Management and Operations - As of December 31, 2022, the total contracted management area reached 149.8 million square meters, an increase of 44.0 million square meters compared to the end of 2021[6] - The managed area increased to 100.8 million square meters, with a growth of 27.3 million square meters from the end of 2021[6] - The proportion of contracted area from third parties rose from approximately 51% to 59%, totaling 89.1 million square meters[6] - The company operates in 92 cities across 28 provinces, municipalities, and autonomous regions in China[47] - The company plans to enhance service quality and strengthen competitive capabilities while focusing on residential, commercial, and office property sectors in 2023[16] - The company aims to implement a "one body, two wings" business layout strategy to adjust its business structure and promote quality project resources[16] - The company has been recognized as the 12th among the "Top 100 Property Service Enterprises in China" for 2022, highlighting its industry standing[34] - The company plans to expand its managed scale to exceed 100 million square meters[84] - The company completed the acquisition of 100% equity in Tianjin Xihe Supply Chain Service Co., enhancing regional scale and strategic development[96] Financial Performance - For the year ended December 31, 2022, the company achieved revenue of RMB 3,269.9 million, representing an approximate 10% year-on-year growth[18] - Gross profit for the same period was RMB 769.4 million, reflecting a year-on-year decline of about 7%[18] - Net profit for the year was RMB 78.8 million, down approximately 82% year-on-year, with profit attributable to shareholders at RMB 75.4 million, a decrease of about 83%[18] - Basic earnings per share were RMB 0.06, marking a year-on-year decline of approximately 84%[18] - Revenue for 2022 increased by 10% to RMB 3,270 million compared to RMB 2,966 million in 2021[62] - Gross profit decreased by 7% to RMB 769 million, down from RMB 825 million in 2021[76] - Net profit for the year dropped by 82% to RMB 79 million, compared to RMB 441 million in 2021[62] - Community value-added service revenue decreased by 16% to RMB 665 million in 2022[65] - Non-owner value-added service revenue increased by 9% to RMB 642 million in 2022[66] - The gross margin decreased by 4 percentage points to 24% from 28% in 2021[62] - Basic and diluted earnings per share fell by 84% to RMB 0.06 from RMB 0.37 in 2021[62] - Total assets as of December 31, 2022, increased by 7% to RMB 4,086 million, while total equity decreased by 7% to RMB 2,258 million[105] - Cash resources decreased significantly by 81% to RMB 472 million, impacting liquidity with a current ratio of 1.7, down 35%[105] Customer Satisfaction and Service Quality - The overall customer satisfaction score reached 90 points in 2022, indicating an excellent level within the industry[5] - The company emphasizes enhancing service quality and user satisfaction as a core strategy for sustainable development[84] - The company focuses on enhancing customer satisfaction through a smart service platform and regular satisfaction surveys[168] - The company aims to create a harmonious community culture by engaging in various community and public welfare activities[171] Strategic Initiatives and Future Plans - The company is focusing on high-end commercial property services, achieving BOMA BEST Gold certification for its Beijing Far Ocean International Center A[4] - The company is actively exploring community elderly care services, with the "Far Ocean Tian Di Community Elderly Care Center" selected as a key pilot unit by the Beijing Civil Affairs Bureau[8] - The company aims to enhance its value-added service penetration rate by optimizing service quality and expanding its service offerings in community living services and rental services[8] - The company is focusing on expanding its services in community elderly care and smart community construction, aligning with government policies to enhance property service coverage[103] - The company plans to extend the expected utilization timeline of the remaining net proceeds from March 31, 2023, to June 30, 2023, for further expansion and diversification of value-added services[122] - The company is exploring potential acquisitions to enhance its service portfolio, with a budget of 200 million allocated for this purpose[151] - A new customer loyalty program is set to launch in Q2 2023, aiming to increase customer retention rates by 15%[151] Sustainability and Governance - The company emphasizes sustainable and high-quality service development strategies, aiming to become a leading property management service provider in China[16] - The company has committed to sustainability initiatives, with a goal to reduce carbon emissions by 20% by 2025[156] - The company has established a comprehensive governance system, including a board of directors with two executive directors, two non-executive directors, and three independent non-executive directors, to ensure effective risk management and internal controls[167] - The board emphasizes the importance of environmental, social, and governance (ESG) principles to enhance investment value and long-term returns for stakeholders[194] - The company has implemented various initiatives to ensure compliance with environmental regulations and minimize environmental risks[194] - The company prioritizes local suppliers for projects and conducts regular evaluations to foster sustainable partnerships[198] - The company established the "Yuan Yang Foundation" to fulfill its social and civic responsibilities through educational initiatives[198] Investor Relations and Communication - The company emphasizes effective communication with shareholders and investors to enhance transparency and confidence in its business operations[136] - The management team emphasized the importance of maintaining strong investor relations, with plans for quarterly updates and increased communication frequency[152] - The company actively engages with investors through meetings and discussions to ensure transparent communication and address shareholder concerns[196]

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依賴 該等內容而引致的任何損失承擔任何責任。 截至二零二二年十二月三十一日止年度業績公告 業績摘要 • 2022 12 31 149.8 截至 年 月 日，物業管理服務的總合約建築面積為 百萬平方米，總在管建築 100.8 2021 12 31 42% 37% 面積為 百萬平方米，分別較 年 月 日增長約 及 。 • 2021 10% 3,269.9 收入較 年增長約 至人民幣 百萬元。 • 2021 7% 769.4 24% 2021 4 毛利較 年減少約 至人民幣 百萬元。毛利率約為 ，較 年下降約 個百分 2022 12 31 點。毛利率下降主要是由於截至 年 月 日止年度新型冠狀病毒疫情於中國持續，導 2022 12 31 致截至 年 月 日止年度社區增值服務（其毛利率與本集團提供的其他服務相比普遍 較高）產生的收入減少。 • 2021 82% 78.8 2021 年內溢利較 年減少約 至人民幣 百萬元。本公司擁有人應佔溢利較 年減少 83 ...

Company Overview - As of June 30, 2022, the total contracted building area reached 121.5 million square meters, covering 84 cities across 24 provinces, autonomous regions, and municipalities in China[13]. - The total managed property projects amounted to 392, with a total managed building area of 79.4 million square meters, including 235 residential communities, 48 commercial properties, and 109 other properties[13]. - The company operates in major cities including Beijing, Shanghai, Shenzhen, and Guangzhou, expanding its geographical coverage from the Beijing-Tianjin-Hebei region to the Bohai Rim and other first and second-tier cities in China[12]. - The company has a total of 305 subsidiaries and branches as of June 30, 2022, indicating a robust operational structure[12]. - The company has established a strong foundation in property management since its inception in 1997, focusing initially on properties developed by Sino-Ocean Holdings[12]. Financial Performance - The company achieved a revenue of RMB 1,600 million for the six months ended June 30, 2022, representing a 16% increase compared to RMB 1,385 million in the same period of 2021[40]. - Gross profit for the same period was RMB 429 million, a decrease of 3% from RMB 441 million in 2021, resulting in a gross margin of 27%, down 5 percentage points from 32%[40]. - Net profit increased by 2% to RMB 269 million, with a net margin of 17%, down 2 percentage points from 19% in the previous year[40]. - The company’s attributable profit rose to RMB 267 million from RMB 261 million, marking a 2% increase year-on-year[40]. - The total assets as of June 30, 2022, were RMB 4,219 million, reflecting a 10% increase from RMB 3,828 million as of December 31, 2021[29]. - The total equity increased by 7% to RMB 2,607 million from RMB 2,434 million year-on-year[29]. Market Expansion and Strategy - The company aims to enhance its market presence through strategic expansions and the introduction of new services in the property management sector[12]. - The company plans to enhance its market expansion strategy by focusing on high-quality project management and resource integration, particularly in the healthcare sector[43]. - The company is expanding its integrated property management model to enhance project response speed and service quality, with plans to replicate successful pilot experiences[47]. - The company plans to focus on sustainable and high-quality development, enhancing service capabilities and exploring innovative avenues for growth in the second half of 2022[52]. Community and Sustainability Initiatives - The company is committed to sustainable development and enhancing community living standards through its services[12]. - The company emphasizes a people-oriented approach, providing a platform for employees to realize their value and ensuring their basic rights[168]. - The company actively engages in community development and charitable activities, contributing to social progress[168]. - The company has established a sustainable development working group to oversee the implementation of sustainability policies and strategies, emphasizing the importance of sustainable development for business growth[196]. Operational Efficiency and Digitalization - The company aims to enhance operational efficiency through digitalization, optimizing member data platforms for precise targeting and exploring new channels and models[47]. - The company is focusing on enhancing digital marketing tools and optimizing cost control to improve project quality and profitability[81]. - The company aims to implement an integrated property management model while leveraging technology to reduce costs and improve efficiency[103]. Employee and Governance Structure - Employee count increased to 8,978 as of June 30, 2022, up from 7,027 as of December 31, 2021, primarily due to acquisitions[149]. - The company has implemented a diversified employee training program to support career development and establish a talent pipeline[168]. - The company adheres to high standards of corporate governance, ensuring a transparent and trustworthy business environment[180]. - The company has restructured its governance framework to enhance daily operations and ensure balanced decision-making among the board and senior management[182]. Risk Management - The company emphasizes effective risk management as crucial for sustainable business development, implementing a comprehensive risk management system[188]. - The risk management process includes risk identification, assessment, response, dynamic monitoring, and continuous improvement, ensuring systematic control of risks[192]. - The company has established a formal risk management organizational structure involving the board, management, and all employees to enhance operational quality[188]. Shareholder Information - As of June 30, 2022, the company had a total of 7,616,095,657 ordinary shares issued[171]. - Major shareholder Yao Sheng Development Limited holds 800,000,000 shares, representing approximately 69.86% of the company's issued share capital[175]. - The company had no borrowings as of June 30, 2022, maintaining a capital debt ratio of zero[141].

Property Management Services - As of December 31, 2021, the total contracted gross floor area of property management services reached 105.9 million square meters, covering 78 cities across 24 provinces, autonomous regions, and municipalities in China[21]. - The total managed area amounted to 73.5 million square meters, with 360 managed property projects, including 239 residential communities, 41 commercial properties, and 80 other properties[21]. - The company provides a variety of property management services, including community value-added services and pre-delivery services to property developers and other property management companies[21]. - The company operates in various property types, including residential communities, commercial properties (such as shopping centers and office buildings), and public facilities[21]. - The company has a total of 248 subsidiaries and branches as of December 31, 2021[15]. - The company offers business operation services for shopping centers and office buildings, including pre-opening management and operational management services[21]. - The total contracted management area reached 105.9 million square meters, an increase of 34.8 million square meters compared to the end of 2020[60]. - The area under management increased to 73.5 million square meters, with a growth of 28.0 million square meters from the previous year[60]. - The number of contracted property management projects increased to 488, with a contracted building area of 105.9 million square meters, representing a growth of approximately 49% and 62% respectively compared to December 31, 2020[94]. - The company expanded its geographical coverage to 78 cities across 24 provinces, autonomous regions, and municipalities in China, with a notable presence in major urban clusters[101]. Financial Performance - Total revenue for the year ended December 31, 2021, was RMB 2,966 million, representing a 47% increase from RMB 2,023 million in 2020[37]. - Gross profit increased by 61% to RMB 825 million, with a gross margin of 28%, up 3 percentage points from 25% in 2020[37]. - Net profit for the year rose by 68% to RMB 441 million, resulting in a net profit margin of 15%, an increase of 2 percentage points from 13% in 2020[37]. - Core profit reached RMB 448 million, a 79% increase compared to RMB 250 million in 2020, with a core profit margin of 15%, up 3 percentage points from 12%[37]. - The company announced a proposed dividend of RMB 0.093 per share, a 69% increase from RMB 0.055 in 2020[37]. - For the year ended December 31, 2021, the revenue from property management and commercial operation services was RMB 1,588.4 million, accounting for approximately 53% of the total revenue[94]. - The company's revenue increased significantly by approximately 47% from RMB 2,023.3 million in 2020 to RMB 2,965.6 million in 2021[160]. - Property management and commercial operation services contributed about 53% of total revenue in 2021, amounting to RMB 1,588.4 million, up from RMB 1,339.3 million in 2020, representing a growth of approximately 19%[160]. Strategic Initiatives and Expansion - The company has expanded its geographical coverage from the Beijing-Tianjin-Hebei region to the Bohai Rim and other areas in China, primarily focusing on first- and second-tier cities[15]. - The company signed strategic cooperation agreements with several quality institutions to enhance resource integration and project introduction[61]. - The company acquired 80% of the equity in Oure Property Group, enhancing its service capabilities in the healthcare sector[47]. - Strategic cooperation was established with Ocean Capital to deepen logistics and data center property management chains[47]. - The company is actively exploring urban service areas and accelerating the layout of smart city construction and comprehensive urban operation services[94]. - The company plans to enhance third-party expansion capabilities through optimized city layouts and diversified channels, focusing on high-quality development principles[134]. - The company aims to enhance independent market expansion capabilities by leveraging regional advantages, channel resources, and brand influence[97]. Community and Value-Added Services - Community value-added service revenue was RMB 788.8 million, a significant increase of RMB 472.7 million, representing a year-on-year growth of approximately 149%[63]. - The company aims to enhance community living services and property brokerage services as part of its value-added offerings[21]. - Community value-added services revenue surged by approximately 149% from RMB 316.2 million in 2020 to RMB 788.8 million in 2021, driven by significant promotion of home services and retail sales[163]. - Non-owner value-added services revenue was RMB 588.3 million, a growth of about 60%, making up approximately 20% of the total revenue[128]. - The company aims to deepen community value-added services, including innovative business models like community elderly care, tourism, and education[142]. Operational Efficiency and Management - The company achieved a property fee collection rate of 94% in 2021, indicating effective management and customer satisfaction initiatives[106]. - The company plans to adopt a more proactive strategic approach in 2022, focusing on enhancing service quality and expanding service capabilities[79]. - The company aims to deepen its operational management system to continuously explore operational potential and improve quality[79]. - The company will continue to optimize service standards and enhance customer satisfaction through detailed management practices[73]. - The company has implemented energy-saving measures in response to national carbon neutrality strategies, improving operational efficiency[72]. Assets and Liabilities - Total assets as of December 31, 2021, were RMB 3,828 million, a 24% increase from RMB 3,092 million in 2020[38]. - Cash resources amounted to RMB 2,527 million, reflecting a 16% increase from RMB 2,175 million in 2020[38]. - The company's capital commitments were RMB 61.2 million as of December 31, 2021, related to the acquisition of subsidiaries providing property management services[195]. - The company had no borrowings as of December 31, 2021, indicating a strong financial position[193]. - Trade receivables and notes receivable rose approximately 66% from RMB 3,155 million as of December 31, 2020, to RMB 5,237 million as of December 31, 2021, consistent with a significant increase in revenue during the year[187].

Financial Data and Key Metrics Changes - The company achieved total revenue of RMB 2.966 billion, a year-on-year increase of 46.6% [12] - Core net profit reached RMB 448 million, up 79% year-on-year, with a core net profit margin of 15.1%, an increase of 2.8 percentage points [14] - Total gross profit was RMB 825 million, reflecting a 61.3% increase year-on-year, with an overall gross margin of 27.8%, up 2.5 percentage points [12][14] Business Line Data and Key Metrics Changes - The company’s contracted area reached 1.06 billion square meters, a 49% increase year-on-year, with managed area at 73.48 million square meters, up 62% [2][4] - Community value-added services revenue surged to RMB 789 million, a 149% increase year-on-year, with economic business revenue growing by 533% to RMB 206 million [3][12] - The commercial management segment generated revenue of RMB 462 million, a 28% increase year-on-year, with gross profit doubling to RMB 156 million [3][7] Market Data and Key Metrics Changes - The company’s third-party contract area accounted for 50.6% of total contracts, an increase of 18 percentage points year-on-year [4][5] - The total area of external contracts reached 24.96 million square meters, a 174% increase year-on-year [2][5] - The company’s focus on high-value regions resulted in 92% of managed area located in first- and second-tier cities [6] Company Strategy and Development Direction - The company aims to become a leading brand in the mid-to-high-end comprehensive service sector, focusing on property management and community value-added services [15][16] - The strategic goal for 2025 includes exceeding RMB 10 billion in revenue, with a compound annual growth rate of over 40% [19] - The company emphasizes sustainable development and enhancing service quality while maintaining a focus on core business areas [18][19] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of focusing on service quality and operational efficiency to navigate the competitive landscape [16][18] - The company plans to leverage its strengths in community services and explore opportunities in the elderly care market [10][22] - Future growth is expected to be driven by a combination of organic growth and strategic acquisitions [20][21] Other Important Information - The company has established a comprehensive asset management system, with a focus on integrating property management and commercial operations [7][8] - The company is actively exploring community-based elderly care services, having been selected as a pilot unit for community elderly care by government authorities [10][22] - The company’s commitment to sustainability is reflected in its initiatives to reduce carbon emissions and improve energy efficiency [12][13] Q&A Session Summary Question: What is the company's positioning and development direction for the next 3-5 years? - Management stated that the company aims to become a reputable mid-to-high-end comprehensive service provider, focusing on service quality and operational excellence [15][16] Question: Will the company consider more aggressive acquisitions for scale expansion? - Management indicated that acquisitions are one method for expansion, with a focus on high-quality targets that complement existing operations [20][21] Question: What are the plans for community elderly care services? - Management shared that the company is actively involved in pilot projects for community elderly care and aims to integrate various resources to enhance service offerings [22] Question: How is the commercial business performing? - Management reported that the commercial segment is expected to see continued growth, with a focus on enhancing operational efficiency and customer satisfaction [33][34]

Financial Performance - For the six months ended June 30, 2021, the company reported revenue of RMB 1,385 million, representing a 53% increase from RMB 904 million in 2020[28]. - Gross profit for the same period was RMB 441 million, up 72% from RMB 257 million in 2020, with a gross margin of 32%, an increase of 4 percentage points[28]. - The company achieved a net profit of RMB 264 million, a 71% increase from RMB 154 million in 2020, resulting in a net profit margin of 19%, up 2 percentage points[28]. - Core profit reached RMB 271 million, reflecting a significant 110% increase from RMB 129 million in 2020, with a core profit margin of 20%, up 6 percentage points[28]. - Basic and diluted earnings per share for the period were RMB 0.22, a 29% increase from RMB 0.17 in 2020[28]. - The company achieved revenue of approximately RMB 1,384.6 million for the first half of 2021, representing a year-on-year growth of 53%[41]. - Gross profit for the same period was approximately RMB 441.3 million, with a year-on-year increase of 72%[41]. - Net profit for the first half of 2021 was approximately RMB 263.5 million, reflecting a year-on-year growth of 71%[41]. - The gross margin and net margin improved by 4 and 2 percentage points year-on-year, reaching 32% and 19% respectively[41]. Operational Expansion - The number of properties under management increased to 281, with a total managed area of 57.8 million square meters as of June 30, 2021[14]. - The company has expanded its geographical coverage to 72 cities across 24 provinces, autonomous regions, and municipalities in China[11]. - The total contracted construction area reached 82.6 million square meters as of June 30, 2021[14]. - The total contracted construction area reached 82.6 million square meters, with an increase of 11.5 million square meters compared to the end of 2020[41]. - The area under management increased to 57.8 million square meters, with a growth of 12.3 million square meters since the end of 2020[41]. - The number of managed properties reached 389, including 261 residential and 128 non-residential projects, laying a solid foundation for revenue growth[60]. - The geographical coverage expanded to 72 cities across 24 provinces, with 92% of the managed area located in first- and second-tier cities[70]. Service Offerings and Innovations - The company plans to continue enhancing its community value-added services and expand its market presence in first and second-tier cities in China[11]. - The company plans to expand into urban space cleaning and public facility management to enhance its service offerings[44]. - A collaboration agreement was reached with Ocean Capital to provide customized property management services for logistics and data centers[44]. - The company aims to enhance service quality and user satisfaction while maintaining effective scale expansion in the second half of 2021[53]. - The focus will be on community life services, rental and sales services, and space resource management to optimize business structure and improve project efficiency[51]. - The company is committed to building a digital property management system to enhance operational efficiency and customer experience[52]. - The company aims to enhance community value-added services by integrating resources and leveraging digital operations to improve service capabilities[83]. - The company has established a commercial asset management platform to provide services for shopping centers, office buildings, and other investment properties starting in the second half of 2021[63][66]. Revenue Streams - Community value-added service revenue amounted to RMB 100 million, an increase of RMB 30 million year-on-year, representing a growth of 42.9%[51]. - Community value-added service revenue reached RMB 371.8 million, a 265% increase year-on-year, contributing 27% to total revenue[75]. - The community asset value-added service accounted for 49% of community value-added service revenue, totaling RMB 183.3 million, compared to RMB 84.1 million in the previous year[76]. - Non-owner value-added service revenue was RMB 268.3 million, a 74% increase year-on-year, representing 19% of total revenue[78]. - Property engineering service revenue surged 312% year-on-year to RMB 111.8 million, driven by expansion into external clients such as major hospitals[78]. - The residential property segment accounted for 66% of total revenue, with an income of RMB 491,994 thousand from 46,912 thousand square meters managed, compared to 65% and RMB 423,067 thousand from 36,921 thousand square meters in 2020[63][67]. - The commercial property management segment saw a significant increase, with a managed area of 6.9 million square meters, up 27% from the end of 2020, and a managed area of 3.8 million square meters, up 48%[63][66]. Corporate Governance and Management - The company is committed to maintaining high levels of corporate governance, which is crucial for ensuring a clean business environment and maintaining investor confidence[165]. - The management team consists of experienced individuals, including two executive directors, two non-executive directors, and three independent non-executive directors, overseeing business performance and risk management[143]. - The board of directors has established a co-chairman structure, with Mr. Yang and Mr. Cui providing leadership and oversight of the company's overall strategy and policies[168]. - The audit committee, consisting of three independent non-executive directors, is responsible for overseeing the financial reporting process and internal control systems[169]. - The company has implemented a comprehensive risk management system to enhance operational quality and promote a good risk management culture[178]. - The risk control department is responsible for organizing and coordinating risk management efforts and developing annual risk management plans[178]. - The company has established a formal risk management organizational structure involving all levels of management and staff[178]. Financial Position and Investments - As of June 30, 2021, the total cash resources of the group were RMB 2,366.2 million, with a current ratio of 2.6, slightly down from 2.7 as of December 31, 2020[119]. - The group had no significant investments or acquisitions during the first half of 2021, and no major contingent liabilities were reported[120][123]. - The group plans to utilize the unspent IPO proceeds, which are currently held in licensed banks for short-term deposits[129]. - The net proceeds from the IPO amounted to approximately RMB 1,426.3 million, with planned allocations including 60% for strategic investments and acquisitions, 20% for upgrading smart management systems, and 10% each for enhancing digital infrastructure and general corporate purposes[129]. Community Engagement and Sustainability - The company actively engages in community development and poverty alleviation initiatives, leveraging its resources to support local residents[149]. - The company has established a platform for poverty alleviation, connecting agricultural products to communities to help increase employment and income for impoverished populations[149]. - The company is committed to sustainable development by integrating environmental, economic, and social considerations into its operational strategy[146]. - The company has implemented energy-saving measures and promotes waste classification to minimize its environmental impact[147]. - The company launched the "Enjoy Life, Plus Plan" to improve community environments and promote public health initiatives[148].

Company Overview - Sino-Ocean Service managed a total contracted gross floor area of 71.1 million square meters across 62 cities in China as of December 31, 2020[10]. - The company oversees 238 property projects, with a total managed gross floor area of 45.5 million square meters, including 184 residential communities and 54 non-residential properties[11]. - Sino-Ocean Service ranked 13th and 11th in comprehensive strength and growth potential, respectively, among the top 100 property service companies in China according to the China Index Academy[9]. - The company has a total of 185 subsidiaries and branches across 24 provinces, municipalities, and autonomous regions in China as of December 31, 2020[9]. - Sino-Ocean Service's headquarters is located in Beijing, with a strong operational base in various major cities across China[9]. Financial Performance - Total revenue for 2020 was RMB 2,023 million, an increase of 11% from RMB 1,830 million in 2019[28]. - Gross profit reached RMB 511 million, representing a 36% increase from RMB 377 million in the previous year[28]. - Net profit for the year was RMB 263 million, up 28% from RMB 205 million in 2019, with a net profit margin of 13.0%[28]. - The company’s total assets decreased by 26% to RMB 3,092 million from RMB 4,157 million in 2019[29]. - Total equity increased significantly by 366% to RMB 2,051 million from RMB 440 million in the previous year[29]. - Cash resources surged by 413% to RMB 2,175 million, compared to RMB 424 million in 2019[29]. Strategic Initiatives - The company aims to enhance its service offerings and expand its market presence through strategic initiatives and potential acquisitions[9]. - Acquired 50% stakes in Chengdu Qianhao Property Services and Beijing Yiting Port Property Services in 2020[42]. - Launched strategic cooperation agreements with major groups to enhance service offerings in various sectors[44]. - The company plans to deepen its strategic planning and execution capabilities, aiming to become a leading brand in property management services in China, focusing on user needs and enhancing service quality[67]. - The company entered into a strategic cooperation agreement with China Life Insurance, aiming to leverage resources in property services and other sectors, enhancing its management area growth[72]. Service Offerings - Sino-Ocean Service provides a variety of property management services, including community value-added services and pre-delivery services for property developers[10]. - The company plans to expand its value-added services as a core business strategy[41]. - The company is focusing on developing value-added services such as home decoration, rental agency services, and community service integration to meet diverse customer needs[74]. - Community value-added service revenue reached approximately RMB 316.2 million in 2020, an increase of RMB 78.9 million or 33.2% compared to 2019[74]. - The company is actively pursuing opportunities in non-residential markets, including service stations and tourist attractions[93]. Operational Efficiency - The company is focused on developing new technologies and services to improve operational efficiency and customer satisfaction[9]. - The company is enhancing customer satisfaction through the implementation of various digital systems, including customer relationship management and business process management systems[77]. - The company has developed a digital operation capability with multiple intelligent service platforms to create a smart property ecosystem[77]. - A new incentive mechanism has been established to boost employee motivation, linking performance evaluation and income distribution to customer satisfaction metrics[78]. - The company has maintained a strong operational performance despite challenges posed by the COVID-19 pandemic, ensuring safety and service quality for property owners[78]. Market Expansion - The company has expanded its geographical coverage from the Beijing-Tianjin-Hebei region to the Bohai Rim and other areas, primarily focusing on first- and second-tier cities in China[9]. - The geographical coverage expanded to 62 cities across 24 provinces, with 90.7% of the managed building area located in first- and second-tier cities[101]. - The Beijing-Tianjin-Hebei region accounted for 30.5% of the managed area, while the Bohai Rim region contributed 29.8%[101]. - The company plans to focus on core regions, particularly the Beijing-Tianjin-Hebei and Bohai Rim areas, while expanding into East and South China to enhance market reach[121]. Employee and Human Resources - The total number of employees increased to 5,928 as of December 31, 2020, from 5,799 in the previous year, indicating stable workforce growth[182]. - Employee welfare expenses for 2020 were approximately RMB 579.3 million, a slight decrease from RMB 595.9 million in 2019[182]. - The company has implemented a differentiated employee training and incentive program to attract and retain talent, enhancing human resource efficiency[182]. Capital and Investments - The net proceeds from the company's listing on December 17, 2020, amounted to approximately HKD 1,691.7 million (equivalent to RMB 1,426.3 million), with a net amount per share of HKD 5.72 (equivalent to RMB 4.82)[183]. - Approximately 60% or HKD 1,015.0 million of the net proceeds will be used for strategic investments and acquisitions, as well as expanding the scale of property management services[183]. - About 20% or HKD 338.3 million will be allocated to upgrade the intelligent management system for building smart communities[183]. - The remaining 10% or HKD 169.2 million will be used for working capital and general corporate purposes[183].