Company Performance and Strategy - Greentown China Holdings Limited has maintained a leadership position in the industry for 17 consecutive years, being ranked in the "Top 10 among 100 Chinese Real Estate Enterprises by Comprehensive Strength" and achieving No.1 in customer satisfaction for 11 consecutive years[8]. - The company's "Strategic 2025 Plan" aims to establish itself as the "quality benchmark among the Top 10" in the real estate sector, focusing on nine major real estate-related businesses while balancing institutional innovation and new business expansion[13]. - Greentown's project management business has shown rapid growth since its inception in September 2010, further solidified by the spin-off of Greentown Management Holdings Company Limited in July 2020, which is listed separately on the Stock Exchange[13]. - The company is committed to transitioning from "quality development" to "high-quality development" over the next five years, focusing on customer understanding and product excellence[13]. - The company emphasizes innovation in mixed ownership enterprise practices, aiming to enhance operational excellence and strategic meticulousness[13]. - Greentown China is committed to reform and innovation to enhance operational efficiency[25]. Financial Performance - The Group generated revenue of RMB36,135 million, a significant growth of RMB12,239 million or 51.2% from RMB23,896 million in the corresponding period of 2020[27]. - Net profit increased to RMB3,910 million, representing a rise of 24.9% from RMB3,130 million in the same period of 2020[27]. - Total contracted sales area reached approximately 7.24 million sqm with a total contracted sales amount of approximately RMB171.7 billion, marking a year-on-year growth of 88%[28]. - The average selling price of self-investment projects remained at approximately RMB28,226 per sqm, maintaining an industry-leading level[30]. - The Group achieved a gross profit of RMB7,935 million, representing a 28.3% increase from RMB6,184 million in the same period of 2020[65]. - The gross profit margin decreased to 22.0%, down 3.9 percentage points from 25.9% in the corresponding period of 2020[65]. Land Acquisition and Development - The company has a strong focus on developing in first- and second-tier cities, as well as high-quality third- and fourth-tier cities, leveraging its rich land bank and operational capabilities[11]. - The company successfully controlled the pace of land acquisition, adding multiple premium land parcels[25]. - The Group acquired 67 new projects in 31 cities, with a total gross floor area of approximately 11.86 million sqm, and an estimated newly-added saleable value of RMB214 billion[33]. - The newly-added saleable value in first- and second-tier cities accounted for 78%, with the Yangtze River Delta area contributing 50% of the total[35]. - The company’s land acquisition strategy included a focus on high-safety, low-risk, and high-profitability cities, ensuring a robust pipeline for future developments[36]. - As of June 30, 2021, Greentown Group had a total of 251 land reserve projects with a total GFA of approximately 60.34 million sqm, of which approximately 34.95 million sqm was attributable to the Group[42]. Customer Satisfaction and Product Quality - Greentown China has been recognized for its commitment to social responsibility and product quality, receiving multiple awards from mainstream organizations in the industry[8]. - Customer satisfaction score reached 88.7, ranking first in the industry for 11 consecutive years[47]. - The Group launched 12 innovative benchmarking projects, maintaining its leading position in product strength[44]. Operational Efficiency - The overall operation efficiency improved, with the time from land acquisition to delivery reduced to 30.6 months, accelerating by 6% year-on-year[43]. - The Group's cash collection rate reached 95% during the period, indicating effective management of cash flow[31]. - The application rate of materials from centralized procurement reached 97%, with dynamic construction costs decreasing by 1.5% compared to target costs[46][48]. Market Conditions and Challenges - The real estate industry is experiencing tightened liquidity due to regulatory policies, impacting supply and demand[24]. - The company operates in various regions, including major cities like Beijing, Shanghai, and Guangzhou[19]. Shareholder Information and Corporate Governance - As of the report date, CCCG holds approximately 25.1% of the total issued share capital, making it the single largest shareholder of Greentown[9]. - The Company has complied with all applicable code provisions set out in the Corporate Governance Code throughout the Reporting Period[86]. - The interim results announcement and report for the Reporting Period were reviewed by the Audit Committee and approved by the Board[86]. Employee and Share Option Information - As of June 30, 2021, the Group employed a total of 8,917 employees, an increase from 8,081 employees as of December 31, 2020[84]. - The company has granted a total of 12,600,000 share options under the 2016 Share Option Scheme, with various exercise conditions based on share price increases[91]. - The total number of share options available for issue under the Share Option Scheme was 30,003,219 shares, representing approximately 1.2% of the issued share capital of the Company as at the date of this report[112].
绿城中国(03900) - 2021 - 中期财报