Financial Performance - In the first half of 2021, the company achieved a revenue of RMB 6,247.9 million, representing a year-on-year increase of 119.6%[40] - Total revenue amounted to RMB6,247.9 million, increased by 119.6% compared to the six months ended June 30, 2020[57] - Revenue from digital marketing services amounted to RMB1,952.3 million during the reporting period[46] - Revenue from real estate brokerage network services increased by 96.2% to RMB2,162.3 million compared to the six months ended June 30, 2020[61] - Revenue from primary housing agency services increased by 29.2% to RMB1,637.4 million compared to the six months ended June 30, 2020[61] - The company reported a loss for the period amounting to RMB1,562.7 million[59] - The loss for the period amounted to RMB1,562.7 million in the six months ended June 30, 2021, compared to a profit of RMB104.7 million in the six months ended June 30, 2020[102] - Total comprehensive expense for the period was RMB1,562.4 million in the six months ended June 30, 2021, compared to total comprehensive income of RMB104.7 million in the six months ended June 30, 2020[104] - Operating loss was RMB1,665.2 million in the six months ended June 30, 2021, compared to an operating profit of RMB269.8 million in the six months ended June 30, 2020, resulting in an operating loss margin of 26.7%[104] - EBITDA loss was RMB1,071.1 million in the six months ended June 30, 2021, compared to an EBITDA profit of RMB436.2 million in the six months ended June 30, 2020[107] Real Estate Services - The total sales area of real estate agency services in the primary market reached 18.0 million square meters, with a Gross Transaction Value (GTV) of RMB 222.6 billion, a year-on-year growth of 51.0%[40] - The total gross transaction value (GTV) of real estate agency services was RMB222.6 billion, increased by 51.0% compared to the six months ended June 30, 2020[58] - The total GTV of real estate brokerage network services was RMB100.1 billion, increased by 131.1% compared to the six months ended June 30, 2020[58] - The real estate brokerage network service business realized a GTV of RMB 100.1 billion, with a year-on-year increase of 131.1%, and the number of units sold reached 67,536, up 110.2% year-on-year[41] Expenses and Costs - Staff costs increased by 50.7% from RMB1,183.9 million to RMB1,783.6 million, but as a percentage of revenue, it decreased from 41.6% to 28.5%[68] - Advertising and promotion expenses surged by 1,313.8% from RMB102.6 million to RMB1,450.2 million, mainly due to costs incurred by Leju after its acquisition[74] - Other operating costs rose by 223.4% from RMB98.0 million to RMB316.9 million, primarily due to costs incurred by Leju[87] - Distribution expenses increased by 104.7% from RMB968.4 million to RMB1,982.4 million, reflecting growth in the real estate brokerage network services segment[86] - Consultancy expenses increased by 120.9% from RMB79.3 million to RMB175.2 million, attributed to the recovery of operations[85] - Finance costs rose by 28.9%, from RMB209.1 million in the six months ended June 30, 2020, to RMB269.6 million in the six months ended June 30, 2021, mainly due to increased average balances of senior notes and bank loans[100] Cash and Financing - As of June 30, 2021, the company had cash and cash equivalents of RMB6,090.9 million, down from RMB7,515.8 million as of December 31, 2020[113] - The principal uses of cash during the six months ended June 30, 2021, were for working capital and recurring expenses to support business expansion[114] - The company's gearing ratio increased to 66.5% as of June 30, 2021, up from 64.1% as of December 31, 2020, primarily due to a decrease in cash and cash equivalents[117] - The Group had utilized approximately RMB1,309.1 million from the proceeds of USD-denominated senior notes for general corporate purposes and refinancing existing indebtedness[171] - The remaining balance of net proceeds from the senior notes issuance is approximately US$99.6 million, equivalent to RMB648.4 million, which is placed with banks for gradual application[171] Corporate Governance and Management - The Company has established an audit committee to review and supervise the financial reporting process and internal controls, consisting of three members: Mr. Zhang Bang, Mr. Li Jin, and Mr. Wang Liqun, with Mr. Zhang as the chairman[148] - The Company has complied with all code provisions set out in the Corporate Governance Code during the reporting period[148] - The Company has established a nomination committee and a remuneration committee in addition to the audit committee[150] - The Audit Committee reviewed the unaudited interim results for the six months ended June 30, 2021, discussing accounting policies and internal controls with senior management and the auditor[148] Strategic Initiatives - The company aims to establish a digital marketing strategy centered on "Tmall Haofang" to create a full-chain platform for online and offline real estate digital marketing[49] - The company plans to leverage CRIC Big Data to expand its real estate digital service platform ecosystem[53] - The Company announced the conditional agreement to sell 76,401,247 ordinary shares of Leju and the entire equity interest in E-House (China) International Property Development Limited for HK$2,558,696,093, to be settled by issuing 11,692,966 new JV shares[144] - A second strategic cooperation amendment agreement was signed with Alibaba China, granting exclusive rights to develop and operate a Tmall Haofang branded online real estate marketing platform[144] Changes in Directors - Mr. Zhu Hongchao was appointed as an independent director effective from June 2021[195] - Mr. Tang Xing was appointed as a non-executive Director effective from September 2, 2021[195] - Mr. Li Silong resigned as a non-executive Director effective from September 2, 2021[195] - Mr. Lv Peimei was appointed as a non-executive Director effective from September 2, 2021[195] - Mr. Huang Haojun resigned as a non-executive Director effective from September 2, 2021[195] - There has been no change to the information of the Directors which is required to be disclosed pursuant to Rule 13.51B(1) of the Listing Rules[195]
易居企业控股(02048) - 2021 - 中期财报