中國光大銀行二零二五年中期報告 中國光大銀行股份有限公司 （於中華人民共和國註冊成立的股份有限公司） 股份代碼：6818 中期報告 地址：中國北京西城區太平橋大街25號中國光大中心 電話：(86)10-63636363 傳真：(86)10-63639066 郵編：100033 網址：www.cebbank.com 此中報以環保紙印製 重要提示 本行董事會、監事會及董事、監事、高級管理人員保證本報告內容的真實、準確、完整，不存在虛假記載、 誤導性陳述或重大遺漏，並承擔個別和連帶的法律責任。 本行第九屆董事會第三十次會議於2025年8月29日在北京召開，審議通過本行《2025年中期報告》。會議應出 席董事16名，實際出席董事16名。本行部分監事列席本次會議。 本行按照中國企業會計準則和國際財務報告會計準則編製的2025年中期財務報告已經畢馬威華振會計師事務 所（特殊普通合夥）和畢馬威會計師事務所分別根據中國和國際審閱準則審閱。 本行董事長吳利軍、行長郝成、副行長及首席財務官劉彥、財務會計部總經理盧健保證本報告中財務報告的 真實、準確、完整。 本報告除特別說明外，金額幣種為人民幣。 截至本報告披露日，董事會尚未審議 ...

SUNSHINE OILSANDS LTD. 陽光油砂有限公司* （一家根據加拿大阿爾伯塔省商業公司法註冊成立的有限公司） （香港聯交所： 2012 ） 二零二五年中期報告 * 僅供識別 財務數據總結 截至二零二五年六月三十日止六個月的石油銷售額（扣除特許權使用費）從截至二零二四年六月三十日止六個月 約 2,150 萬加元下降至零加元，下降之主要原因是由於二零二五年第一季及第二季 West Ells 設備維護所導致的收 入損失。 截至二零二五年六月三十日止三個月的淨營業虧損（不包括一次性匯兌損失）為約 210 萬加元，而二零二四年同 期淨營業收入則為約 113 萬加元。 截至二零二五年六月三十日止三個月的經營現金流為淨流出約 250 萬加元，相較於二零二四年同期錄得淨流入約 80 萬加元。截至二零二五年六月三十日止三個月的經營現金流虧損擴大主之要是二零二五年第一季及第二季 West Ells 設備維護所導致的收入損失。 二零二五年第二季度，歸屬於本公司股東的淨虧損為約 200 萬加元，對比去年同期的淨虧損為約 1,100 萬加元。 於二零二五年六月三十日、二零二四年十二月三十一日及二零二四年六月三十日，本公司 ...

中期報告 目錄 | 公司資料 | 2 | | --- | --- | | 財務摘要 | 4 | | 主席報告 | 5 | | 管理層討論及分析 | 7 | | 企業管治及其他資料 | 15 | | 核數師審閱報告 | 22 | | 綜合全面收益表 | 23 | | 綜合財務狀況表 | 25 | | 綜合權益變動表 | 27 | | 簡明綜合現金流量表 | 28 | | 未經審核中期財務報告附註 | 29 | 2025 中期報告 公司資料 執行董事 趙利兵先生 （董事會主席） 余燦良先生 （行政總裁） 舒清女士 聶江先生 非執行董事 常青女士 獨立非執行董事 陸耀先生 鄭紅女士 胡輝先生 聯席公司秘書 核數師 畢馬威會計師事務所 執業會計師 於《會計及財務滙報局條例》下的 註冊公眾利益實體核數師 香港 中環遮打道10 號 太子大廈 8 樓 李卓宏先生 聶江先生 審核委員會 胡輝先生 （主席） 陸耀先生 鄭紅女士 薪酬委員會 陸耀先生 （主席） 胡輝先生 鄭紅女士 提名委員會 趙利兵先生 （主席） 陸耀先生 鄭紅女士 胡輝先生 授權代表 李卓宏先生 聶江先生 香港法律顧問 樂博律師事務所有限法律責任合夥 香港 中 ...

Corporate Information This section provides an overview of the company's governance structure, including board and committee compositions, along with essential corporate details such as registered offices, key advisors, and listing information [Board of Directors](index=3&type=section&id=Board%20of%20Directors) This chapter outlines the composition of the company's Board of Directors, including executive, non-executive, and independent non-executive directors, as well as members of the audit, remuneration, and nomination committees - The Board of Directors includes executive directors such as Mr. Lu Ming (Chairman), Mr. Lu Jinliang, and Mr. Lu Zhicong; non-executive directors such as Mr. Lu Yongmao and Mr. Lu Yongnan; and independent non-executive directors such as Professor Zhang Jiayu, Ms. Wu Hua, and Mr. Xiong Lusheng[4](index=4&type=chunk)[5](index=5&type=chunk) - Professor Zhang Jiayu chairs the Audit Committee, Mr. Xiong Lusheng chairs the Remuneration Committee, and Mr. Lu Ming chairs the Nomination Committee[4](index=4&type=chunk)[5](index=5&type=chunk) [Company Details](index=3&type=section&id=Company%20Details) This chapter provides detailed information on the company's authorized representatives, company secretary, registered office, China headquarters, Hong Kong principal place of business, share registrar, principal banks, legal advisors, auditor, and listing information - The company's authorized representatives are Mr. Lu Jinliang and Mr. Chan Pui Tak, with Mr. Chan Pui Tak also serving as the company secretary[5](index=5&type=chunk) - The company's registered office is in the Cayman Islands, its China headquarters is in Minhang District, Shanghai, and its principal place of business in Hong Kong is on Hennessy Road, Wan Chai[5](index=5&type=chunk)[6](index=6&type=chunk)[7](index=7&type=chunk) - The company's auditor is Zhongzheng Tianheng Certified Public Accountants Co., Ltd., and legal advisors include Chan, Fong & Ng Solicitors LLP (Hong Kong law) and Harneys (Cayman Islands law)[8](index=8&type=chunk)[9](index=9&type=chunk) - The company's ordinary shares have been listed on the Main Board of The Stock Exchange of Hong Kong Limited since July 15, 2020, with stock code 06968.HK[8](index=8&type=chunk)[9](index=9&type=chunk) Management Discussion and Analysis This section provides a comprehensive analysis of the company's operational and financial performance, strategic responses to market challenges, and detailed reviews of business segments, financial health, and human resources [GENERAL OVERVIEW](index=6&type=section&id=GENERAL%20OVERVIEW) In the first half of 2025, the real estate sector continued to face downward pressure, with the Group delivering properties worth approximately RMB1,631 million, while implementing strategies to strengthen marketing, streamline expenses, focus on cash collection, and ensure quality delivery amidst an anticipated challenging market in the second half - In the first half of 2025, the real estate sector as a whole continued to face downward pressure[10](index=10&type=chunk)[13](index=13&type=chunk) 2025 First Half Property Delivery Overview | Indicator | Amount/Area | | :--- | :--- | | Delivery Amount | Approximately RMB1,631 million | | Delivery Area | Approximately 177,042 square meters | - The Group's response strategies include: strengthening marketing (precise and diversified strategies, enhancing inventory destocking and cash collection management, innovative online marketing, external channel cooperation), expense reduction (expanding cost control scope, optimizing debt structure and financing costs), focusing on core business (prioritizing cash collection to support cash flow), and meticulous construction (continuously improving engineering management and comprehensive quality control system)[11](index=11&type=chunk)[13](index=13&type=chunk) - The Chinese real estate market is expected to remain under adjustment pressure in the second half of 2025, with financial stability being a primary consideration for property developers, and survival and development hinging on internal improvements, operational efficiency, and product quality enhancement[12](index=12&type=chunk)[14](index=14&type=chunk) - The Group's future plans include: focusing on product development and customer service, strict expense control, prioritizing cash collection, adjusting financing structure to reduce costs, continuous talent review, strengthening incentives and performance indicators, and actively fulfilling social responsibilities[15](index=15&type=chunk)[19](index=19&type=chunk) [Business Review](index=7&type=section&id=Business%20Review) The Group's revenue primarily derives from property sales, totaling approximately RMB1,631 million for the six months ended June 30, 2025, with contract sales of approximately RMB2,700 million and a decrease in contract liabilities compared to the end of 2024, while land reserves total approximately 3,795,222 square meters, with 47 projects located in the Yangtze River Delta region - The Group's revenue primarily derives from property sales[16](index=16&type=chunk)[20](index=20&type=chunk) 2025 First Half Business Key Data | Indicator | Amount/Area | | :--- | :--- | | Total Revenue | Approximately RMB1,631 million | | Unaudited Contract Sales | Approximately RMB2,700 million | | Contract Sales GFA | Approximately 221,613 square meters | | Contract Sales ASP | Approximately RMB12,183/square meter | | Contract Liabilities (June 30, 2025) | Approximately RMB2,033 million | | Contract Liabilities (December 31, 2024) | Approximately RMB2,746 million | [Sales of properties](index=8&type=section&id=Sales%20of%20properties) For the six months ended June 30, 2025, the Group recognized property sales revenue of approximately RMB1,631 million, with a total gross floor area of approximately 177,042 square meters and an average selling price of approximately RMB9,214 per square meter, with Fuyang, Taizhou, and Wuhu being the largest contributors to revenue 2025 First Half Recognized Property Sales Data | Indicator | Amount/Area | | :--- | :--- | | Recognized Property Sales Revenue | Approximately RMB1,631 million | | Recognized Total Gross Floor Area | Approximately 177,042 square meters | | Recognized Average Selling Price | Approximately RMB9,214/square meter | 2025 First Half Recognized Sales by City | City | Recognized Revenue (RMB thousand) | | :--- | :--- | | Fuyang | 451,443 | | Taizhou | 331,536 | | Wuhu | 164,763 | | Hefei | 127,155 | | Yancheng | 126,056 | | Yangzhou | 78,175 | | Suzhou | 59,539 | | Huangshan | 56,300 | | Huaian | 41,749 | | Guangzhou | 39,758 | | Luoyang | 35,853 | | Haian | 33,990 | | Nanjing | 27,099 | | Foshan | 16,107 | | Guizhou | 12,917 | | Changzhou | 10,193 | | Parking lots & garages/storage facilities & other residual properties | 18,686 | | **Total** | **1,631,319** | [Land reserves](index=8&type=section&id=Land%20reserves) As of June 30, 2025, the Group (together with joint ventures and associates) held 54 projects with total land reserves of approximately 3,795,222 square meters, of which 47 projects are located in the Yangtze River Delta region, with Guangdong, Jiangsu, and Anhui provinces being the primary areas for land reserves Land Reserve Overview as of June 30, 2025 | Indicator | Value | | :--- | :--- | | Number of Projects | 54 | | Total Land Reserves | Approximately 3,795,222 square meters | | Number of Projects in Yangtze River Delta | 47 | Land Reserves by Province/City as of June 30, 2025 | Province/City | Total Land Reserves (square meters) | Percentage of Total Land Reserves (%) | | :--- | :--- | :--- | | Guangdong | 1,606,729 | 42 | | Jiangsu | 1,066,735 | 29 | | Anhui | 559,273 | 15 | | Guizhou | 234,152 | 6 | | Zhejiang | 154,694 | 4 | | Henan | 132,350 | 3 | | Sichuan | 26,504 | 1 | | Shanghai | 14,785 | 0 | | **Total** | **3,795,222** | **100%** | [FINANCIAL REVIEW](index=10&type=section&id=FINANCIAL%20REVIEW) For the six months ended June 30, 2025, the Group's total revenue was approximately RMB1,631 million, a year-on-year decrease of approximately 70%, resulting in a gross loss of RMB450 million and a net loss of RMB666 million, facing liquidity pressure with senior notes in default, while the net gearing ratio increased to 49% and the total cash to short-term debt ratio decreased to 0.2 times 2025 First Half Key Financial Performance | Indicator | 2025 First Half (RMB million) | 2024 First Half (RMB million) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Total Revenue | 1,631 | 5,367 | -70% | | Cost of Sales | 2,081 | 5,077 | -59% | | Gross Loss/(Profit) | (450) | 290 | Turned to loss | | Gross Loss Rate/(Profit Rate) | -28% | 5% | Decreased | | Net Loss | (666) | (154) | Loss widened | | Loss Attributable to Owners of the Company | (330) | (76) | Loss widened | | Basic and Diluted Loss Per Share | (0.20) RMB/share | (0.05) RMB/share | Loss widened | - The decrease in revenue was primarily attributable to a reduction in contract sales and recognition of properties sold[32](index=32&type=chunk)[37](index=37&type=chunk) - The decline in gross profit margin was mainly due to unfavorable market conditions and an increase in impairment provisions recognized for properties under development compared to the same period last year[35](index=35&type=chunk)[39](index=39&type=chunk) [Overall performance](index=10&type=section&id=Overall%20performance) For the six months ended June 30, 2025, the Group reported total revenue of approximately RMB1,631 million, a gross loss of RMB450 million, a net loss of RMB666 million, and a loss attributable to owners of the company of RMB330 million 2025 First Half Overall Financial Performance | Indicator | Amount (RMB million) | | :--- | :--- | | Total Revenue | 1,631 | | Gross Loss | 450 | | Net Loss | 666 | | Loss Attributable to Owners of the Company | 330 | [Revenue](index=10&type=section&id=Revenue) For the six months ended June 30, 2025, the Group's total revenue was approximately RMB1,631 million, a decrease of approximately 70% compared to the same period last year, primarily due to reduced contract sales and recognition of properties sold Revenue Comparison | Period | Amount (RMB million) | Year-on-Year Change | | :--- | :--- | :--- | | 2025 First Half | 1,631 | -70% | | 2024 First Half | 5,367 | - | - The decrease in revenue was primarily attributable to a reduction in contract sales and recognition of properties sold[32](index=32&type=chunk)[37](index=37&type=chunk) [Cost of sales](index=10&type=section&id=Cost%20of%20sales) For the six months ended June 30, 2025, the Group's cost of sales was approximately RMB2,081 million, a decrease from RMB5,077 million in the same period last year, but the net impairment provision for properties under development and completed properties held for sale increased to RMB392 million (2024 same period: RMB121 million) Cost of Sales Comparison | Period | Amount (RMB million) | | :--- | :--- | | 2025 First Half | 2,081 | | 2024 First Half | 5,077 | Net Impairment Provision Comparison | Period | Amount (RMB million) | | :--- | :--- | | 2025 First Half | 392 | | 2024 First Half | 121 | [Gross (loss)/profit](index=10&type=section&id=Gross%20%28loss%29%2Fprofit) For the six months ended June 30, 2025, the Group recorded a gross loss of approximately RMB450 million, with a gross loss margin of approximately 28%, compared to a gross profit of RMB290 million and a gross profit margin of approximately 5% in the same period last year, primarily due to unfavorable market conditions and increased impairment of properties under development Gross Profit/Loss and Margin Comparison | Period | Gross Profit/Loss (RMB million) | Gross Profit/Loss Margin | | :--- | :--- | :--- | | 2025 First Half | (450) (Gross Loss) | -28% | | 2024 First Half | 290 (Gross Profit) | 5% | - The decline in gross profit margin was mainly due to unfavorable market conditions and an increase in impairment provisions recognized for properties under development compared to the same period last year[35](index=35&type=chunk)[39](index=39&type=chunk) [Other income/(expenses) and other gains/(losses), net](index=11&type=section&id=Other%20income%2F%28expenses%29%20and%20other%20gains%2F%28losses%29%2C%20net) For the six months ended June 30, 2025, the Group recorded other income of approximately RMB7 million, compared to other expenses of approximately RMB1 million in the same period last year, primarily comprising rental, management, and consulting service income of approximately RMB11 million, offset by deferred tax expenses of approximately RMB4 million Other Income/(Expenses) and Other Gains/(Losses), Net Comparison | Period | Amount (RMB million) | | :--- | :--- | | 2025 First Half | 7 (Income) | | 2024 First Half | (1) (Expenses) | - Primarily composed of rental, management, and consulting service income (approximately **RMB11 million**) and deferred tax expenses (approximately **RMB4 million**)[41](index=41&type=chunk)[45](index=45&type=chunk) [Selling and marketing expenses](index=11&type=section&id=Selling%20and%20marketing%20expenses) For the six months ended June 30, 2025, the Group's selling and marketing expenses were approximately RMB64 million, a year-on-year decrease of approximately 28%, mainly due to reduced recognition of properties sold and sales commissions, marketing and advertising cost control measures, and lower staff costs Selling and Marketing Expenses Comparison | Period | Amount (RMB million) | Year-on-Year Change | | :--- | :--- | :--- | | 2025 First Half | 64 | -28% | | 2024 First Half | 89 | - | - The decrease was attributable to reduced recognition of properties sold and sales commissions, marketing and advertising cost control measures, and lower staff costs[42](index=42&type=chunk)[46](index=46&type=chunk) [General and administrative expenses](index=11&type=section&id=General%20and%20administrative%20expenses) For the six months ended June 30, 2025, the Group's general and administrative expenses were approximately RMB67 million, a year-on-year decrease of approximately 6%, primarily due to further streamlining of the organizational structure for cost reduction and efficiency improvement General and Administrative Expenses Comparison | Period | Amount (RMB million) | Year-on-Year Change | | :--- | :--- | :--- | | 2025 First Half | 67 | -6% | | 2024 First Half | 71 | - | - The decrease was primarily due to further streamlining of the organizational structure for cost reduction and efficiency improvement[43](index=43&type=chunk)[47](index=47&type=chunk) [Finance costs – net](index=11&type=section&id=Finance%20costs%20%E2%80%93%20net) For the six months ended June 30, 2025, the Group's net finance costs were approximately RMB29 million, a year-on-year decrease of approximately 29%, primarily due to a reduction in the average principal balance of interest-bearing borrowings Net Finance Costs Comparison | Period | Amount (RMB million) | Year-on-Year Change | | :--- | :--- | :--- | | 2025 First Half | 29 | -29% | | 2024 First Half | 41 | - | - The decrease was attributable to a reduction in the average principal balance of interest-bearing borrowings[44](index=44&type=chunk)[48](index=48&type=chunk) [Share of results of joint ventures and associates](index=12&type=section&id=Share%20of%20results%20of%20joint%20ventures%20and%20associates) For the six months ended June 30, 2025, the share of results of joint ventures and associates was a loss of approximately RMB6 million, compared to a loss of approximately RMB8 million in the same period last year, consistent with the decline in property sales revenue Share of Results of Joint Ventures and Associates Comparison | Period | Amount (RMB million) | | :--- | :--- | | 2025 First Half | (6) (Loss) | | 2024 First Half | (8) (Loss) | - The loss was consistent with the decline in property sales revenue from joint ventures and associates[50](index=50&type=chunk)[55](index=55&type=chunk) [Income tax expenses](index=12&type=section&id=Income%20tax%20expenses) For the six months ended June 30, 2025, income tax expenses were approximately RMB57 million, compared to RMB236 million in the same period last year Income Tax Expenses Comparison | Period | Amount (RMB million) | | :--- | :--- | | 2025 First Half | 57 | | 2024 First Half | 236 | [Loss and total comprehensive loss for the period](index=12&type=section&id=Loss%20and%20total%20comprehensive%20loss%20for%20the%20period) For the six months ended June 30, 2025, the Group's loss and total comprehensive loss for the period was approximately RMB666 million (2024 same period: RMB154 million), with loss attributable to owners of the company of approximately RMB330 million (2024 same period: RMB76 million), and basic and diluted loss per share of RMB0.20 (2024 same period: RMB0.05) Loss and Total Comprehensive Loss for the Period Comparison | Indicator | 2025 First Half (RMB million) | 2024 First Half (RMB million) | | :--- | :--- | :--- | | Loss and Total Comprehensive Loss for the Period | 666 | 154 | | Loss Attributable to Owners of the Company | 330 | 76 | | Basic and Diluted Loss Per Share | 0.20 RMB/share | 0.05 RMB/share | [Liquidity and financial resources](index=12&type=section&id=Liquidity%20and%20financial%20resources) As of June 30, 2025, the Group's total cash was approximately RMB670 million, a decrease from RMB839 million at the end of 2024, while total bank and other borrowings were approximately RMB4,290 million, a decrease of approximately 6% from the end of 2024, with approximately RMB3,375 million due within one year - The Group primarily funds its working capital, capital expenditures, and other capital requirements through cash generated from operations, including proceeds from property pre-sales and sales[59](index=59&type=chunk)[63](index=63&type=chunk) Cash and Borrowings Situation | Indicator | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Total Cash | 670 | 839 | Decreased | | Total Bank and Other Borrowings | 4,290 | 4,552 | Decreased 6% | | Borrowings Due Within One Year | 3,375 | 2,921 | Increased | | Borrowings Due After One Year | 915 | 1,631 | Decreased | - For the six months ended June 30, 2025, total borrowings repaid were approximately **RMB274 million**[61](index=61&type=chunk)[63](index=63&type=chunk) [Senior notes](index=14&type=section&id=Senior%20notes) On November 18, 2024, all 2024 senior notes were redeemed, and new notes with a principal amount of USD180,551,641 (2025 November Notes) were issued at a fixed annual interest rate of 9.5%; however, due to liquidity pressure, the company failed to pay interest due on May 18, 2025, constituting an event of default, and major noteholders have declared the principal and accrued unpaid interest immediately due and payable, with the company currently communicating with noteholders to seek a resolution - On November 18, 2024, all 2024 senior notes were redeemed, and new notes with a principal amount of **USD180,551,641** (2025 November Notes) were issued at a fixed annual interest rate of **9.5%**, with interest payable semi-annually[65](index=65&type=chunk)[69](index=69&type=chunk) - On May 18, 2025, interest of **USD8,576,203** related to the 2025 November Notes became due, which the company failed to pay due to liquidity pressure, constituting an event of default on June 17, 2025[66](index=66&type=chunk)[69](index=69&type=chunk) - On June 19, 2025, major beneficial noteholders (beneficially owning approximately **USD161.9 million** in principal) issued a notice declaring the principal, premium, and accrued unpaid interest of the 2025 November Notes immediately due and payable[67](index=67&type=chunk)[70](index=70&type=chunk) - As of the date of this interim report, the company is still communicating with the relevant noteholders to seek an overall solution for the debt[67](index=67&type=chunk)[70](index=70&type=chunk) [Key financial ratios](index=14&type=section&id=Key%20financial%20ratios) As of June 30, 2025, the Group's net gearing ratio was 49% (end of 2024: 46%), the asset-liability ratio excluding contract liabilities was approximately 60% (end of 2024: 61%), and the total cash to short-term debt ratio was 0.2 times (end of 2024: 0.3 times), with the current ratio decreasing from 1.62 times to 1.57 times but remaining stable Key Financial Ratios Comparison | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net Gearing Ratio | 49% | 46% | | Asset-Liability Ratio Excluding Contract Liabilities | 60% | 61% | | Total Cash to Short-Term Debt Ratio | 0.2 times | 0.3 times | | Current Ratio | 1.57 times | 1.62 times | - The Group will continue to effectively manage working capital through working capital management policies, utilizing available financial resources (proceeds from sales and pre-sales, bank financing, and other borrowings), and negotiating optimized payment arrangements with contractors[68](index=68&type=chunk)[71](index=71&type=chunk) [Foreign exchange risk](index=15&type=section&id=Foreign%20exchange%20risk) The Group primarily operates in China and, apart from USD-denominated offshore senior notes, did not have other significant direct foreign exchange fluctuation risks for the six months ended June 30, 2025; the directors expect RMB exchange rate fluctuations not to have a material adverse impact on operations, and the Group has not entered into any hedging transactions - The Group primarily operates in China and, apart from USD-denominated offshore senior notes, has no other significant direct foreign exchange fluctuation risks[73](index=73&type=chunk)[78](index=78&type=chunk) - The directors expect RMB exchange rate fluctuations not to have a material adverse impact on the Group's operations[73](index=73&type=chunk)[78](index=78&type=chunk) - As of June 30, 2025, the Group has not entered into any hedging transactions and will manage foreign exchange risk by closely monitoring exchange rate movements[74](index=74&type=chunk)[78](index=78&type=chunk) [Interest rate risk](index=15&type=section&id=Interest%20rate%20risk) The Group's interest rate risk primarily arises from borrowings, most of which are denominated in RMB and influenced by the People's Bank of China's benchmark interest rates; the Group manages interest rate risk by monitoring interest rate fluctuation trends and their impact, and by adjusting its debt portfolio - The Group's interest rate risk arises from borrowings, with most borrowings denominated in RMB and primarily influenced by benchmark interest rates set by the People's Bank of China, except for fixed-rate offshore senior notes[75](index=75&type=chunk)[79](index=79&type=chunk) - The Group manages interest rate risk by closely monitoring interest rate fluctuation trends and their impact on interest rate risk, as well as by monitoring its debt portfolio[75](index=75&type=chunk)[79](index=79&type=chunk) [Pledge of assets](index=15&type=section&id=Pledge%20of%20assets) As of June 30, 2025, certain bank and other borrowings of the Group were secured by pledged time deposits, equity interests in Group companies, properties under development, completed properties held for sale, and investment properties with a total carrying value of approximately RMB13,027 million (end of 2024: RMB13,060 million) Asset Pledge Situation | Indicator | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | | :--- | :--- | :--- | | Total Carrying Value of Pledged Assets | 13,027 | 13,060 | - Pledged assets include pledged time deposits, equity interests in Group companies, properties under development, completed properties held for sale, and investment properties[76](index=76&type=chunk)[80](index=80&type=chunk) [Financial guarantees and contingent liabilities](index=16&type=section&id=Financial%20guarantees%20and%20contingent%20liabilities) As of June 30, 2025, the Group's total financial guarantees amounted to approximately RMB4,782 million, primarily comprising guarantees for purchasers' mortgage financing and guarantees for joint venture borrowings; the directors believe the likelihood of default by purchasers and joint ventures is remote, thus financial guarantees measured at fair value are insignificant, and no liabilities have been recognized Total Financial Guarantees Comparison | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Guarantees for Mortgage Financing of Certain Purchasers | 4,548,156 | 6,042,682 | | Guarantees for Joint Venture Borrowings | 234,170 | 234,170 | | **Total** | **4,782,326** | **6,276,852** | - Guarantees for purchasers' mortgage financing terminate from the date the mortgage loan is granted until the purchaser obtains the property ownership certificate or repays the mortgage loan, whichever is earlier[82](index=82&type=chunk)[85](index=85&type=chunk) - The directors believe the likelihood of purchasers and joint ventures and associates defaulting on their payment obligations is remote, thus financial guarantees measured at fair value are insignificant, and no liabilities have been recognized[82](index=82&type=chunk)[83](index=83&type=chunk)[85](index=85&type=chunk) - As of June 30, 2025, the Group had no other significant contingent liabilities[84](index=84&type=chunk)[86](index=86&type=chunk) [Material acquisitions and disposals of subsidiaries, associates and joint ventures](index=17&type=section&id=Material%20acquisitions%20and%20disposals%20of%20subsidiaries%2C%20associates%20and%20joint%20ventures) For the six months ended June 30, 2025, the Group did not undertake any material acquisitions or disposals of subsidiaries, associates, or joint ventures - For the six months ended June 30, 2025, the Group did not undertake any material acquisitions or disposals of subsidiaries, associates, or joint ventures[87](index=87&type=chunk)[92](index=92&type=chunk) [Future plans for material investments](index=17&type=section&id=Future%20plans%20for%20material%20investments) The Group will continue to invest in its property development projects and acquire suitable land parcels as appropriate, with such investments to be funded by internal resources and external borrowings; other than this, the Group has no future plans for material investments as of the date of this report - The Group will continue to invest in its property development projects and acquire suitable land parcels as appropriate, with funding from internal resources and external borrowings[88](index=88&type=chunk)[93](index=93&type=chunk) - As of the date of this report, other than those disclosed above, the Group has no future plans for any material investments[88](index=88&type=chunk)[93](index=93&type=chunk) [Significant subsequent events](index=17&type=section&id=Significant%20subsequent%20events) Except as disclosed in this report, no other significant events have occurred after June 30, 2025, and up to the date of this report - Except as disclosed in this report, no other significant events have occurred after June 30, 2025, and up to the date of this report[89](index=89&type=chunk)[94](index=94&type=chunk) [Human resources](index=17&type=section&id=Human%20resources) As of June 30, 2025, the Group had 275 employees, a decrease from 299 at the end of 2024, with total staff salaries and benefits expenses for the first half of the year amounting to approximately RMB40 million, down from RMB63 million in the same period last year; the Group adopts a performance-based remuneration system, offering competitive compensation packages and social security, along with continuous systematic training Human Resources Overview | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Employees | 275 | 299 | | Total Salary and Benefits Expenses (2025 First Half) | Approximately RMB40 million | | Total Salary and Benefits Expenses (2024 First Half) | Approximately RMB63 million | - The Group adopts a performance-based remuneration system to determine employee compensation, offering competitive remuneration packages (including basic salary, performance bonuses, and year-end bonuses) and social security insurance[90](index=90&type=chunk)[95](index=95&type=chunk) - The Group provides continuous and systematic training based on employees' positions and expertise to enhance their professional knowledge in real estate and other related fields[90](index=90&type=chunk)[95](index=95&type=chunk) [Summary of property development](index=17&type=section&id=Summary%20of%20property%20development) This chapter details the Group's land reserve situation as of June 30, 2025, including the total gross floor area of completed properties, properties under development, and properties held for future development, segmented by geographical location and project type (subsidiaries, joint ventures, associates) - The Group's land reserves include the total gross floor area available for sale or lease of completed properties, the total planned gross floor area of properties under development, and the estimated total gross floor area of properties held for future development[91](index=91&type=chunk)[96](index=96&type=chunk) Total Land Reserves by Geographical Location as of June 30, 2025 | Province/City | Number of Projects | Completed GFA (square meters) | GFA Under Development (square meters) | Planned GFA for Future Development (square meters) | Total Group Land Reserves (square meters) | Percentage of Total Group Land Reserves (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Anhui | 4 | 441,055 | 118,418 | – | 509,273 | 15 | | Guangdong | 3 | 7,373 | 319,702 | 1,279,654 | 1,602,343 | 40 | | Guizhou | 1 | – | – | 234,152 | 267,212 | 6 | | Henan | 1 | 13,988 | 118,362 | – | 132,350 | 3 | | Jiangsu | 20 | 158,330 | 655,487 | – | 808,497 | 21 | | Shanghai | 1 | 14,785 | – | – | 14,785 | 0 | | Sichuan | 1 | 26,504 | – | – | 26,504 | 1 | | Zhejiang | 5 | 24,491 | – | 130,203 | 154,694 | 4 | | **Total** | **36** | **686,526** | **1,211,969** | **1,644,009** | **3,515,658** | **90%** | - Projects developed by subsidiaries, joint ventures, or associates are accounted for based on their entire total gross floor area[114](index=114&type=chunk) [Land bank breakdown by geographical location](index=18&type=section&id=Land%20bank%20breakdown%20by%20geographical%20location) As of June 30, 2025, the Group's total land reserves amounted to 3,795,222 square meters, with Guangdong Province accounting for 42%, Jiangsu Province for 29%, and Anhui Province for 15% Total Land Reserves by Province/City as of June 30, 2025 | Province/City | Total Land Reserves (square meters) | Percentage of Total Land Reserves (%) | | :--- | :--- | :--- | | Guangdong | 1,606,729 | 42 | | Jiangsu | 1,066,735 | 29 | | Anhui | 559,273 | 15 | | Guizhou | 234,152 | 6 | | Zhejiang | 154,694 | 4 | | Henan | 132,350 | 3 | | Sichuan | 26,504 | 1 | | Shanghai | 14,785 | 0 | | **Total** | **3,795,222** | **100%** | [Property projects developed by the Group's subsidiaries](index=20&type=section&id=Property%20projects%20developed%20by%20the%20Group%27s%20subsidiaries) This chapter details 41 property projects developed by the Group's subsidiaries in Anhui, Guangdong, Guizhou, Henan, Jiangsu, Shanghai, Sichuan, and Zhejiang, including project name, location, status, Group's attributable interest, site area, estimated completion date, and total land reserves - Subsidiaries developed a total of **41 projects** across provinces and cities including Anhui, Guangdong, Guizhou, Henan, Jiangsu, Shanghai, Sichuan, and Zhejiang[98](index=98&type=chunk) - Among these, the Guangzhou Zengcheng Shitan project (under development) has the largest land reserve of **814,685 square meters**, with the Group's attributable interest at **60%**[102](index=102&type=chunk) - The Fuyang Ganglong Meide Yunzhu project (under development) has a land reserve of **352,381 square meters**, with the Group's attributable interest at **57%**[101](index=101&type=chunk) [Property projects held by the joint ventures of the Group](index=29&type=section&id=Property%20projects%20held%20by%20the%20joint%20ventures%20of%20the%20Group) This chapter lists 9 property projects held by the Group's joint ventures in Jiangsu and Zhejiang, including project name, location, status, Group's attributable interest, site area, estimated completion date, and total land reserves - Joint ventures hold a total of **9 projects** located in Jiangsu and Zhejiang provinces[99](index=99&type=chunk) - The Nanjing Lanwan Jiuzhu project (under development) has a land reserve of **141,221 square meters**, with the Group's attributable interest at **25%**[110](index=110&type=chunk) - The Nantong Shiguang Yinghuayuan project (under development) has a land reserve of **142,097 square meters**, with the Group's attributable interest at **25%**[111](index=111&type=chunk) [Property projects held by the associates of the Group](index=31&type=section&id=Property%20projects%20held%20by%20the%20associates%20of%20the%20Group) This chapter lists 4 property projects held by the Group's associates in Jiangsu and Guangdong, including project name, location, status, Group's attributable interest, site area, estimated completion date, and total land reserves - Associates hold a total of **4 projects** located in Jiangsu and Guangdong provinces[99](index=99&type=chunk) - The Guangzhou Huangpu project (held for future development) has the largest land reserve of **648,340 square meters**, with the Group's attributable interest at **20%**[113](index=113&type=chunk) Supplementary Information This section covers corporate governance practices, updates on auditor's opinion resolution, securities transaction policies, interim financial review, and detailed disclosures on directors' and substantial shareholders' interests [Interim Dividend](index=33&type=section&id=Interim%20Dividend) The directors do not recommend the payment of any interim dividend for the six months ended June 30, 2025 - The directors do not recommend the payment of any interim dividend for the six months ended June 30, 2025 (2024 same period: nil)[115](index=115&type=chunk)[120](index=120&type=chunk) [Corporate Governance](index=33&type=section&id=Corporate%20Governance) The company has adopted the Corporate Governance Code set out in Appendix C1 of the Listing Rules, and for the six months ended June 30, 2025, the company has complied with the code, except for the chairman of the Board and the chief executive being the same person, an arrangement the Board believes facilitates quick decision-making and ensures power balance through the diverse backgrounds of independent directors - The company has adopted the Corporate Governance Code set out in Appendix C1 of the Listing Rules as its corporate governance practices[116](index=116&type=chunk)[121](index=121&type=chunk) - For the six months ended June 30, 2025, the company has complied with the Corporate Governance Code, except that Mr. Lu Ming, the chairman of the Board, is also the chief executive[117](index=117&type=chunk)[118](index=118&type=chunk)[121](index=121&type=chunk) - The Board believes that the current structure facilitates quick and effective formulation and implementation of business decisions, and the diverse backgrounds of non-executive and independent non-executive directors ensure a balance of power[118](index=118&type=chunk)[121](index=121&type=chunk) [Updates on the Company's Action in Resolving Disclaimer of Opinion](index=34&type=section&id=Updates%20on%20the%20Company%27s%20Action%20in%20Resolving%20Disclaimer%20of%20Opinion) In response to the auditor's disclaimer of opinion on the 2024 consolidated financial statements, the company has taken multiple measures to improve liquidity and financial position, including communicating with senior noteholders, negotiating extensions with onshore debt holders, seeking alternative financing, accelerating property sales, controlling costs, negotiating repayment with contractors, and seeking to dispose of project equity - The company's auditor issued a disclaimer of opinion on the Group's consolidated financial statements for the year ended December 31, 2024, due to uncertainties regarding going concern[123](index=123&type=chunk)[124](index=124&type=chunk) - The company has taken multiple measures, including: communicating with major senior noteholders to seek debt resolution solutions; negotiating extensions or deferrals with existing onshore debt holders; seeking other alternative financing; accelerating property sales (2025 full-year contract sales target of **RMB4,800 million**, with **RMB2,699.8 million** achieved in the first half); accelerating collection of unrecovered sales proceeds and controlling costs (targeting a **10% reduction** in total employees); negotiating repayment schedules with contractors; and seeking to dispose of equity in project development companies[124](index=124&type=chunk)[125](index=125&type=chunk) - As of June 30, 2025, the Group's total number of employees was **275** (December 31, 2024: **299**)[125](index=125&type=chunk) [Model Code for Securities Transactions](index=36&type=section&id=Model%20Code%20for%20Securities%20Transactions) The company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers set out in Appendix C3 of the Listing Rules, and all directors have confirmed compliance with the code for the six months ended June 30, 2025 - The company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers set out in Appendix C3 of the Listing Rules[126](index=126&type=chunk)[131](index=131&type=chunk) - All directors have confirmed compliance with the required standards set out in the Model Code for the six months ended June 30, 2025[127](index=127&type=chunk)[131](index=131&type=chunk) [Purchase, Sale or Redemption of the Company's Listed Securities](index=36&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20the%20Company%27s%20Listed%20Securities) For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's shares or other listed securities - For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's shares or other listed securities[128](index=128&type=chunk)[132](index=132&type=chunk) [Review of Interim Financial Information](index=36&type=section&id=Review%20of%20Interim%20Financial%20Information) The company's audit committee has reviewed the unaudited interim financial information for the six months ended June 30, 2025, and confirmed compliance with all applicable accounting principles, standards, and requirements - The company's audit committee has reviewed the Group's unaudited interim financial information for the six months ended June 30, 2025[129](index=129&type=chunk)[133](index=133&type=chunk) - The audit committee confirmed its compliance with all applicable accounting principles, standards, and requirements[129](index=129&type=chunk)[133](index=133&type=chunk) [Changes in the Board and the Directors' Information](index=36&type=section&id=Changes%20in%20the%20Board%20and%20the%20Directors%27%20Information) Since the date of the company's 2024 annual report (March 28, 2025), there have been no changes in the Board and directors' information required to be disclosed under Rule 13.51B(1) of the Listing Rules - Since the date of the company's 2024 annual report (March 28, 2025), there have been no changes in the Board and directors' information required to be disclosed under Rule 13.51B(1) of the Listing Rules[130](index=130&type=chunk)[134](index=134&type=chunk) [Directors' and Chief Executives' Interests and Short Positions in Shares, Underlying Shares and Debentures of the Company or Its Associated Corporations](index=37&type=section&id=Directors%27%20and%20Chief%20Executives%27%20Interests%20and%20Short%20Positions%20in%20Shares%2C%20Underlying%20Shares%20and%20Debentures%20of%20the%20Company%20or%20Its%20Associated%20Corporations) As of June 30, 2025, several directors and chief executives held company shares through controlled corporations, with Mr. Lu Ming holding 22.99%, Mr. Lu Zhicong and Mr. Lu Yongnan each holding 19.31%, and Mr. Lu Jinliang and Mr. Lu Yongmao each holding 13.42% Directors' and Chief Executives' Interests in Company Shares as of June 30, 2025 | Director/Chief Executive | Capacity/Nature of Interest | Number of Shares (shares) | Approximate Percentage of Shareholding (%) | | :--- | :--- | :--- | :--- | | Mr. Lu Ming | Interest in controlled corporation | 372,867,000 (L) | 22.99 | | Mr. Lu Zhicong | Interest in controlled corporation | 313,125,000 (L) | 19.31 | | Mr. Lu Yongnan | Interest in controlled corporation | 313,125,000 (L) | 19.31 | | Mr. Lu Yongnan | Beneficial owner | 2,613,000 | 0.16 | | Mr. Lu Jinliang | Interest in controlled corporation | 217,643,000 (L) | 13.42 | | Mr. Lu Yongmao | Interest in controlled corporation | 217,643,000 (L) | 13.42 | - As of June 30, 2025, the company had **1,621,799,000 shares** in issue[141](index=141&type=chunk) - Save as disclosed above, no other directors and chief executives had any interests or short positions in the shares, underlying shares, and debentures of the company or its associated corporations required to be recorded in the register[139](index=139&type=chunk)[140](index=140&type=chunk) [Substantial Shareholders' and Other Persons' Interests and Short Positions in the Shares and Underlying Shares of the Company](index=39&type=section&id=Substantial%20Shareholders'%20and%20Other%20Persons'%20Interests%20and%20Short%20Positions%20in%20the%20Shares%20and%20Underlying%20Shares%20of%20the%20Company) As of June 30, 2025, the company's substantial shareholders included Huaxing Development Co., Ltd. (22.99%), Hualian Development Co., Ltd. (19.31%), and Hualong Development Co., Ltd. (13.42%), as well as Ms. Chen Meiqin (22.99%), Ms. Huang Xiuxue (19.47%), and Ms. Huang Guihua (13.42%) through spouse interests Substantial Shareholders' and Other Persons' Interests in Company Shares as of June 30, 2025 | Shareholder Name | Nature of Interest | Number of Shares (shares) | Approximate Percentage of Shareholding (%) | | :--- | :--- | :--- | :--- | | Ms. Chen Meiqin | Spouse's interest | 372,867,000 (L) | 22.99 | | Ms. Huang Xiuxue | Spouse's interest | 315,738,000 (L) | 19.47 | | Ms. Huang Guihua | Spouse's interest | 217,643,000 (L) | 13.42 | | Huaxing | Beneficial owner | 372,867,000 (L) | 22.99 | | Hualian | Beneficial owner | 313,125,000 (L) | 19.31 | | Hualong | Beneficial owner | 217,643,000 (L) | 13.42 | - Ms. Chen Meiqin is the spouse of Mr. Lu Ming, Ms. Huang Xiuxue is the spouse of Mr. Lu Yongnan, and Ms. Huang Guihua is the spouse of Mr. Lu Yongmao, and are therefore deemed to have an interest in the shares held by their respective spouses[148](index=148&type=chunk) - Save as disclosed above, the company has not been notified of any other persons having interests or short positions in the shares or underlying shares of the company required to be recorded in the register[146](index=146&type=chunk)[147](index=147&type=chunk) [Share Option Scheme](index=41&type=section&id=Share%20Option%20Scheme) The company conditionally adopted a share option scheme on June 20, 2020, to provide selected participants with an opportunity to acquire an interest in the company and incentivize them to enhance company value; the scheme is valid for ten years from July 15, 2020, and as of the end of the reporting period, no share options had been granted, exercised, cancelled, or lapsed, with 160,000,000 share options available for grant - The company conditionally adopted a share option scheme on June 20, 2020, to provide selected participants with an opportunity to acquire an ownership interest in the company and encourage them to enhance the value of the company and its shares[149](index=149&type=chunk)[152](index=152&type=chunk) - The share option scheme is valid and effective for ten years from July 15, 2020, and will expire on July 14, 2030[153](index=153&type=chunk)[157](index=157&type=chunk) - Under the scheme, the total number of shares that may be allotted and issued shall not exceed **10%** of the issued shares on the date trading commenced on the Stock Exchange, which is **160,000,000 shares**[150](index=150&type=chunk)[152](index=152&type=chunk) - During the reporting period, no share options were granted, exercised, cancelled, or lapsed under the share option scheme, and there were no outstanding share options under the scheme from the listing date up to June 30, 2025[156](index=156&type=chunk)[158](index=158&type=chunk) - As of January 1, 2025, and June 30, 2025, the number of options authorized for grant under the share option scheme was **160,000,000**[156](index=156&type=chunk)[158](index=158&type=chunk) Interim Condensed Consolidated Statement of Comprehensive Income For the six months ended June 30, 2025, the Group reported total revenue of RMB1,631,319 thousand, a gross loss of RMB450,002 thousand, an operating loss of RMB573,677 thousand, and a total comprehensive loss for the period of RMB666,073 thousand, with loss attributable to owners of the company at RMB329,717 thousand and basic and diluted loss per share of RMB0.20 Summary of Interim Condensed Consolidated Statement of Comprehensive Income | Indicator | 2025 First Half (RMB thousand) | 2024 First Half (RMB thousand) | | :--- | :--- | :--- | | Revenue from Contracts with Customers | 1,631,319 | 5,367,139 | | Cost of Sales | (2,081,321) | (5,076,777) | | Gross (Loss)/Profit | (450,002) | 290,362 | | Other Income/(Expenses) and Other Gains/(Losses), Net | 7,198 | (625) | | Selling and Marketing Expenses | (64,101) | (89,085) | | General and Administrative Expenses | (66,772) | (70,620) | | Operating (Loss)/Profit | (573,677) | 130,032 | | Finance Costs – Net | (29,358) | (40,709) | | Share of Results of Joint Ventures and Associates | (6,368) | (7,551) | | (Loss)/Profit Before Income Tax | (609,403) | 81,772 | | Income Tax Expenses | (56,670) | (235,714) | | Loss and Total Comprehensive Loss for the Period | (666,073) | (153,942) | | Loss Attributable to Owners of the Company | (329,717) | (76,419) | | Non-Controlling Interests | (336,356) | (77,523) | | Basic and Diluted Loss Per Share (RMB) | (0.20) | (0.05) | Interim Condensed Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets were RMB20,664,183 thousand, total liabilities were RMB13,252,115 thousand, and total equity was RMB7,412,068 thousand, with total current assets at RMB18,999,943 thousand and total current liabilities at RMB12,094,874 thousand Summary of Interim Condensed Consolidated Statement of Financial Position | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | **Assets** | | | | Total Non-Current Assets | 1,664,240 | 1,690,070 | | Total Current Assets | 18,999,943 | 21,623,914 | | **Total Assets** | **20,664,183** | **23,313,984** | | **Equity** | | | | Capital and Reserves Attributable to Owners of the Company | 3,105,723 | 3,435,440 | | Non-Controlling Interests | 4,306,345 | 4,642,701 | | **Total Equity** | **7,412,068** | **8,078,141** | | **Liabilities** | | | | Total Non-Current Liabilities | 1,157,241 | 1,884,578 | | Total Current Liabilities | 12,094,874 | 13,351,265 | | **Total Liabilities** | **13,252,115** | **15,235,843** | | **Total Equity and Liabilities** | **20,664,183** | **23,313,984** | Interim Condensed Consolidated Statement of Changes in Equity As of June 30, 2025, total equity attributable to owners of the company was RMB3,105,723 thousand, non-controlling interests were RMB4,306,345 thousand, and total equity was RMB7,412,068 thousand, with loss attributable to owners of the company for the period at RMB329,717 thousand Summary of Interim Condensed Consolidated Statement of Changes in Equity | Indicator | June 30, 2025 (RMB thousand) | January 1, 2024 (RMB thousand) | | :--- | :--- | :--- | | **Attributable to Owners of the Company** | | | | Share Capital | 14,838 | 14,838 | | Share Premium | 1,448,564 | 1,448,564 | | Statutory Reserve | 477,072 | 379,417 | | Other Reserves | 284,235 | 284,235 | | Retained Earnings | 881,014 | 1,966,630 | | **Subtotal** | **3,105,723** | **4,093,684** | | Non-Controlling Interests | 4,306,345 | 7,254,502 | | **Total** | **7,412,068** | **11,348,186** | | Loss and Total Comprehensive Loss for the Period (Attributable to Owners of the Company) | (329,717) | (76,419) | | Loss and Total Comprehensive Loss for the Period (Non-Controlling Interests) | (336,356) | (77,523) | Interim Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, the Group reported net cash used in operating activities of RMB204,626 thousand, net cash from investing activities of RMB14,938 thousand, and net cash from financing activities of RMB267,727 thousand, with cash and cash equivalents at period-end totaling RMB343,816 thousand Summary of Interim Condensed Consolidated Statement of Cash Flows | Indicator | 2025 First Half (RMB thousand) | 2024 First Half (RMB thousand) | | :--- | :--- | :--- | | Net Cash (Used in)/From Operating Activities | (204,626) | 220,327 | | Net Cash From/(Used in) Investing Activities | 14,938 | (16,575) | | Net Cash From/(Used in) Financing Activities | 267,727 | (387,500) | | Net Increase/(Decrease) in Cash and Cash Equivalents | 78,039 | (183,748) | | Cash and Cash Equivalents at Beginning of Period | 265,777 | 570,167 | | Cash and Cash Equivalents at End of Period | 343,816 | 386,419 | Notes to the Interim Condensed Consolidated Financial Information This section provides detailed notes to the interim condensed consolidated financial information, covering general company data, accounting policies, financial risk management, revenue recognition, expense breakdowns, and specific financial statement items [General Information](index=51&type=section&id=General%20Information) The company was incorporated in the Cayman Islands as an exempted company with limited liability on October 8, 2018, primarily engaged in property development projects in China, with its shares listed on the Hong Kong Stock Exchange on July 15, 2020; this interim condensed consolidated financial information is presented in RMB and was approved for issue by the Board of Directors on August 29, 2025, and has not been audited - The company was incorporated in the Cayman Islands on October 8, 2018, primarily engaged in property development projects in China[175](index=175&type=chunk)[176](index=176&type=chunk)[180](index=180&type=chunk) - The company's shares were listed on the Hong Kong Stock Exchange on July 15, 2020[176](index=176&type=chunk)[181](index=181&type=chunk) - This interim condensed consolidated financial information is presented in RMB, was approved for issue by the Board of Directors on August 29, 2025, and has not been audited[177](index=177&type=chunk)[182](index=182&type=chunk) [Basis of Preparation](index=51&type=section&id=Basis%20of%20Preparation) This interim condensed consolidated financial information has been prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" and should be read in conjunction with the annual report for the year ended December 31, 2024, and any announcements issued by the company during the interim reporting period - This interim condensed consolidated financial information has been prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants[178](index=178&type=chunk)[183](index=183&type=chunk) - This report should be read in conjunction with the annual report for the year ended December 31, 2024, and any announcements issued by the company during the interim reporting period[179](index=179&type=chunk)[183](index=183&type=chunk) [Accounting Policies](index=52&type=section&id=Accounting%20Policies) The accounting policies adopted by the Group are consistent with the previous financial year, with the adoption of certain revised standards; Hong Kong Financial Reporting Standard 18, mandatory from January 1, 2027, is expected to have widespread impacts on presentation and disclosure, and while significant uncertainty exists regarding the company's going concern ability, the Board has formulated various plans and measures to improve liquidity and financial position - Except for income tax estimates and the adoption of revised standards, the accounting policies adopted are consistent with those of the previous financial year and the corresponding interim reporting period[184](index=184&type=chunk)[188](index=188&type=chunk) - Hong Kong Financial Reporting Standard 18 will replace Hong Kong Accounting Standard 1 and is expected to be mandatory from January 1, 2027, with widespread impacts on presentation and disclosure[185](index=185&type=chunk)[186](index=186&type=chunk)[188](index=188&type=chunk) [Going concern](index=53&type=section&id=Going%20concern) As of June 30, 2025, the Group recorded a net loss of RMB666,073 thousand, along with substantial short-term borrowings, overdue borrowings, and a default event on senior note interest, indicating significant uncertainty regarding going concern; however, the Board has formulated various plans and measures, including communicating with creditors, seeking financing, accelerating sales, controlling costs, resolving disputes, and disposing of equity, to ensure sufficient working capital within the next twelve months - As of June 30, 2025, the Group recorded a net loss of **RMB666,073 thousand**[190](index=190&type=chunk)[191](index=191&type=chunk) - The Group's total interest-bearing bank and other borrowings and senior notes amounted to **RMB4,290,411 thousand**, of which **RMB3,375,502 thousand** are due within the next twelve months, while total cash was **RMB670,109 thousand**[190](index=190&type=chunk)[191](index=191&type=chunk) - Interest-bearing bank and other borrowings with a principal amount of **RMB373,611 thousand** were overdue and unpaid, resulting in **RMB832,500 thousand** of borrowings becoming repayable on demand[190](index=190&type=chunk)[191](index=191&type=chunk) - Interest of **USD8,576,203** related to the 2025 November Notes was not paid, constituting an event of default, and major noteholders have declared the principal and accrued unpaid interest immediately due and payable[190](index=190&type=chunk)[191](index=191&type=chunk) - The Board has taken multiple plans and measures, including communicating with noteholders, negotiating extensions with onshore debt holders, seeking alternative financing, accelerating property sales, controlling costs, resolving disputes, and disposing of equity, to ensure going concern[191](index=191&type=chunk)[192](index=192&type=chunk)[197](index=197&type=chunk)[198](index=198&type=chunk)[204](index=204&type=chunk) [Critical Accounting Estimates and Judgements](index=55&type=section&id=Critical%20Accounting%20Estimates%20and%20Judgements) The preparation of interim condensed consolidated financial information requires management to make judgments, estimates, and assumptions, and the critical accounting estimates and judgments applied are consistent with those described in the annual consolidated financial statements for the year ended December 31, 2024 - The preparation of interim condensed consolidated financial information requires management to make judgments, estimates, and assumptions, and actual results may differ from these estimates[201](index=201&type=chunk)[203](index=203&type=chunk) - The critical accounting estimates and judgments applied are consistent with those described in the annual consolidated financial statements for the year ended December 31, 2024[201](index=201&type=chunk)[203](index=203&type=chunk) [Financial Risk Management](index=56&type=section&id=Financial%20Risk%20Management) The Group faces market risks (foreign exchange risk and interest rate risk), credit risk, and liquidity risk; management aims to maintain sufficient cash and available financing, and mitigates potential impacts through various alternative plans such as reducing land acquisitions, adjusting project timelines, cost control, promotional sales, and seeking joint venture partners; the Group's capital management objective is to safeguard its ability to continue as a going concern and maintain an optimal capital structure - The Group's business activities are exposed to various financial risks: market risk (including foreign exchange risk and interest rate risk), credit risk, and liquidity risk[205](index=205&type=chunk)[209](index=209&type=chunk) - The Group's management aims to maintain sufficient cash and cash equivalents or obtain available funds through proceeds from property pre-sales and adequate available financing (including short-term and long-term borrowings and additional funds from shareholders)[207](index=207&type=chunk)[211](index=211&type=chunk) - The Group has various alternative plans to mitigate the potential impact of significant adverse changes in economic conditions on forecasted cash flows, including reducing land acquisitions, adjusting project development timelines, implementing cost control measures, promoting sales of completed properties, accelerating sales, and identifying joint venture partners[208](index=208&type=chunk)[211](index=211&type=chunk) - The Group's capital management objective is to safeguard its ability to continue as a going concern, thereby providing returns and benefits to owners and other stakeholders, while maintaining an optimal capital structure to reduce the cost of capital[218](index=218&type=chunk)[220](index=220&type=chunk) [Liquidity risk](index=56&type=section&id=Liquidity%20risk) As of June 30, 2025, the Group's total contractual undiscounted financial liabilities amounted to approximately RMB10,904,132 thousand, with approximately RMB5,946,497 thousand due within one year; the Group also provides guarantees for purchasers' mortgage financing and joint venture borrowings Financial Liabilities by Maturity as of June 30, 2025 (Unaudited) | Maturity | Amount (RMB thousand) | | :--- | :--- | | On Demand | 3,787,831 | | Within 1 Year | 5,946,497 | | 1 to 2 Years | 1,054,379 | | 2 to 5 Years | 115,425 | | Over 5 Years | – | | **Total** | **10,904,132** | Financial Liabilities by Maturity as of December 31, 2024 (Audited) | Maturity | Amount (RMB thousand) | | :--- | :--- | | On Demand | 3,752,041 | | Within 1 Year | 6,427,826 | | 1 to 2 Years | 1,171,500 | | 2 to 5 Years | 683,751 | | Over 5 Years | – | | **Total** | **12,035,118** | - The Group also provides guarantees as collateral for the repayment obligations of certain buyers of property units and the principal of borrowings from joint ventures and associates, which generate contractual cash flows only in the event of default[216](index=216&type=chunk)[217](index=217&type=chunk) [Capital risk management](index=59&type=section&id=Capital%20risk%20management) The Group's capital management objective is to safeguard its ability to continue as a going concern and maintain an optimal capital structure; as of June 30, 2025, the Group's gearing ratio was 51.2% (end of 2024: 50.0%) - The Group's capital management objective is to safeguard its ability to continue as a going concern, thereby providing returns and benefits to owners and other stakeholders, while maintaining an optimal capital structure to reduce the cost of capital[218](index=218&type=chunk)[220](index=220&type=chunk) Capital Risk Management Overview | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Total Borrowings | 8,121,938 | 8,352,181 | | Less: Cash and Cash Equivalents | (343,816) | (265,777) | | Net Borrowings | 7,778,122 | 8,086,404 | | Total Equity | 7,412,068 | 8,078,141 | | Total Capital | 15,190,190 | 16,164,545 | | Gearing Ratio | 51.2% | 50.0% | [Fair value estimation](index=60&type=section&id=Fair%20value%20estimation) The Group's financial assets, such as financial assets measured at fair value through profit or loss, and investment properties are measured at fair value; financial assets are primarily classified under Level 1 fair value measurement, while investment properties are classified under Level 3 and valued using the income capitalization approach; the Group's finance department regularly reviews valuation reports from independent valuers - The Group's financial assets measured at fair value include financial assets measured at fair value through profit or loss, primarily classified under **Level 1** fair value measurement[222](index=222&type=chunk)[224](index=224&type=chunk)[226](index=226&type=chunk) - The Group's investment properties are measured at fair value, classified under **Level 3** fair value measurement, and valued using the income capitalization approach[227](index=227&type=chunk)[230](index=230&type=chunk)[231](index=231&type=chunk)[233](index=233&type=chunk) - The Group's finance department has a team that reviews valuations from independent valuers and regularly discusses valuation procedures and results with executive directors and valuers[237](index=237&type=chunk)[238](index=238&type=chunk)[239](index=239&type=chunk)[240](index=240&type=chunk)[241](index=241&type=chunk) [Revenue from Contracts with Customers and Segment Information](index=63&type=section&id=Revenue%20from%20Contracts%20with%20Customers%20and%20Segment%20Information) For the six months ended June 30, 2025, the Group's revenue from contracts with customers primarily consisted of property sales, totaling RMB1,631,319 thousand, all recognized at a point in time; the Group has only one operating segment, property development, with contract liabilities of approximately RMB2,033,392 thousand and expected revenue from unsatisfied contracts of RMB1,982,852 thousand to be recognized within one year - The executive directors are identified as the chief operating decision-makers, and the Group has only one operating segment, property development[242](index=242&type=chunk)[243](index=243&type=chunk)[245](index=245&type=chunk) Revenue from Contracts with Customers Comparison | Period | Property Sales (RMB thousand) | | :--- | :--- | | 2025 First Half | 1,631,319 | | 2024 First Half | 5,367,139 | - Revenue from contracts with customers recognized for the six months ended June 30, 2025, and 2024, was entirely from property sales located in China, and all recognized at a point in time[248](index=248&type=chunk) [Details of contract liabilities](index=64&type=section&id=Details%20of%20contract%20liabilities) As of June 30, 2025, contract liabilities related to property sales amounted to RMB2,033,392 thousand, a decrease from RMB2,746,401 thousand at the end of 2024 Contract Liabilities Comparison | Date | Amount (RMB thousand) | | :--- | :--- | | June 30, 2025 | 2,033,392 | | December 31, 2024 | 2,746,401 | - Contract liabilities represent prepayments received from customers for properties not yet transferred to them[250](index=250&type=chunk) [Revenue recognised in relation to contract liabilities](index=64&type=section&id=Revenue%20recognised%20in%20relation%20to%20contract%20liabilities) For the six months ended June 30, 2025, recognized property sales revenue included in the opening balance of contract liabilities was RMB1,521,000 thousand, a significant decrease from RMB5,004,494 thousand in the same period last year Revenue Recognized in Relation to Contract Liabilities Comparison | Period | Property Sales (RMB thousand) | | :--- | :--- | | 2025 First Half | 1,521,000 | | 2024 First Half | 5,004,494 | [Unsatisfied contracts related to sales of properties](index=65&type=section&id=Unsatisfied%20contracts%20related%20to%20sales%20of%20properties) As of June 30, 2025, total unsatisfied contracts related to property sales amounted to RMB2,116,079 thousand, with RMB1,982,852 thousand expected to be recognized within one year and RMB133,227 thousand after one year Unsatisfied Contracts Related to Property Sales | Recognition Time | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within One Year | 1,982,852 | 2,281,206 | | After One Year | 133,227 | 508,062 | | **Total** | **2,116,079** | **2,789,268** | [Other (Expenses)/Income and Other (Losses)/Gains, Net](

Financial Performance - For the six months ended June 30, 2025, the contracted sales amounted to RMB 651.1 million[9]. - Revenue from property development during the same period was RMB 182.7 million[9]. - The group's revenue for the six months ended June 30, 2025, was RMB 324.2 million, with property development revenue contributing RMB 182.7 million[25]. - The company's revenue for the six months ended June 30, 2025, was RMB 324.2 million, a decrease of 67.2% compared to RMB 987.5 million for the same period in 2024[35]. - Property development revenue for the same period was RMB 182.7 million, down 76.9% year-on-year, primarily due to a reduction in completed delivery area and sales[35]. - The company reported a gross profit of RMB 4.4 million and a net loss of RMB 170.0 million for the same period[25]. - The company's gross profit for the six months ended June 30, 2025, was RMB 4.4 million, significantly lower than RMB 432.3 million in the previous year[37]. - The net loss attributable to the company's owners for the six months ended June 30, 2025, was RMB 225.2 million, an increase of RMB 166.5 million compared to RMB 58.7 million for the same period in 2024[38]. - The company reported a loss before tax of RMB 188,336,000 for the six months ended June 30, 2025, compared to a loss of RMB 125,163,000 in the prior year[73]. - The company reported a total comprehensive loss of RMB (225,179,000) for the six months ended June 30, 2025, compared to a loss of RMB (58,659,000) for the same period in 2024[76]. Assets and Liabilities - Total assets as of June 30, 2025, were RMB 32,005,860,000, slightly down from RMB 32,365,627,000 as of December 31, 2024[74]. - The company's total liabilities as of June 30, 2025, were RMB 7,436,699,000, down from RMB 8,616,203,000 as of December 31, 2024[125]. - The company's net asset value as of June 30, 2025, was RMB 12,199,883,000, down from RMB 12,369,902,000 at the end of 2024[75]. - The company's total borrowings as of June 30, 2025, were RMB 22,594.6 million, which includes bank borrowings and other borrowings of RMB 18,732.1 million and senior notes of RMB 3,862.5 million[48]. - The company's cash, restricted bank deposits, and bank balances amounted to approximately RMB 333.9 million, up from RMB 201.9 million as of December 31, 2024[46]. Cash Flow - The company's net operating cash flow for the six months ended June 30, 2025, was RMB 420.5 million, a significant increase from RMB 49.2 million for the same period in 2024[47]. - The net cash generated from operating activities for the six months ended June 30, 2025, was RMB 420,510,000, a significant increase from RMB 49,220,000 in the same period of 2024[78]. - The net cash used in investing activities for the six months ended June 30, 2025, was RMB (687,937,000), compared to RMB 40,906,000 in the prior year, indicating a substantial increase in investment outflows[78]. - The net cash generated from financing activities for the six months ended June 30, 2025, was RMB 302,481,000, a recovery from a net outflow of RMB (60,283,000) in the same period of 2024[80]. Investment and Development - The area of unconfirmed first-level development and urban renewal projects reached 5,811,000 square meters, with 51.6% located in Shenzhen[15]. - The group plans to continue investing in property development projects and acquiring suitable land parcels in selected cities, relying on internal resources and bank loans to meet funding needs[54]. - The group anticipates that urban renewal projects will generate cash flow and become new profit growth points in the second half of 2025[15]. - The group plans to sell part of its investment properties to improve financial conditions and cash flow[88]. Strategic Focus - The group aims to transition towards the health industry, focusing on developing wellness communities and online health services[17]. - The group plans to enhance its product quality and service models in the health sector[17]. - The group aims to enhance its competitiveness by improving service levels, operational management, and product quality in response to the challenging market environment[20]. - The group plans to focus on the health industry as part of its strategic transformation to explore broader market opportunities[21]. Market Conditions - The real estate industry is expected to continue facing a bottom adjustment phase, with investment confidence at a low point and market scale shrinking[18]. - The financing environment for real estate companies needs improvement to restore normal cash flow cycles in the industry[18]. - The "Good House" policy is intended to improve housing quality to attract buyers, although its immediate impact on stabilizing the market is limited[19]. Employee and Administrative Expenses - The company's distribution and selling expenses decreased from RMB 62.4 million to RMB 43.3 million, primarily due to a reduction in sales revenue[41]. - Administrative expenses were reduced from RMB 140.2 million to RMB 86.5 million, attributed to organizational restructuring and optimization[42]. - The total employee costs for the six months ended June 30, 2025, were RMB 47,564,000, a decrease of 38.1% from RMB 76,812,000 in 2024[105]. - The short-term employee benefits for key management personnel were RMB 3,403,000 for the six months ended June 30, 2025, down from RMB 6,815,000 in the same period of 2024[166]. Shareholder and Governance - The board has decided not to declare an interim dividend for shareholders[56]. - Major shareholder Zhang Zhangsun holds a controlled interest of 3,409,431,570 shares, representing approximately 76.71% of the company's equity[62]. - The company is actively seeking suitable candidates to fulfill the requirements for independent non-executive directors to comply with listing rules[66]. - The audit committee has been established and is currently composed of two independent non-executive directors following the resignation of a previous member[72]. Legal and Compliance - The group is currently a defendant in several non-material lawsuits, but the board believes that any potential legal liabilities will not significantly impact the group's financial performance[147]. - The company is subject to international financial reporting standards, ensuring compliance and transparency in financial reporting practices[84]. Financial Instruments and Fair Value - The fair value of investment properties as of June 30, 2025, was RMB 15,531,486,000, a decrease from RMB 16,784,166,000 at the beginning of the year[110]. - The fair value measurement of the group's non-listed investments is classified as Level 3[168]. - The fair value of non-listed equity instruments is determined based on the net asset value of the investee multiplied by the market-to-book ratio, adjusted for lack of marketability[168].

���� 中 期 報 告 2025 Interim Report 二零二五年中期報告 目錄 4 公司資料 5 財務概要 6 管理層討論與分析 15 中期財務資料之審閱報告 16 簡明綜合損益及其他全面收益表 17 簡明綜合財務狀況表 19 簡明綜合權益變動表 21 簡明綜合現金流量表 22 簡明綜合中期財務資料附註 40 其他資料 二零二五年中期報告 都市麗人（中國）控股有限公司 2 3 都市麗人（中國）控股有限公司 二零二五年中期報告 公司資料 董事會 執行董事 鄭耀南先生 （主席兼行政總裁） 張盛鋒先生 （副主席兼副總裁） 吳小麗女士 （副總裁） 冼順祥先生 （副總裁） 朱洪波先生 （副總裁） 非執行董事 林宗宏先生 蔡瑋軒先生 董事委員會 審核委員會 丘志明先生 （主席） 戴亦一博士 呂鴻德博士 薪酬委員會 戴亦一博士 （主席） 朱洪波先生 呂鴻德博士 提名委員會 呂鴻德博士 （主席） 吳小麗女士 丘志明先生 獨立非執行董事 丘志明先生 戴亦一博士 呂鴻德博士 公司秘書 風險管理委員會 丘志明先生 （主席） 戴亦一博士 呂鴻德博士 核數師 安永會計師事務所 執業會計師及註冊公眾利益實體核數師 主要往來銀 ...

[Corporate Information](index=3&type=section&id=Corporate%20Information) This section provides an overview of the company's governance structure, including its board of directors and committees, as well as essential corporate details such as its registered office, headquarters, auditor, and legal advisors [Directors and Committees](index=3&type=section&id=Directors%20and%20Committees) The company's board of directors comprises six executive directors and three independent non-executive directors, with established audit, remuneration, and nomination committees, where Mr. Kwan Kai Cheong, an independent non-executive director, chairs the audit and remuneration committees - The board of directors includes six executive directors, including Chairman Mr. Luo Weifeng, and three independent non-executive directors[5](index=5&type=chunk)[6](index=6&type=chunk) - The audit, remuneration, and nomination committees have been established, with Mr. Kwan Kai Cheong serving as Chairman of the audit and remuneration committees[5](index=5&type=chunk)[6](index=6&type=chunk) [Company Details](index=4&type=section&id=Company%20Details) The company's registered office is in the Cayman Islands, with its headquarters in Shanghai, China, and its principal place of business in Hong Kong at The Center. Deloitte Touche Tohmatsu serves as the company's auditor, and legal advisors have been appointed for Hong Kong and China - The company's headquarters are located at No. 193 Xiehe Road, Changning District, Shanghai, China, with its principal place of business in Hong Kong at 57/F, The Center, 99 Queen's Road Central, Central[7](index=7&type=chunk)[8](index=8&type=chunk) - The auditor is Deloitte Touche Tohmatsu, and legal advisors include Messrs. Tsang, Chau & Saw (Hong Kong law) and Shanghai Jianwei Law Firm (PRC law)[7](index=7&type=chunk)[8](index=8&type=chunk) [Results Highlights](index=5&type=section&id=Results%20Highlights) This section summarizes the company's key financial performance indicators and balance sheet positions for the reporting period, highlighting revenue, profit, assets, and liabilities [Financial Performance Overview](index=5&type=section&id=Financial%20Performance%20Overview) In the first half of 2025, the company's revenue increased by 10% to RMB 6.936 billion, but gross profit decreased by 17.1% to RMB 711 million, and loss attributable to owners expanded by 11% to RMB 538 million, with total assets and liabilities decreasing and net assets slightly reduced Key Financial Data for H1 2025 | Metric | H1 2025 (RMB million) | H1 2024 (RMB million) | Change (RMB million) | | :--- | :--- | :--- | :--- | | Revenue | 6,936 | 6,331 | +605 | | Gross Profit | 711 | 858 | -147 | | Loss for the Period | (493) | (500) | +7 | | Loss Attributable to Owners of the Company | (538) | (483) | -55 | | Basic Loss Per Share (RMB) | (0.19) | (0.17) | -0.02 | Balance Sheet Summary for H1 2025 | Metric | As of June 30, 2025 (RMB million) | As of December 31, 2024 (RMB million) | Change (RMB million) | | :--- | :--- | :--- | :--- | | Total Assets | 109,360 | 114,470 | -5,110 | | Total Liabilities | 92,702 | 97,319 | -4,617 | | Total Equity | 16,658 | 17,151 | -493 | [Revenue Analysis](index=6&type=section&id=Revenue%20Analysis) In the first half of 2025, property sales were the company's primary revenue source, accounting for 92.7% of total revenue with an 11% year-on-year increase, while property management and other services revenue slightly grew, and property leasing and hotel and related services revenue declined Revenue Composition for H1 2025 | Revenue Source | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | Change (RMB thousand) | | :--- | :--- | :--- | :--- | | Property Sales | 6,429,216 | 5,805,610 | +623,606 | | Property Management and Other Services | 363,298 | 358,577 | +4,721 | | Property Leasing | 112,951 | 127,952 | -15,001 | | Hotel and Related Services | 30,114 | 38,454 | -8,340 | | **Total** | **6,935,579** | **6,330,593** | **+604,986** | - In the first half of 2025, property sales accounted for **92.7% of total revenue**, making it the company's primary income source[13](index=13&type=chunk) [Management Discussion and Analysis](index=7&type=section&id=Management%20Discussion%20and%20Analysis) This section provides an in-depth review of the company's operational performance, strategic initiatives, and financial results within the context of the broader industry landscape [Industry Review](index=7&type=section&id=INDUSTRY%20REVIEW) In the first half of 2025, China's economy grew steadily, boosting confidence in the real estate market, which, despite ongoing deep adjustments, saw increased policy support and demand-side stimulus (e.g., interest rate cuts, reserve requirement ratio reductions, trade-in programs, lifting purchase restrictions) driving a market rebound, particularly a 'mini-spring' in first-tier and hot second-tier cities, as the industry shifts from a 'high-leverage, high-turnover' model to high-quality development focused on product quality, operational efficiency, and refined management - China's GDP grew by **5.1% year-on-year** in Q1 2025, providing confidence to the real estate market[14](index=14&type=chunk)[16](index=16&type=chunk) - Central and local governments continued to intensify real estate policy easing, with demand-side stimulus policies (e.g., interest rate cuts, reserve requirement ratio reductions, trade-in programs, lifting purchase restrictions) driving a market rebound[15](index=15&type=chunk)[16](index=16&type=chunk)[17](index=17&type=chunk) - Market sales pressure persisted in Q1 but narrowed, with new home visits, second-hand home viewings, and transaction volumes in key cities significantly increasing month-on-month after the Spring Festival, and a 'mini-spring' emerging in core areas of first-tier cities like Beijing and Shanghai[15](index=15&type=chunk)[16](index=16&type=chunk) - The industry is accelerating its shift from a 'high-leverage, high-turnover' model to a new pattern of high-quality development centered on product quality, operational efficiency, and refined management[19](index=19&type=chunk)[21](index=21&type=chunk) [Business Review](index=9&type=section&id=BUSINESS%20REVIEW) In the first half of 2025, Greenland Hong Kong addressed industry challenges through innovative mechanisms and flexible decision-making, achieving core business structural upgrades, enhancing development efficiency and management effectiveness, making progress in diversified business areas such as property sales, long-term leasing, commercial operations, and property services, while actively expanding strategic cooperation and optimizing land reserves to navigate market fluctuations and achieve high-quality development [Overall Performance](index=9&type=section&id=Results) In the first half of 2025, the Group's contracted sales were approximately RMB 2.972 billion, with a total GFA of 364,398 square meters; total revenue increased by approximately 10% year-on-year to RMB 6.936 billion, but net loss attributable to owners of the company increased by approximately 11% year-on-year to RMB 538 million, with total GFA of sold and delivered projects increasing by approximately 27% year-on-year, and an average selling price of RMB 12,340 per square meter - In the first half of 2025, the Group's contracted sales amounted to approximately **RMB 2.972 billion**, with a total contracted GFA of approximately **364,398 square meters**[23](index=23&type=chunk)[24](index=24&type=chunk) - Total revenue was approximately **RMB 6.936 billion**, an increase of approximately **10%** compared to the same period last year[23](index=23&type=chunk)[24](index=24&type=chunk) - Net loss attributable to owners of the Group was approximately **RMB 538 million**, an increase of approximately **11%** year-on-year[23](index=23&type=chunk)[24](index=24&type=chunk) - The total GFA of sold and delivered projects was **520,991 square meters**, an increase of approximately **27%** compared to the same period last year, with an average selling price of approximately **RMB 12,340 per square meter**[25](index=25&type=chunk)[26](index=26&type=chunk) Completed and Delivered Projects by Province for H1 2025 | Province | Approx. GFA Sold and Delivered (sqm) | Approx. Sales Recognized (RMB thousand) | Average Selling Price (RMB/sqm) | | :--- | :--- | :--- | :--- | | Jiangsu | 120,135 | 2,190,970 | 18,238 | | Zhejiang | 135,745 | 1,859,045 | 13,695 | | Yunnan | 88,764 | 1,449,991 | 16,335 | | Guangxi | 92,063 | 439,010 | 4,769 | | Guangdong | 46,749 | 282,870 | 6,051 | | Anhui | 31,031 | 169,995 | 5,478 | | Others | 6,504 | 37,335 | 5,740 | | **Total** | **520,991** | **6,429,216** | **12,340** | [Contracted Sales & Delivery Efforts](index=11&type=section&id=Contracted%20Sales%20%26%20Delivery%20Efforts) The company's contracted sales in the first half of 2025 were approximately RMB 2.972 billion, primarily from key regions such as Guangdong, Jiangsu, Zhejiang, Yunnan, and Guangxi; facing market adjustments and delivery challenges, the company actively sought financial relief, optimized supply chain collaboration, and focused on key projects to ensure high-quality delivery - In the first half of 2025, the company's contracted sales amounted to approximately **RMB 2.972 billion**, with a total contracted GFA of approximately **364,398 square meters**[29](index=29&type=chunk)[32](index=32&type=chunk) - Contracted sales primarily originated from key regional projects in Guangdong, Jiangsu, Zhejiang, Yunnan, and Guangxi[29](index=29&type=chunk)[32](index=32&type=chunk) - The company actively addressed delivery challenges under dual market and policy pressures by seeking financial relief, optimizing supply chain collaboration, and stationing personnel at key projects to ensure construction progress and high-quality delivery[30](index=30&type=chunk)[33](index=33&type=chunk) [Diversified Business Operations](index=12&type=section&id=Diversified%20Business%20Operations) Greenland Hong Kong actively developed its long-term leasing business (Xiaojing Technology), achieving profitable growth, and advanced its health and wellness business; in commercial operations, the company adhered to a 'real estate + commercial' dual-engine strategy, creating benchmark projects and maintaining satisfactory occupancy rates; core property services business grew steadily, expanding into new areas such as government public buildings, healthcare, and education [Long-term Leasing Business](index=12&type=section&id=Long-term%20Leasing%20Business) In the first half of 2025, the company's long-term leasing business, Xiaojing Technology, maintained profitability amidst fierce market competition, achieving positive year-on-year and quarter-on-quarter revenue and profit growth, laying the foundation for asset transactions, while the health and wellness business actively advanced product positioning reshaping and resource expansion - The long-term leasing business, Xiaojing Technology, maintained profitability across all projects in the first half of 2025, achieving positive year-on-year and quarter-on-quarter revenue and profit growth[36](index=36&type=chunk)[38](index=38&type=chunk) - The company actively advanced its health and wellness business, reshaping product positioning and continuously seeking resources and opportunities[36](index=36&type=chunk)[38](index=38&type=chunk) [Commercial Operation](index=12&type=section&id=Commercial%20Operation) Greenland Hong Kong adhered to a 'real estate + commercial' dual-engine strategy, creating benchmark projects such as Yiwu Greenland Chaoyangmen, Nanning 289 Shanghai Tiandi, and Guangzhou Greenland Colorful City through brand upgrading and deep excavation of commercial value, while maintaining a satisfactory overall occupancy rate - The company adhered to a 'real estate + commercial' dual-engine strategy, creating benchmark projects such as Yiwu Greenland Chaoyangmen, Nanning 289 Shanghai Tiandi, and Guangzhou Greenland Colorful City, with a **satisfactory overall occupancy rate**[37](index=37&type=chunk)[39](index=39&type=chunk) - Product line thinking achieved standardized, normalized, and professional development, adhering to the 'product + service + operation' concept to deeply cultivate the national market[37](index=37&type=chunk)[39](index=39&type=chunk) [Property Services](index=13&type=section&id=Property%20Services) In 2025, the Group's core property services business achieved steady growth, with accelerated expansion of managed projects and continuously increasing service touchpoints, ensuring high-quality delivery; by deepening customer service systems, innovating digital platforms, and adopting multi-format operating models, operating efficiency was significantly unleashed, and new business areas such as government public buildings, healthcare, and education were successfully expanded - The Group's core property services business demonstrated high-quality development in 2025, with **steady growth in operating revenue**, accelerated expansion of managed projects, and continuously increasing service touchpoints[40](index=40&type=chunk)[43](index=43&type=chunk) - Operating efficiency was significantly unleashed through deepening customer service system construction, innovating digital platforms, activating private domain traffic matrix effectiveness, and innovating multi-format operating models[40](index=40&type=chunk)[43](index=43&type=chunk) - Several new external expansion projects were added, achieving breakthroughs in business areas such as government public buildings, healthcare, and education[40](index=40&type=chunk)[43](index=43&type=chunk) [Strategic Cooperation & Land Bank](index=13&type=section&id=Strategic%20Cooperation%20%26%20Land%20Bank) Greenland Hong Kong is committed to building an integrated urban construction and operation service platform and actively responds to the national 'East Data West Computing' strategy by constructing the 'Shaoguan Greenland Smart Computing Center Project'; its subsidiary, Greenland Smart Manufacturing, focuses on integrated real estate agency construction management; as of June 30, 2025, the Group held approximately 17 million square meters of high-quality land reserves, primarily concentrated in core cities of the Yangtze River Delta and Greater Bay Area - Greenland Hong Kong is striving to build an integrated urban construction and operation service platform, fully empowering the upgrade of its agency construction business[41](index=41&type=chunk)[44](index=44&type=chunk) - The Group is constructing the 'Shaoguan Greenland Smart Computing Center Project,' actively responding to the national 'East Data West Computing' strategic deployment, aiming to build it into a national-level green computing hub[42](index=42&type=chunk)[44](index=44&type=chunk) - Greenland Smart Manufacturing specializes in integrated real estate agency construction management and launched a new '3+3 Exclusive Service System' in 2025[45](index=45&type=chunk)[49](index=49&type=chunk) - As of June 30, 2025, the Group held approximately **17 million square meters** of high-quality land reserves, primarily concentrated in core cities of the Yangtze River Delta and Greater Bay Area, sufficient to support development needs for the next few years[46](index=46&type=chunk)[50](index=50&type=chunk) [Outlook](index=14&type=section&id=Outlook) The company believes China's economy and real estate industry will show a positive trend in 2025, emphasizing 'good house' construction standards, creating urban projects around four dimensions: 'green environmental protection, healthy living, durable construction, and technological intelligence'; in the future, Greenland Hong Kong will focus on revitalizing existing inventory, innovating and transforming integrated businesses, and expanding into new business areas to achieve high-quality development and innovative transformation - The positive trend for China's economy and real estate industry in 2025 is clear and firm, with a stable and healthy real estate market being the cornerstone of economic development[47](index=47&type=chunk)[51](index=51&type=chunk) - Greenland Group released 'Good House Product Standards,' establishing a '4-dimensional, 12-faceted, 78-point' system to create a new generation of good houses around four dimensions: 'green environmental protection, healthy living, durable construction, and technological intelligence'[48](index=48&type=chunk)[51](index=51&type=chunk) - In the future, the company will focus on 'breaking through with innovation and striving for excellence,' concentrating on revitalizing existing inventory, innovating and transforming integrated businesses, and expanding into new business areas to achieve high-quality development and innovative transformation[52](index=52&type=chunk)[54](index=54&type=chunk) [Financial Performance](index=16&type=section&id=FINANCIAL%20PERFORMANCE) In the first half of 2025, the company's total revenue increased by 10% year-on-year, primarily due to increased recognized area of delivered properties; however, gross profit and gross margin declined due to the persistent real estate market downturn. The company effectively controlled operating expenses, but finance costs and fair value losses on investment properties increased. Both loss for the period and loss attributable to owners of the company expanded. The financial position showed a decrease in both total assets and total liabilities, with the net gearing ratio rising to 81% [Revenue and Profitability Analysis](index=16&type=section&id=Revenue%20and%20Profitability%20Analysis) In the first half of 2025, total revenue increased by 10% to RMB 6.936 billion, with property sales contributing 93%; cost of sales grew by 14%, leading to a 17.1% decrease in gross profit to RMB 711 million, and gross margin falling from 14% to 10%. Other income, gains, and losses turned into gains due to increased tax penalties. Operating expenses (administrative and selling and marketing expenses) decreased by 23% and 13% respectively. Finance costs increased by 25% to RMB 155 million. Fair value losses on investment properties narrowed, but loss for the period and loss attributable to owners of the company still reached RMB 493 million and RMB 538 million, respectively - Total revenue for the first half of 2025 was approximately **RMB 6.936 billion**, an increase of approximately **10%** year-on-year, primarily due to an increase in recognized area of delivered properties[55](index=55&type=chunk)[57](index=57&type=chunk) - Revenue from property sales was approximately **RMB 6.429 billion**, accounting for approximately **93%** of total revenue, an increase of approximately **11%** year-on-year[56](index=56&type=chunk)[57](index=57&type=chunk) - Cost of sales was approximately **RMB 6.224 billion**, an increase of approximately **14%** year-on-year[59](index=59&type=chunk)[61](index=61&type=chunk) - Gross profit decreased from approximately **RMB 858 million** in the first half of 2024 to approximately **RMB 711 million**, with gross margin declining from **14% to 10%**, primarily due to the persistent real estate market downturn[60](index=60&type=chunk)[62](index=62&type=chunk) - Other income, gains and losses, and other operating expenses turned from a loss of approximately **RMB 15 million** in the first half of 2024 to a gain of approximately **RMB 119 million** in the first half of 2025, primarily due to an increase in tax penalties during the period[63](index=63&type=chunk)[69](index=69&type=chunk) - Administrative expenses and selling and marketing costs decreased by approximately **23%** and **13%** respectively[64](index=64&type=chunk)[70](index=70&type=chunk) - Finance costs increased from **RMB 124 million** in the first half of 2024 to **RMB 155 million** in the first half of 2025[65](index=65&type=chunk)[71](index=71&type=chunk) - Fair value losses on investment properties were approximately **RMB 302 million**, narrowing from **RMB 592 million** in the same period of 2024, primarily due to a decrease in the value of projects in Yiwu, Jiaxing, Guangzhou, Suzhou, and Nanning[66](index=66&type=chunk)[72](index=72&type=chunk) - Loss for the period was approximately **RMB 493 million**, and loss attributable to owners of the company was approximately **RMB 538 million**, representing a decrease of approximately **1%** and an increase of approximately **11%** respectively compared to the same period in 2024[68](index=68&type=chunk)[74](index=74&type=chunk) [Financial Position and Liquidity](index=18&type=section&id=Financial%20Position%20and%20Liquidity) As of June 30, 2025, the Group's total equity was RMB 16.658 billion, total assets RMB 109.360 billion, and total liabilities RMB 92.702 billion. The net gearing ratio increased from 75% at the end of 2024 to 81%. Total cash and cash equivalents were approximately RMB 988 million, and total borrowings were approximately RMB 14.487 billion. The Group primarily conducts business transactions in RMB, with limited foreign exchange risk. As of the period end, the Group pledged approximately RMB 28.745 billion in properties and land use rights to secure bank facilities and provided mortgage loan guarantees of approximately RMB 17.745 billion for property purchasers Financial Position as of June 30, 2025 | Metric | As of June 30, 2025 (RMB million) | As of December 31, 2024 (RMB million) | | :--- | :--- | :--- | | Total Equity | 16,658 | 17,152 | | Total Assets | 109,360 | 114,470 | | Total Liabilities | 92,702 | 97,318 | - As of June 30, 2025, the net gearing ratio (total borrowings less cash and cash equivalents divided by total equity) was approximately **81%**, higher than **75%** as of December 31, 2024[77](index=77&type=chunk)[82](index=82&type=chunk) - Total cash and cash equivalents (including restricted cash) were approximately **RMB 988 million**, and total borrowings were approximately **RMB 14.487 billion**[77](index=77&type=chunk)[82](index=82&type=chunk) - The Group's business transactions are primarily denominated in RMB, with limited foreign exchange risk, but it continuously monitors the RMB exchange rate against the USD and implements hedging measures[78](index=78&type=chunk)[79](index=79&type=chunk)[83](index=83&type=chunk) - As of June 30, 2025, the Group pledged properties and land use rights with a carrying value of approximately **RMB 28.745 billion** to secure bank facilities, with an outstanding balance of secured loans totaling approximately **RMB 14.452 billion**[85](index=85&type=chunk)[87](index=87&type=chunk) Financial Guarantees as of June 30, 2025 | Guarantee Type | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Mortgage | 17,745,161 | 17,864,327 | Capital Commitments as of June 30, 2025 | Business Type | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Property development business: contracted but not provided for | 14,409,813 | 12,444,597 | [Human Resources](index=20&type=section&id=Human%20Resources) As of June 30, 2025, the Group employed a total of 2,236 staff, with 667 engaged in property development business; the company adopts a performance-linked remuneration system and provides training courses to enhance employee skills and expertise - As of June 30, 2025, the Group employed a total of **2,236 staff**, with **667** engaged in property development business[92](index=92&type=chunk)[93](index=93&type=chunk) - The company adopts a performance-linked remuneration system and provides various training courses to enhance employee skills and develop expertise[92](index=92&type=chunk)[93](index=93&type=chunk) [Corporate Governance and Other Information](index=21&type=section&id=Corporate%20Governance%20and%20Other%20Information) This section details the company's adherence to corporate governance principles, including directors' and substantial shareholders' interests, compliance with listing rules, and other significant disclosures [Directors' and Substantial Shareholders' Interests](index=21&type=section&id=Directors'%20and%20Substantial%20Shareholders'%20Interests) As of June 30, 2025, Mr. Wang Weixian, a director of the company, and his family trust held interests in the company's shares and debentures, with Ms. Wang Xuling also holding share interests as a trust beneficiary. Independent non-executive directors Mr. Fong Ho and Mr. Kwan Kai Cheong held a small number of company shares. Substantial shareholders include Gluon Xima International Limited and its parent company, Greenland Holding Group Company Limited, holding 59.11% of the company's shares Total Long Position of Directors in Shares (as of June 30, 2025) | Name of Director | Capacity/Nature of Interest | Number of Shares | Approx. % of Issued Shares | | :--- | :--- | :--- | :--- | | Mr. Wang Weixian | Interest in controlled corporation | 38,804,571 | 1.39% | | Mr. Wang Weixian | Settlor of discretionary trust | 164,276,133 | 5.88% | | Ms. Wang Xuling | Beneficiary of discretionary trust | 164,276,133 | 5.88% | | Mr. Fong Ho, JP | Beneficial owner | 500,000 | 0.02% | | Mr. Kwan Kai Cheong | Beneficial owner | 500,000 | 0.02% | Total Long Position of Directors in Debentures (as of June 30, 2025) | Name of Director | Capacity/Nature of Interest | Currency of Debentures | Amount of Debentures | | :--- | :--- | :--- | :--- | | Mr. Wang Weixian | Interest in controlled corporation | USD | 4,475,000 | Total Long Position of Substantial Shareholders in Shares (as of June 30, 2025) | Name of Shareholder | Capacity/Nature of Interest | Number of Shares | Approx. % of Issued Shares | | :--- | :--- | :--- | :--- | | Gluon Xima International Limited | Beneficial owner | 1,650,244,409 | 59.11% | | Hong Kong Vee Eight Limited | Interest in controlled corporation | 1,650,244,409 | 59.11% | | Greenland Holding Group Company Limited | Interest in controlled corporation | 1,650,244,409 | 59.11% | | Greenland Holdings | Interest in controlled corporation | 1,650,244,409 | 59.11% | | SPG Investment Holdings Ltd. | Beneficial owner | 110,094,641 | 3.94% | | Brilliant Bright Investment Limited | Beneficial owner | 54,181,492 | 1.94% | | HSBC International Trustee Limited | Trustee | 164,276,133 | 5.88% | [Corporate Governance Compliance](index=27&type=section&id=Corporate%20Governance%20Compliance) For the six months ended June 30, 2025, the company complied with the provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules, except for code provision C.2.1 (separation of roles of chairman and chief executive) and F.2.2 (chairman's attendance at annual general meeting). The company believes that the chairman also serving as chief executive facilitates effective strategy formulation and implementation. All directors confirmed compliance with the Model Code for Securities Transactions by Directors - The company has complied with the provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules, except for code provision **C.2.1** (separation of roles of chairman and chief executive) and **F.2.2** (chairman's attendance at annual general meeting)[111](index=111&type=chunk)[112](index=112&type=chunk)[114](index=114&type=chunk) - The company believes that the chairman also serving as chief executive (Mr. Luo Weifeng) facilitates the effective formulation and implementation of the Group's strategies and has not prejudiced corporate governance practices[112](index=112&type=chunk)[114](index=114&type=chunk) - All directors have confirmed compliance with the Model Code for Securities Transactions by Directors for the six months ended June 30, 2025[113](index=113&type=chunk)[115](index=115&type=chunk) [Other Important Information](index=28&type=section&id=Other%20Important%20Information) During the reporting period, neither the company nor its subsidiaries purchased, sold, or redeemed any listed securities. Controlling shareholder Greenland Holding Group Company Limited provided a keepwell deed and equity purchase undertaking for the company's medium-term note program. There were no changes in directors' information, no significant acquisitions or disposals of subsidiaries, associates, and joint ventures, and no matters requiring disclosure under Listing Rule 13.20 during the reporting period. Since the publication of the 2024 annual report, there have been no significant changes in the Group's business development, financial position, and future prospects, and no important events occurred after the reporting period. The unaudited condensed consolidated financial statements have been reviewed by the audit committee - For the six months ended June 30, 2025, neither the company nor its subsidiaries purchased, sold, or redeemed any listed securities[116](index=116&type=chunk)[118](index=118&type=chunk) - Controlling shareholder Greenland Holding Group Company Limited provided a keepwell deed and equity purchase undertaking for the company's **USD 2 billion** medium-term note program[117](index=117&type=chunk)[119](index=119&type=chunk) - During the reporting period, there were no changes in directors' information, and no significant acquisitions or disposals of subsidiaries, associates, and joint ventures[120](index=120&type=chunk)[121](index=121&type=chunk)[125](index=125&type=chunk)[126](index=126&type=chunk) - The unaudited condensed consolidated financial statements have been reviewed by the audit committee, which confirmed their compliance with applicable accounting standards[130](index=130&type=chunk)[132](index=132&type=chunk) [Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income](index=31&type=section&id=Condensed%20Consolidated%20Statement%20of%20Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income) This section presents a summary of the company's financial performance, including revenues, costs, and profits or losses, for the reporting period [Profit or Loss Summary](index=31&type=section&id=Profit%20or%20Loss%20Summary) In the first half of 2025, the company's total revenue was RMB 6.936 billion, cost of sales RMB 6.224 billion, and gross profit RMB 711 million. Loss for the period was RMB 493 million, loss attributable to owners of the company was RMB 538 million, and basic loss per share was RMB 0.19. Net other comprehensive income (expense) was a gain of RMB 1.237 million Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income Summary for H1 2025 | Metric | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Revenue | 6,935,579 | 6,330,593 | | Cost of sales | (6,224,495) | (5,472,821) | | Gross profit | 711,084 | 857,772 | | Other income | 5,165 | 35,090 | | Other gains and losses | 16,553 | (12,765) | | Selling and marketing expenses | (160,459) | (184,362) | | Administrative expenses | (132,603) | (173,088) | | Other operating expenses | (140,831) | (37,411) | | Impairment losses on expected credit losses | (106,033) | 20,164 | | Fair value changes on investment properties | (301,511) | (591,750) | | Finance costs | (155,274) | (123,655) | | Loss before tax | (232,559) | (199,847) | | Income tax expense | (260,350) | (300,519) | | **Loss for the period** | **(492,909)** | **(500,366)** | | Loss for the period attributable to owners of the Company | (538,228) | (482,803) | | Loss for the period attributable to non-controlling interests | 1,310 | (61,094) | | Loss for the period attributable to holders of perpetual securities | 44,009 | 43,531 | | **Basic loss per share (RMB)** | **(0.19)** | **(0.17)** | [Condensed Consolidated Statement of Financial Position](index=33&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Position) This section provides a snapshot of the company's assets, liabilities, and equity at a specific point in time, reflecting its financial health [Financial Position Summary](index=33&type=section&id=Financial%20Position%20Summary) As of June 30, 2025, the company's total assets were RMB 109.360 billion, a decrease from RMB 114.470 billion at the end of 2024. Total liabilities were RMB 92.702 billion, and total equity was RMB 16.658 billion. Net current assets significantly decreased to RMB 2.944 billion from RMB 6.267 billion at the end of 2024 Condensed Consolidated Statement of Financial Position Summary as of June 30, 2025 | Metric | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | **Total non-current assets** | **17,714,520** | **18,125,345** | | Investment properties | 7,952,780 | 7,896,000 | | Property, plant and equipment | 1,997,413 | 2,433,140 | | Interests in associates | 1,659,360 | 1,670,307 | | Interests in joint ventures | 3,496,383 | 3,458,544 | | **Total current assets** | **91,645,550** | **96,344,693** | | Properties under development | 43,927,106 | 50,582,706 | | Completed properties held for sale | 24,083,069 | 21,550,570 | | Bank balances and cash | 463,553 | 695,112 | | **Total assets** | **109,360,070** | **114,470,038** | | **Total equity** | **16,657,717** | **17,151,505** | | Equity attributable to owners of the Company | 9,841,338 | 10,342,025 | | Perpetual securities | 896,776 | 852,767 | | Non-controlling interests | 5,919,603 | 5,956,713 | | **Total non-current liabilities** | **4,001,294** | **7,240,566** | | Interest-bearing loans | 2,727,840 | 5,843,446 | | **Total current liabilities** | **88,701,059** | **90,077,967** | | Interest-bearing loans | 11,758,905 | 8,477,272 | | Contract liabilities | 18,139,501 | 21,814,267 | | **Total liabilities** | **92,702,353** | **97,318,533** | | Net current assets | 2,944,491 | 6,266,726 | [Condensed Consolidated Statement of Changes in Equity](index=35&type=section&id=Condensed%20Consolidated%20Statement%20of%20Changes%20in%20Equity) This section outlines the changes in the company's equity components over the reporting period, including profits, losses, and other comprehensive income [Equity Changes Summary](index=35&type=section&id=Equity%20Changes%20Summary) As of June 30, 2025, equity attributable to owners of the company decreased from RMB 10.342 billion at the beginning of the year to RMB 9.841 billion, primarily due to a loss for the period of RMB 538 million. Perpetual securities equity increased to RMB 897 million, and non-controlling interests slightly decreased. Total equity decreased from RMB 17.152 billion to RMB 16.658 billion Condensed Consolidated Statement of Changes in Equity Summary for H1 2025 | Metric | As of January 1, 2025 (RMB thousand) | As of June 30, 2025 (RMB thousand) | | :--- | :--- | :--- | | Subtotal of equity attributable to owners of the Company | 10,342,025 | 9,841,338 | | - (Loss) profit for the period | - | (538,228) | | - Other comprehensive income | - | 1,237 | | Perpetual securities | 852,767 | 896,776 | | Non-controlling interests | 5,956,713 | 5,919,603 | | **Total** | **17,151,505** | **16,657,717** | [Condensed Consolidated Statement of Cash Flows](index=36&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) This section summarizes the cash inflows and outflows from operating, investing, and financing activities, providing insights into the company's liquidity and solvency [Cash Flow Summary](index=36&type=section&id=Cash%20Flow%20Summary) In the first half of 2025, net cash used in operating activities was RMB 402 million, net cash generated from investing activities was RMB 259 million, and net cash used in financing activities was RMB 88 million. Cash and cash equivalents at period-end decreased by RMB 231 million to RMB 464 million Condensed Consolidated Statement of Cash Flows Summary for H1 2025 | Cash Flow Type | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Net cash used in operating activities | (402,148) | (960,173) | | Net cash generated from investing activities | 258,921 | 730,056 | | Net cash used in financing activities | (88,032) | (510,777) | | Net decrease in cash and cash equivalents | (231,259) | (740,894) | | Cash and cash equivalents as of June 30 | 463,553 | 977,233 | [Notes to the Condensed Consolidated Financial Statements](index=37&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations and disclosures supporting the condensed consolidated financial statements, including accounting policies, segment information, and financial instrument fair value measurements [Basis of Preparation](index=37&type=section&id=BASIS%20OF%20PREPARATION) The condensed consolidated financial statements are prepared in accordance with IAS 34. As of June 30, 2025, the Group faces significant going concern uncertainties, including RMB 14.487 billion in interest-bearing loans (of which RMB 11.759 billion are due within one year) and RMB 4.549 billion in overdue loans. Management has formulated several mitigation measures, including negotiating extensions and restructuring with lenders, asset disposals, adjusting sales strategies, and releasing restricted cash, to ensure its ability to continue as a going concern - As of June 30, 2025, the Group's total interest-bearing loans amounted to **RMB 14.487 billion**, of which **RMB 11.759 billion** are repayable within one year[143](index=143&type=chunk)[145](index=145&type=chunk) - As of June 30, 2025, the Group had **RMB 4.549 billion** in overdue interest-bearing loans, which are secured by inventory properties with a total carrying value of **RMB 13.983 billion**[144](index=144&type=chunk)[145](index=145&type=chunk) - Management is actively negotiating with existing lenders for repayment extensions and restructuring of overdue loans, and seeking new financing sources[147](index=147&type=chunk) - Other mitigation measures include adjusting sales and pre-sale strategies, disposing of certain commercial properties to generate liquidity, and releasing restricted cash through timely completion and delivery of pre-sold properties[147](index=147&type=chunk)[152](index=152&type=chunk) - Despite management's confidence in going concern, significant uncertainties remain regarding the successful implementation of the aforementioned plans and measures, considering the volatility of China's real estate industry[153](index=153&type=chunk)[155](index=155&type=chunk) [Accounting Policies](index=41&type=section&id=ACCOUNTING%20POLICIES) The condensed consolidated financial statements are prepared on a historical cost basis, with certain properties and financial instruments measured at fair value. Amendments to IFRS 21 were first applied in the current period but had no significant impact on the financial position and performance - The condensed consolidated financial statements are prepared on a historical cost basis, with certain properties and financial instruments measured at fair value[158](index=158&type=chunk)[161](index=161&type=chunk) - Amendments to IAS 21 were first applied in the current period but had no significant impact on the Group's financial position and performance[160](index=160&type=chunk)[162](index=162&type=chunk) [Revenue from Contracts with Customers & Operating Segments](index=42&type=section&id=REVENUE%20FROM%20CONTRACTS%20WITH%20CUSTOMERS%20%26%20OPERATING%20SEGMENTS) In the first half of 2025, total revenue from contracts with customers was RMB 6.823 billion, with property sales accounting for RMB 6.429 billion, primarily recognized at a point in time. Revenue from property management and other services, and hotel and related services, was recognized over time. Segment-wise, property sales contributed the vast majority of external revenue, but segment losses primarily stemmed from property sales and property leasing Revenue from Contracts with Customers by Type for H1 2025 | Type of goods or services | Revenue recognized at a point in time (RMB thousand) | Revenue recognized over time (RMB thousand) | Total (RMB thousand) | | :--- | :--- | :--- | :--- | | Property sales | 6,429,216 | – | 6,429,216 | | Hotel and related services | – | 30,114 | 30,114 | | Property management and other services | – | 363,298 | 363,298 | | Leasing - rental income | - | - | 112,951 | | **Total revenue** | **6,429,216** | **393,412** | **6,935,579** | Revenue and Loss by Operating Segment for H1 2025 | Segment | External sales (RMB thousand) | Segment loss (RMB thousand) | | :--- | :--- | :--- | | Property sales | 6,429,216 | (297,632) | | Property leasing | 112,951 | (205,470) | | Hotel and related services | 30,114 | (2,215) | | Property management and other services | 363,298 | (14,484) | | **Total** | **6,935,579** | **(519,801)** | Assets and Liabilities by Operating Segment as of June 30, 2025 | Segment | Segment assets (RMB thousand) | Segment liabilities (RMB thousand) | | :--- | :--- | :--- | | Property sales | 122,768,016 | 120,164,489 | | Property leasing | 7,952,780 | 4,215,177 | | Hotel and related services | 2,041,426 | 1,676,234 | | Property management and other services | 10,259,959 | 5,464,307 | | **Total reportable segment assets/liabilities** | **109,360,070** | **92,702,353** | [Other Gains and Losses](index=45&type=section&id=OTHER%20GAINS%20AND%20LOSSES) In the first half of 2025, the company recorded net other gains and losses of RMB 16.553 million, primarily comprising net exchange gains of RMB 15.486 million and net gains on disposal of property, plant and equipment of RMB 1.067 million, contrasting with a loss in the same period of 2024 Other Gains and Losses for H1 2025 | Metric | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Net exchange gains (losses) | 15,486 | (12,692) | | Net gains (losses) on disposal of property, plant and equipment | 1,067 | (73) | | **Total** | **16,553** | **(12,765)** | [Finance Costs](index=45&type=section&id=FINANCE%20COSTS) In the first half of 2025, the company's finance costs increased to RMB 155 million, primarily comprising interest expenses on interest-bearing loans of RMB 394 million and interest expenses on lease liabilities of RMB 8.764 million. A portion of interest on interest-bearing loans and contract liabilities was capitalized Finance Costs for H1 2025 | Metric | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Interest expenses on interest-bearing loans | 393,950 | 465,058 | | Interest expenses on lease liabilities | 8,764 | 11,105 | | Interest expenses on contract liabilities | 95,628 | 182,488 | | Less: Interest on contract liabilities capitalized | (95,628) | (182,488) | | Less: Interest on interest-bearing loans capitalized | (247,440) | (352,508) | | **Total** | **155,274** | **123,655** | [Income Tax Expense](index=46&type=section&id=INCOME%20TAX%20EXPENSE) In the first half of 2025, income tax expense was RMB 260 million, a decrease of approximately 14% from RMB 301 million in the same period of 2024, primarily due to lower profit margins. Income tax mainly comprises PRC corporate income tax (25%) and land appreciation tax (30%-60% progressive rates) Income Tax Expense for H1 2025 | Tax Type | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | PRC corporate income tax | 145,347 | 305,225 | | PRC land appreciation tax | 145,739 | 170,069 | | Deferred tax | (30,736) | (174,775) | | **Total** | **260,350** | **300,519** | - Income tax expense decreased by approximately **14%**, primarily due to lower profit margins[67](index=67&type=chunk)[73](index=73&type=chunk) - Major operating companies in China are subject to corporate income tax at a rate of **25%**, while income from the sale or transfer of land use rights and buildings is subject to land appreciation tax at progressive rates ranging from **30% to 60%**[179](index=179&type=chunk)[182](index=182&type=chunk)[183](index=183&type=chunk)[184](index=184&type=chunk) [Loss for the Period](index=47&type=section&id=LOSS%20FOR%20THE%20PERIOD) In the first half of 2025, loss for the period was primarily affected by factors such as depreciation, amortization, staff costs, write-downs of properties under development and completed properties held for sale, and cost of properties sold. Notably, write-downs of properties under development and completed properties held for sale significantly increased to RMB 239 million Composition of Loss for the Period for H1 2025 | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Depreciation of property, plant and equipment | 17,887 | 21,952 | | Depreciation of right-of-use assets | 12,443 | 12,471 | | Amortisation of intangible assets | 23 | 23 | | Amortisation of contract costs | 50,610 | 35,213 | | Staff costs (excluding capitalized portion) | 106,455 | 145,656 | | Write-down of properties under development and completed properties held for sale | 239,395 | 110,468 | | Cost of properties sold | 5,838,251 | 5,078,687 | - Write-down of properties under development and completed properties held for sale significantly increased from **RMB 110 million** in the first half of 2024 to **RMB 239 million** in the first half of 2025[186](index=186&type=chunk) [Dividends](index=48&type=section&id=DIVIDENDS) In the first half of 2025, no dividends were paid, declared, or proposed by the company - No dividends were paid, declared, or proposed during the interim period[187](index=187&type=chunk)[188](index=188&type=chunk) [Loss Per Share](index=48&type=section&id=LOSS%20PER%20SHARE) In the first half of 2025, basic loss per share attributable to owners of the company increased to RMB 0.19, up from RMB 0.17 in the same period of 2024 Loss Per Share Calculation for H1 2025 | Metric | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Loss for the purpose of basic earnings per share | (538,228) | (482,803) | | Weighted average number of ordinary shares (thousand shares) | 2,769,188 | 2,769,188 | | **Basic loss per share (RMB)** | **(0.19)** | **(0.17)** | [Investment Properties](index=49&type=section&id=INVESTMENT%20PROPERTIES) As of June 30, 2025, the carrying value of investment properties was RMB 7.953 billion. During the period, some property, plant and equipment were reclassified as investment properties due to change in use, and a revaluation loss of RMB 170 million was recognized. The fair value of investment properties was assessed by independent professional valuers, Cushman & Wakefield, primarily using the income capitalization approach and direct comparison approach. As of the period end, RMB 3.519 billion of investment properties were pledged as collateral for the Group's borrowings Movement in Investment Properties (H1 2025) | Item | Amount (RMB thousand) | | :--- | :--- | | As of January 1, 2025 (audited) | 7,896,000 | | Disposals | (59,426) | | Transfers from property, plant and equipment | 417,717 | | Net decrease in fair value recognized in profit or loss | (301,511) | | **As of June 30, 2025 (unaudited)** | **7,952,780** | - During the period, property, plant and equipment with a carrying value of **RMB 418 million** were reclassified as investment properties due to a change in use to generate rental income, and a revaluation loss of **RMB 170 million** was recognized[193](index=193&type=chunk)[194](index=194&type=chunk) - The fair value of investment properties was assessed by independent professional valuers, Cushman & Wakefield, primarily using the income capitalization approach and direct comparison approach[192](index=192&type=chunk)[196](index=196&type=chunk)[197](index=197&type=chunk)[199](index=199&type=chunk) - As of June 30, 2025, **RMB 3.519 billion** of investment properties were pledged as collateral for the Group's borrowings[198](index=198&type=chunk)[199](index=199&type=chunk) [Trade and Other Receivables, Deposits and Prepayments](index=51&type=section&id=TRADE%20AND%20OTHER%20RECEIVABLES%2C%20DEPOSITS%20AND%20PREPAYMENTS) As of June 30, 2025, total trade and other receivables, deposits, and prepayments amounted to RMB 20.549 billion, largely consistent with the end of 2024. Net other receivables were RMB 17.232 billion. A relatively high proportion of trade receivables were aged over 365 days Trade and Other Receivables, Deposits and Prepayments as of June 30, 2025 | Item | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade receivables, net of allowance for credit losses | 147,635 | 167,843 | | Other receivables, net of allowance for credit losses | 17,232,020 | 17,063,402 | | Prepayments | 1,212,870 | 1,351,098 | | Prepaid deposits for acquisition of land for development | 465,120 | 465,120 | | Other prepaid taxes | 1,491,337 | 1,570,460 | | **Total** | **20,548,982** | **20,617,923** | Ageing Analysis of Trade Receivables as of June 30, 2025 | Ageing | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | 0–90 days | 43,160 | 65,851 | | 91–180 days | 14,695 | 3,117 | | 181–365 days | 20,983 | 12,190 | | Over 365 days | 68,797 | 86,685 | | **Total** | **147,635** | **167,843** | [Impairment Assessment on Financial Assets and Other Items Subject to ECL Model](index=53&type=section&id=IMPAIRMENT%20ASSESSMENT%20ON%20FINANCIAL%20ASSETS%20AND%20OTHER%20ITEMS%20SUBJECT%20TO%20ECL%20MODEL) In the first half of 2025, the company recognized RMB 106 million in impairment losses on expected credit losses, primarily due to an increase in impairment losses on other receivables, while impairment losses on trade receivables and contract assets decreased Impairment Losses on Expected Credit Losses for H1 2025 | Item | H1 2025 (RMB thousand) | H1 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade receivables | (7,336) | 113 | | Other receivables | 113,859 | (20,277) | | Contract assets | (490) | – | | **Total** | **106,033** | **(20,164)** | [Interest-Bearing Loans](index=54&type=section&id=INTEREST-BEARING%20LOANS) As of June 30, 2025, the Group's total interest-bearing loans amounted to RMB 14.487 billion, with RMB 11.759 billion repayable within one year. Loans are primarily secured bank loans. The Group has RMB 4.549 billion in overdue interest-bearing loans, secured by inventory properties with a carrying value of RMB 13.983 billion, and is currently negotiating restructuring with lenders Composition of Interest-Bearing Loans as of June 30, 2025 | Loan Type | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Secured bank loans | 14,451,645 | 14,285,618 | | Unsecured bank loans | 35,100 | 35,100 | | **Total** | **14,486,745** | **14,320,718** | Repayment Schedule of Interest-Bearing Loans as of June 30, 2025 | Repayment Period | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Within one year | 11,758,905 | 8,477,272 | | Over one year but not exceeding two years | 926,814 | 4,655,696 | | Over two years but not exceeding five years | 1,029,026 | 408,750 | | Over five years | 772,000 | 779,000 | | **Total** | **14,486,745** | **14,320,718** | - As of June 30, 2025, the Group had **RMB 4.549 billion** in overdue interest-bearing loans, which are secured by inventory properties with a total carrying value of **RMB 13.983 billion**[213](index=213&type=chunk)[214](index=214&type=chunk) - As of the date of approval for issue of the consolidated financial statements, the repayment of **RMB 4.482 billion** in interest-bearing loans is still under negotiation, and the directors are confident that a satisfactory outcome will ultimately be achieved[214](index=214&type=chunk) [Trade and Other Payables](index=56&type=section&id=TRADE%20AND%20OTHER%20PAYABLES) As of June 30, 2025, total trade and other payables amounted to RMB 49.648 billion, slightly lower than at the end of 2024. Trade payables were RMB 22.749 billion, and non-trade payables to related parties were RMB 7.379 billion. A relatively high proportion of trade payables were aged over 365 days Composition of Trade and Other Payables as of June 30, 2025 | Item | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade payables | 22,749,416 | 24,090,536 | | Non-trade payables to related parties | 7,379,112 | 7,320,514 | | Other tax payables | 2,287,875 | 2,066,138 | | Interest payables | 895,460 | 750,237 | | Amounts due to non-controlling shareholders | 4,275,721 | 4,293,344 | | Other payables and accrued expenses | 10,992,147 | 11,214,210 | | **Total** | **49,648,364** | **50,844,451** | Ageing Analysis of Trade Payables as of June 30, 2025 | Ageing | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | 0–90 days | 9,871,484 | 11,016,069 | | 91–180 days | 193,367 | 3,119,131 | | 181–365 days | 2,951,579 | 2,514,468 | | Over 365 days | 9,732,986 | 7,440,868 | | **Total** | **22,749,416** | **24,090,536** | [Share-Based Payment](index=57&type=section&id=SHARE-BASED%20PAYMENT) As of June 30, 2025, the carrying value of shares held under the share award scheme was RMB 49.279 million, with 22,697 thousand shares, remaining unchanged from the end of 2024 Movement in Shares Held Under Share Award Scheme | Item | Shares held under share award scheme (thousand shares) | | :--- | :--- | | Outstanding as of January 1, 2024, December 31, 2024, and June 30, 2025 | 22,697 | - As of June 30, 2025, the carrying value of shares held under the share award scheme was **RMB 49,279,000**[221](index=221&type=chunk) [Share Capital](index=58&type=section&id=SHARE%20CAPITAL) As of June 30, 2025, the company's authorized share capital comprised 7 billion ordinary shares of HKD 0.5 each and 3 billion convertible preference shares of HKD 0.5 each. Issued and fully paid share capital was 2.792 billion ordinary shares of HKD 0.5 each, amounting to RMB 1.132 billion. During the reporting period, no listed securities of the company were purchased, sold, or redeemed by its subsidiaries Authorized Share Capital as of June 30, 2025 | Type of share capital | Number of shares (thousand shares) | Amount (HKD thousand) | | :--- | :--- | :--- | | Ordinary shares of HKD 0.5 each | 7,000,000 | 3,500,000 | | Convertible preference shares of HKD 0.5 each | 3,000,000 | 1,500,000 | | **Total** | **10,000,000** | **5,000,000** | Issued and Fully Paid Share Capital as of June 30, 2025 | Type of share capital | Number of shares (thousand shares) | Amount (RMB thousand) | | :--- | :--- | :--- | | Ordinary shares of HKD 0.5 each | 2,791,885 | 1,132,097 | - None of the company's subsidiaries purchased, sold, or redeemed any of the company's listed securities during the two interim periods[224](index=224&type=chunk) [Perpetual Securities](index=59&type=section&id=PERPETUAL%20SECURITIES) On July 27, 2016, the Group issued USD-denominated senior perpetual capital securities with a total principal of USD 120 million. These perpetual securities are classified as equity instruments, entitling holders to receive distributions semi-annually at the applicable distribution rate. During the interim period, the company did not pay distributions, but the applicable distribution rate was 10.21% - On July 27, 2016, the Group issued **USD-denominated senior perpetual capital securities** with a total principal of **USD 120 million**[225](index=225&type=chunk)[228](index=228&type=chunk) - The perpetual securities are classified as equity instruments, and their distributions (if declared) are treated as equity dividends[226](index=226&type=chunk)[228](index=228&type=chunk) - During the interim period, the company did not pay distributions, but the applicable distribution rate was **10.21%**[227](index=227&type=chunk)[228](index=228&type=chunk) [Fair Value Measurement of Financial Instruments](index=60&type=section&id=FAIR%20VALUE%20MEASUREMENT%20OF%20FINANCIAL%20INSTRUMENTS) The company's fair value measurement of financial assets adopts a three-level hierarchy. As of June 30, 2025, the fair value of private equity instruments measured at fair value through other comprehensive income was RMB 464 million, classified as Level 3, valued using the asset approach, and its fair value is affected by the fair value of related assets and liabilities - Fair value measurement of financial assets is categorized into three levels: Level 1 (quoted prices in active markets), Level 2 (observable input data), and Level 3 (unobservable input data)[230](index=230&type=chunk)[231](index=231&type=chunk)[233](index=233&type=chunk) Private Equity Instruments Measured at Fair Value Through Other Comprehensive Income as of June 30, 2025 | Financial assets | Fair value as of June 30, 2025 (RMB) | Fair value as of December 31, 2024 (RMB) | Fair value hierarchy | Valuation techniques and key inputs | | :--- | :--- | :--- | :--- | :--- | | Private equity instruments measured at fair value through other comprehensive income | 464,150,000 | 462,501,000 | Level 3 | Asset approach, affected by the fair value of related assets and liabilities at the valuation date. | Reconciliation of Financial Assets Measured at Level 3 Fair Value | Item | Equity instruments measured at fair value through other comprehensive income (RMB thousand) | | :--- | :--- | | As of January 1, 2025 (audited) | 462,501 | | Total gains recognized in other comprehensive income | 1,649 | | **As of June 30, 2025 (unaudited)** | **464,150** | [Capital Commitments](index=62&type=section&id=CAPITAL%20COMMITMENTS) As of June 30, 2025, the company's capital commitments for properties under development and property, plant and equipment, contracted but not provided for in the condensed consolidated financial statements, amounted to RMB 14.410 billion, an increase from RMB 12.445 billion at the end of 2024 Capital Commitments as of June 30, 2025 | Item | As of June 30, 2025 (RMB thousand) | As of December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Property development business contracted but not provided for in the condensed consolidated financial statements | 14,409,813 | 12,444,597 | [Contingent Liabilities](index=62&type=section&id=CONTINGENT%20LIABILITIES) As of June 30, 2025, the Group provided financial guarantees for mortgage loans to property purchasers amounting to approximately RMB 17.745 billion, which the directors consider to have a remote chance of default and thus no value was recognized. Additionally, the Group provided a financial guarantee of approximately RMB 396 million to its joint venture, Yancheng Green Leap, which also had no value recognized due to its working capital for repayment - As of June 30, 2025, the Group provided financial guarantees for mortgage loans to property purchasers amounting to approximately **RMB 17.745 billion**, which the directors consider to have a remote chance of default, and thus no value was recognized[240](index=240&type=chunk)[241](index=241&type=chunk)[242](index=242&type=chunk) - As of June 30, 2025, the Group provided a financial guarantee of approximately **RMB 396 million** to its joint venture, Yancheng Green Leap, which also had no value recognized due to its working capital for repayment[243](index=243&type=chunk)[244](index=244&type=chunk) [Glossary](index=64&type=section&id=Glossary) This section provides definitions for key terms and abbreviations used throughout the report

Financial Performance - The group recorded a revenue of approximately HKD 203.3 million for the six months ended June 30, 2025, representing an increase of about 41.7% compared to HKD 143.4 million in the same period last year[6]. - The loss attributable to equity holders of the company was approximately HKD 6 million, a decrease from a profit of HKD 17.6 million in the previous year, primarily due to losses from investments in associates[6]. - Revenue for the six months ended June 30, 2025, was HKD 203,267,000, compared to HKD 143,434,000 for the same period in 2024, representing an increase of 41.7%[33]. - Gross profit for the six months ended June 30, 2025, was HKD 63,491,000, down from HKD 69,054,000 in 2024, indicating a decrease of 8.3%[33]. - Net profit for the six months ended June 30, 2025, was HKD 6,733,000, a significant decline from HKD 30,277,000 in 2024, reflecting a decrease of 77.8%[35]. - The total comprehensive income for the six months ended June 30, 2025, was HKD 16,391,000, compared to HKD 19,357,000 in 2024, showing a decrease of 15.3%[35]. - The company reported a total loss of HKD 6,733,000 for the period, a significant decrease from a profit of HKD 30,277,000 in the same period last year[52]. Segment Performance - The toy and gift manufacturing and sales segment generated revenue of approximately HKD 82.3 million, with a gross margin of 57.8%, up from 42.2% in the previous year[8]. - The Chinese herbal medicine business recorded revenue of approximately HKD 42.4 million, down from HKD 57 million in the previous year[9]. - The wine business, acquired on June 5, 2024, generated revenue of approximately HKD 78.6 million, with a segment profit of approximately HKD 2.65 million[10]. - The profit from the toy and gift segment was HKD 1,313,000, compared to a loss of HKD 670,000 in the previous year, indicating a turnaround in performance[52]. - The herbal medicine segment reported a profit of HKD 16,652,000, down from HKD 25,081,000 in the prior year, reflecting a decrease of about 33.3%[52]. - The herbal medicine trading segment generated revenue of HKD 42,356,000, down from HKD 56,950,000 in the previous year, a decline of approximately 25.7%[52]. Financial Position - As of June 30, 2025, the group's cash and bank balances were approximately HKD 117 million, down from HKD 135.9 million as of December 31, 2024[19]. - The group's borrowings amounted to approximately HKD 160.2 million as of June 30, 2025, compared to HKD 139.4 million as of December 31, 2024, indicating an increase in debt[19]. - The capital debt ratio increased to 76% as of June 30, 2025, from 68% as of December 31, 2024, reflecting a higher level of leverage[20]. - The company has a net current liability of approximately HKD 54,803,000 as of June 30, 2025, raising concerns about its ability to continue as a going concern[45]. - The company reported a significant increase in inventory, which rose to HKD 139,761,000 as of June 30, 2025, from HKD 97,643,000 in 2024, an increase of 42.9%[37]. - Total assets as of June 30, 2025, reached HKD 843,875,000, an increase from HKD 796,611,000 as of December 31, 2024, representing a growth of approximately 5.9%[53]. - Total liabilities as of June 30, 2025, amounted to HKD 443,835,000, compared to HKD 412,962,000 as of December 31, 2024, indicating an increase of about 7.5%[54]. Cash Flow and Financing - The financing activities generated a net cash inflow of HKD 18,052,000 for the six months ended June 30, 2025, compared to HKD 38,716,000 in 2024, a decrease of 53.3%[42]. - The company issued 470,000,000 new shares, raising HKD 47,000,000 as part of its capital increase strategy[66]. - The company completed a placement of 470,000,000 ordinary shares at a price of HKD 0.111 per share, netting approximately HKD 51,300,000 after expenses, to repay outstanding convertible bonds[73]. - The company conditionally agreed to issue 157,800,000 subscription shares at a subscription price of approximately HKD 0.4309 per share, with a total subscription amount of approximately HKD 68,000,000[76]. Governance and Compliance - The independent non-executive directors were unable to attend the annual general meeting held on June 18, 2025, due to personal matters, which may impact governance perceptions[26]. - The company has adopted the standard code for securities transactions by directors, confirming compliance during the reporting period[27]. Employee and Operational Metrics - The group employed 368 staff as of June 30, 2025, an increase from 365 employees as of December 31, 2024, indicating a slight growth in workforce[24]. - Employee costs, including directors' remuneration, totaled HKD 22,896,000 for the six months ended June 30, 2025, up from HKD 21,914,000 in 2024, reflecting an increase of approximately 4.5%[58].

Contents 目錄 | Corporate Information | 公司資料 | 2 | | --- | --- | --- | | Financial Summary | 財務概要 | 5 | | Management Discussion and Analysis | 管理層討論與分析 | 6 | | Corporate Governance and Other Information | 企業管治及其他資料 | 29 | | Independent Auditor's Report | 獨立核數師報告 | 46 | | Consolidated Statement of Profit or Loss | 綜合損益表 | 48 | | Consolidated Statement of Profit or Loss and | 綜合損益及其他全面收益表 | | | Other Comprehensive Income | | 49 | | Consolidated Statement of Financial Position | 綜合財務狀況表 | 50 | | Consolidated Sta ...

(I ncorpo rated in the Ca yman Isla n d s with limited liability ) Stock code 股 份 代 號 ：26 9 9 於 開 曼 群 島 註 冊 成 立 的 有 限公司） INTERI M RE P ORT 2025 中 期 報 告 CONTENTS 目錄 | Corporate Information | 2 | | --- | --- | | 公司資料 | | | Results Highlights | 5 | | 業績摘要 | | | Management Discussion and Analysis | 6 | | 管理層討論與分析 | | | Corporate Governance and Other Information | 23 | | 企業管治及其他資料 | | | Unaudited Condensed Consolidated | 28 | | --- | --- | | Statement of Profit or Loss and | | | Other Comprehensive Income | | | ...