6%[9] Financial Performance - The profit for the period was approximately RMB 59.5 million, representing a 4.9% increase compared to the same period in 2022[62] - The profit attributable to the owners of the company was approximately RMB 50.9 million, an increase of 2.8% year-on-year[62] - The total comprehensive income for the period included a profit of RMB 49.5 million and currency translation differences of RMB 5.6 million, totaling RMB 55.0 million[39] - The company declared dividends of RMB 21 million to shareholders during the reporting period[39] - The profit for the period was RMB 50,858 thousand, contributing to a total comprehensive income of RMB 59,462 thousand for the first half of 2023[83] - Gross profit for the reporting period was approximately RMB 112.0 million, an increase of 5.9% compared to the same period in 2022[198] - Gross margin was 25.2%, a decrease of 3.2% compared to the same period in 2022[198] Revenue Breakdown - The Group's revenue from property management services was approximately RMB282.7 million, accounting for 63.5% of total revenue, representing a 26.0% increase compared to the same period in 2022[64] - Revenue from community value-added services reached approximately RMB74.3 million, an increase of 25.4% compared to approximately RMB59.2 million for the corresponding period in 2022[65] - Revenue from city services was approximately RMB28.4 million, reflecting a significant increase of 192.9% compared to approximately RMB9.7 million for the same period in 2022[65] - Revenue from value-added services to non-property owners was approximately RMB 59.6 million, representing a decrease of 24.4% compared to RMB 78.8 million for the same period in 2022, attributed to a shrinking real estate business[94] - Revenue from property management services was RMB 154,117 thousand for the six months ended June 30, 2023, compared to RMB 103,596 thousand in the same period of 2022[126] - Community value-added services revenue increased to RMB 10,354 thousand for the six months ended June 30, 2023, from RMB 5,728 thousand in the same period of 2022[126] Corporate Governance - The Group's management has committed to enhancing corporate governance practices to safeguard shareholder interests and improve accountability[14] - The management of each subsidiary is required to submit monthly performance reports to the Board as part of a rectification measure[14] Shareholder Information - As of June 30, 2023, Mr. Song Gewei held 498,750,000 shares, representing 71.25% of the company's equity interest[26] - The ultimate controlling entity of the Group is Hung Fai Property Limited, controlled by Mr. Song Gewei[134] Cash Flow and Financial Position - Cash and cash equivalents at the end of the period on June 30, 2023, were RMB 372,733 thousand, down from RMB 513,433 thousand at the end of June 30, 2022[127] - The Group's net cash used in financing activities for the six months ended June 30, 2023, was RMB 8,042 thousand, compared to RMB 2,774 thousand in the same period of 2022[127] - The Group's cash flows from financing activities included dividends paid of RMB 7,360 thousand for the six months ended June 30, 2023, compared to RMB 2,560 thousand in the same period of 2022[127] - The net cash generated from operating activities for the six months ended June 30, 2023, was RMB 4,296 thousand, a decrease of 47.3% compared to RMB 8,126 thousand for the same period in 2022[149] - Cash flows from investing activities generated RMB 30,370 thousand, a significant improvement compared to a cash outflow of RMB 33,220 thousand in the same period of 2022[149] Strategic Initiatives - The Group aims to enhance living experiences for property owners and residents through comprehensive community value-added services[65] - The Group aims to redefine urban living through smart technology and community engagement initiatives[161] - The Group has focused on three strategic directions: urban deep cultivation, commercial deep cultivation, and surrounding area cultivation, enhancing operational capacity[176] - The Group emphasizes the importance of quality service as the foundation for survival and growth in a challenging real estate market[171] - The Group has adopted a performance incentive system to encourage employees to work together towards expansion goals[176] Market Position and Recognition - The Group's overall industry strength ranking increased by two places to 27th in the "2023 China Top 100 Property Management Companies" by China Index Academy[64] - The Group was recognized for its effective improvement in business operations, particularly in non-residential property management services[64] - High-quality service has been recognized by cooperative property developers, extending the service industry chain to third-party property developers[176] Miscellaneous - The Group did not declare any interim dividend for the six months ended June 30, 2023[18] - The interim report was approved and signed by the board of directors on August 31, 2023[33] - The Group's interim financial information has not been audited, and it is presented in Renminbi (RMB) unless otherwise stated[149] - The Group's total assets were primarily located in the PRC as of June 30, 2023[121] - None of the Group's customers contributed 10% or more of the Group's revenue during the six months ended June 30, 2023[123] - The Group's revenue for the six months ended June 30, 2023, was derived entirely from operations in the PRC[121]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公告 全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 Kangqiao Service Group Limited 康 橋 悅 生 活 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：2205） 截至2023 年6 月30 日止六個月之中期業績公告 財務摘要 1. 截至2023年6月30日止六個月的收入達約人民幣444.9百萬元，較2022年同期增長 19.6%。 2. 報告期內收入按業務範疇分佈如下：(i)物業管理服務收入為約人民幣282.7百萬 元，佔總收入63.5%，較2022年同期增長26.0%；(ii)非業主增值服務收入為約人 民幣59.6百萬元，佔總收入13.4%，較2022年同期下降了24.4%；(iii)社區增值 服務收入為約人民幣74.3百萬元，佔總收入16.7%，較2022年同期增長25.4%;及 (iv)城市服務收入為約人民幣28.4百萬元，佔總收入6.4%，較2022年同期增長 192.9%。 3. 報告期內 ...

Investment and Acquisitions - The Group plans to use part of the net proceeds from the global offering to acquire property management companies and professional service firms, and to collaborate with local urban investment companies or property developers through capital investments or joint ventures[4]. - As of December 31, 2022, the Group had no significant investments, material acquisitions, or disposals of subsidiaries, associates, and joint ventures[10]. - The Group agreed to pay approximately RMB 164.07 million for an 80% equity stake in Xi'an Lifeng Property Management Co., Ltd., with RMB 65.6 million paid as of December 31, 2022, and the acquisition is still pending completion[13]. Company Performance and Revenue - The Group's revenue for 2022 was approximately RMB 792.9 million, representing an increase of 1.2% compared to RMB 783.6 million in 2021[64]. - Profit for the Year was approximately RMB 65.7 million, a decrease of 25.8% from RMB 88.6 million in 2021[64]. - Profit attributable to the owners of the Company was approximately RMB 54.1 million, down 35.5% from RMB 83.9 million in 2021[64]. - Revenue from property management services reached approximately RMB 480.9 million, a growth of 37.1% from RMB 350.8 million in 2021, primarily due to business expansion and an increase in managed gross floor area[107]. - Revenue from value-added services to non-property owners was approximately RMB 151.5 million, representing a decrease of 51.4% compared to RMB 311.9 million in 2021, attributed to the shrinking real estate business under policy influences[117]. - Revenue from city services amounted to approximately RMB 26.5 million, accounting for 3.3% of the total revenue[120]. Operational Efficiency and Growth - The Group has improved per capita management area, net profit, and personnel cost rate compared to the same period in 2021, indicating enhanced operational efficiency[52]. - The Group's strategic expansion aims to enhance efficiency through urban and commercial deep cultivation, focusing on projects ready for delivery[51]. - The Group aims to expand its market presence through strategic growth in urban and non-residential sectors, including signing contracts for rail transit and sanitation services[76]. - The Group's total revenue for the year was approximately RMB 792.9 million, an increase of 1.2% compared to RMB 783.6 million in 2021[154]. Management and Talent Development - The proportion of internal talent training reached 68% in 2022, indicating a strong focus on talent development[55]. - The Group focused on enhancing operational efficiency, talent development, safety prevention, and corporate culture in 2022[76]. Digital Transformation - The implementation of a digital technology support system has laid a solid foundation for the Group's digital transformation over the next five years[58]. - The Digital Science Center developed a digital technology support system for better business management and cost control, laying a foundation for digital transformation[80]. Financial Position and Ratios - As of December 31, 2022, current assets amounted to approximately RMB 1,003.0 million, representing an increase of approximately 2.0% from RMB 983.7 million as of December 31, 2021[196]. - The Group's cash and cash equivalents were approximately RMB 345.9 million, a decrease of approximately 36.0% from RMB 540.8 million as of December 31, 2021, mainly due to the payment of refundable deposits for sales agency services[196]. - The current ratio as of December 31, 2022, was approximately 2.6, an increase of 5.6% from approximately 2.4 as of December 31, 2021[196]. - The asset-liability ratio as of December 31, 2022, was 35.3%, a decrease of 2.9% from 38.2% as of December 31, 2021[196]. - Trade and other receivables amounted to approximately RMB 598.9 million as of December 31, 2022, representing an increase of 42.7% from RMB 419.7 million as of December 31, 2021[196]. Community Engagement and Services - The Group's community activities cater to all age groups, enhancing neighborhood engagement and emotional connections[39]. - The Group aims to expand its non-residential property and city services product lines, focusing on three pillars: "Joyful Living," "Joyful Commercial Property Management," and "Joyful City Services" over the next five years[102]. Quality and Safety Standards - The Group emphasizes standardization and quality service, aiming to eliminate losses through digital assessment[50]. - The Group emphasizes safety, quality service, and standardization in its operations, ensuring a strong commitment to stakeholders[102].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容 概不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因 本公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失 承擔任何責任。 Kangqiao Service Group Limited 康 橋 悅 生 活 集 團 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號： 2205） 截至2022年12月31日止年度 之經審核全年業績公告 茲提述康橋悅生活集團有限公司（「本公司」）日期為2023年3月31日、2023年4月18日、 2023年4月25日、2023年5月31日及2023年6月30日的公告，內容有關（其中包括）(i)暫停 股份買賣；(ii)延遲刊發截至2022年12月31日止年度之全年業績及延遲寄發年度報告； (iii)核數師函件；及(iv)復牌指引（統稱「該等公告」）。除非另有界定外，本公告所用 詞義與該等公告所界定者具有相同涵義。 本公司董事（「董事」）會（「董事會」）謹此宣佈，2022年的全年業績的審核流程已完 成。董事會欣然宣佈，本公司已就與本公司及其附屬公司（「本集團」或「康橋悅生活」） 所載於本 ...

Business Performance - As of June 30, 2022, the Group's business contracts covered 31 cities in eight provinces, serving millions of property owners and winning over 200 awards[7]. - The Group ranked 29th among the Top 100 Property Service Companies in China in terms of overall strength in 2022[7]. - In the first half of the year, the gross profit of all major sectors increased, indicating improved financial performance[21]. - Revenue for the six months ended June 30, 2022, was approximately RMB 372.0 million, representing a decrease of 6.4% compared to the corresponding period in 2021[65]. - Profit for the Reporting Period was approximately RMB 56.7 million, representing an increase of 3.5% compared to the corresponding period in 2021[75]. - Profit attributable to owners of the Company was approximately RMB 49.5 million, representing a decrease of 3.5% compared to the corresponding period in 2021[75]. - The Group's revenue was approximately RMB372.0 million, a decrease of 6.4% compared to approximately RMB397.4 million for the corresponding period in 2021[84][85]. - The Group's financial performance reflects the challenges faced in the real estate market, necessitating strategic adjustments to adapt to changing conditions[113]. Revenue Breakdown - Revenue from property management services was approximately RMB 224.3 million, accounting for 60.3% of total revenue, representing an increase of 38.0% compared to the corresponding period in 2021[67]. - Revenue from value-added services to non-property owners was approximately RMB 78.8 million, accounting for 21.2% of total revenue, representing a decrease of 54.3% compared to the corresponding period in 2021[67]. - Revenue from community value-added services was approximately RMB 59.2 million, accounting for 15.9% of total revenue, representing a decrease of 5.1% compared to the corresponding period in 2021[67]. - Revenue from city services was approximately RMB 9.7 million, accounting for 2.6% of total revenue[67]. - Revenue from value-added services to non-property owners decreased by 54.3% to approximately RMB 78.8 million, down from RMB 172.4 million in the corresponding period of 2021, primarily due to the shrinking real estate business influenced by policies[122]. Operational Strategy - The Group's three product lines—residential business, non-residential business, and city services—have been established with clear service positioning and standards[21]. - The Group focuses on enhancing service quality through standardization, branding, and digital assessment to eliminate losses[21]. - The Group aims to redefine urban life by leveraging smart technology and participating deeply in urban services[11]. - The Group's strategic layout planning is supported by a focus on asset operation and product premium for "big owners"[21]. - The Group aims to expand its non-residential property and city services business lines, focusing on balanced development across "Joyful Living," "Joyful Commercial Property Management," and "Joyful City Service"[109]. - The Group's strategy includes deep cultivation of vertical industry sectors to create a service ecology centered around people[109]. Employee and Talent Management - The proportion of internal talent training reached 67.24% in the first half of 2022, reflecting the company's commitment to talent development and management[33]. - The Group had a total of 1,720 employees, with employee benefit expenses amounting to RMB80.6 million for the six months ended June 30, 2022, down from RMB89.0 million for the same period in 2021[170]. - The Group's employee count decreased from 1,803 as of June 30, 2021, to 1,720 as of June 30, 2022[170]. - The Group's recruitment strategy includes online recruitment, job fairs, and campus recruitment to attract talented employees[170]. Financial Health - As of June 30, 2022, cash and cash equivalents amounted to RMB513.4 million, a slight decrease from RMB540.8 million as of December 31, 2021[149]. - The current ratio as of June 30, 2022, was 2.5, an increase from 2.4 as of December 31, 2021[149]. - The asset-liability ratio was 37.0% as of June 30, 2022, down from 38.2% as of December 31, 2021[149]. - Trade and other receivables and prepayments increased to RMB525.6 million, an 8.1% increase from RMB486.4 million as of December 31, 2021[151]. - Trade and other payables remained stable at RMB248.7 million as of June 30, 2022, compared to RMB250.0 million as of December 31, 2021[151]. Corporate Governance - The Group is committed to maintaining high standards of corporate governance and has complied with all applicable principles under the Corporate Governance Code during the reporting period[173]. - The Audit Committee confirmed compliance with all applicable accounting principles and standards for the interim financial information for the six months ended June 30, 2022[183]. - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as the code for dealing in the securities of the Group[177]. - The Company has complied with all applicable principles and code provisions under the Corporate Governance Code during the Reporting Period[178]. - The Company will continue to review and monitor its corporate governance practices to ensure compliance with the Corporate Governance Code[178].

Business Expansion and Market Presence - As of December 31, 2021, Kangqiao Service's business contracts covered 31 cities across eight provinces, indicating significant geographical expansion[7] - Kangqiao Service has successfully expanded into high-end office buildings in Wuxi and commercial projects in Lishui, showcasing its growth in economically developed provinces[7] - The company operates multiple subsidiaries to leverage local advantages for independent brand operations and business expansion[7] - The Group has expanded its business into key regions outside Henan, including Zhejiang, Jiangsu, Hubei, Hebei, Guangdong, Shandong, and Shaanxi[57] - The company plans to enhance its business penetration in Xi'an through the acquisition of 80% equity in Xi'an Lifeng Property Management Co., Ltd.[37] Financial Performance - In 2021, Kangqiao Service's annual revenue reached approximately RMB783.6 million, exceeding the target[32] - The Group's revenue for 2021 was approximately RMB 783.6 million, representing a 36.1% increase compared to RMB 575.6 million in 2020[53] - Profit for the Year was approximately RMB 88.6 million, a decrease of 3.5% from RMB 91.8 million in 2020; adjusted profit excluding listing expenses was approximately RMB 102.6 million, an increase of 4.5% from RMB 98.2 million in 2020[53] - Revenue from property management services amounted to RMB350.8 million, a 37.6% increase from RMB255.0 million in 2020[87] - The Group's cost of sales was approximately RMB579.7 million, an increase of 45.3% compared to RMB399.0 million in 2020[95] Revenue Sources and Growth - Value-added revenue from non-owners amounted to approximately RMB 311.9 million, representing 39.8% of total revenue[42] - Community value-added service revenue was approximately RMB 120.9 million, accounting for 15.4% of total revenue[42] - The Group's revenue from value-added services to non-property owners was approximately RMB 311.9 million, reflecting a 32.5% increase from RMB235.4 million in 2020[88] - Community value-added services generated revenue of approximately RMB120.9 million, marking a 41.8% increase from RMB85.2 million in 2020[91] Operational Efficiency and Management - The company focused on improving operational efficiency through a self-developed "service satisfaction management system" to enhance customer satisfaction[43] - The Group's management emphasizes the importance of adjusted profit to better reflect operational performance by excluding non-recurring listing expenses[56] - The Group aims to enhance its business capacity through digitalization and strategic innovation, focusing on long-term value creation[76] - The Group's development strategy was adjusted in response to the new situation in the real estate industry, focusing on enhancing operational efficiency[61] Awards and Recognition - Kangqiao Service has served millions of property owners and has won over 200 awards, ranking 37th among the Top 100 Property Service Companies in China in 2021[6] - The company was recognized with several honorary titles, including "2021 Advanced Enterprise in Property Service Industry" and "2021 Leading Enterprise with Quality Property Service in Henan"[31] - The Group was awarded the title of "2021 China Top 100 Property Management Companies," with its overall industry strength ranking increasing by five places to 37th compared to 2020[65] Strategic Initiatives and Future Plans - The new three-year strategic plan aims to position the Group as an excellent life and smart city service operator[50] - The company aims to expand its market presence and enhance operational efficiency through strategic planning and management initiatives led by its experienced directors[152][160] - The Group intends to utilize part of the net proceeds from the global offering to acquire property management and professional service companies, and to cooperate with local municipal investment companies or property developers[142] Leadership and Management Team - Mr. Song Gewei has approximately 20 years of experience in the PRC real estate industry and has been responsible for the overall business direction and strategic planning since the company's establishment in August 2010[152] - The executive team collectively brings a wealth of experience from various sectors within the real estate and property management industries, enhancing the company's strategic capabilities[156][160] - The company has established a strong foundation for future growth with a focus on strategic planning and operational excellence[152][160] Financial Position and Assets - As of December 31, 2021, current assets increased by 15.2% to approximately RMB983.7 million from RMB854.2 million in 2020, with cash and cash equivalents rising by 301.3% to approximately RMB540.8 million[123] - The Group maintained a strong financial position with a current ratio of approximately 2.4, up 42.5% from 1.7 in 2020, and an asset-liability ratio of 38.2%, down 43.3% from 81.5%[123] - As of December 31, 2021, trade and other receivables amounted to approximately RMB486.4 million, a decrease of 32.4% from RMB719.5 million as of December 31, 2020, due to enhanced efforts in recovering outstanding receivables[128] Community Engagement and Social Responsibility - Kangqiao Service actively participated in disaster relief efforts during the "7.20" heavy rainstorm disaster in Zhengzhou, earning social appreciation[28] - The company’s efforts in combating the COVID-19 pandemic were recognized, contributing to the resumption of social operations[31] - The Group's community operation services included managing community spaces and optimizing public resource utilization, contributing to improved living experiences for residents[74]