Commercial Projects and Expansion - The company added 10 new commercial projects in 2023, with a total new opening area of approximately 840,000 square meters, and signed 4 new third-party projects, adding a contracted area of approximately 450,000 square meters[5] - The total opened commercial building area exceeded 10.0 million square meters, and the total contracted commercial building area exceeded 15.0 million square meters, with 94 projects in the Yangtze River Delta region, accounting for 68% of the total contracted projects[5] - As of December 31, 2023, the company had 95 opened retail commercial properties with a total opened building area of approximately 10.8 million square meters, and 138 signed retail commercial properties with a total contracted building area of approximately 15.1 million square meters[10] - The company successfully opened new projects such as Jinhua Jinyi Powerlong Plaza and Xuzhou Hexin Powerlong Plaza in September 2023, and signed new light-asset projects like Shengzhou Powerlong Plaza in November 2023[13] - The company plans to open 12 new projects in 2024, covering approximately 1.17 million square meters, with a focus on third-party light-asset projects[30] - The total expected construction area for new projects in 2024 is 1,167,561 square meters, with 891,561 square meters from Powerlong Plaza and 276,000 square meters from Powerlong Xinghui[28] - In 2023, the company added 4 new contracted projects, totaling approximately 450,000 square meters, all from third-party light-asset projects[30] - The company acquired a third-party operational project in November 2023, which will undergo renovation and upgrade after the contract signing[40] - The company plans to open 31 retail commercial property projects starting in 2025, with a total estimated construction area of 2,993,248 square meters[170] - Total newly opened projects in 2023 cover a combined building area of 838,161 square meters, including 341,286 square meters of commercial space, 207,230 square meters of South Street area, and 289,645 square meters of parking space[172] - The Quanhua Quanyi Baolong Plaza, opened in September 2023, has a total building area of 122,926 square meters, with 90,355 square meters dedicated to commercial space and 32,571 square meters for parking[172] - Xuzhou Hexin Plaza, also opened in September 2023, spans 197,251 square meters, including 80,931 square meters of commercial space and 116,320 square meters of parking[172] - Jingdezhen Baolong Plaza, opened in October 2023, covers 129,209 square meters, with 80,000 square meters of commercial space and 30,000 square meters of parking[172] - Qizhou Baolong Plaza, opened in December 2023, has a total building area of 129,514 square meters, including 90,000 square meters of commercial space and 39,514 square meters of parking[172] - The Baolong Tiandi projects, including Zhoushan Putuo Baolong Tiandi, Xiamen Guoboyuan Baolong Tiandi, and Xiamen Wenxing Tiandi, collectively cover 123,915 square meters, with 72,615 square meters dedicated to South Street area and 51,300 square meters for parking[172] - The operational projects, such as Haiyan North Street and Tiantai Cultural Center Baolong Tiandi, have a combined area of 135,346 square meters, with 115,406 square meters allocated to South Street area and 19,940 square meters for parking[172] - Total opened building area reached 10.8 million square meters as of December 31, 2023, with a signed area of 15.1 million square meters, solidifying the company's leading position in the industry[178] - The company completed the opening of 4 Powerlong Malls and 6 block-style projects in 2023, including the Jinhua Jinyi Powerlong Mall, the first Powerlong Mall in Xuzhou, and the Jingdezhen Powerlong Mall, the first in Jiangxi[178] - The total building area of all projects is 8,758,724 square meters, with 5,289,132 square meters dedicated to shopping malls, 692,378 square meters to commercial streets, and 2,777,214 square meters to parking lots[173] - The company's total building area for Powerlong Malls is 8,759,000 square meters, with an average occupancy rate of 90.6% as of December 31, 2023[174] Residential Property Management - The company's residential property management services had 109 delivered projects with a total delivered building area of approximately 21.1 million square meters, and 147 signed projects with a total contracted building area of approximately 31.2 million square meters[20] - The company's residential property management services expanded significantly, with 109 delivered projects and 147 signed projects, covering a total building area of 21.1 million square meters and 31.2 million square meters respectively[20] - Residential property management services revenue increased by 1.5% to RMB 498.4 million, with delivered GFA increasing by 1.7 million square meters to 21.1 million square meters[53] - Residential property management services revenue was RMB 498.356 million, accounting for 18.9% of the total revenue[194] Financial Performance - The company's commercial operation services generated the majority of its revenue, with retail commercial properties contributing significantly through rental income, operational management fees, diversified business income, and parking fees[10][24] - The commercial operation service segment achieved a gross profit of RMB 760.631 million in 2023, with a gross margin of 35.6%, up from 34.5% in 2022[39] - The total gross profit for 2023 was RMB 887.021 million, with a gross margin of 33.7%, compared to RMB 834.422 million and 32.7% in 2022[39] - The company's total revenue from commercial operation services in 2023 was approximately RMB 2,137.4 million, a 3.8% increase from RMB 2,058.3 million in 2022[39] - Revenue for the year ended December 31, 2023, was approximately RMB 2,635.7 million, an increase of 3.4% compared to RMB 2,549.3 million in 2022[47] - The company's profit attributable to shareholders increased by 2.2% to RMB 453.0 million in 2023 compared to RMB 443.1 million in 2022[61] - Operating lease and trade receivables increased by 77.4% to RMB 412.4 million, primarily due to business growth[61] - Prepayments and other receivables decreased by 45.0% to RMB 328.9 million, mainly due to the recovery of exclusive sales agency deposits[61] - Trade and other payables increased slightly by 0.3% to RMB 1,097.4 million, reflecting the company's scale expansion[62] - The actual tax rate decreased to 26.0% in 2023 from 28.4% in 2022, a reduction of 2.4 percentage points[51] - Other income and net gains decreased by 29.5% to RMB 55.7 million, mainly due to reduced penalty income[63] - Financial asset impairment losses increased by 72.9% to RMB 48.3 million, reflecting prudent provisioning for trade and other receivables[63] - The company's asset-liability ratio improved to 0.46 as of December 31, 2023, compared to 0.48 in 2022[64] - Revenue from external customers accounted for approximately 85.0% of the company's total revenue, reaching RMB 2,242.7 million for the year ended December 31, 2023[69] - Sales and marketing expenses increased by 44.0% year-on-year to RMB 78.6 million, primarily due to increased promotional activities[70] - Service costs rose by 2.0% to RMB 1,748.7 million, in line with business expansion[71] - Gross profit increased by 6.3% to RMB 887.0 million, with a gross margin of 33.7%, up 1.0 percentage point from the previous year[72] - Commercial operation services contributed RMB 760.6 million in gross profit with a gross margin of 35.6%, while residential property management services contributed RMB 126.4 million with a gross margin of 25.4%[73] - Administrative expenses increased by 4.1% to RMB 222.9 million, driven by business scale expansion[82] - Contract liabilities increased by 31.3% to RMB 301.0 million, reflecting the company's growth[86] - The company had no interest-bearing borrowings as of December 31, 2023[87] - No significant investments, acquisitions, or disposals of subsidiaries, associates, or joint ventures were made during the year[89] - Revenue from the Yangtze River Delta region accounted for 58.5% of commercial operation services revenue, totaling RMB 1,541.99 million[81] - Operating cash flow for the year ended December 31, 2023, was RMB 486.8 million, a 69.6% increase from RMB 287.1 million in 2022, primarily due to enhanced collection efforts[99] - Cash and bank balances as of December 31, 2023, were RMB 3,881.9 million, a 12.4% increase from RMB 3,452.7 million in 2022, driven by improved collection efforts[108] - Total employee costs for the year ended December 31, 2023, were RMB 882.2 million, compared to RMB 857.6 million in 2022[110] - The company had 5,798 employees as of December 31, 2023, up from 5,726 in 2022[110] - The company's total revenue for the year was RMB 2,635.746 million, with commercial operation services contributing 81.1% of the total revenue[194] - The company has no significant contingent liabilities as of December 31, 2023[190] - The company's net financing income was approximately RMB 19.1 million, compared to a net financing cost of RMB 4.3 million in the previous year, primarily due to increased bank deposit interest income[189] - Revenue from market research, tenant recruitment, and opening preparation services decreased to RMB 100.019 million, down from RMB 177.743 million in the previous year, due to a reduction in the number of retail commercial properties served[184][194] - Gross profit from commercial operation services reached approximately RMB 760.6 million, a year-on-year increase of 7.0%, with a gross margin of 35.6%, up 1.1 percentage points from the previous year[188] - Commercial operation and management service revenue increased by 7.2% year-on-year to approximately RMB 1,860.9 million, accounting for 70.6% of the company's total revenue[191] Awards and Recognition - The company received multiple awards in 2023, including "Top 10 in China's Commercial Real Estate Top 100 Enterprises" and "2023 Brand Influence Enterprise"[10][18] - The company was awarded "2023 Top 8 Comprehensive Strength in Retail Real Estate Enterprises" by Winshang[150] - The company was awarded "2023 Best Human Resources Team" by Hroot[154] Business Model and Strategy - The company's business model involves fully entrusting retail commercial properties to the group for management, with the group bearing all operational costs and sharing a percentage of net profits with the property owners as variable rental costs[16] - The company's commercial operation services are primarily focused on the Yangtze River Delta region, with 94 projects accounting for 68% of the total contracted projects[5] - The company plans to use 50% of the net proceeds from its IPO for strategic acquisitions of small and medium-sized commercial operation service providers to expand its business[109] - 25% of the IPO net proceeds will be allocated to upgrading IT systems for digital and intelligent operations to enhance consumer experience and operational efficiency[109] - 10% of the IPO net proceeds will be used for equity investments in certain tenants to establish strategic partnerships[109] - 5% of the IPO net proceeds will be used for renovating retail commercial properties under a light-asset business model[109] - The remaining 10% of the IPO net proceeds will be used for general business purposes and working capital[109] - The company has no plans for other significant investments or capital asset increases beyond the disclosed use of IPO proceeds[111] - The company aims to become a globally leading urban space operator and create broader value for customers and investors[132] - The company plans to focus on "slowing down and improving quality" in 2024, with a strategic focus on the Yangtze River Delta and simultaneous development in South China[178] - The company will implement four major income enhancement measures in 2024: improving occupancy rates, adjusting expired stores, increasing income from low-rent projects, and restructuring anchor tenant layouts[178] - The company's strategic focus for 2024 includes optimizing business formats, adjusting brand categories, and creating commercial spaces that provide emotional value[178] - The company focuses on cost reduction and efficiency improvement, aiming to enhance per capita efficiency and optimize organizational performance through digital systems[182] - The company plans to expand through light-asset projects, prioritizing third-party project quality and focusing on talent development and team rejuvenation[182] Leadership and Governance - The company's board currently consists of 2 executive directors, 3 non-executive directors, and 3 independent non-executive directors[120] - Xu Huafang, aged 46, was appointed as Chairman and Executive Director in 2019, responsible for overseeing business development and strategy implementation[120] - Chen Deli, aged 50, joined as CEO and Executive Director in 2020, bringing extensive experience from leading roles at companies like Dalian Wanda Commercial Properties and CapitaLand[122] - Zhang Yunfeng transitioned from CFO to Non-Executive Director in 2023 after serving in various senior roles since joining in 2015[124] - Tang Jianfeng, aged 46, joined as Vice President in 2020, bringing over 26 years of experience in commercial real estate market operations[128] - The company's independent non-executive directors include Ms. Wu Yiqin, who has extensive experience in various listed companies[130] - The company's audit committee is chaired by Ms. Wu Yiqin[135] - The company's financial statements and reports are audited by Kaiyuan Xinde Certified Public Accountants[135] Regional Focus - The company's commercial operation services are primarily focused on the Yangtze River Delta region, with 94 projects accounting for 68% of the total contracted projects[5] - The company has 94 projects in the Yangtze River Delta region[140] - Revenue from the Yangtze River Delta region accounted for 58.5% of commercial operation services revenue, totaling RMB 1,541.99 million[81] - The company's commercial operation properties and residential management properties are mainly located in the Yangtze River Delta region[187] Operational Efficiency and Technology - The company launched the industry's first automated operation system, improving operational efficiency through precise forecasting of arrears and operational risks[155] - The company's IP activities, such as "Baolong Four Seasons," have steadily expanded their influence through collaborations with external resources like Tencent and Douyin, enhancing public traffic resources and building a value ecosystem[167] - The company focuses on cost reduction and efficiency improvement, aiming to enhance per capita efficiency and optimize organizational performance through digital systems[182] Market and Industry Trends - China's total retail sales of consumer goods reached approximately RMB 47 trillion in 2023, a year-on-year increase of 7.2%[166] - The occupancy rate of retail commercial properties is calculated based on internal records, reflecting the actual leased area divided by the available leasing area, with fluctuations possible throughout the year[169] - The average occupancy rate for Powerlong Malls was 90.6% as of December 31, 2023, compared to 92.2% in 2022[174] - Revenue from commercial operation and management services increased due to the expansion of total opened building area and improved operational capabilities[180] Property Details - Total building area of Baolong Tiandi projects is 548,243 square meters, with commercial streets accounting for 405,847 square meters and parking lots for 142,396 square meters[146] - Total building area of Baolong Xinghui projects is 719,944 square meters, with shopping malls accounting for 317,966 square meters, commercial streets for 297,115 square meters, and parking lots for 104,863 square meters[146] - Total building area of Qingdao Chengyang Powerlong Plaza is 443,262 square meters, with a shopping mall area of 335,506 square meters and a parking area of 107,756 square meters[163] - Zhengzhou Powerlong Plaza has a total building area of 235,606 square meters, including a shopping mall area of 198,108 square meters and a commercial street area of 6,565 square meters[163] - Bengbu Powerlong Plaza, located in the Yangtze River Delta, has a total building area of 346,880 square meters, with a shopping mall area of 222,966 square meters and a commercial street area of 48,503 square meters[163] - Wuxi Powerlong Plaza has a total building area of 192,865 square meters, with a shopping mall area of 142,753 square meters and a parking area of 50,112 square meters[163] - Anxi Powerlong Plaza has a total building area of 85,374 square meters, with a shopping mall area of 55,489 square meters and a commercial street area of 28,034 square meters[163] - Suqian Powerlong Plaza has a total building area of 150,660 square meters, with a shopping mall area of 120,645 square meters and a parking area of 30,015 square meters[163] - Yancheng Powerlong Plaza has a total building area of 199,409 square meters, with a shopping mall area of 135,112 square meters and a commercial street area of 29,720 square meters[163] - Qingdao Jimo Powerlong Plaza has a total building area of 175,513 square meters, with a shopping mall area of 130,462 square meters and a parking area of 45,051 square meters[163] - Luoyang Powerlong Plaza has a total building area of 138

Financial Performance - For the fiscal year ending December 31, 2023, the group's revenue was approximately RMB 2,635.7 million, an increase of about 3.4% compared to RMB 2,549.3 million for the fiscal year ending December 31, 2022[50]. - The total revenue for the year ended December 31, 2023, was RMB 2,635,746 thousand, an increase from RMB 2,549,258 thousand in 2022, representing a growth of approximately 3.4%[105]. - The profit attributable to shareholders for the fiscal year ending December 31, 2023, was approximately RMB 453.0 million, representing a growth of about 2.2% from RMB 443.1 million for the fiscal year ending December 31, 2022[102]. - The company's profit attributable to shareholders for the year ended December 31, 2023, was RMB 452,952,000, an increase from RMB 443,075,000 in 2022, representing a growth of approximately 2%[186]. - The net profit before tax for the year ended December 31, 2023, was RMB 611,688 thousand, slightly down from RMB 613,397 thousand in 2022, indicating a decrease of about 0.3%[149]. - The company reported a significant increase in customer contract revenue, reaching RMB 2,459,236 thousand, compared to the previous year's figures[117]. Revenue Breakdown - Revenue from commercial operations and management services for the year ended December 31, 2023, was approximately RMB 1,860.9 million, an increase of 7.2% year-on-year, accounting for about 70.6% of total revenue[31]. - Revenue from property leasing services for the year ended December 31, 2023, was approximately RMB 176.5 million, an increase of 21.9% year-on-year, accounting for about 6.7% of total revenue[32]. - Revenue from residential property management services was approximately RMB 498.4 million, representing a year-on-year increase of 1.5%, accounting for about 18.9% of total revenue[55]. - The group's main revenue source is from commercial operation services, which include full-chain services for shopping centers and retail streets[196]. Operational Metrics - The total operational area of opened projects reached approximately 10.8 million square meters, a slight increase of 0.2 million square meters from 10.6 million square meters in the same period of 2022[9]. - The number of opened projects increased to 95, netting an addition of 2 projects compared to 93 in the same period of 2022[9]. - The average occupancy rate for opened properties as of December 31, 2023, was 91.2%, down from 92.6% in the previous year[20]. - The total area of newly opened retail commercial projects in 2023 was detailed in the report, indicating ongoing market expansion efforts[21]. - The group completed the opening of 4 Baolong Plaza and 6 district projects in 2023, with a total area of over 210,000 square meters for the Jin Hua Jin Yi Baolong Plaza[27]. Future Plans and Strategies - The group plans to open 12 new projects in 2024, with an estimated total area of approximately 1,170,000 square meters[29]. - The group aims to secure no less than 500,000 square meters of management area from new third-party projects in the future[29]. - The group will focus on enhancing project quality and operational efficiency as part of its strategy for 2024, emphasizing "slowing down and improving quality"[27]. - The group plans to implement targeted upgrades for projects with longer opening times to ensure freshness and create more industry benchmarks[29]. - The company plans to optimize its business structure and enhance rental income through various initiatives, including improving occupancy rates and adjusting store layouts[47]. Profitability and Margins - The gross profit from residential property management services was approximately RMB 126.4 million, with a gross profit margin of 25.4%, up 0.2 percentage points from the previous year[57]. - The gross profit from commercial operation services was approximately RMB 760.6 million, with a gross profit margin of 35.6%, an increase of 1.1 percentage points year-on-year[70]. - The group's gross profit for the fiscal year ending December 31, 2023, was approximately RMB 887.0 million, reflecting a growth of about 6.3% from RMB 834.4 million for the fiscal year ending December 31, 2022[102]. - The gross profit margin for the fiscal year ending December 31, 2023, was approximately 33.7%, an increase of about 1.0 percentage point from 32.7% for the fiscal year ending December 31, 2022[102]. Assets and Liabilities - The total assets as of December 31, 2023, amounted to RMB 5,613,138 thousand, compared to RMB 5,213,267 thousand in 2022, reflecting a growth of about 7.7%[106]. - The group's liabilities as of December 31, 2023, totaled RMB 2,555.6 million, compared to RMB 2,477.1 million as of December 31, 2022[89]. - Total liabilities increased to RMB 2,555,599 thousand from RMB 2,477,138 thousand, indicating a growth of about 3.2%[107]. - The total trade receivables as of December 31, 2023, amounted to RMB 490,645,000, significantly higher than RMB 276,423,000 in 2022, indicating an increase of approximately 77%[177]. Market Position and Recognition - The company received multiple awards in 2023, including being ranked in the Top 10 of China's commercial real estate companies by the China Index Academy[182]. - The company is focusing on expanding its market presence and enhancing its service offerings in the residential property management sector[116]. - The company has identified two main business segments: commercial operations services and residential property management services, focusing on market research and tenant management[135].

Revenue and Profitability - For the six months ended June 30, 2023, the total revenue from commercial operation services was approximately RMB 1,047.9 million, an increase of about 2.3% compared to RMB 1,024.5 million for the same period in 2022[31]. - The gross profit for commercial operation services was RMB 378.3 million with a gross margin of 36.1%, compared to RMB 368.0 million and a gross margin of 35.9% in the previous year[12]. - The company's revenue for the six months ended June 30, 2023, was approximately RMB 1,274.8 million, an increase of about RMB 8.4 million compared to RMB 1,266.4 million for the same period in 2022[64]. - Revenue from commercial property leasing services was approximately RMB 87.1 million, representing a year-on-year growth of about 15.7%, accounting for approximately 6.8% of total revenue[68]. - The gross profit from commercial operations services was approximately RMB 378.3 million, with a gross profit margin of 36.1%, an increase of 0.2 percentage points compared to the same period in 2022[55]. - The company's net profit for the six months ended June 30, 2023, was RMB 256,978, compared to RMB 240,344 for the same period in 2022, reflecting an increase of about 6.9%[186]. - Basic earnings per share for the six months ended June 30, 2023, was RMB 40.63, up from RMB 38.05 in the previous year, indicating a growth of approximately 6.8%[186]. Residential Property Management - The residential property management services generated total revenue of approximately RMB 226.9 million, a decrease of about 6.2% from RMB 241.8 million in the same period last year[19]. - The total delivered building area for residential property management services was approximately 20.1 million square meters, an increase of 1.8 million square meters compared to 18.3 million square meters in the same period of 2022[19]. - The group signed contracts for 139 residential properties with a total contracted building area of approximately 29.8 million square meters, a decrease of about 0.8 million square meters from 30.6 million square meters in the previous year[19]. - The gross profit from residential property management services was approximately RMB 59.9 million for the six months ended June 30, 2023, a decrease of about 4.1% year-on-year, while the gross profit margin increased to 26.4% from 25.8% in the same period last year[96]. Operational Performance - As of June 30, 2023, the group had 95 operational retail commercial properties with a total operational area of approximately 10.7 million square meters, an increase of about 0.5 million square meters from the previous year[31]. - The average occupancy rate for operational properties as of June 30, 2023, was 90.8%, down from 92.6% at the end of 2022[36]. - The total operational area of commercial properties increased to approximately 10.7 million square meters, a year-on-year increase of about 4.9%[67]. - The company delivered a total of 29,796 square meters of contracted construction area in the first half of 2023, compared to 20,079 square meters in the same period of 2022, indicating a significant increase in delivery volume[1]. Strategic Initiatives - The group plans to open new retail commercial properties in the second half of 2023, including projects with a total estimated building area of 228,000 square meters[37]. - The company plans to continue enhancing project management quality and commercial atmosphere in the second half of 2023, focusing on optimizing the operational efficiency of existing projects[41]. - The company will implement the YOUNG plan in the second half of 2023, aimed at selecting young talents to adapt to new commercial developments[42]. - The company aims to continue expanding its presence in economically vibrant urban clusters in the Yangtze River Delta region[4]. - The company aims to further explore high-quality opportunity regions while maintaining a core strategic focus on the Yangtze River Delta[42]. Financial Position - The group's profit attributable to shareholders for the six months ended June 30, 2023, was approximately RMB 257.0 million, representing a growth of about 6.9% from approximately RMB 240.3 million for the same period in 2022[78]. - The group's cash and bank balances were approximately RMB 3,528.5 million as of June 30, 2023, reflecting a growth of about 2.2% from approximately RMB 3,452.7 million as of December 31, 2022, mainly due to enhanced collection efforts[83]. - The total liabilities of the company stood at RMB 2,477,138 thousand as of June 30, 2023, with non-current liabilities accounting for a significant portion[154]. - The company's debt-to-asset ratio is 0.45, a decrease from 0.48 as of December 31, 2022[101]. - The company has no interest-bearing borrowings as of June 30, 2023, consistent with the previous year[103]. Awards and Recognition - The company received multiple awards in 2023, including being ranked in the "Top 10 of China's Commercial Real Estate 100" by the China Index Academy[28]. Market Environment - The company experienced a GDP growth of 5.5% and an 8.2% increase in total retail sales of consumer goods in the first half of 2023, reflecting a recovering economic environment[150]. - The company plans to leverage macroeconomic policies aimed at boosting consumption to further enhance its market strategies[150].

Financial Performance - The group's revenue for the six months ended June 30, 2023, was approximately RMB 1,274.8 million, an increase of about 0.7% compared to RMB 1,266.4 million for the same period in 2022[12]. - The group's gross profit for the six months ended June 30, 2023, was approximately RMB 438.2 million, reflecting a growth of about 1.8% from RMB 430.4 million in the same period of 2022[12]. - The profit attributable to the company's shareholders for the six months ended June 30, 2023, was approximately RMB 257.0 million, up by about 6.9% from RMB 240.3 million in the same period of 2022[12]. - The core profit attributable to the company's shareholders for the six months ended June 30, 2023, was approximately RMB 288.0 million, representing a growth of about 7.5% compared to RMB 268.0 million in the same period of 2022[12]. - The group's operating profit for the six months ended June 30, 2023, was approximately RMB 337.0 million, slightly down from RMB 338.4 million in the same period of 2022[14]. - The company reported a net profit of RMB 256,259 thousand, compared to RMB 239,809 thousand in the previous period, marking an increase of approximately 6.85%[53]. - The company reported a net profit of RMB 256,978,000 for the six months ended June 30, 2023, compared to RMB 240,344,000 in the same period of 2022, reflecting an increase of about 6.9%[67]. Assets and Liabilities - Total assets as of June 30, 2023, amounted to RMB 5,379.964 million, an increase from RMB 5,213.267 million as of December 31, 2022[15]. - The cash and bank balances as of June 30, 2023, were RMB 3,528.484 million, compared to RMB 3,452.680 million as of December 31, 2022[15]. - As of June 30, 2023, total equity amounted to RMB 2,932,308 thousand, an increase from RMB 2,736,129 thousand as of December 31, 2022, representing a growth of approximately 7.2%[16]. - Total liabilities decreased to RMB 2,447,656 thousand as of June 30, 2023, down from RMB 2,477,138 thousand as of December 31, 2022, reflecting a reduction of about 1.2%[16]. - Current liabilities, including trade and other payables, were reported at RMB 1,038,709 thousand as of June 30, 2023, a decrease from RMB 1,094,089 thousand as of December 31, 2022[16]. - The group's net financial asset impairment loss for the six months ended June 30, 2023, was approximately RMB 14.2 million, an increase of about 0.1% year-on-year[163]. - Contract liabilities rose to RMB 290,951,000 as of June 30, 2023, compared to RMB 229,322,000 at the end of 2022, showing a growth of approximately 26.9%[59]. Revenue Breakdown - The group's revenue from the retained group accounted for 14.7% of total revenue for the six months ended June 30, 2023, compared to 17.0% for the same period in 2022[36]. - Customer contract revenue amounted to RMB 1,187,713 thousand, compared to RMB 1,191,081 thousand in the prior period, indicating a slight decrease of about 0.28%[53]. - Revenue from commercial operation services was RMB 48,042,000, while market research and positioning services generated RMB 912,730,000, up from RMB 94,883,000 in the previous year, indicating significant growth in service offerings[59]. - Revenue from commercial operation and management services was approximately RMB 912.7 million, representing a year-on-year increase of 6.8% and accounting for 71.6% of total revenue[149]. - Revenue from commercial property leasing services increased by 15.7% to approximately RMB 87.1 million, contributing 6.8% to total revenue[150]. - Revenue from residential property management services decreased to approximately RMB 171.1 million, a decline of 10.4% year-on-year, primarily due to a slowdown in contracted area growth in the real estate sector[153]. Dividends and Shareholder Returns - The board proposed an interim dividend of HKD 0.15 per ordinary share for the six months ended June 30, 2023[12]. - The company declared a final dividend of HKD 96,435,000 (approximately RMB 87,924,000) for the year ended December 31, 2022, which will be paid on October 25, 2023[69]. - Basic earnings per share increased to RMB 40.63, up from RMB 38.05 in the previous year, indicating improved profitability on a per-share basis[67]. - Basic earnings per share for the six months ended June 30, 2023, were RMB 40.63, an increase of 7.1% from RMB 37.94 in 2022[95]. Operational Highlights - As of June 30, 2023, the contracted gross floor area for the group's commercial operation services was approximately 15.3 million square meters, with the operational gross floor area being approximately 10.7 million square meters[12]. - The average occupancy rate for Baolong Yicheng was 99.4% as of June 30, 2023, while Baolong City had an occupancy rate of 97.9%[113]. - The group plans to enhance operational efficiency by leasing several retail properties and subleasing them to generate long-term rental income[25]. - The group plans to open several retail commercial property projects in the second half of 2023, with specific opening dates subject to project progress[115]. - The group operates under four main brands: Baolong Yicheng, Baolong City, Baolong Plaza, and Baolong Tiandi, providing professional commercial operation services[108]. Market and Strategic Initiatives - The GDP growth rate for the first half of 2023 was 5.5%, and the total retail sales of consumer goods increased by 8.2% year-on-year, indicating a recovery in the overall consumption market[118]. - The group plans to continue focusing on the Yangtze River Delta region while exploring opportunities in other high-quality areas, including the establishment of six new city leasing centers[146]. - The group will implement the YOUNG program in the second half of 2023 to nurture young talent for business development in the new era[146]. - The group is committed to optimizing its brand portfolio and has established deep collaborations with LVMH and L'Oréal, launching over 10 high-end stores in Xiamen[147].

Membership and Customer Engagement - In 2022, the company upgraded its membership system, adding over 5 million new members, bringing the total to nearly 10 million[5] - The company achieved a 130% year-on-year increase in membership, reaching nearly 10 million members, and online sales exceeded RMB 500 million, a 25-fold increase year-on-year[101] - User data showed a growth of 20% year-over-year, indicating strong customer engagement and retention[198] - Customer satisfaction ratings have improved, with a reported increase of 15% in positive feedback from users[198] Financial Performance - The group's revenue for the year was approximately RMB 2.549 billion, representing a year-on-year growth of 3.5%[36] - The overall revenue for the company in 2022 was RMB 2,549.258 million, compared to RMB 2,463.996 million in 2021, marking a growth of 3.5%[126] - The total revenue for the year ended December 31, 2022, was approximately RMB 2,549.3 million, an increase of about 3.5% compared to approximately RMB 2,464.0 million for the year ended December 31, 2021[169] - The company reported a profit attributable to shareholders of approximately RMB 443.1 million for the year ended December 31, 2022, an increase of 1.1% from RMB 438.1 million in 2021[179] Property Management and Operations - The company delivered residential property management services for 92 projects, covering a total area of approximately 19.4 million square meters, with 140 signed projects totaling about 30.7 million square meters[90] - The total delivered building area reached approximately 19.4 million square meters, an increase of 1.7 million square meters compared to 17.7 million square meters in the same period of 2021[110] - The company has ongoing projects with a total built area of 574,065 square meters, including 305,216 square meters of shopping malls and 218,578 square meters of parking lots[60] - The company has expanded its project portfolio with new openings, including Hangzhou Technology City Baolong Plaza and Xiamen Tong'an Baolong Plaza, adding a total area of 208,889 square meters[65] Strategic Goals and Market Expansion - The company aims to become a respected century-old enterprise and a global leader in urban space operations, creating broader value for customers and investors[25] - The company continues to focus on expanding its presence in economically vibrant urban clusters in the Yangtze River Delta region[9] - The group plans to continue focusing on the Yangtze River Delta as a core strategic area while exploring other high-quality opportunities and increasing recruitment efforts in six major cities[160] - The company plans to enhance business development and improve smart commercial operations in 2023, anticipating better consumer sentiment compared to 2022 due to the easing of pandemic restrictions[114] Project Development and New Openings - The company has signed several new projects, including the successful opening of Taizhou Jiaojiang Powerlong City in June 2022[29] - The company plans to open 13 new projects in 2023, covering approximately 1.0 million square meters, aiming to establish more benchmark projects[138] - New projects include significant developments in cities such as Ningbo, Xuzhou, and Hangzhou, with various management models[42] - The company successfully opened 8 new projects in 2022, including Taizhou Jiaojiang Baolong City and Xiamen Tong'an Baolong Plaza, both achieving a rental rate of 98%[56] Operational Efficiency and Technology - The company introduced an AI digital employee for performance tracking and risk monitoring, enhancing operational efficiency and risk prediction capabilities[47] - The company upgraded its management system to AI stage, enabling automated tracking and calculation of performance metrics[81] - The company is focusing on expanding its property management services and seeking flexible cooperation models for commercial retail projects[87] - The company emphasizes technological innovation through smart business applications to improve service quality and operational performance[114] Revenue Streams and Profitability - Revenue from residential property management services for the year ended December 31, 2022, was approximately RMB 491.0 million, an increase of 9.9% year-on-year, accounting for about 19.2% of total revenue[146] - The commercial operation services generated revenue of RMB 710,711 with a gross margin of 34.5%[97] - The total revenue for the commercial operation services segment reached approximately RMB 2,058.3 million for the year ended December 31, 2022, an increase of 2.0% from RMB 2,017.1 million in 2021[126] - Revenue from property leasing services for the year ended December 31, 2022, was approximately RMB 144.7 million, a decrease of 26.1% year-on-year, accounting for about 5.7% of total revenue[145] Challenges and Future Outlook - The overall economic environment in 2022 faced challenges, yet the GDP still achieved a growth of 3%[55] - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 15%[198] - The company aims to improve operational efficiency, targeting a 5% reduction in costs through process optimization[198] - The company is exploring potential acquisitions to enhance its product portfolio, with a budget of 10 million set aside for this purpose[198]

保隆商业非执行董事张云峰先生保隆商业副总裁唐建峰先生保隆商业副总裁兼首席财务官贺旭光先生 在影商业面积1055万平方米同比增长6.2%签约的商业面积1519万平方米同比增长8%新开了8个商业项目开业面积65万平方米其中我们新开的台州交江宝龙城和厦门同安宝龙广场是非常优质的两个项目 各位可以通过登录录影中观看PPT和直播如线上的各位想参与提问环节可在录影中进行文字提问现场的嘉宾可以举手进行提问 谢谢出席本次会议的管理成友保隆商业执行董事兼总裁陈德利先生 2012年由于长时间的疫情影响对整个商业的影响是巨大的那也是非常艰难的一年充满挑战的一年好在我们的团队始终团结一心维持拼搏奋斗的精神不断地创新突破使得公司能够稳定地发展同时还是取得了一些不错的成绩接下来我想跟大家分享一下我们这一年取得的主要成绩和未来的发展方向首先是财务指标 2022年年末会员数总数达到接近1000万同比增长了130%2022年的线上销售额接近5个亿同比翻了5倍建议分派末期的股息是0.15港元 我们主要看一下购物中心的主要业态的表现首先我们看一下零售整个零售业前三季度的关键率非常高实际上到了第四季度一直到现在零售业态的关键还在持续不变持续地不断其 ...

Financial Performance - The group's revenue for the year ended December 31, 2022, was approximately RMB 2,549.3 million, representing a growth of about 3.5% compared to RMB 2,464.0 million for the year ended December 31, 2021[2]. - The group's gross profit for the year ended December 31, 2022, was approximately RMB 834.4 million, an increase of about 1.5% from RMB 821.8 million for the year ended December 31, 2021[2]. - The profit attributable to shareholders for the year ended December 31, 2022, was approximately RMB 443.1 million, up about 1.1% from RMB 438.1 million for the year ended December 31, 2021[2]. - The core profit attributable to shareholders for the year ended December 31, 2022, was approximately RMB 517.1 million, an increase of about 4.8% from RMB 493.3 million for the year ended December 31, 2021[2]. - Total segment revenue for the year ended December 31, 2022, was RMB 2,549,258 thousand, an increase from RMB 2,463,996 thousand in 2021, representing a growth of approximately 3.5%[31]. - Customer contract revenue for the year was RMB 2,404,515 thousand, up from RMB 2,268,047 thousand in 2021, indicating a year-over-year increase of about 6.0%[31]. - The annual profit before tax was RMB 613,397 thousand, with a tax expense of RMB 174,284 thousand, resulting in a net annual profit of RMB 439,113 thousand[31]. - The effective income tax rate for the group was 28.41% for the year ended December 31, 2022, compared to 27.92% in 2021[66]. - The company reported a total of RMB 232,463,000 in trade receivables after accounting for impairment provisions of RMB 43,960,000 as of December 31, 2022[77]. - The company reported interest income of RMB 53,462 thousand and interest expenses of RMB 57,803 thousand, resulting in a net interest expense of RMB 2,341 thousand[31]. Assets and Liabilities - The total assets as of December 31, 2022, amounted to RMB 5,213.3 million, compared to RMB 5,072.4 million as of December 31, 2021[10]. - The total equity as of December 31, 2022, was RMB 2,736.1 million, an increase from RMB 2,470.7 million as of December 31, 2021[16]. - The total liabilities as of December 31, 2022, were RMB 2,477.1 million, a decrease from RMB 2,601.7 million as of December 31, 2021[16]. - Total liabilities decreased to RMB 2,477,138 thousand from RMB 2,601,670 thousand in 2021, representing a reduction of about 4.8%[36]. - The company's cash and bank balances increased to RMB 3,300,950 thousand from RMB 2,770,721 thousand in 2021, showing a growth of approximately 19.1%[36]. Dividends - The board proposed a final dividend of HKD 0.15 per share for the year ended December 31, 2022, totaling HKD 0.30 per share including the interim dividend[2]. - The company declared a final dividend of HKD 0.15 per share, amounting to approximately RMB 84,635,000, pending shareholder approval[75]. Business Segments - The group has two business segments: Commercial Operations Services and Residential Property Management Services[28]. - The majority of the group's consolidated revenue and performance is derived from the Chinese market[29]. - The commercial operation services segment generated total revenue of approximately RMB 2,058.3 million for the year ended December 31, 2022, representing a 2.0% increase from RMB 2,017.1 million in 2021[104]. - The residential property management services segment achieved a gross profit of RMB 123.7 million with a gross margin of 25.2% for the year ended December 31, 2022, up from RMB 111.2 million and a gross margin of 24.9% in 2021[102]. Market Expansion and Projects - The company managed 92 residential projects with a total delivered area of approximately 1.94 million square meters as of December 31, 2022, and signed contracts for 140 projects totaling approximately 3.07 million square meters[88]. - The company has signed contracts for property management services, indicating ongoing market expansion efforts[88]. - The company continues to expand its presence in the Yangtze River Delta region, with multiple projects launched in cities like Hangzhou and Taizhou[108]. - The company is focusing on strategic management models, including entrusted management for its commercial properties[108]. - The company plans to launch 13 new projects in 2023, also approximately 1.0 million square meters, aiming to establish more benchmark projects[195]. Technology and Innovation - The company upgraded its management system to AI and implemented intelligent applications, enhancing operational efficiency[168]. - The intelligent security system developed in collaboration with Tencent has an automated identification rate of over 90% for incidents such as fights, crowd gatherings, and road congestion[156]. - The smart energy management platform, developed in collaboration with Tencent, has achieved over 60% reduction in energy consumption through efficient management[188]. - The introduction of AI technology has enabled the company to implement a digital employee, the "Business Risk Control Officer," for 360-degree performance tracking and risk monitoring[187]. Customer Engagement and Satisfaction - The Baolong Youyou membership system saw significant growth in 2022, adding over 5 million new members, bringing the total to nearly 10 million members[170]. - The company aims to enhance its core competitiveness by improving owner satisfaction and increasing collection and clearance rates[198]. - The company plans to leverage AI technology to enhance consumer interaction and activate the spending potential of nearly 10 million members[196]. Economic Environment - The overall economic environment in China showed resilience with a GDP growth rate of 3% in 2022, supporting the company's long-term development strategy[174]. - The group anticipates a better consumer sentiment in 2023, driven by the gradual recovery of offline consumption following the shift in pandemic policies[129].

Company Operations - As of June 30, 2022, the company operated 91 retail commercial properties with a total gross floor area of approximately 10.2 million square meters[9]. - The company has signed contracts for 140 retail commercial properties, totaling approximately 14.7 million square meters of gross floor area[9]. - The residential property management services have delivered 87 projects with a total gross floor area of approximately 18.3 million square meters as of June 30, 2022[9]. - There are 139 signed residential property management projects, with a total signed gross floor area of approximately 30.6 million square meters[9]. - The number of operational projects increased to 91, up by 20 projects from 71 in the same period last year[16]. - The total area of newly contracted projects as of the report date is approximately 584,906 square meters, including both group-owned and third-party projects[24]. - The total operating area of the group as of June 30, 2022, was approximately 10.2 million square meters, an increase of about 1.4 million square meters from the previous year[16]. - The average occupancy rate for the group's retail commercial properties was 93.4% as of June 30, 2022, compared to 92.3% on the same date in 2021[27]. Financial Performance - For the six months ended June 30, 2022, the group's revenue was approximately RMB 1,266.4 million, an increase of about RMB 95.8 million compared to RMB 1,170.6 million for the same period in 2021, representing an increase of approximately 8.2%[39]. - Revenue from commercial operation and management services was approximately RMB 854.4 million, an increase of about 21.4% year-on-year, accounting for approximately 67.5% of total revenue[42]. - Revenue from residential property management services increased by approximately 5.9% year-on-year to RMB 241.8 million, representing about 19.1% of total revenue[44]. - The total revenue from the commercial operation services segment for the first half of 2022 was RMB 1,024,538 thousand, compared to RMB 942,253 thousand in the same period of 2021[17]. - The group's gross profit was approximately RMB 430.4 million, an increase of about 12.3% year-on-year, with a gross margin of 34.0%, up 1.2 percentage points from 32.8% for the same period in 2021[50]. - The gross profit for commercial operation services was RMB 367,983 thousand with a gross margin of 35.9%, compared to RMB 327,029 thousand and a gross margin of 34.7% in the previous year[15]. - The residential property management segment achieved total revenue of approximately RMB 241.8 million for the six months ended June 30, 2022, an increase of about 5.9% compared to RMB 228.3 million for the same period in 2021[29]. - The company reported a profit attributable to the owners of the company of approximately RMB 240.3 million, an increase of about 18.2% compared to approximately RMB 203.3 million for the same period in 2021[56]. Strategic Goals and Initiatives - The company aims to become a respected century-old enterprise and a global leader in urban space operations, continuously creating broader value for customers and investors[6]. - The company plans to open 9 new projects in the second half of 2022, including the key project Xiamen Tong'an Baolong Plaza[35]. - The company will continue to enhance its digital ecosystem to improve operational efficiency and reduce costs, focusing on a "1+1+N" strategic layout centered on the Yangtze River Delta[36]. - The company plans to strengthen its commercial light asset project expansion and explore more flexible cooperation models[35]. - The company aims to maintain an overall occupancy rate target of 96% for the year despite a slight decline in the first half of 2022 due to the pandemic[34]. Shareholder Information - As of June 30, 2022, the total issued shares of the company were 642,900,000, with significant shareholdings by directors and related parties[67]. - Major shareholder Mr. Xu Jiankang controls 405,000,000 shares, accounting for 63.00% of the total issued shares[76]. - Mr. Xu Huafang holds a total of 46,500,000 shares, representing approximately 7.23% of the total issued shares[67]. - The company proposed an interim dividend of HKD 0.15 per share, totaling HKD 94.7 million for the six months ending June 30, 2022[80]. - The share transfer registration will be suspended from November 29, 2022, to December 2, 2022, to determine the eligibility of shareholders for the interim dividend[81]. Cash Flow and Capital Expenditure - The net cash used in operating activities for the six months ended June 30, 2022, was RMB (135,155) thousand, a significant decrease from RMB 443,588 thousand in the same period of 2021[111]. - The company recorded a net cash inflow from investing activities of RMB 913,795 thousand for the six months ended June 30, 2022, compared to a net cash outflow of RMB (5,649) thousand in the same period of 2021[111]. - The capital expenditure for the six months ended June 30, 2022, was RMB 190,967,000, significantly higher than RMB 54,226,000 for the same period in 2021, indicating an increase of approximately 251.78%[136]. Awards and Recognition - The company has received various awards, including "Most Socially Responsible Listed Company" from 智通财经 in March 2022[9]. - The company emphasizes its mission of "Let Space Be Filled with Love" and adheres to corporate values of simplicity, authenticity, and win-win cooperation[6]. Risk Management and Compliance - The group has maintained its risk management policies since December 31, 2021, focusing on minimizing financial performance risks[124]. - The group continues to evaluate the impact of new and revised accounting standards on its financial statements[122].

Company Operations - Powerlong Commercial Management Holdings Limited operates 88 retail commercial properties with a total built area of approximately 9.9 million square meters as of December 31, 2021[5]. - The group has signed contracts for 136 retail commercial properties, totaling approximately 14.1 million square meters of built area[5]. - The residential property management services cover 82 delivered properties with a total built area of about 17.7 million square meters, and 136 signed properties with a total signed built area of approximately 30.0 million square meters[5]. - The overall occupancy rate of shopping centers reached 95.3% by the end of 2021, with average foot traffic increasing by approximately 27% compared to 2020 and 8% compared to 2019[28]. - The average sales per store increased by about 28% year-on-year compared to 2020 and 10% compared to 2019[28]. - The company opened 22 new projects in 2021, with over 90% located in the core strategic area of the Yangtze River Delta, achieving an overall occupancy rate of over 96% for new shopping centers[28]. - New signed commercial area reached a record high of 2.76 million square meters in 2021, including 490,000 square meters from third-party projects[28]. - The company has laid out 142 retail commercial properties across the country, with 88 already operational, covering a total area of approximately 9.9 million square meters[41]. - The company opened 13 new retail properties in 2021, totaling 1,112,264 square meters, with a commercial area of 724,825 square meters and parking space of 382,779 square meters[66]. - The company has also acquired third-party projects for renovation and upgrade, enhancing its portfolio[67]. - The company continues to focus on expanding its presence in the Yangtze River Delta region, which includes cities like Taizhou and Shaoxing[66]. Financial Performance - Revenue for 2021 increased by approximately 28.3% compared to 2020, while core operating net profit grew by about 53.6% year-on-year[28]. - For the fiscal year ending December 31, 2021, the total revenue from commercial operation services was approximately RMB 2,017.1 million, an increase of 29.1% compared to RMB 1,562.9 million for the fiscal year ending December 31, 2020[60]. - The gross profit for commercial operation services was RMB 710,623 thousand with a gross margin of 35.2% in 2021, compared to RMB 511,921 thousand and a gross margin of 32.8% in 2020[58]. - The total gross profit for the company was RMB 821,830 thousand with a gross margin of 33.4% in 2021, up from RMB 594,546 thousand and a gross margin of 30.9% in 2020[58]. - The company's service costs amounted to approximately RMB 1,642.2 million, reflecting a year-on-year increase of 23.8% due to business expansion[125]. - The group reported a total of 1,214,971 square meters of newly opened commercial space across various projects[77]. - The residential property management services segment achieved total revenue of approximately RMB 446.9 million for the year ended December 31, 2021, representing a 24.7% increase from RMB 358.3 million for the year ended December 31, 2020[98]. - The total area of commercial properties opened by the company reached 9.9 million square meters, a year-on-year increase of 15.1%[114]. - The group's gross profit was approximately RMB 821.8 million, representing a year-on-year increase of 38.2%[126]. - The gross profit margin for the group increased to 33.4% for the year ended December 31, 2021, up from 30.9% in the previous year, an increase of 2.5 percentage points[126]. Strategic Initiatives - The company aims to enhance its market presence through new product development and strategic collaborations[14]. - The company plans to enhance services and promotional activities for merchants and consumers in 2022, aiming to further improve occupancy rates[32]. - The company aims to strengthen its market position through continuous expansion and property management improvements[66]. - The company is actively pursuing new strategies for market expansion and project development in key cities[85]. - The company is committed to enhancing its operational efficiency through strategic management practices[86]. - The management expects continued growth in retail commercial property development in the upcoming years[85]. - The company plans to open 37 retail property projects in 2023 and beyond, with a total projected construction area of 3,184,642 square meters[87]. - The company is exploring potential acquisitions to further enhance its market presence, targeting a 10% increase in market share by 2023[75]. Technology and Innovation - The company is investing in new technology for property management, which is expected to enhance operational efficiency by 25%[75]. - The collaboration with Tencent has been upgraded to cover business operations, providing digital support for operational teams, consumers, merchants, and investors[91]. - The management system has undergone a significant upgrade, achieving integration of "business, finance, and taxation," enhancing operational efficiency and real-time performance tracking[92]. - The company aims to leverage Tencent's resources to create leading digital capabilities in the industry, significantly reducing digitalization costs[91]. - The company launched two major intelligent projects in collaboration with Tencent, achieving over 90% recognition rate for the smart security project, which is expected to reduce security costs by 60%-70%[94]. - The smart receipt recognition product reached an 87% recognition rate and is expected to significantly lower management costs after further testing[94]. - The company plans to enhance its digital ecosystem and reduce costs while improving efficiency through the integration of smart business solutions in 2022[106]. Corporate Governance - The company has maintained compliance with all applicable principles and code provisions of the Corporate Governance Code as of December 31, 2021[186]. - The board consists of a balanced mix of executive directors and independent non-executive directors to ensure strong independent elements for effective judgment[186]. - The company emphasizes the importance of good corporate governance elements in its management structure and internal control processes[186]. - The company has a strong management team with over 20 years of experience in the commercial real estate market[177]. - The company has implemented strategies for investor relations management and investment management[181]. - The company has a commitment to accountability through effective governance practices[186].

Financial Performance - The total revenue for the six months ended June 30, 2021, was approximately RMB 942.3 million, an increase of 34.5% compared to RMB 700.4 million for the same period in 2020[15]. - The group's total revenue for the six months ended June 30, 2021, was approximately RMB 1,170.6 million, an increase of about RMB 302.0 million compared to RMB 868.6 million for the same period in 2020[44]. - Revenue from commercial operation and management services was approximately RMB 704.0 million, a year-on-year increase of 36.8%, accounting for about 60.1% of total revenue[47]. - Revenue from residential property management services increased by 35.7% to approximately RMB 228.3 million, representing about 19.5% of total revenue[49]. - The company reported a profit of RMB 203,338 thousand for the six months ended June 30, 2021, compared to RMB 144,912 thousand for the same period in 2020, representing an increase of approximately 40.4%[120]. - The net profit for the six months ended June 30, 2021, was approximately RMB 204.8 million, a 41.3% increase from RMB 144.9 million in the prior year[61]. - The gross profit for the six months ended June 30, 2021, was approximately RMB 383.4 million, representing a 50.5% increase year-on-year[55]. - The gross profit margin improved to 32.8%, up from 29.3% in the same period last year, reflecting effective cost control and business growth[55]. Operational Highlights - As of June 30, 2021, the company operated 71 retail commercial properties with a total built area of approximately 8.8 million square meters and signed contracts for 126 retail commercial properties with a total contracted built area of about 13.5 million square meters[3]. - The total area of operational buildings reached 8.8 million square meters, up from 7.0 million square meters in the same period of 2020, an increase of 1.8 million square meters[15]. - The number of operational projects increased to 71, adding 20 new projects compared to 51 in the same period of 2020[15]. - The company has delivered property management services for 69 residential properties with a total delivered built area of approximately 16.4 million square meters as of June 30, 2021[7]. - The company has signed contracts for 125 residential properties with a total contracted built area of about 28.0 million square meters[7]. - The company added 418,777 square meters of new operational retail commercial properties in the first half of 2021[20]. - The average occupancy rate for the group's retail properties as of June 2021 was 92.3%, an increase from 87.1% in June 2020[26]. - The total area of opened properties reached 8,839 thousand square meters, with the highest occupancy rate recorded at 98.7% for Baolong Yicheng[26]. Strategic Initiatives - The company aims to enhance the quality of life and promote urbanization in China through its commercial operation services[3]. - The company plans to open several new retail properties in the second half of 2021, totaling an estimated construction area of 1,154,361 square meters[30]. - The group plans to open 18 new projects in the second half of 2021, following the completion of 3 shopping plazas and 1 commercial street in the first half[40]. - The group aims to enhance its market influence by focusing on several potential projects to establish them as city benchmarks[41]. - The company is focusing on advancing smart business and enhancing occupancy rates as part of its operational strategy[38]. - The company has established a partnership with Tencent to accelerate research and development in smart business solutions[34]. Shareholder Information - The company proposed an interim dividend of HKD 0.15 per share, totaling approximately HKD 94.9 million (around RMB 79.0 million) for the six months ending June 30, 2021[87]. - As of June 30, 2021, the total issued shares of the company were 644 million, with major shareholders holding significant stakes, including Mr. Xu Jian Kang with 62.89%[83]. - The company has a share incentive plan adopted on September 10, 2020, aimed at recognizing and incentivizing eligible participants for their contributions[89]. - The company’s major shareholder, Bao Long Real Estate (Viking) Holdings Limited, also holds 62.89% of the shares[84]. Financial Position - The total assets as of June 30, 2021, amounted to RMB 4,878,341, an increase from RMB 4,520,423 as of December 31, 2020[116]. - The total liabilities increased to RMB 2,573,747 thousand as of June 30, 2021, up from RMB 2,354,520 thousand as of December 31, 2020, representing an increase of approximately 9.3%[117]. - The company's total equity reached RMB 4,878,341 thousand as of June 30, 2021, compared to RMB 4,520,423 thousand as of December 31, 2020, reflecting a growth of about 7.9%[117]. - The group's cash and cash equivalents as of June 30, 2021, were approximately RMB 3,796.4 million, an increase of 10.1% from RMB 3,449.1 million as of December 31, 2020, attributed to business growth[70]. Employee and Talent Management - The total number of employees increased to 6,012 as of June 30, 2021, up from 5,390 as of December 31, 2020, indicating a focus on talent acquisition and retention[76]. - The company plans to utilize HKD 82 million for hiring additional management personnel, with HKD 52 million remaining unutilized as of June 30, 2021[108]. Compliance and Governance - The company has complied with all applicable code provisions under Appendix 14 of the Listing Rules as of June 30, 2021[101]. - The company has adopted the corporate governance code as the basis for its corporate governance practices since its listing date[100].