棕榈股份(002431) - 2025 Q2 - 季度财报

Part I Important Notice, Table of Contents, and Definitions Important Notice The company's board, supervisory board, and senior management guarantee the report's accuracy; forward-looking statements are not commitments; no cash dividends, bonus shares, or capital increase from reserves are planned - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report content[4] - Forward-looking statements, such as development strategies and operating plans, are company plans and do not constitute substantial commitments to investors, carrying certain uncertainties[5] - The company plans not to distribute cash dividends, send bonus shares, or convert capital reserves into share capital[6] Table of Contents This report's clear table of contents lists nine main chapters covering important notices, company profile, management discussion, corporate governance, significant matters, share changes, bond information, financial reports, and other data - The report contains nine main chapters, structured clearly for investor review[9] List of Reference Documents Reference documents include the original full report and abstract signed by the legal representative, original financial statements, and all publicly disclosed company documents and announcements during the reporting period, available at the Securities Development Department - Reference documents include the original full report and abstract signed by the legal representative, original financial statements, and original announcements of publicly disclosed documents[11] - Reference documents are available at the Securities Development Department[11] Definitions This section defines key terms used in the report, such as company abbreviations, major related party names, stock exchanges, articles of association, and the reporting period, to ensure accurate understanding of the content - This section defines key terms used in the report, such as "Palm Eco-Town", "Yuzi Affordable Housing", and "Yuzi Holdings"[12] - The reporting period refers to January 1, 2025, to June 30, 2025[12] Part II Company Profile and Key Financial Indicators Company Profile Palm Eco-Town Development Co., Ltd., stock code 002431, is listed on the Shenzhen Stock Exchange, with Liu Jianghua as its legal representative Company Basic Information | Indicator | Content | | :--- | :--- | | Stock Abbreviation | Palm Eco-Town | | Stock Code | 002431 | | Listing Exchange | Shenzhen Stock Exchange | | Chinese Name | 棕榈生态城镇发展股份有限公司 | | Legal Representative | Liu Jianghua | Contact Persons and Information The company's Board Secretary is Feng Yulan and Securities Affairs Representative is Liang Lifen, both located in Guangzhou, with provided contact details Contact Information | Position | Name | Contact Address | Phone | Fax | Email | | :--- | :--- | :--- | :--- | :--- | :--- | | Board Secretary | Feng Yulan | 6th Floor, Block B, Zhuguang New City International Center, No. 3 Qingyi Street, Macheng Road, Tianhe District, Guangzhou, Guangdong Province | 020-85189002 | 020-85189000 | 002431@palm-la.com | | Securities Affairs Representative | Liang Lifen | 6th Floor, Block B, Zhuguang New City International Center, No. 3 Qingyi Street, Macheng Road, Tianhe District, Guangzhou, Guangdong Province | 020-85189003 | 020-85189000 | 002431@palm-la.com | Other Information Company contact information remained unchanged, and disclosures are made through specified media including China Securities Journal, Shanghai Securities News, and Cninfo - The company's registered address, office address, website, and email remained unchanged during the reporting period[16] - The company discloses its semi-annual report through China Securities Journal, Shanghai Securities News, and Cninfo (www.cninfo.com.cn)[17](index=17&type=chunk) Key Accounting Data and Financial Indicators Revenue increased by 2.77% to RMB 1.625 billion, but net loss attributable to shareholders was RMB 273 million, narrowing by 24.73%, while operating cash flow significantly decreased by 176.81% Key Accounting Data and Financial Indicators (Current Period vs. Prior Year) | Indicator | Current Period (RMB) | Prior Year (RMB) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,624,707,239.58 | 1,580,965,292.10 | 2.77% | | Net Profit Attributable to Shareholders of Listed Company | -273,351,983.14 | -363,167,858.44 | 24.73% | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Items) | -302,789,607.75 | -462,786,445.26 | 34.57% | | Net Cash Flow from Operating Activities | -164,954,365.32 | 214,752,385.56 | -176.81% | | Basic Earnings Per Share (RMB/share) | -0.15 | -0.20 | 25.00% | | Diluted Earnings Per Share (RMB/share) | -0.15 | -0.20 | 25.00% | | Weighted Average Return on Net Assets | -17.95% | -11.69% | -6.26% | | Current Period End vs. Prior Year End | | | | | Total Assets (RMB) | 18,554,393,780.48 | 18,226,475,160.46 | 1.80% | | Net Assets Attributable to Shareholders of Listed Company (RMB) | 1,386,626,157.99 | 1,658,419,731.85 | -16.39% | Differences in Accounting Data under Domestic and Overseas Accounting Standards The company reported no differences in net profit and net assets between international/overseas accounting standards and Chinese accounting standards - The company reported no differences in net profit and net assets between international accounting standards and Chinese accounting standards during the reporting period[20] - The company reported no differences in net profit and net assets between overseas accounting standards and Chinese accounting standards during the reporting period[21] Non-Recurring Gains and Losses Items and Amounts Non-recurring gains and losses totaled RMB 29.44 million, primarily from capital occupation fees and non-operating income Non-Recurring Gains and Losses Items and Amounts | Item | Amount (RMB) | | :--- | :--- | | Gains or losses from disposal of non-current assets | -102,670.34 | | Government grants recognized in current profit or loss | 373,407.27 | | Gains or losses from changes in fair value and disposal of financial assets and liabilities | 89,055.94 | | Capital occupation fees received from non-financial enterprises recognized in current profit or loss | 18,103,658.59 | | Gains or losses from debt restructuring | 1,263,032.61 | | Other non-operating income and expenses apart from the above | 9,683,960.55 | | Investment income from disposal of long-term equity investments | 37,564.94 | | Less: Income tax impact | 10,384.95 | | Total | 29,437,624.61 | Part III Management Discussion and Analysis Main Businesses During the Reporting Period The company focuses on urban-rural development and ecological environment construction, building an integrated "planning-design-construction" platform, and expanding into operation services, particularly light-asset cultural tourism Industry Development Overview In H1 2025, the construction industry saw slower growth but strong policy support, with accelerated urban renewal, focus on new agricultural productivity, and a robust cultural tourism market recovery - In H1 2025, the national construction industry's total output value reached RMB 13,674.5 billion, a year-on-year increase of 0.2%; floor area under construction for housing decreased by 12% year-on-year[27] - The state strongly supports the construction industry, planning to allocate RMB 4.4 trillion in local government special bonds, primarily for investment, land reserves, and acquisition of existing commercial housing[27] - Urban renewal is accelerating, with Guangzhou planning to complete over RMB 180 billion in urban renewal fixed asset investment in 2025, including over RMB 100 billion for urban village renovation[29][30] - The Central Document No. 1 for the first time proposed "new quality productive forces in agriculture," promoting high-quality, efficient, and sustainable agricultural development[33] - Support for high-standard farmland construction is strong, with central government subsidies per mu increasing from RMB 1,300 to RMB 2,400, and RMB 125.4 billion from the trillion-yuan special national debt issued in late 2023 specifically allocated for this purpose[35] - In H1 2025, domestic tourist trips reached 3.285 billion, a year-on-year increase of 20.6%; domestic tourism spending was RMB 3.15 trillion, up 15.2% year-on-year[32] Company's Main Businesses Core businesses include green urban-rural construction (planning, design, ecological landscaping, building engineering) and operation services (maintenance, commercial, asset, cultural tourism, property management), with a focus on light-asset cultural tourism - The company has been deeply involved in urban-rural development and ecological environment construction for over forty years, establishing an integrated "planning-design-construction" comprehensive platform[37] - The company's operation services cover greening maintenance, commercial operations, asset operations, cultural tourism operations, and property services, aiming to provide one-stop, professional solutions[38] - The company develops cultural tourism towns with a core focus on light-asset operations, providing full-lifecycle project services through its wholly-owned subsidiary, Guangdong Palm Cultural Tourism Management Co., Ltd., including planning guidance, brand creation, industry introduction, and operational support[42] Core Competitiveness Analysis Core competencies include state-owned control advantages, ESG and digitalization integration, design leadership, technological innovation, and an efficient light-asset operation model Deep Empowerment from State-Owned Control State-owned control enhances credit and financing, with the controlling shareholder providing business synergy and support for high-standard farmland, affordable housing, and industrial parks - As a state-controlled listed company, the company's credit rating and financing capabilities have steadily improved[43] - The controlling shareholder has built a full industry chain of "investment, financing, management, construction, and operation," promoting the company's comprehensive expansion in high-standard farmland construction and operation, affordable housing construction, and industrial park development[43] ESG and Digital Empowerment The company holds multiple top-tier qualifications, integrates ESG principles into operations, leverages digital technologies for efficiency, and achieved a Wind "A-level" ESG rating - The company holds multiple significant qualifications, including Grade-A General Contracting for Municipal Public Works, Grade-A General Contracting for Housing Construction, and Grade-A Special Design for Landscape Architecture[45] - The company actively practices ESG principles, integrating environmental protection, social responsibility, and corporate governance into daily operations and business implementation, and has received a Wind "A-level" ESG rating[45] Design-Led Business Development Palm Design Group offers integrated design solutions and a "Design+" model, while Belt Collins International (HK) boasts an international team and strong brand reputation in Greater China and Belt and Road markets - Palm Design Group Co., Ltd. holds important qualifications such as Grade-A Special Design for Landscape Architecture and Grade-A Urban Planning, building a business platform integrating planning, architecture, landscape, and resource management[46] - Palm Design Group innovates the "Design+" business model, establishing a full industry chain pattern of "Design + Industry, Design + Construction, Design + Operation"[46] - Belt Collins International (Hong Kong) Limited possesses a complete professional and international environmental landscape design team, enjoying an excellent brand reputation in Greater China and "Belt and Road" countries[46] Technological Innovation Driving Enterprise Development The company prioritizes R&D in horticulture and ecological restoration, with growing patent applications, new plant varieties, and two subsidiaries recognized as national high-tech SMEs - The company in horticulture plants and ecological restoration, actively planning research in modern agriculture and green building technologies[47] - Patent applications and authorizations continue to grow, new plant variety rights are constantly updated, and two of its subsidiaries have been recognized as "National High-tech SMEs"[48] Efficient Operations Empowering Enterprise Development Utilizing a light-asset operation platform, the company focuses on resource integration and minimal reinvestment to enhance cultural tourism project profitability, operating 7 projects, including 4 A-level scenic spots - The company uses Guangdong Palm Cultural Tourism Management Co., Ltd. as its light-asset operation platform, focusing on resource introduction, project integration, and light reinvestment[49] - Currently, the company operates a total of 7 cultural tourism projects, including 4 A-level scenic spots[49] - The light-asset operation strategy effectively reduces heavy asset burden, enhances financial flexibility and risk resistance, and completes the company's F+EPC+O business model closed loop[49] Main Business Analysis Despite a complex market, the company achieved RMB 1.625 billion in revenue, a 2.77% increase, but still reported a net loss of RMB 273 million, narrowing by 24.73%, through various strategic initiatives Overview In H1 2025, the company achieved RMB 1.625 billion in revenue, up 2.77%, with a net loss attributable to the parent company of RMB 273 million, narrowing by 24.73% - In H1 2025, the company achieved operating revenue of RMB 1.625 billion, a year-on-year increase of 2.77%[50] - Net profit attributable to owners of the parent company was -RMB 273 million, with the loss narrowing by 24.73% year-on-year[50] Party Building Leadership: Strengthening Organization and Integration, Solidifying Development Foundation The company leverages Party building to drive organizational integration, conduct regular studies, oversee compliance, and foster a strong, ethical workforce through refined management and integrity initiatives - The company, guided by Party building, regularly conducts special study sessions and incorporates the rectification of irregular dining into daily supervision[50] - The company continuously promotes deep integration of Party building and business, building a strong team through refined management of cadres, innovative Party-masses co-construction, and promotion of integrity culture[50] Organizational Reform and Project Management: Dual Drivers for Quality and Efficiency Improvement The company optimized its organizational structure for regional and specialized management, settled 85 projects totaling RMB 1.481 billion, enhanced project management, and launched a procurement platform - The company continuously optimizes its organizational structure, aiming to "strengthen headquarters, empower regions, and specialize subsidiaries," forming a pattern of regional operations and specialized management[52] - During the reporting period, the company completed the settlement of 85 projects, with a cumulative settlement amount of RMB 1.481 billion[52] - The company launched the "Yuzi Qingfeng Procurement Platform," enabling online operation of the entire bidding process, and strengthened PPP project management and collection, revitalizing cultural tourism inventory assets[52] Professional Integration: Aggregating Resources, Unleashing Intrinsic Motivation of Professional Subsidiaries Adhering to principles of focus, resource aggregation, mutual empowerment, and risk isolation, the company promotes scaled and specialized development of subsidiaries, enhancing their independent operational capabilities - The company adheres to the core principles of "focusing on main business, aggregating resources, mutual empowerment, and risk isolation" to promote the scaled and specialized development of its professional subsidiaries[53] - The company empowers professional subsidiaries through effective allocation of personnel, qualifications, and capital, enhancing their independent operational capabilities[53] Rural Revitalization: Focusing on Key Areas, Exploring New Models for Innovative Development The company actively participates in rural revitalization, securing over RMB 3.8 billion in high-standard farmland projects covering 1.26 million mu, and exploring "Rural Revitalization + New Quality Productive Forces" models - As of the end of the reporting period, the company had cumulatively won bids for high-standard farmland construction projects covering over 1.26 million mu, with a total order value exceeding RMB 3.8 billion, ranking among the top in Henan Province[54] - The company focuses on agricultural industrialization around the concept of "Rural Revitalization + New Quality Productive Forces," launching the Fan County Rice Integrated Primary, Secondary, and Tertiary Industry Demonstration Project[54] - The company plans to explore an integrated "technology + finance + organization" operation and management model, starting with high-standard farmland construction[54] Technological Innovation: Securing 20 Authorized Patents, Re-certified as National Agricultural Leading Enterprise Driven by innovation, the company obtained 20 authorized patents, applied for 15 new ones, achieved 7 plant variety approvals, contributed to industry standards, and was re-certified as a national agricultural leading enterprise - During the reporting period, the company obtained 20 authorized patents (including 1 invention patent) and 4 software copyrights; it also applied for 15 new patents (including 1 invention patent)[56] - For new plant varieties, 7 passed on-site inspections, 6 were accepted, and 2 new applications were submitted[56] - The company was re-certified as a National Agricultural Industrialization Leading Enterprise and compiled the "High-Standard Farmland Full Lifecycle Construction Guide"[56] Digital Transformation: Establishing a Platform, Exploring New Business Models to Inject Vitality The company established Palm Digital Intelligence Technology (Shenzhen) Co., Ltd. as its digital transformation hub, focusing on smart cities, rural revitalization, smart construction, and electronic intelligence, achieving good business progress - The company completed the establishment of its wholly-owned subsidiary, Palm Digital Intelligence Technology (Shenzhen) Co., Ltd., as the core vehicle for digital transformation[57] - Palm Digital Technology's main businesses focus on four major areas: smart cities, rural revitalization, smart construction, and electronic intelligent construction, aiming to build industry-leading digital solutions and industrial internet platforms[57] Investment Management: Continuously Advancing Subsidiary Governance, Safeguarding Company's Strategic Development The company continues to streamline subsidiary governance, mitigating investment and debt risks, having deregistered 2 subsidiaries and reduced governance layers for 15 others during the reporting period - The company continuously promotes the streamlining and governance of its participating and controlled subsidiaries, effectively preventing and resolving investment and debt risks[58] - During the reporting period, the company completed the deregistration of 2 subsidiaries and advanced the work of reducing governance layers for 15 subsidiaries[58] Safety Production: Multi-pronged Approach, Guarding Company's Safety Line Adhering to "safety first," the company strengthened its responsibility system, conducted over 50 safety inspections and training sessions, achieving "zero accidents, zero casualties" in the first half - The company adheres to the policy of "safety first, prevention foremost, comprehensive governance," strictly maintaining safety bottom lines and achieving "zero accidents, zero casualties" safety targets[59] - In the first half of the year, over 50 comprehensive and specialized safety inspections were conducted, covering all ongoing projects, with timely rectification of various safety hazards[59] Cost Reduction and Efficiency Improvement: Systemic Advancement, Enhanced Performance The company implemented a "capital allocation system" for tiered management, reducing administrative expenses, optimizing financing structure with a 59BP lower cost, and enhancing fund utilization through innovative payment models - The company achieved tiered management with the "capital allocation system" as its core, resulting in a reduction in management expenses[61] - The company optimized its financing structure, with the comprehensive financing cost rate decreasing by 59BP compared to the same period last year, and achieved breakthroughs in supply chain financing and inclusive small and micro enterprise policies[61] - The company strengthened financial control and innovated settlement and payment models, effectively improving fund utilization efficiency[61] Debt Collection and Litigation: Dual Approach, Significant Collection Results The company intensified debt collection efforts through flexible and differentiated strategies, completing 35 settlement projects totaling RMB 780 million and actively pursuing creditor claims to improve cash flow - The company adheres to flexible collection and differentiated strategies, having completed 35 existing collection and settlement projects in the first half of the year, with a settlement amount of RMB 780 million[62] - The company actively utilizes policy tools to advance creditor declaration work in various project locations, promoting settlement and collection for multiple projects[62] Year-on-Year Changes in Key Financial Data Revenue increased by 2.77%, but operating cash flow significantly decreased by 176.81% due to reduced and increased payments, while sales and administrative expenses decreased, and R&D investment grew by 22.42% Key Financial Data Year-on-Year Changes | Indicator | Current Period (RMB) | Prior Year (RMB) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,624,707,239.58 | 1,580,965,292.10 | 2.77% | | | Operating Cost | 1,468,770,186.86 | 1,477,564,817.03 | -0.60% | | | Selling Expenses | 3,000,539.29 | 4,663,726.77 | -35.66% | Primarily due to reduced bidding fees in the current period compared to the prior year | | Administrative Expenses | 51,950,878.44 | 71,196,161.64 | -27.03% | | | Financial Expenses | 206,362,815.60 | 203,323,489.71 | 1.49% | | | Income Tax Expense | -3,064,832.78 | -2,590,820.67 | -18.30% | | | R&D Investment | 75,066,039.91 | 61,319,415.50 | 22.42% | | | Net Cash Flow from Operating Activities | -164,954,365.32 | 214,752,385.56 | -176.81% | Primarily due to reduced cash received from other operating activities and increased cash paid for other operating activities in the current period | | Net Cash Flow from Investing Activities | -39,777,574.16 | -61,033,058.07 | 34.83% | Primarily due to reduced cash paid for investments | | Net Cash Flow from Financing Activities | 224,970,183.77 | 63,281,447.00 | 255.51% | Primarily due to reduced cash outflows from financing activities | | Net Increase in Cash and Cash Equivalents | 20,150,925.40 | 217,021,400.51 | -90.71% | Primarily due to reduced net cash inflow from operating activities in the current period | Composition of Operating Revenue Engineering construction accounted for 95.50% of revenue, growing by 2.78%, with North China being the primary revenue source at 79.92%, increasing by 15.61% Operating Revenue Composition (by Industry) | Industry Segment | Current Period Amount (RMB) | Proportion of Operating Revenue | Prior Year Amount (RMB) | Proportion of Operating Revenue | Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Engineering Construction | 1,551,573,041.55 | 95.50% | 1,509,579,568.24 | 95.48% | 2.78% | | Design Services | 38,214,818.23 | 2.35% | 37,894,717.31 | 2.40% | 0.84% | | Urban Operations | 26,915,310.42 | 1.66% | 26,816,255.08 | 1.70% | 0.37% | | Other | 8,004,069.38 | 0.49% | 6,674,751.47 | 0.42% | 19.92% | Operating Revenue Composition (by Region) | Region Segment | Current Period Amount (RMB) | Proportion of Operating Revenue | Prior Year Amount (RMB) | Proportion of Operating Revenue | Year-on-Year Change | | :--- | :--- | :--- | :--- | :--- | :--- | | North China Region | 1,298,516,343.67 | 79.92% | 1,123,158,012.06 | 71.04% | 15.61% | | East China Region | 169,699,298.05 | 10.44% | 259,788,539.80 | 16.43% | -34.68% | | South China Region | 117,051,493.44 | 7.20% | 112,675,729.07 | 7.13% | 3.88% | | Central China Region | 25,922,635.25 | 1.60% | 65,246,679.80 | 4.13% | -60.27% | | Southwest Region | 13,517,469.17 | 0.83% | 20,096,331.37 | 1.27% | -32.74% | Main Business Data (by Industry and Region) | Item | Operating Revenue (RMB) | Operating Cost (RMB) | Gross Margin | Year-on-Year Change in Operating Revenue | Year-on-Year Change in Operating Cost | Year-on-Year Change in Gross Margin | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | By Industry | | | | | | | | Engineering Construction | 1,551,573,041.55 | 1,404,690,280.09 | 9.47% | 2.78% | 2.07% | 0.63% | | By Region | | | | | | | | North China Region | 1,298,516,343.67 | 1,221,485,718.56 | 5.93% | 17.01% | 18.15% | -0.91% | | East China Region | 169,699,298.05 | 155,027,082.61 | 8.65% | -29.05% | -23.23% | -6.92% | Non-Core Business Analysis Non-core businesses significantly impacted total profit, with asset impairment losses of RMB 152 million, accounting for 54.62%, primarily from receivables and contract assets, alongside investment income of RMB 46.66 million Impact of Non-Core Business on Total Profit | Item | Amount (RMB) | Proportion of Total Profit | Explanation of Formation | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 46,656,592.01 | -16.74% | Primarily investment income from long-term equity investments accounted for using the equity method | No | | Gains or Losses from Fair Value Changes | 0.00 | 0.00% | | No | | Asset Impairment | -152,259,609.17 | 54.62% | Primarily impairment provisions for accounts receivable, other receivables, and contract assets | Yes | | Non-Operating Income | 9,608,343.51 | -3.45% | | No | | Non-Operating Expenses | -211,379.15 | 0.08% | | No | Analysis of Assets and Liabilities Total assets grew by 1.80% to RMB 18.55 billion, but net assets attributable to shareholders decreased by 16.39% to RMB 1.39 billion, with 35.62% in contract assets and RMB 1.74 billion in restricted assets Significant Changes in Asset Composition Total assets reached RMB 18.55 billion, up 1.80%, with contract assets remaining the largest component at 35.62%, while net assets attributable to shareholders declined by 16.39% Significant Changes in Asset Composition | Item | Amount at Period End (RMB) | Proportion of Total Assets | Amount at Year-End (RMB) | Proportion of Total Assets | Change in Proportion | | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 612,089,696.92 | 3.30% | 543,282,263.13 | 2.98% | 0.32% | | Accounts Receivable | 2,197,872,776.12 | 11.85% | 2,069,190,889.50 | 11.35% | 0.50% | | Contract Assets | 6,609,511,324.83 | 35.62% | 6,608,190,433.45 | 36.26% | -0.64% | | Inventories | 408,222,913.32 | 2.20% | 308,552,991.33 | 1.69% | 0.51% | | Investment Properties | 312,030,525.66 | 1.68% | 317,651,684.55 | 1.74% | -0.06% | | Long-Term Equity Investments | 2,550,692,886.77 | 13.75% | 2,494,670,141.81 | 13.69% | 0.06% | | Fixed Assets | 228,197,085.22 | 1.23% | 207,902,845.16 | 1.14% | 0.09% | | Short-Term Borrowings | 1,152,598,607.16 | 6.21% | 1,255,918,481.81 | 6.89% | -0.68% | | Long-Term Borrowings | 185,000,000.00 | 1.00% | 215,000,000.00 | 1.18% | -0.18% | Major Overseas Assets The company reported no major overseas assets during the reporting period - The company reported no major overseas assets during the reporting period[73] Assets and Liabilities Measured at Fair Value Fair value measured financial assets totaled RMB 431 million, primarily other non-current financial assets, showing a slight increase from the beginning of the period Assets and Liabilities Measured at Fair Value | Item | Beginning Balance (RMB) | Amount Purchased in Current Period (RMB) | Amount Sold in Current Period (RMB) | Ending Balance (RMB) | | :--- | :--- | :--- | :--- | :--- | | Financial Assets - Other Non-Current Financial Assets | 428,028,885.60 | 3,097,501.00 | 0.00 | 431,126,386.60 | | Subtotal of Financial Assets | 428,028,885.60 | 3,097,501.00 | 0.00 | 431,126,386.60 | | Receivables Financing | 125,241.99 | 0.00 | 125,241.99 | 0.00 | | Total Above | 428,154,127.59 | 3,097,501.00 | 125,241.99 | 431,126,386.60 | Asset Restrictions as of the End of the Reporting Period As of the reporting period end, RMB 1.74 billion in assets, including cash, fixed assets, long-term equity investments, investment properties, and receivables, were restricted by freezing, pledges, or mortgages Asset Restrictions as of the End of the Reporting Period | Item | Ending Book Balance (RMB) | Ending Book Value (RMB) | Type of Restriction | | :--- | :--- | :--- | :--- | | Monetary Funds | 195,294,721.75 | 195,294,721.75 | Frozen, Margin | | Fixed Assets | 29,468,086.23 | 26,307,654.30 | Mortgage, Pledge | | Long-Term Equity Investments | 29,096,856.67 | - | Mortgage, Pledge | | Investment Properties | 241,513,241.47 | 197,116,504.75 | Mortgage, Pledge | | Accounts Receivable | 1,015,076,208.12 | 1,015,076,208.12 | Pledge | | Other Non-Current Financial Assets | 229,959,900.00 | 229,959,900.00 | Pledge | | Total | 1,740,409,014.24 | 1,663,754,988.92 | | Investment Analysis Total investment was RMB 30.80 million, a 50.80% decrease, primarily comprising capital injections into four ecological and one commercial development company, with RMB 820 million of raised funds utilized Overall Situation The company's investment amounted to RMB 30.80 million, a 50.80% decrease compared to the same period last year Investment Amount During the Reporting Period | Indicator | Amount (RMB) | | :--- | :--- | | Investment Amount in Current Period | 30,804,980.00 | | Investment Amount in Prior Year | 62,617,500.00 | | Change Percentage | -50.80% | Significant Equity Investments Acquired During the Reporting Period The company made significant equity investments totaling RMB 30.35 million through capital injections into several ecological and commercial development companies, all completed Significant Equity Investments During the Reporting Period | Investee Company Name | Investment Method | Investment Amount (RMB) | Shareholding Percentage | Source of Funds | Investment Term | Product Type | Profit/Loss in Current Period (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Zhengyang County Yuzi Urban-Rural Ecological Environment Development Co., Ltd. | Capital Increase | 3,850,000.00 | 40.00% | Own Funds | Long-term | Engineering Project | 140.98 | | Ningling County Yuzi Palm Ecological Environment Development Co., Ltd. | Capital Increase | 12,050,000.00 | 45.00% | Own Funds | Long-term | Engineering & Design | 50.00 | | Sheqi County Zhongpu Ecological Environment Co., Ltd. | Capital Increase | 4,400,000.00 | 47.50% | Own Funds | Long-term | Engineering & Design | 2,258,349.36 | | Shangshui County Zhongpu Ecological Environment Governance Development Co., Ltd. | Capital Increase | 2,850,000.00 | 42.50% | Own Funds | Long-term | Engineering & Design | 3,923,338.65 | | Palm Yuzi Commercial Development Co., Ltd. | Capital Increase | 7,200,000.00 | 30.00% | Own Funds | Long-term | Business Services | -409,538.68 | | Total | -- | 30,350,000.00 | -- | -- | -- | -- | 5,772,340.31 | Significant Non-Equity Investments in Progress During the Reporting Period The company reported no significant non-equity investments in progress during the reporting period - The company reported no significant non-equity investments in progress during the reporting period[85] Financial Asset Investments The company reported no securities or derivative investments during the reporting period - The company reported no securities investments during the reporting period[85] - The company reported no derivative investments during the reporting period[86] Use of Raised Funds Of the RMB 976 million raised in 2017, RMB 820 million has been used, with RMB 156 million remaining, primarily for the Shejiang Park and Meixian PPP projects, whose overall benefits are yet to be calculated - The net amount of funds raised by the company through non-public issuance of shares in 2017 was RMB 975,960,692.60[89] - As of June 30, 2025, the company had cumulatively used RMB 820,377,212.96 as committed, with RMB 155,583,479.64 of raised funds yet to be invested[90] - The raised funds were primarily used for the Shejiang Park Service Supporting Project and the Meixian District Urban Expansion and Quality Improvement PPP Project; as the project has not completed all sub-project settlements and performance evaluations, the estimated overall benefits cannot yet be calculated[93] - The company used RMB 190 million of idle raised funds to temporarily supplement working capital, with a term not exceeding 12 months, which had not expired as of the end of the reporting period[93] Significant Asset and Equity Sales The company did not sell any significant assets or equity during the reporting period - The company did not sell significant assets during the reporting period[96] - The company did not sell significant equity during the reporting period[97] Analysis of Major Holding and Participating Companies Key subsidiaries include Palm Landscape (Hong Kong) Co., Ltd. (net profit RMB 4.21 million) and Palm Design Group Co., Ltd. (net profit RMB 24.61 million); the company acquired Palm Digital Intelligence Technology (Shenzhen) Co., Ltd. and deregistered two subsidiaries Major Subsidiary Financial Information | Company Name | Company Type | Main Business | Registered Capital (RMB) | Total Assets (RMB) | Net Assets (RMB) | Operating Revenue (RMB) | Operating Profit (RMB) | Net Profit (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Palm Landscape (Hong Kong) Co., Ltd. | Subsidiary | Operating and selling flowers, seedlings, and shade plants; investing in Belt Collins International (Hong Kong) Limited | 10,000 (HKD) | 166,202,829.01 | 193,681,825.99 | 18,173,856.40 | 4,210,487.81 | 4,210,222.66 | | Palm Design Group Co., Ltd. | Subsidiary | Landscape planning and design, environmental planning and design and consulting; land development services, real estate development; engineering project planning, investment consulting, investment management; urban and rural planning and design, tourism planning and design, architectural design and consulting, municipal engineering design; and providing related technical services, technical consulting | 50,000,000 | 125,782,419.72 | 18,130,992.51 | 13,777,165.05 | 27,740,253.54 | 24,613,191.75 | - During the reporting period, the company acquired Palm Digital Intelligence Technology (Shenzhen) Co., Ltd., with a RMB 0 impact on overall production, operations, and performance[99] Structured Entities Controlled by the Company The company reported no controlled structured entities during the reporting period - The company reported no controlled structured entities during the reporting period[100] Risks Faced by the Company and Countermeasures The company faces macro environment changes, business operations (market competition, declining gross margins, increasing receivables, funding pressure), collection of contract assets and receivables, and increased litigation, addressed by various management and strategic measures - The company faces complex impacts from the macroeconomic situation and industry policy environment, with uncertainties in business development[100] - The company's green urban-rural construction business faces risks such as intensified market competition, declining gross margins, increasing accounts receivable year by year, and significant capital pressure[101] - The company's main business is primarily engineering construction, with large balances of contract assets and accounts receivable, potentially facing risks of delayed project settlement, delayed collection, or impairment[103] - The company's accumulation of litigation cases and significant amounts involved have increased in recent years due to debt collection lawsuits and being sued by downstream suppliers[104] - The company's countermeasures include strengthening internal management, broadening financing channels, optimizing asset-liability structure, enhancing innovation-driven development, continuously advancing construction business reform, strengthening PPP project management, clarifying collection responsibilities, and establishing and improving internal control systems[100][101][103][104] Formulation and Implementation of Market Value Management System and Valuation Enhancement Plan The company did not formulate a market value management system or disclose a valuation enhancement plan during the reporting period - The company did not formulate a market value management system during the reporting period[105] - The company did not disclose a valuation enhancement plan during the reporting period[106] Implementation of "Quality and Return Dual Improvement" Action Plan The company did not disclose an announcement regarding the "Quality and Return Dual Improvement" action plan during the reporting period - The company did not disclose an announcement regarding the "Quality and Return Dual Improvement" action plan during the reporting period[107] Part IV Corporate Governance, Environment, and Society Changes in Directors, Supervisors, and Senior Management The board and senior management saw multiple changes, including the departure of directors Wang Gengchao, Hou Jie, Fang Hui, and Vice General Manager Lu Cong, and the election of Liu Jianghua (as Chairman), Sun Haohui, Xu Kai as directors, and Wu Yanfang as employee representative supervisor Changes in Directors, Supervisors, and Senior Management | Name | Position | Type | Date | Reason | | :--- | :--- | :--- | :--- | :--- | | Wang Gengchao | Chairman | Departure | January 10, 2025 | Work transfer | | Hou Jie | Director | Departure | January 10, 2025 | Work transfer | | Fang Hui | Director | Departure | January 10, 2025 | Work transfer | | Lu Cong | Vice General Manager | Departure | February 27, 2025 | Personal reasons | | Lei Jinyou | Employee Representative Supervisor | Departure | July 04, 2025 | Personal reasons | | Liu Jianghua | Chairman | Election | February 05, 2025 | Work transfer | | Sun Haohui | Director | Election | February 05, 2025 | Work transfer | | Xu Kai | Director | Election | February 05, 2025 | Work transfer | | Wu Yanfang | Employee Representative Supervisor | Election | July 04, 2025 | Election | Profit Distribution and Capital Reserve Conversion to Share Capital During the Reporting Period The company plans no cash dividends, bonus shares, or capital reserve conversions to share capital for the half-year period - The company plans not to distribute cash dividends, send bonus shares, or convert capital reserves into share capital for the half-year period[109] Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the reporting period - The company reported no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[110] Environmental Information Disclosure Neither the listed company nor its major subsidiaries are included in the list of enterprises required to disclose environmental information by law - Neither the listed company nor its major subsidiaries are included in the list of enterprises required to disclose environmental information by law[111] Social Responsibility The company did not disclose any social responsibility information during the reporting period - The company did not disclose any social responsibility information during the reporting period[111] Part V Significant Matters Commitments Fulfilled and Overdue Unfulfilled by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company During and as of the End of the Reporting Period The company reported no fulfilled or overdue unfulfilled commitments by its controlling shareholder, shareholders, related parties, acquirers, or the company during or as of the end of the reporting period - The company reported no fulfilled or overdue unfulfilled commitments by its controlling shareholder, shareholders, related parties, acquirers, or the company during or as of the end of the reporting period[113] Non-Operating Funds Occupied by Controlling Shareholder and Other Related Parties from the Listed Company The company reported no non-operating funds occupied by its controlling shareholder or other related parties during the reporting period - The company reported no non-operating funds occupied by its controlling shareholder or other related parties during the reporting period[114] Irregular External Guarantees The company reported no irregular external guarantees during the reporting period - The company reported no irregular external guarantees during the reporting period[115] Appointment and Dismissal of Accounting Firms The company's semi-annual report was not audited - The company's semi-annual report was not audited[116] Board of Directors' and Supervisory Board's Explanations on "Non-Standard Audit Report" for the Current Period The company reported no non-standard audit report for the current period - The company reported no non-standard audit report for the current period[117] Board of Directors' Explanations on "Non-Standard Audit Report" for the Previous Year The company reported no non-standard audit report for the previous year - The company reported no non-standard audit report for the previous year[117] Bankruptcy Reorganization Matters The company reported no bankruptcy reorganization matters during the reporting period - The company reported no bankruptcy reorganization matters during the reporting period[117] Litigation Matters The company is involved in significant litigation, including a loan dispute with Shandong Shengwei Saline-Alkali Land Technology Co., Ltd. for RMB 149 million, which is pending trial and has an uncertain impact on future profits Significant Litigation and Arbitration Matters | Basic Information of Litigation (Arbitration) | Amount Involved (RMB 10,000) | Provision for Liabilities Formed | Progress of Litigation (Arbitration) | Impact of Litigation (Arbitration) | Enforcement Status of Litigation (Arbitration) Judgment | Disclosure Date | Disclosure Index | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Loan dispute between the company and Shandong Shengwei Saline-Alkali Land Technology Co., Ltd. and others | 14,913.18 | No | Case accepted | As of the end of the reporting period, this case has not yet been heard, and its impact on the company's current and future profits remains uncertain | As of the end of the reporting period, this case has not yet been heard | May 29, 2025 | Cninfo (www.cninfo.com.cn) "Announcement on the Company's Litigation" (Announcement No.: 2025-049) | Penalties and Rectification The company reported no penalties or rectification situations during the reporting period - The company reported no penalties or rectification situations during the reporting period[120] Integrity Status of the Company, its Controlling Shareholder, and Actual Controller The company reported no integrity issues concerning itself, its controlling shareholder, or actual controller during the reporting period - The company reported no integrity issues concerning itself, its controlling shareholder, or actual controller during the reporting period[121] Significant Related Party Transactions The company engaged in daily operational related party transactions totaling RMB 199 million with its controlling shareholder and affiliates, and applied for a RMB 3.3 billion loan facility, which was fully utilized by period-end Related Party Transactions Related to Daily Operations The company engaged in daily operational related party transactions with its controlling shareholder and affiliates, involving project contracting totaling RMB 199 million, within the approved RMB 400 million limit Related Party Transactions Related to Daily Operations | Transacting Party | Relationship | Transaction Type | Transaction Content | Pricing Principle | Transaction Amount (RMB 10,000) | Proportion of Transaction Amount | Approved Limit (RMB 10,000) | Exceeded Limit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Henan Yuzi Affordable Housing Management and Operation Co., Ltd. and its affiliates | Controlling Shareholder | Company (including wholly-owned or controlled subsidiaries) contracts projects to related parties (including wholly-owned or controlled subsidiaries) | Providing main business projects | Determined based on industry standards, development level of project location, industry pricing standards, combined with local market prices, through bidding or mutual negotiation | 19,881.87 | 70.83% | 40,000 | No | Related Party Transactions Involving Asset or Equity Acquisitions and Sales The company reported no related party transactions involving asset or equity acquisitions and sales during the reporting period - The company reported no related party transactions involving asset or equity acquisitions or sales during the reporting period[123] Related Party Transactions Involving Joint External Investments The company reported no related party transactions involving joint external investments during the reporting period - The company reported no related party transactions involving joint external investments during the reporting period[125] Related Party Creditor-Debtor Relationships The company reported no non-operating related party creditor-debtor relationships during the reporting period - The company reported no non-operating related party creditor-debtor relationships during the reporting period[126] Dealings with Affiliated Finance Companies The company had no deposit, loan, credit, or other financial business dealings with affiliated finance companies - The company had no deposit, loan, credit, or other financial business dealings with affiliated finance companies[127] Dealings of Company-Controlled Finance Companies with Related Parties The company's controlled finance companies had no deposit, loan, credit, or other financial business dealings with related parties - The company's controlled finance companies had no deposit, loan, credit, or other financial business dealings with related parties[128] Other Significant Related Party Transactions The company applied for a RMB 3.3 billion loan facility from its controlling shareholder and affiliates at an average interest rate not exceeding 6.65%, fully utilized by the end of the reporting period for working capital or debt repayment - The company plans to apply for a loan facility not exceeding RMB 3.3 billion from its controlling shareholder, Henan Yuzi Affordable Housing Management and Operation Co., Ltd., and its affiliates[129] - The comprehensive average interest rate for the loans will not exceed 6.65%, and the funds will be used to supplement the company's working capital or repay existing debts[129] - As of June 30, 2025, the cumulative loan balance from Henan Yuzi Affordable Housing Management and Operation Co., Ltd. and its affiliates was RMB 3.3 billion, not exceeding the loan facility[129] Significant Contracts and Their Performance The company and its subsidiaries have office leases and property rentals not meeting disclosure thresholds. Guarantees for subsidiaries totaled RMB 1.367 billion, representing 98.57% of net assets, with all for entities having a debt-to-asset ratio over 70% Custody, Contracting, and Leasing Matters The company had no custody or contracting arrangements. Office leases and property rentals did not meet disclosure thresholds and had no significant impact on financial statements or operations - The company reported no custody arrangements during the reporting period[131] - The company reported no contracting arrangements during the reporting period[132] - During the reporting period, some office spaces for the company, its subsidiaries, and branches were leased; some of the company's own properties were rented out, but the amounts involved did not meet the disclosure standards and had no significant impact on the company's financial statements or normal operations[133] Significant Guarantees Guarantees for subsidiaries totaled RMB 1.367 billion, representing 98.57% of the company's net assets, with all guarantees provided for entities whose asset-liability ratio exceeded 70% Company Guarantees for Subsidiaries | Name of Guaranteed Party | Guaranteed Amount (RMB 10,000) | Actual Guaranteed Amount (RMB 10,000) | Type of Guarantee | Guarantee Period | Fulfilled | Related Party Guarantee | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Guilin Palm Cultural Tourism Investment Co., Ltd. | 50,000 | 31,140 | Joint and several liability guarantee | Eight years | No | No | | Shangrao Zhongyuan Ecological Environment Co., Ltd. | 82,000 | 53,862.94 | Joint and several liability guarantee | Fifteen years | No | No | | Palm Shengcheng Investment Co., Ltd. | 3,000 | 3,000 | Joint and several liability guarantee | Three years and four months | No | Yes | | Chongqing Zhongyu Cultural Tourism Development Co., Ltd. | 5,100 | 5,099.98 | Joint and several liability guarantee | Four years and two months | No | Yes | | Palm Shengcheng Investment Co., Ltd. | 1,187.7 | 0 | Joint and several liability guarantee | Three years and seven months | Yes | Yes | | Palm Shengcheng Investment Co., Ltd. | 1,172.4 | 0 | Joint and several liability guarantee | Three years and two months | Yes | Yes | | Palm Shengcheng Investment Co., Ltd. | 37,687.53 | 36,329.04 | Joint and several liability guarantee | One year | No | Yes | | Meizhou Palm Huayin Cultural Tourism Development Co., Ltd. | 6,393 | 6,370 | Joint and several liability guarantee | Three years | No | Yes | | Meizhou Palm Yinhuajing Cultural Tourism Development Co., Ltd. | 885 | 880 | Joint and several liability guarantee | Three years | No | Yes | | Total approved guarantee amount for subsidiaries at period-end (B3) | 187,425.63 | | | | | | | Total actual guarantee amount for subsidiaries at period-end (B4) | 136,681.97 | | | | | | | Proportion of total actual guarantee amount (i.e., A4+B4+C4) to company's net assets | 98.57% | | | | | | | Of which: Debt guarantees provided directly or indirectly for guaranteed parties with asset-liability ratio exceeding 70% (E) | 136,681.97 | | | | | | Wealth Management The company reported no wealth management activities during the reporting period - The company reported no wealth management activities during the reporting period[138] Other Significant Contracts The company reported no other significant contracts during the reporting period - The company reported no other significant contracts during the reporting period[139] Explanation of Other Significant Matters The board was reorganized with Liu Jianghua elected Chairman, and the company secured four major contracts, including high-standard farmland projects in Wuzhi and Lankao counties, and the SAIC Asset Henan Headquarters Base project - On February 5, 2025, Mr. Liu Jianghua, Mr. Sun Haohui, and Mr. Xu Kai were elected as directors of the company's Sixth Board of Directors, and Mr. Liu Jianghua was elected as the company's Chairman and Legal Representative[140] - During the reporting period, the company won 4 major contracts, including the Wuzhi County 88,000 mu High-Standard Farmland Demonstration Zone Construction Project (contract amount RMB 157 million), the Lankao County 121,600 mu High-Standard Farmland Construction Project EPC General Contract (contract amount RMB 437 million), the SAIC Asset Henan Headquarters Base Project Construction General Contract, and the Huangchuan County 140,000 mu High-Standard Farmland Demonstration Zone Construction Project EPC General Contract (contract amount RMB 526 million)[142][143] Significant Matters of Company Subsidiaries The company reported no significant matters concerning its subsidiaries during the reporting period - The company reported no significant matters concerning its subsidiaries during the reporting period[144] Part VI Share Changes and Shareholder Information Share Change Situation The total share capital remained unchanged at 1,812,816,265 shares, all unrestricted, while the company continued its share repurchase plan, buying back 2.14 million shares for RMB 4.98 million, with the period extended to November 4, 2025 Share Change Situation | Item | Number of Shares Before Change | Proportion Before Change | Net Increase/Decrease in Current Change (Shares) | Number of Shares After Change | Proportion After Change | | :--- | :--- | :--- | :--- | :--- | :--- | | I. Restricted Shares | 0 | 0.00% | 0 | 0 | 0.00% | | II. Unrestricted Shares | 1,812,816,265 | 100.00% | 0 | 1,812,816,265 | 100.00% | | III. Total Shares | 1,812,816,265 | 100.00% | 0 | 1,812,816,265 | 100.00% | - The implementation period for the company's second phase share repurchase has been extended by three months, until November 4, 2025[149] - As of