Financial Performance - For the six months ended June 30, 2024, revenue was approximately RMB 5,367 million, a decrease of about 28% compared to RMB 7,438 million for the same period in 2023[1]. - The net loss for the six months ended June 30, 2024, was approximately RMB 154 million, compared to a net profit of RMB 537 million for the same period in 2023[1]. - Property sales revenue for the six months ended June 30, 2024, was RMB 5,367,139,000, a decrease from RMB 7,438,527,000 for the same period in 2023, representing a decline of approximately 28.0%[16]. - The gross profit for the same period was approximately RMB 290 million, with a gross margin of about 5%, down from approximately 18% in the previous year[41]. - The basic and diluted loss per share was RMB (0.05) for the six months ended June 30, 2024, compared to earnings of RMB 0.12 for the same period in 2023[2]. - The company reported a loss attributable to owners of the company of RMB 76,419 thousand for the six months ended June 30, 2024, compared to a profit of RMB 190,216 thousand in the same period of 2023[24]. Expenses and Cost Management - Sales and marketing expenses, along with general and administrative expenses, totaled approximately RMB 160 million, a decrease of about 61% compared to RMB 416 million for the same period in 2023[1]. - Selling and marketing expenses decreased by about 59%, from approximately RMB 217 million to RMB 89 million[43]. - General and administrative expenses decreased by about 63%, from approximately RMB 194 million to RMB 71 million[44]. - Net financing income for the six months ended June 30, 2024, was RMB 40,709 thousand, a decrease of 45.0% from RMB 74,012 thousand in the same period of 2023[17]. - Total employee compensation and benefits expenses amounted to approximately RMB 63 million for the six months ended June 30, 2024, compared to RMB 115 million for the same period in 2023[59]. Assets and Liabilities - The total assets as of June 30, 2024, were approximately RMB 28,438 million, down from RMB 31,608 million as of December 31, 2023[3]. - The total liabilities decreased to approximately RMB 18,355 million as of June 30, 2024, from RMB 20,260 million as of December 31, 2023[4]. - The total equity attributable to the owners of the company was approximately RMB 10,083 million as of June 30, 2024, compared to RMB 11,348 million as of December 31, 2023[4]. - The asset-liability ratio, after deducting contract liabilities, was approximately 58% as of June 30, 2024, compared to 50% as of December 31, 2023[1]. - The net debt-to-equity ratio was 36% as of June 30, 2024, compared to 26% as of December 31, 2023[1]. - The total amount of bank and other borrowings as of June 30, 2024, was approximately RMB 4,647 million, a decrease of about 4% from RMB 4,824 million as of December 31, 2023[49]. Cash Flow and Financing - The group's cash and cash equivalents, including pledged deposits and restricted cash, totaled RMB 1,187,753,000, comprising RMB 386,419,000 in cash and cash equivalents, RMB 139,000 in pledged deposits, and RMB 661,335,000 in restricted cash[11]. - The group has faced a continuous decline in the Chinese real estate market since 2021, impacting pre-sale performance and cash flow negatively[11]. - The group plans to closely monitor the construction progress of real estate development projects to ensure timely completion and delivery to customers, particularly through the utilization of pre-sale proceeds[12]. - The board believes that the expected cash flow from operational and cost control measures will provide sufficient working capital to meet financial obligations over the next twelve months[13]. - The company will continue to seek extensions or renewals of maturing loans and explore alternative financing options to meet existing financial obligations and future operational expenditures[12]. Compliance and Governance - The financial statements have been prepared in accordance with HKAS 34, indicating compliance with local accounting standards[6]. - The group has not yet adopted several new accounting standards that may impact future financial reporting, including HKFRS 21 and HKFRS 9, effective from 2025 and 2026 respectively[10]. - The audit committee has confirmed compliance with all applicable accounting principles and standards for the interim financial information as of June 30, 2024[65]. - The company has adopted the Corporate Governance Code to guide its corporate governance practices, ensuring compliance with applicable standards[62]. Market Conditions and Strategic Plans - The group aims to enhance operational capabilities and product quality to create continuous value for customers amid challenging market conditions[31]. - The group plans to focus on customer needs and improve cash flow management while controlling costs and optimizing financing structure[31]. - The group will actively monitor compliance with loan covenants and negotiate with lenders for waivers or amendments as necessary[14]. - The management is focused on accelerating pre-sale and sales activities to recover related sales proceeds effectively[13]. - The group aims to reduce various non-essential operating expenses and strengthen cost control measures to lower sales, marketing, and administrative costs[12].

Financial Performance - In 2023, the Group delivered over 20 projects with a total area of more than 1,476,000 sq.m., generating revenue exceeding RMB 17 billion, representing a 48% increase compared to the same period in 2022[12]. - The total revenue for the year ended December 31, 2023, was approximately RMB 17,579 million, representing a year-on-year increase of approximately 48%[49]. - The Group's gross profit for the year was approximately RMB 2,389 million, reflecting a year-on-year increase of approximately 21%, with a gross profit margin of approximately 14%[47]. - The Group's net profit for the year was approximately RMB 718 million, representing a year-on-year increase of approximately 24%[43]. - The average selling price of properties recognized as sales increased by approximately 11% to RMB 11,905 per sq.m. compared to 2022[33]. - For the year ended December 31, 2023, the Group achieved contracted sales of approximately RMB 12,200 million, with a gross floor area sold of approximately 1,109,000 sq.m. and an average selling price of RMB 11,001 per sq.m.[28]. Debt and Financial Management - The total interest-bearing debts of the Group decreased by 29% compared to the previous year[12]. - The Group's net finance costs decreased by approximately 33% year-on-year to approximately RMB 79 million, due to lower average principal balances of interest-bearing debts[64]. - The Group obtained new borrowings of approximately RMB 427 million during the year, while repayments totaled approximately RMB 2,289 million, resulting in total borrowings of approximately RMB 4,824 million, a decrease of approximately 29% from RMB 6,766 million as of December 31, 2022[75][79]. - The net gearing ratio as of December 31, 2023, was 26%, compared to 24% as of December 31, 2022, indicating stable leverage management[81][85]. - The liabilities to assets ratio, excluding contract liabilities, improved to approximately 50% as of December 31, 2023, down from 56% as of December 31, 2022, due to increased total equity and reduced total borrowings[81][85]. Market Outlook and Strategy - The real estate market in China is expected to maintain a scale of RMB 10 trillion in the long run, with structural opportunities across different cities and demands[13]. - The government has introduced favorable policies to support property purchases, including lowering down payments and interest rates[11]. - The central real estate policies are expected to continue to support both supply and demand sides in 2024[13]. - The overall outlook for the real estate market emphasizes stability, with a focus on quality and professionalism in response to market demands[111]. - The Group aims to enhance product strength and engineering quality control to fulfill customer promises and boost sales through reputation[16]. Project Development and Land Reserves - As of December 31, 2023, the Group had land reserves amounting to 5,079,968 sq.m., with 36% located in Jiangsu and 33% in Guangdong[40]. - The total land reserve of the Group as of December 31, 2023, includes completed properties available for sale or lease, properties under development, and estimated future development areas, totaling 5,079,968 sq.m.[120]. - The Group has several property projects under development, with a total site area of 3,136,248 sq.m. and total land reserves of 4,019,731 sq.m.[138]. - The Group's joint ventures have a total land reserve of 391,922 sq.m. across various completed and under development projects[142]. - The Group's land reserve is distributed across various regions, with Guangdong accounting for 16% and Anhui for 8% of the total land reserve[119]. Cost Management and Operational Efficiency - Selling and marketing expenses decreased by approximately 12% year-on-year to approximately RMB 368 million, attributed to better cost control[54]. - General and administrative expenses decreased by approximately 37% year-on-year to approximately RMB 312 million, due to organizational streamlining[55]. - The total sales cost for the year was approximately RMB 15,190 million, up from RMB 9,914 million in 2022, including impairment provisions of approximately RMB 671 million for properties under development[50]. - Other income decreased to approximately RMB 27 million from RMB 46 million in 2022, primarily due to a loss on the disposal of a subsidiary[53]. Corporate Governance and Management - The Group has over 16 years of experience in the property development industry, with all executive directors being founders of the Group[149][155][157]. - The Board consists of 8 Directors, including 3 executive Directors, 2 non-executive Directors, and 3 independent non-executive Directors[148]. - The company has a strong management team with diverse backgrounds in finance, engineering, and corporate governance, enhancing its operational capabilities[189][191][198]. - The management team emphasizes the importance of compliance and financial reporting in maintaining investor confidence and supporting future growth initiatives[198]. - The company aims to leverage its experienced management team to navigate market challenges and capitalize on growth opportunities in the real estate sector[191][198].

Financial Performance - For the year ended December 31, 2023, the revenue was approximately RMB 17,579 million, representing a year-on-year increase of about 48% compared to RMB 11,892 million for the year ended December 31, 2022[7]. - The total profit and comprehensive income for the year ended December 31, 2023, was approximately RMB 718 million, an increase of about 24% from RMB 581 million for the year ended December 31, 2022[7]. - The company's profit attributable to owners was RMB 147,972,000, an increase from RMB 121,886,000 in 2022, representing a growth of approximately 21%[56]. - The group's gross profit for the year ended December 31, 2023, was approximately RMB 2,389 million, representing a year-on-year increase of about 21%[115]. - The group's gross profit margin decreased from approximately 17% for the year ended December 31, 2022, to about 14% for the year ended December 31, 2023[115]. - The total income tax expense for the year ended December 31, 2023, was RMB 827,694 thousand, up from RMB 494,233 thousand in 2022, representing a 67.4% increase[40]. - Income tax expenses increased by 68% year-on-year, from approximately RMB 494 million for the year ended December 31, 2022, to about RMB 828 million for the year ended December 31, 2023[105]. Assets and Liabilities - The group's bank and other borrowings as of December 31, 2023, were approximately RMB 4,824 million, a decrease of about 29% compared to the previous year[7]. - The asset-liability ratio after deducting contract liabilities was approximately 50% as of December 31, 2023, down from 56% as of December 31, 2022[7]. - The net debt-to-equity ratio was 26% as of December 31, 2023, compared to 24% as of December 31, 2022[7]. - Total assets decreased from RMB 46,513,298 million to RMB 31,608,401 million, a decline of approximately 32%[22]. - Total non-current liabilities decreased from RMB 4,317,674 million to RMB 2,367,375 million, a decline of approximately 45%[24]. - Total current liabilities decreased from RMB 21,294,053 million to RMB 8,694,513 million, a decline of approximately 59%[24]. - The total cash amount as of December 31, 2023, was approximately RMB 1,836 million, down from about RMB 4,142 million as of December 31, 2022[108]. - The group's current ratio increased from approximately 1.43 times as of December 31, 2022, to about 1.67 times as of December 31, 2023[126]. Expenses and Cost Management - Sales and marketing expenses for the year ended December 31, 2023, were approximately RMB 368 million, a decrease of about 12% from RMB 416 million in the previous year[7]. - General and administrative expenses for the year ended December 31, 2023, were approximately RMB 312 million, a decrease of about 37% from RMB 493 million in the previous year[7]. - The company will continue to strengthen cost control and reduce sales, marketing, and administrative expenses[35]. - Employee compensation and benefits expenses for the year were approximately RMB 202 million, down from approximately RMB 321 million for the previous year[167]. Market and Operational Insights - The company has acknowledged the ongoing decline in the Chinese real estate market since 2021, impacting cash flow and liquidity[33]. - The company aims to closely monitor the progress of real estate development projects to ensure timely completion and delivery to customers[34]. - The group aims to accelerate pre-sales and sales activities to improve cash flow and meet financial obligations[48]. - The company has maintained a consistent commitment to innovation and quality, which has contributed to its positive market reputation[73]. Corporate Governance and Compliance - The company has adopted the Corporate Governance Code as its own guidelines to enhance management and protect shareholder interests[159]. - The board of directors emphasizes the importance of maintaining high corporate governance standards[173]. - The audit committee consists of independent non-executive directors, ensuring oversight and communication with external auditors[177]. - The company recognizes the importance of good corporate governance in strengthening management and safeguarding overall shareholder interests[159]. Future Plans and Strategies - The company plans to implement measures to alleviate cash flow pressure and improve liquidity, including reducing non-essential operating expenses[34]. - The group plans to monitor its compliance with various covenants related to bank loans and other borrowings[45]. - The group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and/or external borrowings[153]. - The company has acknowledged the need to address significant uncertainties that may impact its ongoing operations[179].

Financial Performance - For the six months ended 30 June 2023, the Group recorded a revenue of RMB 7,439 million from delivered projects[18]. - For the six months ended June 30, 2023, the Group recorded total revenue of approximately RMB 7,439 million, representing an increase of about 36% compared to the same period last year[46]. - The Group's gross profit for the same period was approximately RMB 1,350 million, reflecting an increment of 18% compared to the corresponding period last year[42]. - Net profit for the Group was approximately RMB 537 million, representing an increment of approximately 19% compared to the same period last year[42]. - Revenue from contracts with customers for the six months ended June 30, 2023, was RMB 7,438,527, an increase of 35.7% compared to RMB 5,478,713 in 2022[194]. - Gross profit for the same period was RMB 1,349,813, representing a gross margin of approximately 18.1%[194]. - Operating profit increased to RMB 941,915, up 32% from RMB 714,057 in the previous year[194]. - Profit before income tax rose to RMB 857,272, a 22.7% increase from RMB 698,912 in 2022[194]. - The Company reported a total comprehensive income of RMB 537,473 for the period, compared to RMB 453,256 in 2022, marking a growth of 18.6%[194]. Market Outlook - The GDP growth in the first half of 2023 was 5.5%, indicating a positive economic cycle and improvement in the real estate market[12]. - The outlook for the second half of 2023 suggests a gradual improvement in the market, with stable housing prices and expected positive year-on-year growth in transaction volume and prices[20]. - The real estate industry is facing considerable challenges, necessitating a focus on quality, professionalism, and services to survive the new cycle[22]. Strategic Focus - The Group aims to deepen its presence in the Yangtze River Delta region and Greater Bay Area to achieve its annual performance targets[21]. - The Group plans to enhance product capabilities, strengthen quality management, and optimize cost management to increase efficiency on a project-by-project basis[21]. - The Group aims to enhance customer service capabilities and optimize cost management to achieve its annual performance targets[24]. Financial Stability - The Group maintained a stable earning and remained "green" under the "three red lines" requirements with stable asset size[18]. - As of June 30, 2023, the Group's total cash was approximately RMB 3,224 million, down from RMB 4,142 million as of December 31, 2022[72]. - The Group's total bank and other borrowings amounted to approximately RMB 5,705 million, a decrease of approximately 16% compared to RMB 6,766 million as of December 31, 2022[73]. - The net gearing ratio as of June 30, 2023, was 22%, down from 24% as of December 31, 2022[80]. - The cash to short-term debt ratio was 1.1 times as of June 30, 2023, down from 1.5 times as of December 31, 2022[80]. - The current ratio increased from approximately 1.43 times as of December 31, 2022, to approximately 1.45 times as of June 30, 2023[84]. - The Group's liabilities to assets ratio was approximately 53%, down from 56% as of December 31, 2022[80]. Land Reserves and Development Projects - As of June 30, 2023, the Group had land reserves amounting to 6,162,504 sq.m., with 55 projects located in the Yangtze River Delta region[36]. - The total planned GFA under development is 2,771,376 sq.m., indicating significant future growth potential[120]. - The completed GFA for sale or lease from subsidiaries is 1,445,144 sq.m., which is a substantial portion of the total land reserve[120]. - The Group's future development projects include a total of 1,691,328 sq.m. of planned GFA, enhancing its market position[120]. - The Group's strategic focus on expanding its land reserves and project developments positions it well for future market opportunities[122]. Employee and Operational Changes - The Group's employee count decreased to 573 as of June 30, 2023, from 744 employees at the end of 2022, representing a reduction of 22.9%[111]. - Total expenditure on employee salaries and welfare for the first half of 2023 was approximately RMB 115 million, down 41.3% from RMB 196 million in the same period of 2022[111]. Shareholder Information - The company does not recommend any interim dividend for the six months ended June 30, 2023, consistent with the previous year[149]. - As of June 30, 2023, the company has issued a total of 1,621,799,000 shares[168]. - Mr. Lui Ming holds 372,867,000 shares, representing approximately 22.99% of the total shareholding[166]. - The share option scheme allows for a maximum of 10% of shares in issue to be allotted upon exercise of options, equating to 160,000,000 shares[182]. - No options were granted, exercised, cancelled, or lapsed during the reporting period, and there were no outstanding share options as of June 30, 2023[188].

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之內容概不 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。 Ganglong China Property Group Limited 港龍中國地產集團有限公司 （於開曼群島註冊成立的有限公司） （股份代號：6968） 截 至2023年6月30日 止 六 個 月 未 經 審 核 中 期 業 績 公 告 財務摘要 (cid:129) 截至2023年6月30日止六個月，收益及已確認交付建築面積約為人民幣 7,439百萬元及668,798平方米，較截至2022年6月30日止六個月，同比增長 分別約36%及35%。 (cid:129) 截至2023年6月30日止六個月淨利潤約為人民幣537百萬元，較截至2022 年6月30日止六個月，同比增長約19%。 (cid:129) 截至2023年6月30日止六個月，本公司擁有人應佔溢利約為人民幣190百 萬元，較截至2022年6月30日止六個月，同比增長約6%。 (cid:129) 截至2023年6月30日止六個月，銷售及營銷 ...

Financial Performance - As of December 31, 2022, the Company achieved a sales amount of approximately RMB 13,000 million[19]. - For the year ended December 31, 2022, the Group recorded total revenue of approximately RMB 11,892 million, representing a year-on-year increase of approximately 15%[35]. - The Group's contracted sales for the year ended December 31, 2022, were approximately RMB 13,004 million, with a contracted gross floor area (GFA) sold of approximately 994,244 sq.m.[36]. - Gross profit for the same period was approximately RMB 1,978 million, with a gross profit margin of approximately 17%, down from 23% in 2021[57]. - The cost of sales increased to approximately RMB 9,914 million in 2022, compared to RMB 7,968 million in 2021[56]. - The Group's profit and total comprehensive income was approximately RMB 581 million for the year ended December 31, 2022, down from RMB 1,102 million in 2021[74]. - Basic and diluted earnings per share decreased from RMB 0.30 for the year ended December 31, 2021 to RMB 0.07 for the year ended December 31, 2022[74]. Cash Flow and Financial Ratios - The total cash to short-term debt ratio was 1.5 times, with a net gearing ratio of 24% and a liabilities to assets ratio of about 56% after excluding contract liabilities[19]. - Total cash as of 31 December 2022 was approximately RMB 4,142 million, a decrease from approximately RMB 6,985 million as of 31 December 2021[82]. - Total bank and other borrowings decreased by approximately 29% from approximately RMB 9,495 million as of 31 December 2021 to approximately RMB 6,766 million as of December 31, 2022[83]. - The Group's net gearing ratio remained stable at 24% as of December 31, 2022, unchanged from 31 December 2021[90]. - The current ratio increased from approximately 1.38 times as of December 31, 2021, to approximately 1.43 times as of December 31, 2022[95]. - The total cash and short-term debt ratio was 1.5 times as of December 31, 2022, down from 2.5 times as of December 31, 2021[93]. Operational Efficiency and Cost Management - The Company focused on cash flow management and implemented a fast de-commissioning and fast payback policy to inject liquidity[17]. - The Group actively communicated with financial institutions to obtain capital support, leveraging its good credit[17]. - The Company reduced non-essential business expenses and streamlined staff to control costs[17]. - The Group's operational efficiency was improved through functional consolidation and process optimization[17]. - Selling and marketing expenses decreased by approximately 19% year-on-year to approximately RMB 416 million[64]. - General and administrative expenses decreased by approximately 21% year-on-year to approximately RMB 493 million[65]. Market Conditions and Strategic Goals - The Company faced significant challenges due to macroeconomic pressures and the impact of COVID-19 on housing demand[12]. - The Group's strategic goal was to ensure cash flow and project delivery amidst unprecedented industry pressure[13]. - The real estate market is expected to benefit from a stable financial environment and reduced financing costs for property developers[30]. - The Group aims to implement a "high turnover" strategy to seize sales opportunities and maintain construction enthusiasm in the coming year[33]. - The Group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and/or external borrowings[111]. Land Reserves and Property Development - The Group had land reserves amounting to 7,531,063 sq.m. as of December 31, 2022, with 63 projects located in the Yangtze River Delta region[48]. - Jiangsu province accounted for 45% of the total land reserve, with 3,378,699 sq.m.[51]. - The total land reserve of the Group is 6,262,974 sq.m., with 84% of the total land reserve attributed to projects developed by the Group's subsidiaries[125]. - The Group's total completed Gross Floor Area (GFA) available for sale or lease is 744,289 sq.m., representing 7% of the total land reserve of 7,531,063 sq.m.[126]. - The Group has 70 property projects developed, with a total GFA under development of 4,997,840 sq.m.[126]. Management and Governance - The Group was founded by Mr. Lui Wing Mau and Mr. Lui Wing Nam, who have extensive backgrounds in textile trading and business strategy[167][169]. - The Group's executive directors were appointed on October 8, 2018, indicating a stable leadership structure[167]. - The Group's management team includes a mix of executive and non-executive directors, ensuring diverse perspectives in decision-making[167][169]. - The company has independent non-executive directors with extensive backgrounds in finance and corporate governance, enhancing board oversight and strategic direction[181][185][189]. - The company emphasizes independent oversight through its audit, nomination, and remuneration committees, ensuring transparency and accountability[182][189].

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之內容概不 負責，對其準確性或完整性亦不發表任何聲明，並明確表示概不會就因本公告 全部或任何部分內容而產生或因倚賴該等內容而引致之任何損失承擔任何責 任。 Ganglong China Property Group Limited 港龍中國地產集團有限公司 （於開曼群島註冊成立的有限公司） （股份代號：6968） 截 至2022年12月31日 止 年 度 年 度 業 績 公 告 財務概要 (cid:129) 截至2022年12月31日止年度，收益約為人民幣11,892百萬元，較截至2021 年12月31日止年度同比增長約15%。 (cid:129) 截至2022年12月31日止年度，溢利及全面收益總額約為人民幣581百萬 元（2021年：人民幣1,102百萬元）。 (cid:129) 截至2022年12月31日止年度，銷售及營銷開支和一般及行政開支約為人 民幣416百萬元及人民幣493百萬元，較截至2021年12月31日止年度同比 各減少約19%及21%。 (cid:129) 截至2022年12月31日，本集團扣除合約負債後的資產負債比率約為56% ...

Financial Performance - For the six months ended June 30, 2022, the Group recorded a revenue of RMB 5,479 million, representing a period-on-period increase of 13%[12] - For the six months ended June 30, 2022, the Group recorded total revenue of approximately RMB 5,479 million, representing a period-on-period increase of approximately 13%[34] - Gross profit for the same period was approximately RMB1,141 million, maintaining a similar level compared to the corresponding period last year[37] - Net profit attributable to owners of the Company was approximately RMB180 million, representing an increment of 15% compared to the same period of the previous year[48] - The cost of sales increased to approximately RMB4,338 million from approximately RMB3,720 million in the corresponding period last year[36] - Other income decreased to approximately RMB25 million from approximately RMB75 million in the same period last year, primarily due to lower gains on listed securities investment[41] - Selling and marketing expenses decreased by approximately 29% to approximately RMB210 million, attributed to better control measures in marketing and advertising costs[42] - General and administrative expenses decreased by approximately 15% to approximately RMB242 million, mainly due to organizational streamlining[42] - Share of profits of joint ventures and associates was approximately RMB49 million for the six months ended June 30, 2022, down from RMB192 million in the same period last year[46] - Income tax expenses remained stable at approximately RMB246 million, with effective tax rates of 38% for the period ended June 30, 2022[47] - Basic and diluted earnings per share increased by 10% to RMB0.11 per share for the six months ended June 30, 2022[49] Liquidity and Financial Ratios - The cash to short-term debt ratio was 3.7 times, indicating a strong liquidity position[12] - The cash to short-term debt ratio improved to 3.7 times as of June 30, 2022, up from 2.5 times as of December 31, 2021[63] - The net gearing ratio was maintained at 24% as of June 30, 2022, consistent with December 31, 2021[63] - The liabilities to assets ratio decreased to approximately 59% as of June 30, 2022, down from 64% as of December 31, 2021[63] - The current ratio increased from approximately 1.38 times as of December 31, 2021, to approximately 1.45 times as of June 30, 2022[68] - As of June 30, 2022, the Group's total cash was approximately RMB 5,737 million, a decrease of approximately 16% from RMB 6,985 million as of December 31, 2021[57] - The Group's total bank and other borrowings amounted to approximately RMB 8,366 million, representing a decrease of approximately 12% compared to RMB 9,495 million as of December 31, 2021[57] Market Environment and Strategy - The property industry faced significant downward pressure due to lower expected household income and a wait-and-see attitude from property buyers[10] - The government has implemented city-based policies to support rigid and upgrade demand for housing, leading to a relatively relaxed policy environment for the industry[10] - The overall economic environment was affected by COVID-19 outbreaks, geopolitical conflicts, and intensified global inflation, increasing downward pressure on the macroeconomy[10] - The property industry is expected to shift from "land is king" to "cash is king," emphasizing stability and deleveraging in the long run[18] - The Group focused on inventory management, internal strength consolidation, and process optimization to respond effectively to market changes[11] - The Group's pragmatic and efficient approach helped maintain generally stable and orderly operations despite challenging circumstances[11] - The Group's operational strategy included basing production on sales, investment on production, and financing on investment to improve efficiency at a lower cost[11] Land Reserves and Development Projects - As of June 30, 2022, the Group had 72 projects with land reserves amounting to 8,620,790 sq.m. as of June 30, 2022, with 65 projects located in the Yangtze River Delta region[25] - The land reserve breakdown shows that Jiangsu accounted for 47% of the total land reserve, followed by Guangdong at 20% and Anhui at 18%[28] - The Group's land bank includes completed properties available for sale or lease, properties under development, and estimated GFA for future development, showcasing a comprehensive approach to property management[88] - The Group's total land reserve of the Group is 8,620,790 sq.m., with 79% of it developed by the Group's subsidiaries[96] - The Group has 51 property projects developed by its subsidiaries, with a completed GFA available for sale of 453,338 sq.m.[96] - The GFA under development by the Group's subsidiaries amounts to 5,209,047 sq.m., while the planned GFA for future development is 1,352,625 sq.m.[96] Employee and Operational Efficiency - The total expenditure on employee salaries and welfare for the six months ended June 30, 2022, was approximately RMB 196 million, down from RMB 228 million for the same period in 2021, reflecting a decrease of 14.0%[87] - The Group had a total of 960 employees as of June 30, 2022, a reduction from 1,180 employees as of December 31, 2021, indicating a workforce contraction of 18.6%[87] Future Plans and Investments - The Group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and external borrowings, with no significant future investment plans disclosed as of the report date[85] - The Group aims to enhance its products and services while focusing on digital upgrading and cost control through digitalization[17] - The Group plans to continue learning from the manufacturing industry to refine management and establish long-term corporate competitiveness[20] Risk Management - The Group actively manages its interest rate risk, with most borrowings denominated in RMB and primarily affected by the benchmark interest rates set by the People's Bank of China[71] - The Group did not have any material direct exposure to foreign exchange fluctuations other than the 2022 Senior Notes denominated in USD[69] - The likelihood of default in payments by joint ventures and associates is considered minimal, with no liabilities recognized for financial guarantees provided[83] - The Group's financial guarantees for joint ventures and associates' borrowings were primarily for property development projects, indicating a strategic focus on collaborative growth[89] - As of June 30, 2022, the Group had no other material contingent liabilities, reflecting a stable financial position[84] - No significant subsequent events occurred after June 30, 2022, up to the report date, indicating stability in operations[86]

Financial Performance - For the year ended December 31, 2021, the Group recorded total revenue of approximately RMB10,369 million, representing a year-on-year increase of approximately 149%[26]. - Gross profit for the same period was approximately RMB2,400 million, reflecting a year-on-year increase of approximately 58%[51]. - The Group's net profit increased by 72% year-on-year to approximately RMB1,102 million for the year ended December 31, 2021[51]. - The revenue from property sales increased by approximately 149% year-on-year to approximately RMB10,369 million, with an average selling price (ASP) of approximately RMB10,877 per sq.m., representing a 14% increase year-on-year[30]. - Profit and total comprehensive income increased by approximately 72% from approximately RMB642 million for the year ended 31 December 2020 to approximately RMB1,102 million for the year ended 31 December 2021[62]. - The basic and diluted earnings per share decreased by approximately 56% from RMB0.68 per share for the year ended 31 December 2020 to RMB0.30 per share for the year ended 31 December 2021[63]. Debt and Financial Ratios - As of December 31, 2021, the total cash to short-term debt ratio of the Group is 2.5 times, the net gearing ratio is 24%, and the liabilities to assets ratio after excluding contract liabilities is about 64%[9]. - The Group's net gearing ratio decreased by 17 percentage points from 41% as of 31 December 2020 to 24% as of 31 December 2021[75]. - The Group's liabilities to assets ratio decreased to approximately 64% as of 31 December 2021 from 82% as of 31 December 2020[75]. - The total cash (including restricted cash, pledged time deposits, and cash equivalents) increased to approximately RMB6,985 million as of 31 December 2021 from approximately RMB6,797 million as of 31 December 2020[70]. - The current ratio increased from approximately 1.13 times as of December 31, 2020, to approximately 1.38 times as of December 31, 2021[80]. - The proportion of short-term borrowings over total borrowings decreased from approximately 70% as of December 31, 2020, to approximately 29% as of December 31, 2021[80]. Market and Strategic Focus - In 2021, the Chinese real estate policy adhered to the principle that "houses are for living in and not for speculative investment," with measures such as the "three red lines" introduced to control the overheating of the market[9]. - The central government relaxed housing loan supply after August 2021 in response to the cooling real estate market, indicating a shift towards stable and healthy market development[9]. - The company aims to pursue high-quality growth and improve residential quality while enhancing brand reputation and consolidating development advantages[9]. - The company focuses on residential development and adheres to strict standards for profit rate, annualized return, and return on capital for projects[12]. - The company emphasizes customer orientation and aims to enhance product and service quality through initiatives like the MorePro product system and customer service platform[14]. - The company plans to maintain a proactive construction approach and implement a high turnover strategy to seize sales opportunities[24]. Land and Property Development - As of December 31, 2021, the Group had land reserves amounting to 9,846,448 sq.m., with 70 projects located in 28 cities in the Yangtze River Delta region[35]. - The Group acquired 9 new parcels of quality land in various cities, providing new land reserves of 1,208,236 sq.m. at a weighted average attributable land cost of approximately RMB4,901 per sq.m.[42]. - The Group's total land reserve includes completed properties available for sale or lease, properties under development, and properties held for future development[93]. - The Group's overall strategy includes expanding its property portfolio across various provinces, focusing on both completed and under-development projects[101]. - The Group's total attributable interest in property projects is 3,615,687 sq.m. with a total land reserve of 7,843,249 sq.m.[145]. Operational Efficiency and Management - The company aims to strengthen its organizational capacity and improve management levels, with a focus on "making a fresh start with humbleness" in 2022[12]. - The Group will focus on improving operational efficiency and enhancing core corporate competitiveness, including product competitiveness and brand awareness, in 2022[91]. - The Group aims to optimize its operation and financial management system and improve decision-making processes to enhance operational efficiency[92]. - The Group will continue to adopt sound financial control policies and optimize its capital and debt structure through diversified financing channels[92]. Stakeholder Engagement - The company expresses gratitude to all stakeholders for their support in 2021, highlighting the importance of collaboration[16]. - The likelihood of default in payments by joint ventures and associates is considered minimal, and no liabilities were recognized for financial guarantees provided[88].

Financial Performance - For the six months ended June 30, 2021, the Group recorded total revenue of approximately RMB4,859 million, representing a period-on-period increase of approximately 184%[24]. - Gross profit for the same period was approximately RMB1,139 million, reflecting a period-on-period increase of approximately 74%[36]. - Net profit increased by 41% period-on-period to approximately RMB453 million for the six months ended June 30, 2021[36]. - The cost of sales was approximately RMB3,720 million, representing a period-on-period increase of approximately 252%[39]. - Selling and marketing expenses increased by approximately 84% from approximately RMB161 million to approximately RMB296 million[47]. - General and administrative expenses rose by approximately 60% from approximately RMB178 million to approximately RMB285 million[47]. - Net finance costs increased by approximately 263% from approximately RMB35 million to approximately RMB127 million[47]. - Income tax expenses increased by 33% from RMB 184 million for the six months ended June 30, 2020, to RMB 245 million for the six months ended June 30, 2021[52]. - The Group's profit and total comprehensive income increased by approximately 41% from approximately RMB 321 million for the six months ended June 30, 2020, to approximately RMB 453 million for the six months ended June 30, 2021[52]. Sales and Market Performance - For the six months ended June 30, 2021, the Group's contracted sales were approximately RMB 17,853 million, representing an increase of 58% compared to the same period last year[14]. - The total gross floor area (GFA) sold during this period was approximately 1,488,418 sq.m., which is a 65% increase compared to the previous year[24]. - The average selling price (ASP) of properties recognized as sales was approximately RMB11,782 per sq.m., representing an increase of about 5% year-on-year[24]. - The real estate market showed strong resilience in the first half of 2021, with major industry indicators continuing to grow rapidly[14]. Land Bank and Development - As of June 30, 2021, the Group's land bank amounted to approximately 10,757,099 sq.m.[14]. - The Group aims to deepen its presence in the Yangtze River Delta region and has been actively replenishing its high-quality land bank[11]. - The total land reserve as of June 30, 2021, is 10,757,099 sq.m., with a completed area of 564,275 sq.m. and a planned GFA of 7,757,058 sq.m.[99]. - The Group acquired 7 new parcels of land, providing new land reserves of 918,548 sq.m. at a weighted average attributable land cost of approximately RMB4,504 per sq.m.[31]. - The Group's total land reserve includes completed GFA available for sale, GFA under development, and planned GFA for future development[71]. Strategic Direction and Management - The management model of the Group is characterized by "investment, financing, operation, and sales," ensuring sound cash flow and product quality[13]. - The Group's strategic direction is aligned with market cycles, allowing it to seize investment opportunities effectively[11]. - The Group plans to enhance its organizational efficiency and digital operations to better connect with market demands and improve operational costs[20]. - The Group will continue to adopt prudent financial policies and explore healthy financing channels to optimize its financing structure[20]. Financial Position and Ratios - The Group's contract liabilities as of June 30, 2021, were approximately RMB24,874 million, an increase of about 19% from RMB20,980 million as of December 31, 2020[24]. - The net gearing ratio decreased to 25% as of June 30, 2021, down 16 percentage points from 41% as of December 31, 2020[57]. - The liabilities to assets ratio, after excluding contract liabilities, was approximately 68% as of June 30, 2021, compared to 82% as of December 31, 2020[57]. - The cash to short-term debt ratio was 1.7 times as of June 30, 2021, compared to 1.1 times as of December 31, 2020[56]. - The Group's current ratio improved from approximately 1.13 times as of 31 December 2020 to approximately 1.30 times as of 30 June 2021[62]. Employee and Operational Insights - Employee benefit expenses for the six months ended June 30, 2021, amounted to approximately RMB228 million, an increase from RMB132 million for the same period in 2020[69]. - As of June 30, 2021, the Group had a total of 1,827 employees, up from 1,465 employees as of December 31, 2020[69]. - The Group considers the likelihood of default of payments by purchasers to be minimal, significantly mitigating credit risk[66]. Corporate Governance - The company has complied with the Corporate Governance Code provisions, except for the deviation regarding the Chairman and CEO being the same individual[189]. - The company continues to enhance its corporate governance practices to ensure compliance with the code provisions[189]. - The audit committee has reviewed the unaudited interim financial information for the six months ended June 30, 2021, with an unqualified review opinion issued by PricewaterhouseCoopers[196]. Future Outlook - The new Three-Child Population Policy is expected to drive demand for owner-occupied properties and housing improvements, supporting long-term industry stability[18]. - The Group plans to continue investing in property development projects and acquiring suitable land parcels, funded by internal resources and external borrowings[69].