Financial Performance - The total revenue for the year ended December 31, 2024, was approximately RMB 369.1 million, a decrease of about 13.5% compared to RMB 426.8 million in the same period of 2023, primarily due to declines in real estate agency and property management services [10]. - Revenue from the real estate agency services segment was approximately RMB 6.8 million, down 76.9% from RMB 29.4 million in the same period last year [17]. - The professional property management services segment recorded revenue of approximately RMB 362.3 million, a decrease of 8.8% from RMB 397.4 million in the previous year [18]. - Revenue from property management services was approximately RMB 303.7 million, down 6.3% from RMB 324.1 million in the previous year [19]. - Non-owner value-added services generated revenue of approximately RMB 13.1 million, a decrease of 27.2% from RMB 18.0 million in the previous year [20]. - Community value-added services recorded revenue of approximately RMB 45.5 million, down 17.7% from RMB 55.3 million in the previous year [21]. - The net loss for the year was approximately RMB 1.8 million, compared to a net income of RMB 7.4 million in the previous year [26]. - The company recorded a net loss of approximately RMB 79.3 million for the year ending December 31, 2024, an increase of 38.9% compared to the net loss of approximately RMB 57.1 million for the year ending December 31, 2023 [39]. - The net profit margin decreased from -13.4% for the year ending December 31, 2023, to -21.5% for the year ending December 31, 2024, primarily due to a mismatch between the reduction in service costs and the decline in revenue [38]. Operational Strategies - The company is focusing on strict receivables management as a priority, enhancing contract management and payment processes to ensure operational stability [10]. - Future strategies will emphasize organic growth by leveraging existing resources rather than relying on acquisitions, aiming to build sustainable long-term partnerships [13]. - The company plans to continue its strategic transformation focusing on long-term value creation and sustainable development, maintaining a commitment to integrity and operational efficiency [13]. - A tiered project management system will remain a strategic core, enhancing brand recognition through benchmark projects while optimizing resource allocation for underperforming projects [13]. - The company aims to enhance customer satisfaction and brand reputation by responding quickly to customer needs and proactively solving problems [13]. - The procurement process has been optimized to reduce costs and improve operational efficiency through centralized purchasing and streamlined procedures [11]. Financial Position - As of December 31, 2024, the group's net current liabilities were approximately RMB 28.0 million, down from net current assets of approximately RMB 71.3 million as of December 31, 2023 [42]. - Total assets as of December 31, 2024, were approximately RMB 366.7 million, a decrease from approximately RMB 478.3 million as of December 31, 2023 [42]. - The group's bank balances and cash totaled approximately RMB 66.6 million as of December 31, 2024, compared to RMB 90.8 million as of December 31, 2023 [42]. - Trade receivables decreased from approximately RMB 103.9 million as of December 31, 2023, to approximately RMB 84.0 million as of December 31, 2024, primarily due to the ongoing weakness in the Chinese real estate sector [43]. - The capital debt ratio as of December 31, 2024, was 77%, up from 64% as of December 31, 2023 [47]. - The group had no short-term borrowings as of December 31, 2024, compared to RMB 19.4 million as of December 31, 2023 [44]. Governance and Management - The board currently consists of seven directors, including four executive directors and three independent non-executive directors [59]. - The company has a strong management team with diverse backgrounds in property development, finance, and strategic planning [66][67]. - The company emphasizes the importance of corporate governance, with its secretary, Ms. Chen Zhuochen, having over 17 years of experience in the field [75]. - The company has established an Audit Committee since October 23, 2017, with responsibilities including reviewing and supervising the financial reporting process and internal control systems [76]. - The Compensation Committee was formed on October 23, 2017, to review and determine the remuneration, bonuses, and other compensation terms for directors and senior management [77]. - The Nomination Committee was also established on October 23, 2017, to review the structure, size, composition, and diversity of the board and to provide recommendations on the appointment of directors [78]. - The company has made significant changes to its governance structure, including the establishment of various committees to enhance oversight and management [76][77][78]. Risk Management - The company has a strong focus on risk management, with Ms. Ouyang previously serving as the General Manager of the Risk Control Department [73]. - The board is responsible for establishing and maintaining an effective risk management and internal control system, with annual reviews conducted by the audit committee [111]. - The internal audit team has confirmed the adequacy and effectiveness of the risk management and internal control systems for the year ending December 31, 2024, with no significant issues identified [112]. Environmental and Social Responsibility - The company emphasizes environmental protection and has implemented measures such as energy conservation and waste sorting [83]. - The company actively engages in social welfare activities, reflecting its sense of social responsibility [83]. - The company is committed to environmental sustainability, focusing on reducing paper usage and energy consumption in its operations [182]. Shareholder Information - The largest customer accounted for approximately 1.3% of total revenue for the year ending December 31, 2024, while the top five customers contributed about 4.9% of total sales [129]. - The largest supplier represented approximately 23.4% of total procurement, with the top five suppliers accounting for 40.6% of total procurement for the year ending December 31, 2024 [129]. - The company has maintained compliance with listing rules regarding the appointment of at least three independent non-executive directors, with at least one possessing relevant professional qualifications [103]. - The company has established policies to ensure timely and equal dissemination of inside information to the public [114].

Financial Performance - For the fiscal year ending December 31, 2024, the total revenue was RMB 369,101,000, a decrease of 13.5% compared to RMB 426,784,000 in 2023[3] - The gross profit for the same period was RMB 59,266,000, down 32.0% from RMB 87,034,000 in 2023[3] - The net loss for the year was RMB 79,325,000, compared to a net loss of RMB 57,112,000 in 2023, indicating a worsening financial position[3] - The basic and diluted loss per share increased to RMB 19.23 in 2024 from RMB 15.15 in 2023, reflecting a higher loss per share[4] - The group reported a net loss of approximately RMB 79.3 million for the year ending December 31, 2024, an increase of 38.9% compared to a net loss of RMB 57.1 million in the previous year[61] - The net profit margin decreased to -21.5% from -13.4% in the previous year, mainly due to a mismatch between the reduction in service costs and the decline in revenue[60] Assets and Liabilities - The total assets decreased to RMB 366,742,000 in 2024 from RMB 482,291,000 in 2023, reflecting a decline of approximately 24.0%[5] - Current liabilities exceeded current assets by RMB 28,015,000, indicating liquidity challenges for the company[5] - As of December 31, 2024, the company's net current liabilities are approximately RMB 280 million, a decrease from net current assets of approximately RMB 713 million as of December 31, 2023[63] - Trade receivables decreased from approximately RMB 1,039 million as of December 31, 2023, to approximately RMB 840 million as of December 31, 2024, due to the ongoing weakness in the Chinese real estate industry[64] Revenue Breakdown - Revenue from real estate agency services decreased to RMB 6,753,000 in 2024 from RMB 29,364,000 in 2023, representing a decline of approximately 77%[20] - Property management service revenue decreased to RMB 303,733,000 in 2024 from RMB 324,118,000 in 2023, a decline of about 6.3%[20] - Non-owner value-added services revenue decreased to RMB 13,106,000 in 2024 from RMB 18,045,000 in 2023, a decline of approximately 27.5%[20] - Professional property management services generated revenue of approximately RMB 362.3 million, a decline of 8.8% from RMB 397.4 million in the previous year, mainly due to a decrease in property management service income[49] - Community value-added services recorded revenue of approximately RMB 45.5 million, down 17.7% from RMB 55.3 million in the previous year, primarily due to reduced demand from owners[52] Impairment and Losses - The company reported a significant impairment loss of goodwill amounting to RMB 7,818,000 in 2024, which was not present in 2023[3] - Financial asset impairment losses were approximately RMB 90.1 million, a decrease of 10.9% from RMB 101.1 million in the previous year[58] - Goodwill impairment losses amounted to RMB 7.8 million, with the carrying amount of goodwill after impairment being RMB 39.8 million, a decrease of 16.4% from RMB 47.6 million in the previous year[59] - The net impairment loss on financial assets for 2023 was RMB 101,062,000, with significant losses recorded in trade receivables[32] Cash Flow and Financial Support - The company has expressed concerns regarding its ability to continue as a going concern due to significant uncertainties related to its financial position[11] - The group expects to generate positive cash flow from operations in the foreseeable future, alleviating liquidity pressure and improving financial conditions[12] - The group has confirmed financial support from its direct and indirect holding companies to ensure ongoing operations and timely debt repayment in the foreseeable future[13] - The group has implemented cost-cutting measures and capital expenditure reductions, along with comprehensive cash flow monitoring policies[13] Strategic Plans and Future Outlook - The group plans to focus on long-term value creation and sustainable development, emphasizing integrity, quality service, and operational efficiency in its future strategy[68] - The group aims to leverage existing resources and explore new opportunities rather than relying on acquisitions, aligning with its philosophy of organic growth[69] Shareholder Matters - The annual general meeting is scheduled for June 20, 2025, to discuss shareholder matters[77] - The company will suspend the transfer of shares from June 17, 2025, to June 20, 2025, to determine eligibility for attending the annual general meeting[78] - No final dividend is recommended for the year ending December 31, 2024, consistent with the previous year[79] Management Changes - Changes in executive management include the appointment of Sun Ligong as CEO and the transition of Fang Ming from non-executive to executive director[84]

Financial Performance - For the fiscal year ending December 31, 2024, the total revenue was RMB 369,101,000, a decrease of 13.5% compared to RMB 426,784,000 in 2023[3] - The gross profit for the same period was RMB 59,266,000, down 32.0% from RMB 87,034,000 in 2023[3] - The net loss for the year was RMB 79,325,000, compared to a net loss of RMB 57,112,000 in 2023, indicating a worsening financial position[3] - The company reported a basic and diluted loss per share of RMB 19.23, compared to RMB 15.15 in the previous year[4] - The company reported a loss before tax of RMB 89,332,000 for the year ending December 31, 2024, compared to a loss of RMB 67,486,000 for the previous year[24][26] - The company reported a net loss attributable to owners of the company of RMB 76,931,000 for the year ending December 31, 2024, compared to RMB 60,609,000 in the previous year[33] - The group reported a net loss of approximately RMB 79.3 million for the year ending December 31, 2024, an increase of 38.9% compared to a net loss of RMB 57.1 million in the previous year[61] - The net profit margin decreased to -21.5% from -13.4% in the previous year, primarily due to a mismatch between the decrease in service costs and revenue[60] Assets and Liabilities - The total assets decreased from RMB 367,448,000 in 2023 to RMB 245,178,000 in 2024, reflecting a decline of 33.2%[5] - The company's current liabilities exceeded current assets by RMB 28,015,000, raising concerns about its ability to continue as a going concern[11] - The total equity attributable to owners of the company fell from RMB 112,765,000 in 2023 to RMB 34,055,000 in 2024, a decrease of 69.8%[6] - The company's cash and cash equivalents decreased from RMB 88,134,000 in 2023 to RMB 64,765,000 in 2024, a decline of 26.5%[5] - As of December 31, 2024, the group's net current liabilities are approximately RMB 280 million, a decrease from net current assets of approximately RMB 713 million as of December 31, 2023[63] - Trade receivables decreased from approximately RMB 1,039 million as of December 31, 2023, to approximately RMB 840 million as of December 31, 2024, due to the ongoing weakness in the Chinese real estate industry[64] Revenue Breakdown - Revenue from real estate agency services decreased to RMB 6,753,000 in 2024 from RMB 29,364,000 in 2023, a decline of approximately 77%[20] - Property management service revenue was RMB 303,733,000 in 2024, down from RMB 324,118,000 in 2023, representing a decrease of about 6.3%[20] - Non-owner value-added services revenue decreased to RMB 13,106,000 in 2024 from RMB 18,045,000 in 2023, a decline of approximately 27.5%[20] - Revenue from the real estate agency services segment was approximately RMB 6.8 million, down 76.9% from RMB 29.4 million in the same period last year[48] - The professional property management services segment recorded revenue of approximately RMB 362.3 million, a decrease of 8.8% from RMB 397.4 million in the previous year[49] - Revenue from property management services was approximately RMB 303.7 million, down 6.3% from RMB 324.1 million in the previous year[50] - Non-owner value-added services generated revenue of approximately RMB 13.1 million, a decrease of 27.2% from RMB 18.0 million in the previous year[51] - Community value-added services recorded revenue of approximately RMB 45.5 million, down 17.7% from RMB 55.3 million in the previous year[52] Impairment and Expenses - The company recorded a goodwill impairment loss of RMB 7,818,000, which was not present in the previous year[3] - Financial asset impairment losses were approximately RMB 90.1 million, a decrease of 10.9% from RMB 101.1 million in the previous year[58] - Goodwill impairment loss was approximately RMB 7.8 million, resulting in a goodwill amount of RMB 39.8 million as of December 31, 2024, down 16.4% from RMB 47.6 million in the previous year[59] - The company incurred unallocated corporate expenses of RMB 45,557,000 for the year ending December 31, 2024, which included legal and professional fees[24] Future Outlook and Strategies - The group expects to generate positive cash flow from operations in the foreseeable future, alleviating liquidity pressure and improving financial conditions[12] - The group has confirmed financial support from its direct and indirect holding companies to ensure ongoing operations and timely debt repayments[13] - The group is actively negotiating repayment arrangements with certain suppliers, who have agreed not to demand repayment of due amounts until May 31, 2026[13] - The group has implemented cost-cutting measures and capital expenditure reductions, along with comprehensive cash flow monitoring policies[13] - The group plans to focus on long-term value creation and sustainable development, emphasizing integrity, quality service, and operational efficiency in its future strategy[68] - The group aims to leverage existing resources to explore new opportunities rather than relying on acquisitions, aligning with its philosophy of organic growth[69] Corporate Governance and Shareholder Matters - The company has undergone changes in its board of directors, with Mr. Fang Ming appointed as Executive Director and Chairman, and Mr. Sun Ligong appointed as Executive Director and CEO[84] - The annual general meeting is scheduled for June 20, 2025, to discuss shareholder matters[77] - The company does not recommend the payment of a final dividend for the year ending December 31, 2024, consistent with the previous year where no dividend was paid[79] - The company signed a share transfer agreement to sell 51% of Huizhou Fangxian Jiahe Property Service Co., Ltd. for a cash consideration of RMB 255,000, with the transaction expected to be completed by June 30, 2025[80] - The company reached a settlement arrangement for the final installment of the acquisition of 60% of Guangdong Yikang Property Service Co., Ltd., with the payment contingent on achieving profit targets for the fiscal years ending December 31, 2023[81] - The annual performance announcement for the year ending December 31, 2024, has been published on the Hong Kong Stock Exchange and the company's website[85]

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 217,595,000, an increase of 16.9% compared to RMB 186,085,000 for the same period in 2023[6] - Gross profit for the period was RMB 37,991,000, down 27.4% from RMB 52,266,000 in the previous year[6] - Loss before tax was RMB 13,313,000, an improvement from a loss of RMB 20,678,000 in the same period last year[6] - Net loss for the period was RMB 12,310,000, compared to a net loss of RMB 18,555,000 in the prior year, reflecting a 33.6% reduction in losses[6] - Basic and diluted loss per share was RMB 3.67, compared to RMB 5.73 for the same period in 2023[9] - Total comprehensive income for the period was RMB (14,780,000), compared to RMB (19,790,000) in the same period last year, showing an improvement in losses[14] - The net loss for the six months ended June 30, 2024, was approximately RMB 12.3 million, an improvement from a loss of 18.6 million in the same period of 2023[111] Assets and Liabilities - Total non-current assets amounted to RMB 111,804,000 as of June 30, 2024[10] - Current assets totaled RMB 333,450,000, indicating a strong liquidity position[10] - Current liabilities were RMB 280,144,000, resulting in a current ratio of approximately 1.19[10] - Total assets decreased from RMB 182,168,000 to RMB 165,110,000, a decline of approximately 9.4%[11] - The company's equity attributable to owners decreased from RMB 112,765,000 to RMB 97,985,000, representing a reduction of about 13.1%[11] - The total liabilities decreased from RMB 70,403,000 to RMB 66,110,000, a decrease of about 6.5%[11] - The company's non-controlling interests decreased from RMB 60,161,000 to RMB 58,679,000, a decline of approximately 2.5%[11] Cash Flow and Financing - Net cash used in operating activities was RMB (22,551,000), compared to RMB (1,536,000) in the previous year, indicating a significant increase in cash outflow[17] - Cash and cash equivalents decreased from RMB 111,801,000 to RMB 54,317,000, a drop of approximately 51.4%[17] - The company paid dividends to non-controlling interests amounting to RMB 3,845,000, up from RMB 1,200,000 in the previous year[17] - The company has extended a bank loan of approximately RMB 19,930,000 at a fixed annual interest rate of 4%[11] - The group had bank borrowings of RMB 13,739,000 as of the reporting date, with a fixed annual interest rate of 4%[90] Revenue Breakdown - Revenue from real estate agency services was RMB 5,432 thousand for the six months ended June 30, 2024, down from RMB 20,089 thousand in the same period of 2023, a decrease of approximately 73.0%[33] - Property management service revenue was RMB 152,648 thousand, a slight decrease from RMB 166,911 thousand in the same period of 2023, reflecting a decline of about 8.5%[33] - The revenue for the professional property management services segment was approximately RMB 180.7 million, a decrease of 8.5% compared to RMB 197.5 million in the same period of 2023[99] - Non-owner value-added services generated revenue of approximately RMB 8.0 million, a decrease of 25.5% from RMB 10.7 million in the same period of 2023, primarily due to financing difficulties faced by property developers[101] - Community value-added services reported revenue of approximately RMB 20.0 million, a slight increase of 0.7% from RMB 19.9 million in the same period of 2023[102] Operational Insights - The management is optimistic about future growth and is focusing on expanding service offerings and enhancing operational efficiency[6] - The company adopted a more cautious approach to undertaking additional projects due to the financial difficulties faced by property developers[98] - The company plans to implement specific strategies for different project types to enhance brand image and market competitiveness[105] Shareholder Information - Major shareholders hold 56.49% of the company's shares, with Mr. Fang and Ms. Xie each holding 225,948,000 shares[119] - Mansion Green Holdings Limited holds 97,200,000 shares, representing 24.3% of the total issued shares[120] - Aspiring Vision Holdings Limited holds 64,800,000 shares, representing 16.2% of the total issued shares[122] - Huiyu Investment Holdings Limited holds 60,000,000 shares, representing 15% of the total issued shares[122] - As of June 30, 2024, the total issued share capital of the company is 400,000,000 shares[6] Compliance and Governance - The company has complied with all corporate governance codes as of June 30, 2024[10] - The Audit Committee has reviewed the unaudited interim results for the six months ending June 30, 2024, confirming compliance with applicable accounting standards and listing rules[143]

Impairment Loss and Credit Risk - For the fiscal year ending December 31, 2023, the company's net impairment loss on financial assets was approximately RMB 101.1 million, an increase of about 987.1% compared to RMB 9.3 million for the fiscal year ending December 31, 2022[5]. - The increase in impairment loss provisions was primarily due to significant increases in impairment losses on trade receivables, amounts due from subsidiaries, and amounts due from related parties, amounting to RMB 24.2 million, RMB 56.5 million, and RMB 19.9 million respectively[5]. - The assessment of expected credit loss provisions was conducted using the simplified approach under Hong Kong Financial Reporting Standard 9, considering factors such as delays in collecting trade receivables and increased credit risk due to financial difficulties faced by property developers[5]. - As of December 31, 2023, the expected credit loss provision for trade receivables was calculated based on historical default rates and forward-looking adjustments, with a total expected loss provision amounting to RMB 142.6 million[9]. - The expected credit loss for amounts due from related parties was assessed with a total expected loss provision of RMB 65.2 million, with varying loss rates based on collateral status[11]. - The company assumes that trade receivables related to real estate agency services over two years and property management services over three years are considered 100% provisioned[11]. - As of December 31, 2023, the expected loss rate for trade receivables increased significantly compared to December 31, 2022, with overdue amounts over one year rising sharply[12]. - The expected loss rate for trade receivables is 12% for amounts overdue within one year, 26% for one to two years, 56% for two to three years, and 100% for amounts overdue over three years[16]. - The expected loss rate for receivables from related parties is 21% for unsecured amounts and 25% for related companies[18]. - The group has taken measures to recover outstanding receivables, including regular communication and legal actions, with a civil lawsuit filed for approximately RMB 14.2 million against Guangzhou Fangyuan[20]. Acquisition of Yikang - The company is currently in the process of acquiring Yikang, with updates on the acquisition status provided in the supplementary announcement[2]. - The acquisition of Guangdong Yikang Property Services Co., Ltd. involves a cash payment structure, with the third and fourth installment payments contingent on achieving profit targets for the years ending December 31, 2021, 2022, and 2023[21]. - Yikang recorded a net profit of approximately RMB 5.3 million for the year ending December 31, 2023, which is below the guaranteed profit of RMB 6,153,800[25]. - The performance commitment percentage is below 100%, meaning the company will not pay any previous installment deductions as part of the fifth installment payment[28]. - The seller has committed to ensuring that the total revenue of Yikang will not be less than approximately RMB 76 million for the fiscal years ending December 31, 2021, December 31, 2022, and December 31, 2023[29]. - The board confirms that Yikang's total revenue during the specified period has exceeded RMB 76 million, thus exempting the seller from any penalty obligations to the buyer[29]. Business Focus and Market Conditions - The company continues to focus on property management and real estate agency services as its core business areas, with ongoing assessments of market conditions and credit risks impacting its financial performance[3]. - The management has indicated that there will be no significant changes in political, legal, financial, technical, market, and economic conditions that could materially affect the company's operations[11].

Financial Performance - For the year ended December 31, 2023, the total revenue of Fineland Living Services Group Limited was approximately RMB 4.268 billion, a decrease of about 16.6% compared to RMB 5.119 billion for the year ended December 31, 2022[9]. - The net profit margin decreased from 6.2% for the year ended December 31, 2022, to -13.4% for the year ended December 31, 2023, primarily due to a significant increase in impairment losses on financial assets[32]. - The group reported a net loss of approximately RMB 57.1 million for the year ended December 31, 2023, compared to a net profit of approximately RMB 31.7 million for the year ended December 31, 2022[33]. - Total revenue for the year ended December 31, 2023, was approximately RMB 426.8 million, a decrease of about 16.6% compared to RMB 511.9 million for the same period in 2022[17]. - Revenue from the comprehensive real estate agency services segment was approximately RMB 29.4 million, down 73.0% from RMB 108.7 million in 2022, primarily due to a 24.4% decline in the sales area of commercial housing in Guangdong Province[18]. - Revenue from professional property management services was approximately RMB 397.4 million, a slight decrease of 1.4% from RMB 403.2 million in 2022, with non-owner value-added services decreasing by approximately RMB 24.5 million[19]. - Total service costs for the year were approximately RMB 339.8 million, a decrease of about 17.1% from RMB 409.7 million in 2022, mainly due to a reduction in frontline staff[27]. - Administrative expenses decreased by approximately 18.0% to RMB 58.5 million from RMB 71.3 million in 2022, attributed to effective cost control measures[29]. - Financial asset impairment losses increased by approximately 987.1% to RMB 101.1 million, up from RMB 9.3 million in 2022, due to increased provisions for trade receivables and related party receivables[30]. Market Conditions - The total sales area of commercial housing reached approximately 1,117.35 million square meters, a year-on-year decrease of 8.5%, with residential sales area down by 8.2%[7]. - The Chinese real estate investment dropped to approximately RMB 11.1 trillion, reflecting a year-on-year decline of 9.6%[7]. - In 2024, the Chinese government aims for a GDP growth target of 5%, with policies expected to stimulate housing demand and boost market confidence[8]. - The company faces significant risks due to strict regulations in the real estate industry, which may adversely affect business progress[55]. - The real estate agency and property management sectors are highly competitive, potentially impacting the company's operational performance[56]. Strategic Focus and Development - The company plans to focus on business development in the Greater Bay Area and maintain closer ties with clients, particularly those with government backgrounds[13]. - The property management services segment will prioritize high-quality service and customer orientation, aiming for sustainable growth without excessive expansion[13]. - The company is enhancing internal management through standardization and cost control to achieve efficient operations and profitability[13]. - As of the end of 2023, the company has accelerated the construction of a smart community platform to improve operational efficiency and service quality[12]. - The company aims to become a leading integrated service provider in China, focusing on personalized service solutions and the introduction of new technologies[101]. Corporate Governance - The company is committed to maintaining high standards of corporate governance through the involvement of independent non-executive directors[72]. - The board of directors includes members with diverse expertise in finance, law, and education, ensuring comprehensive oversight and independent judgment[70]. - The company has established a clear governance structure in accordance with relevant laws and its own articles of association[99]. - The audit committee consists of three members, with Mr. Liang Wei Xiong serving as the chairman[90]. - The remuneration committee has been revised as of December 28, 2022, and is responsible for reviewing and determining the remuneration of directors and senior management[91]. - The nomination committee is tasked with reviewing the board's structure and composition, with Mr. Fang Ming appointed as chairman[92]. - The company has complied with all provisions of the Corporate Governance Code as of December 31, 2023[99]. Human Resources - The group had 1,736 employees as of December 31, 2023, a decrease from 2,004 employees as of December 31, 2022[42]. - The company is committed to providing a safe and comfortable working environment for employees, emphasizing training and welfare[101]. - The company encourages continuous professional development for directors, confirming the importance of ongoing training for their contributions[127]. Financial Position - As of December 31, 2023, the group's current assets net value was approximately RMB 71.3 million, down from RMB 158.3 million as of December 31, 2022[34]. - The total bank balances and cash amounted to approximately RMB 90.8 million as of December 31, 2023, compared to RMB 118.8 million as of December 31, 2022[36]. - The group’s short-term borrowings were RMB 19.4 million as of December 31, 2023, down from RMB 35.7 million as of December 31, 2022[38]. - The capital to debt ratio increased to 64% as of December 31, 2023, from 59% as of December 31, 2022[41]. - As of December 31, 2023, the company has no distributable reserves[167]. Shareholder Information - The anticipated annual general meeting will be held on June 20, 2024, with a suspension of share transfer registration from June 17 to June 20, 2024[160]. - The company has not paid any bonuses or compensation to directors or senior management as an incentive to join or as severance during the reporting period[95]. - The company has not made any charitable donations for the year ended December 31, 2023, consistent with 2022[162]. - The company has not disclosed any new product or technology developments in the provided documents[158]. Transactions and Acquisitions - The acquisition of 51% equity in Ziyanghong resulted in a verified net profit of approximately RMB 4.9 million, exceeding the target profit for the year ended December 31, 2023[47]. - The acquisition of 60% equity in Yikang is expected to not meet the guaranteed profit of RMB 6,153,800 for the year ended December 31, 2023, which may result in a deduction from the payment due[49]. - The company completed the acquisition of approximately 66.31% of the equity in Fangyuan Modern Life on January 28, 2021, and signed two main property management service agreements[197]. - The company has established a main property management service agreement with Fangyuan Group Holdings, effective until December 31, 2023, to provide property management services[199]. - The company has entered into a property management service agreement with Mr. Fang, effective from January 1, 2024, to December 31, 2026[200].

Financial Performance - The total revenue for the year ended December 31, 2023, was RMB 426,784,000, a decrease of 16.67% compared to RMB 511,945,000 in 2022[4] - Gross profit for the same period was RMB 87,034,000, down 14.87% from RMB 102,265,000 in the previous year[4] - The net loss for the year was RMB 57,112,000, compared to a profit of RMB 31,712,000 in 2022, indicating a significant decline in profitability[5] - The total comprehensive loss for the year was RMB 57,583,000, compared to a comprehensive income of RMB 27,817,000 in the prior year[5] - Basic and diluted loss per share was RMB 15.15, compared to earnings of RMB 4.54 per share in 2022[5] - The overall revenue for the company decreased by 22.0% from RMB 511,945 thousand in 2022 to RMB 426,784 thousand in 2023[36] - The company reported a loss before tax of RMB 67,486,000, which includes unallocated corporate expenses of RMB 56,638,000[42] - The group reported a net loss of approximately RMB 57.1 million for the year ended December 31, 2023, compared to a net profit of approximately RMB 31.7 million for the year ended December 31, 2022[91] Revenue Breakdown - Real estate agency service revenue for 2023 was RMB 29,364 thousand, a decrease of 73.0% compared to RMB 108,713 thousand in 2022[36] - Property management service revenue increased to RMB 324,118 thousand in 2023, up 6.7% from RMB 303,663 thousand in 2022[36] - Non-owner value-added services revenue decreased to RMB 18,045 thousand in 2023, down 57.5% from RMB 42,540 thousand in 2022[36] - Community value-added services revenue increased to RMB 54,356 thousand in 2023, up 5.4% from RMB 51,517 thousand in 2022[36] - Sales of goods revenue decreased to RMB 901 thousand in 2023, down 70.6% from RMB 3,067 thousand in 2022[36] - Software service revenue was recorded at RMB 0 in 2023, compared to RMB 2,445 thousand in 2022[36] - The professional property management services segment recorded revenue of approximately RMB 397.4 million for the year ended December 31, 2023, a slight decrease of 1.4% compared to RMB 403.2 million for the year ended December 31, 2022[77] Asset and Liability Changes - Total assets decreased to RMB 182,168,000 from RMB 254,871,000 in the previous year, reflecting a decline in financial position[7] - Current liabilities decreased slightly to RMB 296,123,000 from RMB 318,967,000 in 2022[7] - Non-current liabilities decreased from RMB 17,364 thousand in 2022 to RMB 9,242 thousand in 2023, representing a reduction of 46.8%[8] - Net asset value decreased from RMB 237,507 thousand in 2022 to RMB 172,926 thousand in 2023, a decline of 27.2%[8] - Total equity decreased from RMB 237,507 thousand in 2022 to RMB 172,926 thousand in 2023, reflecting a decrease of 27.2%[8] - The company's reserves dropped from RMB 169,839 thousand in 2022 to RMB 109,362 thousand in 2023, a decrease of 35.6%[8] - Trade receivables increased to RMB 142,599 million in 2023 from RMB 121,423 million in 2022, with a decrease in impairment losses from RMB 14,495 million to RMB 38,651 million[62] Impairment and Losses - The company reported a significant increase in financial asset impairment losses, totaling RMB 101,062,000 compared to RMB 9,302,000 in the previous year[4] - The net impairment loss on financial assets was RMB 101,062,000, with RMB 48,410,000 related to property management services and RMB 52,652,000 to real estate agency services[45] - The net impairment losses on financial assets amounted to approximately RMB 101.1 million, an increase of approximately 987.1% from RMB 9.3 million for the year ended December 31, 2022[87] Future Outlook and Strategy - The company plans to focus on market expansion and new product development to improve future performance[3] - The group aims to expand its services nationwide, focusing on property management services as a core strategy[73] - The group plans to focus on business development in the Greater Bay Area and strengthen connections with clients, particularly those with government backgrounds[100] - The outlook for 2024 emphasizes the importance of stabilizing the real estate market and implementing favorable policies to boost market confidence[99] Corporate Governance and Audit - The audit committee was established on October 23, 2017, and has three members, including Mr. Leung Wai Hung as the chairman[106] - The external auditor, Hong Kong Lixin Dehao CPA Limited, confirmed that the financial figures in the consolidated financial statements for the year ended December 31, 2023, are consistent with the audited financial statements[108] Dividends and Share Transactions - The company does not recommend the payment of a final dividend for the year ended December 31, 2023, compared to zero in 2022[110] - A share transfer agreement was signed on January 24, 2024, for the sale of 60,000,000 shares, representing 15.00% of the company's issued share capital, for a cash consideration of HKD 4,998,000[117] - Aspiring Vision Holdings Limited agreed to transfer 30% equity in Mansion Green in exchange for 64,800,000 shares, representing 16.20% of the total issued share capital[118]

Financial Performance - For the six months ended June 30, 2023, the group recorded revenue of approximately RMB 217.6 million, a decrease of 21.7% compared to RMB 277.8 million for the same period in 2022[7]. - The group reported a loss attributable to owners of the company of approximately RMB 22.9 million, compared to a profit of RMB 9.8 million for the same period in 2022, primarily due to a significant increase in financial asset impairment losses of approximately RMB 46.9 million[7]. - Gross profit for the six months ended June 30, 2023, was RMB 52.3 million, down 15.8% from RMB 62.1 million in the same period of 2022[9]. - Basic and diluted loss per share for the six months ended June 30, 2023, was RMB 5.73, compared to earnings of RMB 2.44 per share in the same period of 2022[9]. - The company reported a comprehensive loss of RMB 24,146 thousand for the period, compared to a comprehensive income of RMB 7,968 thousand in the previous year[11]. - The net profit margin dropped to -8.5% for the six months ended June 30, 2023, compared to 6.3% for the same period in 2022, primarily due to the substantial increase in net impairment losses[80]. Revenue Breakdown - For the six months ended June 30, 2023, the total revenue was RMB 217,595 thousand, with real estate agency services contributing RMB 20,089 thousand and property management services contributing RMB 197,506 thousand[20]. - Revenue from real estate agency services for the six months ended June 30, 2023, was RMB 20,089,000, down from RMB 77,282,000 in the same period of 2022, representing a decline of approximately 74%[27]. - Property management service revenue increased to RMB 166,911,000 for the six months ended June 30, 2023, compared to RMB 148,356,000 in the same period of 2022, reflecting a growth of about 12.5%[27]. - Revenue from the integrated real estate agency services segment was approximately RMB 20.1 million, a decrease of 74.0% compared to RMB 77.3 million in the same period of 2022[69]. - Revenue from the professional property management services segment was approximately RMB 197.5 million, a slight decrease of 1.5% compared to RMB 200.5 million in the same period of 2022[71]. Impairment and Losses - The financial asset impairment loss for the six months ended June 30, 2023, was RMB 46.9 million, a significant increase from RMB 7.0 million in the same period of 2022[9]. - The net impairment loss on financial assets increased significantly to approximately RMB 46.9 million, up about 570.0% from RMB 7.0 million in the previous year, mainly due to increased provisions for trade receivables and related party receivables[79]. - The impairment loss on trade receivables was RMB 21,141 as of June 30, 2023, compared to RMB 14,495 as of December 31, 2022, indicating a significant increase in credit risk[39]. - The impairment loss on receivables from related companies increased to RMB 24,467 as of June 30, 2023, from RMB 1,723 as of December 31, 2022[43]. Cash and Assets - The company’s cash and cash equivalents were RMB 111.8 million as of June 30, 2023, compared to RMB 117.7 million as of December 31, 2022[10]. - Total assets less current liabilities amounted to RMB 226.6 million as of June 30, 2023, down from RMB 254.9 million as of December 31, 2022[10]. - The net current assets decreased to RMB 127.8 million as of June 30, 2023, compared to RMB 158.3 million as of December 31, 2022[10]. - Total cash and cash equivalents as of June 30, 2023, amounted to RMB 111,801,000, down from RMB 117,684,000 as of December 31, 2022, with restricted cash increasing from RMB 1,153,000 to RMB 3,448,000[50]. Dividends and Share Capital - The board of directors did not recommend the payment of any dividends for the six months ended June 30, 2023, consistent with the previous year[7]. - The issued share capital remained at 400,000,000 shares, with a total value of RMB 3,403,000 as of June 30, 2023[53]. - The company did not declare any dividends for the six months ended June 30, 2023, consistent with the previous period[32]. Strategic Focus and Adjustments - The company plans to shift its strategic focus towards the property management services segment due to significant declines in revenue from real estate agency services[65]. - The number of employees decreased to approximately 1,869 as of June 30, 2023, down from 2,121 a year earlier, due to strategic adjustments for management efficiency and cost-effectiveness[87]. Corporate Governance - The audit committee reviewed the unaudited interim results for the six months ending June 30, 2023, and found them compliant with applicable accounting standards[107]. - The company has complied with all provisions of the corporate governance code as of June 30, 2023[102]. - No conflicts of interest or competitive businesses were reported by directors or major shareholders during the six months ending June 30, 2023[106].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概 不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因 本公告全部或任何部分內容而產生或因倚賴該等內容而引致的任何損失承 擔任何責任。 Fineland Living Services Group Limited 方 圓 生 活 服 務 集 團 有 限 公 司 （前稱FinelandRealEstateServicesGroupLimited方圓房地產服務集團有限公司） （於開曼群島註冊成立的有限公司） （股份代號：9978） 年中期業績公告 2023 方圓生活服務集團有限公司（「本公司」）董事（「董事」）會（「董事會」）欣然宣 佈本公司及其附屬公司（統稱「本集團」）截至2023年6月30日止六個月之未經 審核簡明綜合財務業績。本公告列載本集團2023年中期報告全文（「2023年 中期報告」），乃符合香港聯合交易所有限公司（「聯交所」）證券上市規則中 有關中期業績初步公告附載的資料之相關要求。本公司將於適當時候發送 2023年中期報告的印刷本予本公司股東，並將於本公司及聯交所網站可供 查閱。 承董事會命 方圓生活服務集團有限公司 ...

Financial Performance - In 2022, the total revenue of Fineland Living Services Group Limited was approximately RMB 5.119 billion, a decrease of about 10.4% compared to RMB 5.714 billion in 2021[7]. - The revenue from the real estate agency services segment significantly dropped by RMB 1.551 billion to RMB 1.087 billion, partially offset by an increase of RMB 957 million in the property management services segment[7]. - Total revenue for the year ended December 31, 2022, was approximately RMB 511.9 million, a decrease of about 10.4% compared to RMB 571.4 million for the same period in 2021[17]. - Revenue from the integrated real estate agency services segment was approximately RMB 108.7 million, a sharp decline of 58.8% from RMB 263.9 million in 2021, primarily due to decreased confidence in the real estate market[18]. - Professional property management services recorded revenue of approximately RMB 403.2 million, an increase of 31.1% from RMB 307.6 million in 2021, mainly due to acquisitions[19]. - Property management services generated revenue of approximately RMB 303.7 million, a 47.0% increase from RMB 206.6 million in 2021, attributed to acquisitions[20]. - The company achieved a net profit margin of 6.2% for the year ended December 31, 2022, up from 5.1% in 2021, primarily due to reduced administrative expenses[29]. - The company reported a profit of approximately RMB 31.7 million for the year ended December 31, 2022, compared to RMB 29.3 million in 2021[30]. Strategic Initiatives - The company has strategically shifted resources from real estate agency services to property management services, closing most agency sales offices to enhance management efficiency[10]. - The company aims to leverage synergies between real estate agency and property management services to improve customer satisfaction and profitability[12]. - The company plans to continue expanding its value-added services that complement existing offerings to ensure a robust financial position and create value for stakeholders[12]. - The company plans to focus on business development in the Greater Bay Area and strengthen relationships with reputable clients while optimizing cost control and managing credit risks[51]. - The property management division aims for moderate expansion, particularly in urban services and value-added services, while enhancing internal management through standardization and professional development[52]. - The company will explore diversified, personalized, and profitable business models to capture opportunities arising from increased market confidence[51]. Market Conditions - Real estate investment in China reached RMB 13.3 trillion in 2022, a year-on-year decline of 10.0%, with residential sales area decreasing by 26.8%[7]. - The Chinese government set a GDP growth target of 5% for 2023, with expectations of a rebound in the real estate sector contributing to economic growth[6]. - In February, numerous cities recorded a double-digit month-on-month increase in housing transaction volumes, indicating a recovery in market confidence and an improved credit environment[51]. Governance and Compliance - The company has adhered to all provisions of the Corporate Governance Code as of December 31, 2022[90]. - The board has established a clear governance structure, including the roles of the audit committee, remuneration committee, and nomination committee[90]. - The company has received annual written confirmations from independent non-executive directors regarding their independence[94]. - The board is responsible for maintaining appropriate accounting records to disclose the financial position of the group accurately[94]. - The company has established a governance framework to review and update its corporate governance policies and practices[123]. Risk Management - The company faces significant risks from regulatory changes in the real estate industry, which could adversely affect its business and financial performance[48]. - The company is subject to potential impacts from natural disasters and widespread health epidemics, which could disrupt its operations and financial stability[50]. - The company has established an internal risk management process to identify, assess, and manage major risks, with the board responsible for maintaining an effective system[125]. - As of December 31, 2022, the board believes the risk management and internal control system is sufficient and effective, with no significant issues raised by the audit committee[126]. Employee and Director Information - The company had a total of 2,004 employees as of December 31, 2022, compared to 2,071 employees in the previous year[36]. - Total remuneration paid to directors for the year ended December 31, 2022, was approximately RMB 3.9 million, an increase from RMB 3.0 million in 2021[87]. - The company emphasizes the importance of continuous professional development for directors, ensuring they receive relevant training and support[119]. Shareholder Information - The company has a significant ownership concentration, with the largest shareholder holding 55.5% of the shares[161]. - The company confirms compliance with the disclosure requirements under Chapter 14A of the listing rules regarding related party transactions[176]. - The company has maintained compliance with public float requirements as of December 31, 2022[192]. Future Outlook - The company provided guidance for the next quarter, expecting revenue to be between $A million and $B million, indicating a growth rate of C%[64]. - The company provided guidance for the next fiscal year, projecting revenue growth of 25% and aiming for $625 million[80].