Financial Summary and Performance Overview [Financial Summary](index=1&type=section&id=Financial%20Summary) Dexin Services saw modest revenue growth in H1 2024, but profitability significantly declined with double-digit drops in key metrics and no interim dividend declared Key Performance Indicators for H1 2024 | Indicator | H1 2024 | H1 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue (RMB million) | Approx. 473.2 | Approx. 458.0 | +3.3% | | Gross Profit (RMB million) | Approx. 101.5 | Approx. 129.2 | -21.4% | | Profit for the Period (RMB million) | Approx. 42.5 | Approx. 63.3 | -32.8% | | Gross Margin (%) | 21.5% | 28.2% | -6.7 ppt | | Basic Earnings Per Share (RMB yuan) | 0.045 | 0.065 | -30.8% | | GFA Under Management (million sq.m.) | 39.6 | 36.2 | +9.2% | | Contracted GFA (million sq.m.) | 44.9 | 44.2 | +1.5% | | Interim Dividend | Not Recommended | N/A | - | [Condensed Consolidated Financial Statements](index=2&type=section&id=Condensed%20Consolidated%20Financial%20Statements) Financial statements show revenue growth but declining profitability due to cost pressures, while asset and liability structures remain stable [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=2&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) Revenue grew 3.3% to RMB 473 million, but increased cost of sales and impairment losses led to a 21.4% drop in gross profit and a 33.1% decline in net profit attributable to owners Condensed Consolidated Statement of Profit or Loss (For the six months ended June 30) | Item (RMB thousand) | 2024 (Unaudited) | 2023 (Unaudited) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 473,228 | 458,022 | +3.3% | | Cost of Sales | (371,697) | (328,847) | +13.0% | | **Gross Profit** | **101,531** | **129,175** | **-21.4%** | | Administrative Expenses | (39,748) | (50,125) | -20.7% | | Impairment Loss on Trade and Other Receivables | (10,964) | (10,156) | +8.0% | | **Operating Profit** | **46,783** | **69,212** | **-32.4%** | | **Profit for the Period** | **42,484** | **63,255** | **-32.8%** | | **Profit Attributable to Owners of the Company** | **42,169** | **63,015** | **-33.1%** | | **Basic Earnings Per Share (RMB yuan)** | **0.045** | **0.065** | **-30.8%** | [Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2024, total assets increased to RMB 1.512 billion, driven by receivables, with total liabilities rising to RMB 747 million, maintaining a healthy 2.0x current ratio Summary of Condensed Consolidated Statement of Financial Position | Item (RMB thousand) | June 30, 2024 (Unaudited) | December 31, 2023 (Audited) | Change | | :--- | :--- | :--- | :--- | | **Total Assets** | **1,511,957** | **1,424,649** | **+6.1%** | | Current Assets | 1,481,015 | 1,395,350 | +6.1% | | **Total Liabilities** | **746,533** | **665,616** | **+12.2%** | | Current Liabilities | 736,510 | 655,599 | +12.3% | | **Net Assets** | **765,424** | **759,033** | **+0.8%** | | **Equity Attributable to Owners of the Company** | **749,659** | **742,766** | **+0.9%** | Chairman's Statement and Management Discussion and Analysis [Chairman's Statement](index=15&type=section&id=Chairman%27s%20Statement) The Chairman highlighted the Group's strategic shift towards high-quality development, focusing on product and service capabilities, independent expansion in the Yangtze River Delta, operational efficiency, customer-centricity, and innovation - Company strategy shifts towards high-quality development, emphasizing product and service capabilities over mere scale expansion[27](index=27&type=chunk) - Maintaining independent development, deepening presence in the Yangtze River Delta, and focusing on non-residential sectors, exploring cooperation with local SOEs and leading enterprises[28](index=28&type=chunk) - Implementing lean operations, adhering to the principle of "cash before profit, profit before scale," and enhancing per capita efficiency through organizational restructuring[29](index=29&type=chunk) - Continuously innovating services, upgrading high-end commercial service brand "World Union Property," venturing into new energy, and expanding diversified community services[31](index=31&type=chunk) [Management Discussion and Analysis](index=17&type=section&id=Management%20Discussion%20and%20Analysis) Management reviewed H1 performance, highlighting property management growth offset by declines in non-owner and community value-added services due to market downturns, impacting profitability despite controlled administrative expenses and stable financials [Financial and Business Review](index=18&type=section&id=Financial%20and%20Business%20Review) H1 total revenue grew 3.3% but with significant segment divergence, leading to a gross margin drop from 28.2% to 21.5% and a 32.8% decline in net profit despite controlled administrative expenses Revenue Breakdown by Business Segment (For the six months ended June 30) | Business Segment | 2024 Revenue (RMB thousand) | Revenue Share (%) | 2023 Revenue (RMB thousand) | Revenue Share (%) | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Property Management Services | 413,438 | 87.4% | 341,844 | 74.6% | +20.9% | | Non-Owner Value-Added Services | 19,835 | 4.2% | 59,801 | 13.1% | -66.8% | | Community Value-Added Services | 39,955 | 8.4% | 56,377 | 12.3% | -29.1% | | **Total** | **473,228** | **100.0%** | **458,022** | **100.0%** | **+3.3%** | Gross Margin by Business Segment (For the six months ended June 30) | Business Segment | 2024 Gross Margin (%) | 2023 Gross Margin (%) | Change (ppt) | | :--- | :--- | :--- | :--- | | Property Management Services | 19.4% | 25.1% | -5.7 | | Non-Owner Value-Added Services | 19.2% | 35.1% | -15.9 | | Community Value-Added Services | 44.0% | 39.5% | +4.5 | | **Overall Gross Margin** | **21.5%** | **28.2%** | **-6.7** | - Non-owner value-added services revenue and gross margin significantly declined, primarily due to the ongoing downturn in the real estate industry, leading to a sharp drop in demand from developer partners and increased service costs for the company[42](index=42&type=chunk)[49](index=49&type=chunk) - Administrative expenses decreased by **RMB 10.4 million** year-on-year, mainly due to organizational restructuring and optimized staffing[53](index=53&type=chunk) - Impairment loss provisions for trade and other receivables increased to **RMB 11.0 million** due to prudence and credit risk in the real estate sector[54](index=54&type=chunk) [Liquidity and Capital Resources](index=26&type=section&id=Liquidity%20and%20Capital%20Resources) The Group maintains a robust financial position with ample liquidity, evidenced by RMB 202 million in cash and equivalents, a 2.0x current ratio, and a low 0.04 capital gearing ratio Key Liquidity and Capital Indicators | Indicator | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and Cash Equivalents (RMB million) | 202.1 | 229.7 | | Current Ratio (x) | 2.0 | 2.1 | | Total Borrowings (RMB million) | 27.0 | 27.0 | | Capital Gearing Ratio (x) | 0.04 | 0.04 | [Significant Investments and Future Plans](index=27&type=section&id=Significant%20Investments%20and%20Future%20Plans) No new significant investments were made, and a major connected transaction announced in August 2023 remains uncompleted due to a cancelled shareholder meeting, while the company plans to use IPO proceeds for future property management acquisitions - A significant connected transaction announced in August 2023 to acquire target parking spaces and hotel equity remains uncompleted due to Dexin China's cancellation of the relevant shareholder meeting, introducing uncertainty[65](index=65&type=chunk)[66](index=66&type=chunk) - The Group plans to use a portion of the net IPO proceeds for acquiring or investing in other property management companies to expand business scale and market share[67](index=67&type=chunk) [Employees and Remuneration Policy](index=28&type=section&id=Employees%20and%20Remuneration%20Policy) As of June 30, 2024, the Group's employee count decreased to 2,703, reflecting cost optimization, with total staff costs of RMB 145.3 million for H1, supported by performance-linked remuneration and training - As of June 30, 2024, the Group's employee count was **2,703**, a decrease of 239 from end-2023[69](index=69&type=chunk) - Total staff costs for H1 2024 were **RMB 145.3 million**[69](index=69&type=chunk) Other Information [Use of Proceeds from Global Offering](index=30&type=section&id=Use%20of%20Proceeds%20from%20Global%20Offering) The company updated IPO proceeds usage, reallocating funds for a secured loan to enhance efficiency, with HKD 143.4 million remaining unutilized as of June 30, 2024, expected to be fully deployed by December 2024 - In 2022, the company reallocated part of its IPO proceeds, using **HKD 342.9 million** (approx. **RMB 315 million**) to provide a secured loan to an independent third party to enhance returns on idle funds[72](index=72&type=chunk) Use of Proceeds and Application (As of June 30, 2024) | Purpose | Revised Allocation (HKD million) | Utilized During Reporting Period (HKD million) | Unutilized Balance (HKD million) | | :--- | :--- | :--- | :--- | | 1. Business Expansion | 83.7 | 1.3 | 82.4 | | 2. Expansion of Service Offerings | 7.1 | 0.0 | 0.0 | | 3. Investment in Information Technology | 70.2 | 3.1 | 57.4 | | 4. Human Resources | 12.7 | 4.2 | 3.6 | | 5. Working Capital | 7.5 | 0.0 | 0.0 | | 6. Loan to Borrower | 342.9 | 0.0 | 0.0 | | **Total** | **524.1** | **8.6** | **143.4** | [Share Repurchases](index=32&type=section&id=Purchase%2C%20Redemption%20or%20Sale%20of%20Listed%20Securities%20of%20the%20Company) The company actively repurchased and cancelled 19,427,000 shares for approximately HKD 38.51 million during the period, enhancing earnings per share and shareholder value H1 2024 Share Repurchase Details | Month of Transaction | Total Shares Repurchased | Highest Price Per Share (HKD) | Lowest Price Per Share (HKD) | Total Consideration Paid (HKD) | | :--- | :--- | :--- | :--- | :--- | | March | 3,781,000 | 2.00 | 2.00 | 7,562,000 | | April | 5,940,000 | 2.00 | 1.99 | 11,878,970 | | May | 9,706,000 | 2.00 | 1.81 | 19,069,110 | | **Total** | **19,427,000** | - | - | **38,510,080** | [Corporate Governance and Compliance](index=32&type=section&id=Compliance%20with%20the%20Corporate%20Governance%20Code) The company confirmed compliance with all applicable Corporate Governance Code provisions, with directors' securities transactions adhering to standards, and the Audit Committee reviewing the unaudited financial statements - The company complied with all applicable code provisions of the Corporate Governance Code for the six months ended June 30, 2024[77](index=77&type=chunk) - The company's Audit Committee reviewed the Group's unaudited condensed consolidated interim results[79](index=79&type=chunk)

Revenue Performance - Revenue from community resources value-added services decreased by 32.1% to RMB108.6 million in 2023 compared to RMB160.0 million in 2022[1][2] - Revenue from value-added services to non-property owners decreased by 43.9% to RMB106.1 million in 2023[8] - Revenue from property-based services increased by 21.5% to RMB740.8 million in 2023 compared to the previous year[16] - Revenue from properties developed by independent third-parties accounted for 50.9% of total revenue in 2023, generating RMB377.4 million[12] - Revenue from preliminary planning and design consultancy services decreased to RMB 61.465 million in 2023, down from RMB 114.191 million in 2022, with a revenue share of 57.9%[28] - Property inspection and repair services revenue increased to RMB 37.614 million in 2023, up from RMB 48.762 million in 2022, with a revenue share of 35.5%[28] - Commercial consulting services revenue significantly dropped to RMB 94,000 in 2023 from RMB 17.041 million in 2022, with a revenue share of only 0.1%[28] - Revenue from smart community solutions decreased to RMB11.1 million in 2023, down from RMB28.8 million in 2022, a reduction of RMB17.7 million[70] - Total revenue from property management services and value-added services reached RMB955.58 million in 2023, with property management services accounting for 77.5% of the total revenue[72] - Revenue from property sales and assistance services decreased to RMB9.7 million in 2023, down by RMB16.3 million from RMB26.0 million in 2022[85] - Revenue from community retail and home service decreased to RMB28.8 million in 2023, down by RMB7.3 million from RMB36.1 million in 2022[86] - Group revenue for 2023 was RMB955.6 million, a 0.3% decrease from RMB958.6 million in 2022[87] - Property management service revenue increased to RMB740.8 million in 2023, up by RMB131.1 million from 2022[90] - Revenue from community resources value-added services increased to RMB31.6 million in 2023, up by RMB0.7 million from RMB30.9 million in 2022[93] - Non-property owner value-added services revenue decreased by 43.9% to RMB106.1 million in 2023[97] - Smart community solutions revenue decreased to RMB11.1 million in 2023, down by RMB17.7 million from RMB28.8 million in 2022[100] Financial Performance - Total assets increased to RMB1,424.6 million in 2023 from RMB1,314.9 million in 2022, while total liabilities rose to RMB665.6 million from RMB533.7 million[6] - Gross profit for 2023 was RMB 226.039 million, a decrease of 16.7% year-on-year[47] - Profit for the period was RMB 62.497 million, a decrease of 50.0% year-on-year[47] - Gross profit margin declined to 23.7% in 2023 from 28.3% in 2022, while net profit margin dropped to 6.5% from 13.0%[75] - Gross profit margin decreased by 4.7% in 2023, primarily due to lower average property management fees and cost control challenges[91] Property Management and GFA - Total gross floor area (GFA) under management increased by 13.6% to 39.2 million sq.m. in 2023 from 34.5 million sq.m. in 2022[9] - The company managed 161 properties developed by independent third-party developers, with a total GFA of approximately 21.8 million sq.m. as of December 31, 2023[10] - The company's total GFA under management reached approximately 39.2 million sq.m. in 2023, representing a 13.6% increase from 34.5 million sq.m. in 2022[27] - The company managed 161 properties developed by independent third-party developers, with a total GFA of approximately 21.8 million sq.m. as of December 31, 2023[30] - The company's contracted GFA at the end of 2023 was 44.702 million sq.m., with 333 contracted projects and 297 projects under management[30] - The company's GFA under management at the end of 2023 was 39.243 million sq.m., reflecting a net increase of 4.7 million sq.m. from 2022[30] - The Group's GFA under management reached 39.2 million sq.m., with a contracted GFA of 44.7 million sq.m. as of 31 December 2023[51] - Total property management contracted GFA decreased to 44,702,000 sq.m. in 2023 from 48,698,000 sq.m. in 2022, and total property management GFA under management increased to 39,243,000 sq.m. from 34,543,000 sq.m.[75] - Residential properties accounted for 65.3% of the total GFA under management in 2023, while non-residential properties accounted for 34.7%[96] Regional and Market Focus - The Zhejiang Province and Yangtze River Delta Region contributed 73.1% of total revenue, amounting to RMB541.4 million in 2023[14] - The company plans to focus on regional market cultivation, intelligent scene creation, and innovative service systems (AM, PM, IFM) to rebuild values[21] - The company aims to continue exploring service boundaries and become a creator of opportunities for service aesthetics and a builder of smart construction scenes[21] - The company's property management services expanded to 40 cities across China by the end of 2023[31] - The company's portfolio includes a diverse range of non-residential properties such as commercial complexes, office buildings, schools, hospitals, industrial parks, and municipal facilities[32] - The company expanded its geographic presence to 40 cities in China by the end of 2023[95] Strategic Vision and Service Quality - The Group's strategic vision is to be a "better life service provider," integrating basic property services with livelihood services[51] - The Group's service quality was recognized with a high-quality service certificate from the Asian Games Organising Committee[49] - The Group's operational efficiency and service-centric approach contributed to maintaining its leading position in the East China property service market[49] - The company was awarded the title of "Red Property" in Zhejiang Province and recognized for several projects as provincial-grade garden residential communities and municipal-grade property management demonstration communities[77] Share Repurchase and Financial Management - The company repurchased 33,453,000 shares for a total consideration of HKD93,204,500 in 2023, all of which were subsequently canceled[80] - The company repurchased 8,253,000 shares in April 2023 at a total consideration of HKD 24,021,700, with the highest price per share paid at HKD 2.94 and the lowest at HKD 2.74[135] - The company repurchased 12,877,000 shares in May 2023 at a total consideration of HKD 36,375,660, with the highest price per share paid at HKD 2.87 and the lowest at HKD 2.69[135] - The company repurchased 12,323,000 shares in July 2023 at a total consideration of HKD 32,807,140, with the highest price per share paid at HKD 2.70 and the lowest at HKD 2.60[135] - The company's loan receivables under non-current assets decreased from RMB 315,000 thousand in 2022 to RMB 0 in 2023[140] - The company's total unutilized net proceeds as of 31 December 2023 amounted to HKD 152.0 million, with an expected utilization timeline extended to December 2024[144] - The company allocated HKD 12.7 million for improving human resource management and enhancing corporate culture, with HKD 7.8 million still unutilized as of 31 December 2023[144] - The company allocated HKD 7.5 million for working capital and other general corporate purposes, with HKD 0.0 million still unutilized as of 31 December 2023[144] - Net proceeds from the listing amounted to HK$763.5 million, with 65.0% (approximately HK$496.0 million) originally intended for business expansion and market share increase[159] - Unutilised net proceeds of HK$426.6 million are being deployed as a loan secured by Charged Assets with an appraised market value of approximately RMB630 million[159] - The expected timetable for utilisation of all net proceeds has been extended to December 2024 or earlier[159] Taxation and Financial Risks - Income tax provision for operations in Mainland China is calculated based on applicable tax rates and existing legislation[161][163] - Dividends distributed from PRC companies to foreign investors are subject to a 10% withholding income tax, with a potential lower rate of 5% under certain conditions[162] - The Group has not accrued any withholding income tax for undistributed earnings of its subsidiaries in Mainland China as there is no plan to distribute these earnings[162] - The Group's major non-RMB assets as of 31 December 2023 include cash and cash equivalents denominated in Hong Kong dollars amounting to RMB 1.59 million and in US dollars amounting to RMB 0.02 million[172] - The Group faces principal risks including uncertainty in securing new or renewing property management service agreements, potential difficulties in integrating acquired operations, and risks related to rising raw material prices and labor costs[172] - The Group's financial risk is primarily due to foreign exchange rate risk, as the majority of its operations are conducted in the PRC and denominated in Renminbi[172] - The Group does not currently have a foreign currency hedging policy but manages its foreign exchange risk by closely monitoring exchange rate movements[172] Corporate Governance and Leadership - Mr. Hu, with over 25 years of experience in the PRC real estate industry, has been the director and chairman of Dexin Real Estate Group Co., Ltd. since its establishment in September 1995[119] - Mr. Tang Junjie, appointed as executive Director and president on 31 December 2020, is responsible for the formulation and implementation of the business strategy, annual operation planning, and financial planning of the Group[121] - Ms. Zheng Peng, appointed as the executive director since 14 April 2023, has over 17 years of experience in accounting and financial management and is responsible for the Group's financial management affairs[122] - The company emphasizes talent management, focusing on high standards, reasonable quantity control, and high resilience in talent selection[117] - Ms. Zhao Lixiang was appointed as the chief human resources officer in June 2013, responsible for human resources and administration affairs[130] - Ms. Zhao Lixiang has over 21 years of experience in human resources and administration, including roles at various companies such as Huasheng Construction Group and Zhejiang Jinke Daily Chemical Raw Materials Co., Ltd.[131] - Mr. Wu Zhexiao joined the Group in March 2021 as the general manager of the investment development center, responsible for market strategic planning and capital market operations[132] - Mr. Wu Zhexiao previously served as the manager of the investment and development department at Dehua Tubao New Decoration Material Co., Ltd. from July 2010 to August 2012[132] - Mr. Wu Zhexiao served as the secretary of the board of directors at Zhejiang Hongwei Supply Chain Group Co., Ltd. from September 2012 to February 2017[132] - Mr. Wu Zhexiao was appointed as the chairman of Hangzhou Sier Technology Co., Ltd. in October 2023[132] - Mr. Wu Zhexiao holds a Bachelor's degree in Finance from Jiangxi Normal University, obtained in 2010[132] - Mr. Rui served as an independent director for COSCO Shipping Energy Transportation Co., Ltd. from June 2015 to June 2021[126] - Mr. Rui served as an independent director for Shang Gong Group Co., Ltd. from April 2017 to May 2023[126] - Mr. Rui has been serving as an independent non-executive director and chairman of the audit committee for China Education Group Holdings Limited since August 2017[126] Share Option Scheme and AGM - The Share Option Scheme remains in force for 10 years from 15 July 2021, with options granted having a 10-year exercise period[182] - No options were granted, exercised, cancelled, or lapsed under the Share Option Scheme during the reporting period and up to the date of the annual report[183] - The 2023 Annual General Meeting is scheduled to be held on 29 May 2024, with the notice and related documents to be issued and sent to shareholders in April 2024[185] - The Group's directors and senior management compensation is determined by the Board based on recommendations from the Remuneration Committee[188] - No other payments were made or are payable by the Group to or on behalf of any of the Directors for the year ended 31 December 2023, except as disclosed in the annual report[190] Loans and Financial Agreements - Outstanding loan to a third party with a principal amount of RMB315,000,000 as of 31 December 2023[193] - The loan is secured by car parking spaces with an appraised value of approximately RMB630 million[193] - Annual interest rate for the loan ranges from 5% to 8%[193] - The loan is repayable by December 2024[193] - The borrower is Hangzhou Ruiyang Supply Chain Management Co., Ltd., a business partner of the company[193] - The lender is Shanghai Xuquan Trading Co., Ltd., an indirect wholly-owned subsidiary of the company[193] - The annual cap for property management and related services under the Dexin China Property Management and Related Services Master Agreement was RMB108.4 million for the year ended 31 December 2023[199] - The initial term of the Dexin China Property Management and Related Services Master Agreement was from the listing date to 31 December 2023, with the possibility of extension by mutual agreement[199]

Financial Performance - For the year ended December 31, 2023, revenue was RMB 955.6 million, a decrease of 0.3% compared to 2022[2] - Gross profit for the same period was RMB 226.0 million, down 16.7% from 2022, resulting in a gross margin of 23.7%, a decline of 4.7%[2] - Profit for the year was RMB 62.5 million, representing a 50.0% decrease compared to 2022[2] - Basic earnings per share for the year were RMB 0.065, down 46.7% from the previous year[2] - Total revenue for 2023 was RMB 955,580 thousand, a slight decrease from RMB 958,597 thousand in 2022, representing a decline of approximately 0.2%[28] - Gross profit decreased to RMB 226,039 thousand in 2023 from RMB 271,374 thousand in 2022, reflecting a decline of about 16.7%[28] - Operating profit for 2023 was RMB 65,407 thousand, down from RMB 153,867 thousand in 2022, indicating a decrease of approximately 57.5%[28] - Net profit for the year was RMB 62,497 thousand, compared to RMB 125,060 thousand in 2022, a decline of around 50%[28] - Basic and diluted earnings per share decreased to RMB 0.065 in 2023 from RMB 0.122 in 2022, a drop of approximately 46.7%[28] Revenue Breakdown - Revenue from property management services was RMB 740.8 million, up from RMB 609.7 million in 2022[15] - Revenue from community value-added services was RMB 108.6 million, down from RMB 159.9 million in 2022[15] - Revenue recognized over time was RMB 911.1 million, an increase from RMB 850.0 million in 2022[16] - The property management service revenue accounted for 23.4% of total revenue, down from 25.1% in 2022, reflecting a decrease of 1.7%[113] - The non-owner value-added services revenue decreased significantly to RMB 106.1 million, representing a 43.7% decline from RMB 188.978 million in 2022[106] - The company's community value-added services include smart community solutions and property sales services, contributing to its diversified service offerings[99] - The revenue from community retail and home services reached RMB 28.8 million, down from RMB 36.1 million in the previous year, indicating a need for adaptation to changing customer demands[135] Assets and Liabilities - Non-current assets increased to RMB 29,299 thousand in 2023 from RMB 340,393 thousand in 2022, a significant decrease of about 91.4%[29] - Current assets rose to RMB 1,395,350 thousand in 2023, up from RMB 974,496 thousand in 2022, representing an increase of approximately 43.3%[29] - Total liabilities increased to RMB 655,599 thousand in 2023 from RMB 532,667 thousand in 2022, reflecting an increase of about 23.1%[29] - Trade receivables as of December 31, 2023, amounted to RMB 417,110,000, an increase from RMB 370,287,000 in 2022[79] - The company reported trade payables of RMB 178,551,000 for 2023, compared to RMB 120,951,000 in 2022, reflecting a significant increase[81] - The company’s other payables increased to RMB 430,744,000 in 2023 from RMB 329,246,000 in 2022[81] Shareholder Actions - The board did not recommend any final dividend for the year ended December 31, 2023[2] - The company repurchased a total of 46,090,000 shares for approximately RMB 119.9 million, with 37,990,000 shares canceled as of December 31, 2022[57] - The company did not declare or recommend any dividends for the year ended December 31, 2023, consistent with 2022[75] - The total number of shares repurchased from April to July 2023 was 33,453,000, with a total cost of HKD 93,204,500[197] Strategic Initiatives - The company aims to enhance customer satisfaction through diversified business development and integration of basic property services with owner services[69] - The company emphasizes a commitment to customer-centric development and operational efficiency amidst industry changes[67] - The company has established a comprehensive service development model, transitioning from basic property services to modernized full-industry chain services[69] - The company plans to leverage technology and innovation to drive high-quality development and improve service efficiency in the coming year[122] - The company aims to expand its service offerings through innovative solutions in smart community management, with a focus on enhancing customer experience[133] Market Position and Recognition - The company was recognized as the 22nd among the "Top 100 Property Service Enterprises in China" by the China Index Academy, reflecting its leading position in the East China property service market[118] - The company has been recognized with the title of "Red Property" in Zhejiang Province, enhancing its brand reputation and community engagement[126] Employee and Operational Metrics - The group has 2,942 employees as of December 31, 2023, compared to 2,815 employees as of December 31, 2022, with employee costs approximately RMB 301.3 million for the year[186] - The group aims to enhance organizational efficiency and talent development through a structured training program and a focus on high-performance organization building[188]

Financial Performance - For the six months ended June 30, 2023, the company recognized a net other gain of RMB 510,000 compared to RMB 1,323,000 in the same period of 2022, indicating a decrease of approximately 61.4%[1] - Finance income for the period was RMB 12,142,000, an increase of 35.5% from RMB 8,955,000 in the previous year[2] - The company reported finance costs of RMB 1,198,000, up from RMB 783,000, representing an increase of 53.0%[2] - Revenue for the first half of 2023 was approximately RMB 458.0 million, a decrease of 5.6% compared to RMB 485.1 million in the same period of 2022[71] - The net profit margin attributable to the owners of the Company was 13.8%, down from 17.6% in the previous year[56] - The gross profit margin for the first half of 2023 was 28.2%, compared to 31.8% in the same period of 2022[56] - Profit for the period attributable to owners of the company was RMB 63.0 million, representing a decline of 28.6% from RMB 88.6 million in the previous year[83] - Gross profit for the reporting period was RMB 129.2 million, down 16.2% from RMB 154.1 million in the prior year[83] Assets and Liabilities - Total assets increased to RMB 1,376,051,000 as of June 30, 2023, compared to RMB 1,314,889,000 as of December 31, 2022, representing a growth of approximately 4.7%[46] - Total liabilities rose to RMB 584,935,000 as of June 30, 2023, up from RMB 533,693,000 as of December 31, 2022, indicating an increase of about 9.6%[46] - Cash and bank balance decreased to RMB 196,820,000 as of June 30, 2023, from RMB 209,855,000 as of December 31, 2022, reflecting a decline of approximately 6.2%[46] - Trade receivables from third parties amounted to RMB 316,366,000, an increase of 22.3% from RMB 258,777,000 as of December 31, 2022[11] - The total amount of trade and other receivables and prepayments as of June 30, 2023, was RMB 836,040,000, compared to RMB 756,692,000 at the end of 2022, reflecting an increase of 10.5%[11] Operational Efficiency - The company is focused on maintaining its market position and exploring new strategies for growth in the upcoming periods[40] - The management is optimistic about future performance and is committed to enhancing operational efficiency and expanding market reach[40] - The management strategy focuses on refining headquarters, strengthening regional operations, and consolidating projects to improve efficiency[58] - The company aims to enhance the quality of fundamental property management services and improve operational efficiency through refined management practices[91][94] Revenue Streams - Revenue from property management services amounted to approximately RMB 341.8 million, an increase of 19.9% compared to RMB 285.2 million in the 2022 Interim Period[73] - Revenue from value-added services to non-property owners was approximately RMB 59.8 million, representing a decrease of 40.7% compared to the 2022 Interim Period due to reduced demand from co-developers[107] - Revenue from community value-added services was approximately RMB 56.4 million, a decrease of 43.1% from approximately RMB 99.1 million in the 2022 Interim Period, primarily due to reduced service demand from property owners[109] Employee and Related Party Transactions - Salaries and other short-term employee benefits amounted to RMB 2,878,000 for the six months ended June 30, 2023, compared to RMB 2,250,000 for the same period in 2022, representing an increase of approximately 28%[34] - Significant transactions with related parties included RMB 68,275,000 with Dexin China Group and its joint ventures and associates for the six months ended June 30, 2023, down from RMB 111,852,000 in the same period of 2022, a decrease of about 38.8%[35] Future Outlook - The company aims to strengthen brand recognition and enhance user stickiness through community governance initiatives[67] - The company plans to penetrate the Yangtze River Delta region and focus on high-quality urban projects to drive future growth[64] - The company has secured new business segments, including integrated facility management (IFM) and urban services, enhancing its service offerings[57] Miscellaneous - The consolidated financial statements were approved by the Board of Directors on August 21, 2023[28] - The Group did not declare an interim dividend for the six months ended June 30, 2023, consistent with the previous year[181] - The total number of employees decreased to 2,592 as of June 30, 2023, from 2,815 as of December 31, 2022[175] - There were no significant events after the end of the reporting period, aside from disclosures in the financial statements[200]

Financial Performance - The revenue for the six months ended June 30, 2023, was approximately RMB 458.0 million, a decrease of 5.6% compared to RMB 485.1 million for the same period in 2022[28]. - The gross profit for the reporting period was approximately RMB 129.2 million, down 16.2% from RMB 154.1 million in the mid-2022 period[28]. - The gross profit margin for the reporting period was 28.2%, a decline of 3.6% from 31.8% in the mid-2022 period[28]. - The profit for the reporting period was approximately RMB 63.3 million, a decrease of 28.6% compared to RMB 88.6 million in the mid-2022 period[28]. - Operating profit for the reporting period was RMB 69.2 million, down from RMB 104.7 million in the mid-2022 period[7]. - The total comprehensive income for the period was RMB 63.3 million, compared to RMB 88.6 million in the mid-2022 period[9]. - The net profit attributable to the company's owners for the reporting period was approximately RMB 63.0 million, down from RMB 85.4 million in 2022[74]. - The basic and diluted earnings per share for the reporting period were RMB 0.065, down from RMB 0.084 in mid-2022[130]. - The company recorded a net profit of approximately RMB 63.3 million for the reporting period, a decrease of 28.6% compared to RMB 88.6 million in the same period last year, with a net profit margin of 13.8%, down from 18.3%[154]. Revenue Breakdown - Revenue from property management services was RMB 341,844,000, up 20% from RMB 285,191,000 in the previous year[40]. - Revenue from non-owner value-added services decreased to RMB 59,801,000, down 40.7% from RMB 100,842,000 in 2022[40]. - Revenue from community value-added services also decreased to RMB 56,377,000, down 43% from RMB 99,115,000 in 2022[40]. - Revenue from property management services reached RMB 341.8 million, accounting for 74.6% of total revenue, while community value-added services revenue fell by 43.1% to approximately RMB 56.4 million[117][123]. Expenses and Liabilities - Sales and marketing expenses increased by 16.3% to approximately RMB 8.1 million during the reporting period, compared to approximately RMB 7.0 million in the mid-2022 period[1]. - The group’s administrative expenses decreased by 14.6% to approximately RMB 50.1 million from RMB 58.7 million in mid-2022, due to organizational adjustments and personnel optimization[128]. - Current liabilities increased to RMB 584,395,000, up 9.7% from RMB 532,667,000 at the end of 2022[33]. - Trade and other payables increased by 8.2% to RMB 356.1 million as of June 30, 2023, compared to RMB 329.2 million as of December 31, 2022, driven by business expansion and service growth[158]. Assets and Financial Position - Total current assets as of June 30, 2023, were RMB 1,039,637,000, an increase of 6.7% from RMB 974,496,000 at the end of 2022[33]. - The net current asset value was RMB 455,242,000, an increase of 3% from RMB 441,829,000 at the end of 2022[33]. - As of June 30, 2023, cash and cash equivalents amounted to RMB 196.8 million, a decrease of 6.2% from RMB 209.9 million as of December 31, 2022[108]. - Trade and other receivables and prepayments grew by 10.5% to RMB 836.0 million as of June 30, 2023, compared to RMB 756.7 million as of December 31, 2022, driven by business expansion[109]. Share Repurchase and Dividends - The company repurchased a total of 21,130,000 shares of its ordinary shares on the stock exchange, with a total payment of approximately RMB 53.3 million[60]. - The company did not declare any dividends during the reporting period[50]. - The company announced that no dividend would be declared for the mid-term reporting period, consistent with the mid-2022 period[28]. - The company announced no dividend payment for the interim period, consistent with the previous year[147]. Strategic Focus and Development - The company has implemented a management mechanism focusing on "empowering headquarters, strengthening regions, and solidifying projects" to enhance operational efficiency[63]. - The company has emphasized the importance of service quality in property management and is focusing on enhancing service density and value[65]. - The company has maintained a strategic focus on high-quality development rather than merely scaling operations[64]. - The company plans to continue exploring development paths that align with its unique characteristics while balancing management scale and service quality[64]. - The company plans to continue diversifying its property management portfolio and expanding its customer base by providing quality services for both residential and non-residential properties[95]. Market Position and Recognition - The company was recognized as one of the "Top 5 Stable Operating Listed Property Companies in China" and ranked 22nd among the top 100 property companies in China for ten consecutive years[83]. - The company expanded its geographical distribution to 41 cities in China as of June 30, 2023, focusing on increasing managed area and revenue in core cities outside Zhejiang and the Yangtze River Delta[93]. Operational Metrics - As of June 30, 2023, the managed area was approximately 36.2 million square meters, an increase of about 11.0% from approximately 32.6 million square meters as of June 30, 2022[28]. - The total managed area reached 36.23 million square meters as of June 30, 2023, reflecting an 11.0% year-on-year growth[111]. - The company reported a total of 326 signed projects with a managed area of 44,191 thousand square meters as of June 30, 2023[91].

Financial Position - As of June 30, 2022, the company's cash and cash equivalents amounted to approximately RMB 826.6 million, significantly exceeding its immediate cash needs[12] - The company has a net current asset value of approximately RMB 884 million as of June 30, 2022[14] - The loan provided to Hangzhou Ruiyang is secured by collateral valued at approximately RMB 630 million, nearly double the loan principal[7] - The estimated value of the collateral, which consists of parking spaces, is approximately RMB 630 million[48] - The net proceeds from the global offering amount to HKD 763.5 million, including proceeds from the partial exercise of the over-allotment option[49] Loan and Interest - The annual interest rate for the loan is set at 8%, which the board considers fair and reasonable under general commercial terms[14] - The loan agreement allows for a loan amount of up to RMB 315 million, aimed at generating interest income higher than idle cash in banks[45] - The board believes that granting the loan will not only generate additional interest income but also strengthen business relationships with the borrower, leading to more business opportunities[6] - The company believes that providing loans will strengthen its business relationship with the borrower and help explore more potential customers[32] Risk Management and Internal Control - The company has implemented a series of remedial measures to enhance its internal control systems following certain compliance issues[19] - The audit committee has reviewed the internal control assessment report and believes the company maintains an appropriate and effective risk management and internal control system[23] - The company has established an effective risk management and internal control system to fulfill its responsibilities under the listing rules[26] - The board has taken remedial measures to ensure compliance with listing rules, including seeking legal and professional advice[34] - The independent internal control consultant has issued several reports, leading to the implementation of enhanced internal control procedures[40] - The company will conduct annual internal control reviews to ensure strict adherence to the enhanced internal monitoring system[38] - The CFO is responsible for evaluating potential disclosure events and ensuring all transactions are approved by the board[38] Investment Strategy - The company is adopting a prudent approach in seeking investment opportunities amid significant uncertainties in the property development industry[12] - The company aims to maximize shareholder value through strategic lending and risk assessment of borrowers[32] - The board has confirmed that there are no significant impairments or write-offs related to the loans as of the announcement date[17] - The company is committed to ensuring sufficient operating cash flow and has the right to require additional assets to be included as collateral to secure its funds[4]

Financial Performance - The revenue from the Parking Space Leasing and Sales Agency Services for the year ended December 31, 2022, was RMB 8 million[9]. - The Company paid deposits of RMB 250 million to Dexin China for the parking space sales and leasing agency during the year[9]. - The annual cap for the deposits regarding the Parking Space Leasing and Sales Agency Services Framework Agreement for the year ended December 31, 2022, was RMB 250 million, and for the subsequent two years, it is RMB 300 million each[10]. - A loan agreement was entered into with Hangzhou Ruiyang for a principal amount of up to RMB 315 million at an interest rate of 8% per annum[11]. - The Company does not recommend the payment of any final dividend for the year ended 31 December 2022[166]. - The Group's consolidated annual results for the year ended 31 December 2022 are detailed in pages 96 to 171 of the annual report[200]. - The external auditor, Zhonghui Anda CPA Limited, was appointed for the year ended 31 December 2022, with total fees for audit and non-audit services amounting to RMB2,879,000[183]. Governance and Compliance - The Company ensured that all independent non-executive Directors confirmed their independence in accordance with the Listing Rules[38]. - The Company Secretary provided services to ensure compliance with Board procedures, and relevant training was conducted for Directors[40]. - The Company has established three principal Board committees: Audit Committee, Nomination Committee, and Remuneration Committee, each operating under its terms of reference[47]. - The Audit Committee reviewed the financial reporting system, compliance procedures, and risk management systems for the year ended December 31, 2022[60]. - The Group has complied with the Corporate Governance Code through the establishment of an effective risk management and internal control system[186]. - The Board is committed to enhancing gender diversity, currently having one female Director, and aims to improve female representation in senior management[168]. - The Nomination Committee will periodically review the Board Diversity Policy to ensure its effectiveness[174]. Management and Strategy - The company reported a significant increase in overall operational management and strategic planning under the leadership of Executive Director Hu Yiping, who has over 25 years of experience in the real estate industry[21]. - Executive Director Tang Junjie is responsible for the formulation and implementation of business strategy, with a focus on annual operation and financial planning since his appointment in December 2020[24]. - The company has emphasized the importance of strategic investment and operation in the property management sector, particularly under the guidance of Tang Junjie, who previously held various key positions in urban planning and development[27]. - The company has a strong focus on enhancing its value-added business in the community, as indicated by the responsibilities assigned to Director Zhu Xiaoli[30]. - The Group's strategic development and brand promotion efforts are overseen by the assistant president, who has been with the Group since October 2013[150]. - The investment development center, responsible for market strategic planning and capital market operations, was managed by the general manager who joined the Group in March 2021[156]. - The Group's human resources and administration management is led by an officer with over 21 years of experience, appointed in June 2013[151]. Board and Director Information - The Company held a total of 5 Board meetings during the year ended December 31, 2022, with all Directors attending all meetings[45]. - The Audit Committee, consisting of three independent non-executive Directors, held 5 meetings in the same period, with full attendance from its members[58]. - All Directors participated in comprehensive induction training to stay updated on regulatory developments and responsibilities[42]. - The Group's Nomination Committee consists of three members, with Mr. Hu Yiping serving as the chairman[64]. - Mr. Jia Shenghua has been an independent non-executive Director since June 21, 2021, providing independent advice on the Group's operations and management[74]. - Mr. Rui Meng was appointed as an independent non-executive Director on June 21, 2021, and has been a Professor in Accounting since January 2012[81]. - The Group's independent non-executive Directors are responsible for providing independent advice on operations and management[81]. Training and Development - The Company has established a comprehensive internal staff training program to enhance employee capabilities and management levels[3]. - The Group has partnered with Zhejiang Shuren University to develop a new generation of talents[3]. - The Company has implemented the GB/T45001-2020/ISO 45001:2018 occupational health and safety management system[3]. - The training programs include both online and offline formats to cater to different learning needs[3]. - The dynamic mechanism for talent development is based on "stocktaking — movement — development" to ensure alignment with business needs[3]. Community Engagement and Corporate Social Responsibility - The Group's total donations for the year ended 31 December 2022 amounted to approximately RMB2.0 million[197]. - The Group operates three business lines: property management services, value-added services to non-property owners, and community value-added services, covering the entire value chain of property management[195]. - The Group's focus on community business cooperation and smart community platform development is part of its strategic initiatives[149].

助理总裁陈欣先生好 我们的管理层将会用30分钟左右的时间介绍公司2022年业绩情况以及未来的发展战略接着是问答的环节下面有请德信服务集团执行董事兼总裁唐俊杰先生为大家介绍2022年业绩亮点有请唐总 本集团持续致密市场网络提升区域密度实现局约化的管理为集团继续高质量发展增强确定性同时本集团进一步发挥通过市场化竞争获得项目的优势成功接管一系列的城市代表性地标性的项目在管项目中第三方面积占比持续攀升达到了64.8%保持高位 排名篡新高同时我们也陆续获得中国物业服务市场化运营领先品牌企业等荣誉品牌知名度不断的提升以上是我的总结好 谢谢唐总为我们介绍整个2022年的业绩情况下面有请德信服务集团执行董事兼助理总裁朱晓令女士为大家介绍2022年财务回顾 毛利率为28.3%毛利率稍有下降主要因为在总体经济形势影响公司高毛利业务营收有所下降成本保持平稳增速此外本集团本报告期间的净利润金额约人民币1.25亿元净利率13%谢谢 第三 计较核心利润基金会省做大营业收入在满足业主需求的基础上促进业务升级提升营利能力做到既增收又增利康是企业发展人类性同时 集团将紧跟市场发展趋势计较竞争力的培养着重培养商贩服务绿化管理等专业化子公司 下面 ...

Financial Performance - Total revenue for the year ended December 31, 2022, was RMB 958.6 million, an increase of 10.1% compared to 2021[10] - Gross profit for the same period was RMB 271.4 million, a decrease of 9.3% year-on-year, resulting in a gross margin of 28.3%, down 6.1% from 2021[10] - Profit for the year was RMB 125.1 million, reflecting a 13.6% increase from the previous year[10] - Revenue from community value-added services reached RMB 159.9 million, a decline of 12.3% from RMB 182.4 million in 2021[12] - Revenue from property sales and agency services was RMB 26.0 million, down 28.5 million from RMB 54.5 million in the previous year[14] - Property management services accounted for 63.6% of total revenue, increasing from 58.2% in the previous year, with total revenue of RMB 958.6 million, up from RMB 870.4 million[27] - The group's gross profit for the reporting period was RMB 271.4 million, a decrease of 9.3% from RMB 299.1 million in 2021, with a gross margin dropping from 34.4% to 28.3%[56] - The net financing income for the year was RMB 8,802,000, compared to RMB 3,184,000 in the previous year, reflecting an increase of approximately 176.5%[89] - The company reported a total of RMB 370,287,000 in trade and other receivables as of December 31, 2022, compared to RMB 198,979,000 in 2021, reflecting an increase of approximately 86.1%[156] Operational Highlights - The area under management as of December 31, 2022, was 34.5 million square meters, an increase of 11.0% year-on-year, while contracted area grew by 5.1% to 48.7 million square meters[10] - Smart community solutions revenue reached RMB 28.8 million, a decrease of RMB 19.8 million (40.7%) compared to RMB 48.6 million in the previous year[25] - Community retail and home services revenue increased to RMB 36.1 million, up RMB 13.2 million (57.6%) from RMB 22.9 million in the previous year[26] - The company successfully delivered over 20,000 new owners during the year, enhancing its market presence in first-tier and new first-tier cities[173] - The company managed a total construction area of approximately 22.4 million square meters across 159 properties developed by independent third-party developers as of December 31, 2022[195] - The company has expanded its geographical distribution to 41 cities in China as of December 31, 2022, enhancing its competitiveness in property management[196] Strategic Initiatives - The company is focusing on enhancing core profits and increasing operating income while improving service quality and project standards[18] - The company aims to strengthen management efficiency through a three-tier collaborative management mechanism and technology empowerment[6] - The company plans to continue expanding its non-residential service segment and enhance profitability through differentiated business structure[4] - The company plans to expand its business scale and increase market share through multi-channel strategies, with an expected investment of HKD 496 million by December 2024[73] - The company has implemented various initiatives to enhance service quality and owner satisfaction, including the "One City One Demonstration" and "Quality Officer Plan" actions[175] - The company aims to leverage its independent third-party market operation advantages to drive growth in scale and profitability[192] Governance and Compliance - The company has complied with all applicable code provisions of the Corporate Governance Code, except for deviations noted in provisions C.5.3 and D.1.2[83] - The audit committee, composed of three independent non-executive directors, reviewed the group's financial statements and confirmed compliance with applicable accounting principles[84] - The company plans to maintain high standards of corporate governance to protect shareholder interests and enhance corporate value[94] - The board of directors includes executive and independent non-executive members, ensuring a balanced governance structure[87] - The company aims to continue monitoring and improving its practices to comply with corporate governance codes in future announcements and financial reports[103] Shareholder Returns - The board does not recommend any final dividend for the year ended December 31, 2022, compared to a dividend of HKD 0.059 per share in 2021[10] - The company does not plan to declare any dividends for the year ended December 31, 2022[148] - The company repurchased a total of 46,090,000 shares of its ordinary shares during the reporting period, with a total expenditure of approximately RMB 119.9 million[184] Financial Position - Cash and cash equivalents decreased significantly to RMB 209,855 thousand from RMB 499,983 thousand in 2021, representing a decline of 58.1%[120] - Trade and other payables increased to RMB 329,246 thousand, up 32.0% from RMB 249,562 thousand in 2021[120] - The net asset value for 2022 was RMB 781,196 thousand, a decrease of 9.2% from RMB 860,211 thousand in 2021[128] - The current ratio as of December 31, 2022, was 1.8, down from 3.2 as of December 31, 2021[65]

Financial Performance - Revenue for the first half of 2022 was RMB 485,148,000, representing a 6.3% increase compared to RMB 456,432,000 in the same period of 2021[10]. - Gross profit decreased by 6.9% to RMB 154,124,000 from RMB 165,531,000 year-on-year[10]. - Profit for the period increased by 22.0% to RMB 88,601,000, up from RMB 72,626,000 in the previous year[10]. - Net profit margin attributable to the owners of the Company improved to 17.6% from 14.3% year-on-year[9]. - Revenue from property management services amounted to approximately RMB 285.2 million, an increase of 17.7% from approximately RMB 242.3 million in the 2021 Interim Period[29]. - The Group's net profit for the Reporting Period was approximately RMB 88.6 million, representing an increase of 22.0% compared to approximately RMB 72.6 million for the 2021 Interim Period[62]. - The total comprehensive income for the period attributable to owners of the Company was RMB 85,395,000, an increase of 31.1% from RMB 65,146,000 in the same period last year[121]. - Earnings per share for the period were RMB 0.084, slightly down from RMB 0.087 in the previous year[121]. Operational Metrics - Total property management contracted GFA increased to 47,998,000 sq.m. from 43,321,000 sq.m. year-on-year[9]. - Total property management GFA under management rose to 32,643,000 sq.m. from 28,001,000 sq.m. year-on-year[9]. - The total Gross Floor Area (GFA) under management reached approximately 32.6 million sq.m., reflecting a growth of 4.6 million sq.m. or 16.4% compared to approximately 28.0 million sq.m. in the 2021 Interim Period[29]. - The company managed 160 properties developed by independent third-party property developers, with a total GFA of approximately 21.8 million sq.m.[31]. - The company reported a total of 326 contracted projects with a GFA of 47,998 sq.m. as of the end of the reporting period[30]. Market Expansion and Strategy - The Company expanded its market presence in core city clusters in the Yangtze River Delta region, establishing a foothold in cities like Wuhan, Chengdu, and Suzhou[12]. - The Company maintained its competitive edge in market-based operations, securing more projects through open competitions[12]. - The strategic focus includes diversifying into commercial buildings, industrial buildings, and urban services to achieve sustainable growth[12]. - The Company continued to deepen its market presence in core cities of the Yangtze River Delta, successfully entering new regional markets[15]. - The company’s strategic expansion included endogenous growth and joint ventures, enhancing market share in the Yangtze River Delta region and beyond[29]. Financial Position - Cash and bank balance increased significantly to RMB 826,643,000 from RMB 499,983,000 at the end of December 2021[10]. - Total assets as of June 30, 2022, amounted to RMB 1,359,517, an increase from RMB 1,208,762 as of December 31, 2021, representing a growth of 12.5%[123]. - Net current assets increased to RMB 884,795 as of June 30, 2022, compared to RMB 831,005 as of December 31, 2021, reflecting a growth of 6.5%[123]. - The Group's cash and cash equivalents were RMB 826.9 million as of 30 June 2022, an increase of 10.1% from RMB 750.8 million as of 31 December 2021[65]. - The company reported retained profits of RMB 250,979 as of June 30, 2022, compared to RMB 165,584 as of January 1, 2022, indicating a substantial increase[124]. Cost and Expenses - Cost of sales increased to approximately RMB 331.0 million, reflecting a 13.8% rise compared to the 2021 Interim Period[41]. - Selling and marketing expenses rose by 62.8% from approximately RMB 4.3 million in the 2021 Interim Period to approximately RMB 7.0 million in the Reporting Period[51]. - Administrative expenses decreased by 15.7% from approximately RMB 69.6 million in the 2021 Interim Period to approximately RMB 58.7 million in the Reporting Period[52]. - The gross profit margin for property management services was 25.1%, down from 27.4% in the previous year[46]. Corporate Governance and Compliance - The Audit Committee confirmed compliance with all applicable accounting principles and standards during the reporting period[120]. - The Company has adopted the Corporate Governance Code and complied with all applicable provisions during the reporting period[114]. - The Group has not accrued any withholding income tax for undistributed earnings of its subsidiaries in Mainland China, as there are no plans to distribute these earnings[151]. Shareholder Information - As of the report publication date, Mr. Hu Yiping holds a 53.48% interest in the Company through Shengfu International Limited[94]. - The total number of issued shares of the Company as of the publication date is 989,461,000 shares[106]. - The Company does not recommend the payment of any interim dividend for the reporting period[83]. Related Party Transactions - Related party transactions included dealings with Mr. Hu, the ultimate controlling shareholder, and Dexin China Group, controlled by Mr. Hu[178]. - Revenue from services provided to Dexin China Group and its joint ventures and associates was RMB 111,852,000 for the six months ended June 30, 2022, down from RMB 124,185,000 in 2021, representing a decrease of 9.66%[180].