新希望服务(03658) - 2025 - 中期业绩

Interim Results Summary New Hope Service Holdings Co., Ltd. reports a 4.3% revenue increase to RMB 739.8 million and a 2.4% profit growth to RMB 120.9 million for the six months ended June 30, 2025, with significant improvement in operating cash flow Key Financial and Operational Data for H1 2025 | Indicator | H1 2025 (RMB million) | H1 2024 (RMB million) | YoY Growth (%) | | :--- | :--- | :--- | :--- | | Financial Performance | | | | | Total Revenue | 739.8 | 709.0 | 4.3 | | Gross Profit | 233.7 | 232.3 | 0.6 | | Profit Attributable to Equity Holders | 120.9 | 118.1 | 2.4 | | Net Cash Flow from Operating Activities | 21.0 | -26.1 | Significant Improvement | | Revenue by Business Segment | | | | | Property Management Services | 467.1 | 405.6 | 15.2 | | Living Services | 176.6 | 170.4 | 3.6 | | Commercial Operation Services | 48.2 | 65.2 | -26.1 | | Non-Owner Value-Added Services | 47.9 | 67.7 | -29.2 | | Operational Scale | | | | | Number of Managed Projects | 254 | 244 | 4.1 | | Managed Gross Floor Area (million sq.m.) | 38.0 | 35.4 | 7.4 | | Number of Contracted Projects | 269 | 264 | 1.9 | | Contracted Gross Floor Area (million sq.m.) | 41.4 | 40.5 | 2.2 | | Dividends | | | | | Interim Dividend (HKD/share) | 0.110 | 0.090 | 22.2 | Interim Results This section presents the Group's consolidated financial statements, including the statement of profit or loss and other comprehensive income, and the statement of financial position Consolidated Statement of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2025, the Group's revenue increased by 4.3% to RMB 739,818 thousand, with a slight 0.6% rise in gross profit to RMB 233,680 thousand, and basic earnings per share of RMB 0.149 Summary of Consolidated Statement of Profit or Loss and Other Comprehensive Income (RMB thousand) | Indicator | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Revenue | 739,818 | 709,018 | | Cost of Sales | (506,138) | (476,685) | | Gross Profit | 233,680 | 232,333 | | Operating Profit | 152,253 | 143,508 | | Profit Before Tax | 159,040 | 152,938 | | Profit and Total Comprehensive Income for the Period | 131,473 | 127,378 | | Profit Attributable to Equity Holders of the Company | 120,923 | 118,135 | | Basic and Diluted Earnings Per Share (RMB yuan) | 0.149 | 0.145 | Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets less current liabilities increased, with net assets rising to RMB 1,394,990 thousand and total equity attributable to equity holders of the company reaching RMB 1,304,704 thousand Summary of Consolidated Statement of Financial Position (RMB thousand) | Indicator | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Assets | | | | Non-current Assets | 467,366 | 453,573 | | Current Assets | 1,646,870 | 1,631,072 | | Liabilities | | | | Current Liabilities | 680,994 | 710,711 | | Non-current Liabilities | 38,252 | 45,637 | | Equity | | | | Net Assets | 1,394,990 | 1,328,297 | | Total Equity Attributable to Equity Holders of the Company | 1,304,704 | 1,245,655 | Notes to the Unaudited Interim Financial Report This section provides detailed notes on the company's information, basis of preparation, accounting policy changes, revenue and segment reporting, and other financial items Company Information New Hope Service Holdings Co., Ltd., incorporated in the Cayman Islands, primarily operates in property management, living services, commercial operation, and non-owner value-added services in China, with Mr. Liu Yonghao and Ms. Liu Chang as ultimate controlling parties - The Company was incorporated in the Cayman Islands as an exempted company on November 5, 2020[7] - The Group primarily engages in property management services, living services, commercial operation services, and non-owner value-added services in China[7] - The ultimate controlling parties of the Group are Mr. Liu Yonghao and Ms. Liu Chang[7] Basis of Preparation This interim financial report is prepared in accordance with the HKEX Listing Rules and IAS 34, and has been reviewed by KPMG, though it remains unaudited - This interim financial report is prepared in accordance with the applicable disclosure provisions of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited, including compliance with International Accounting Standard 34 Interim Financial Reporting issued by the International Accounting Standards Board[8] - This interim financial report is unaudited but has been reviewed by KPMG in accordance with Hong Kong Standard on Review Engagements 2410 issued by the Hong Kong Institute of Certified Public Accountants[9] Changes in Accounting Policies The Group applied IAS 21 (Amendments) "The Effects of Changes in Foreign Exchange Rates — Lack of Exchangeability," which had no significant impact on this interim report due to the absence of foreign currency non-exchangeable transactions - The Group has applied IAS 21 (Amendments) The Effects of Changes in Foreign Exchange Rates — Lack of Exchangeability[10] - These amendments had no significant impact on this interim report, as the Group did not enter into any foreign currency exchange transactions that were not exchangeable into other currencies[10] Revenue and Segment Reporting The Group's revenue primarily comes from four segments: property management, living services, commercial operation, and non-owner value-added services, with property management being the largest contributor at 63.1% of total revenue Revenue The Group's revenue is categorized by recognition timing and detailed by service type, with property management services contributing the highest revenue from a diversified customer base Revenue Breakdown (RMB thousand) | Revenue Recognition Timing | 2025 | 2024 | | :--- | :--- | :--- | | Over Time | 611,078 | 575,160 | | At a Point in Time | 122,390 | 125,870 | | Rental Income from Investment Properties | 6,350 | 7,988 | | Total | 739,818 | 709,018 | | Service Type | | | | Property Management Services | 467,112 | 405,634 | | Living Services | 176,613 | 170,448 | | Commercial Operation Services | 48,196 | 65,230 | | Non-Owner Value-Added Services | 47,897 | 67,706 | - The Group has a diversified customer base, with no single customer contributing 10% or more of its revenue[14] Segment Reporting The Group operates four reportable segments: property management, living services, commercial operation, and non-owner value-added services, with property management services generating the highest revenue and gross profit in H1 2025 - The Group has four operating and reportable segments: property management services, living services, commercial operation services, and non-owner value-added services[18][21] Revenue and Gross Profit by Operating Segment (RMB thousand) | Segment | H1 2025 Revenue | H1 2025 Gross Profit | H1 2024 Revenue | H1 2024 Gross Profit | | :--- | :--- | :--- | :--- | :--- | | Property Management Services | 467,112 | 118,377 | 405,634 | 103,809 | | Living Services | 176,613 | 68,721 | 170,448 | 63,900 | | Commercial Operation Services | 48,196 | 30,996 | 65,230 | 41,687 | | Non-Owner Value-Added Services | 47,897 | 15,586 | 67,706 | 22,937 | | Total | 739,818 | 233,680 | 709,018 | 232,333 | Net Other Expenses For the six months ended June 30, 2025, the Group's net other expenses decreased by 57.1% to RMB 3,336 thousand, primarily due to reduced fair value loss on investment properties and increased forfeited rental deposits Net Other Expenses (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Fair Value Loss on Investment Properties | (8,972) | (9,521) | | Government Grants | 1,257 | 866 | | Forfeited Rental Deposits | 3,136 | 9 | | Others | 1,243 | 995 | | Total | (3,336) | (7,651) | Profit Before Tax Profit before tax was primarily influenced by net finance income, staff costs, and other items, with net finance income decreasing year-on-year while staff costs and depreciation/amortization expenses increased Net Finance Income The Group's net finance income decreased from RMB 9,398 thousand in H1 2024 to RMB 6,774 thousand in H1 2025, mainly due to lower interest income Net Finance Income (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Interest Income | (8,417) | (10,901) | | Interest on Lease Liabilities | 1,165 | 1,393 | | Others | 478 | 110 | | Total | (6,774) | (9,398) | Staff Costs The Group's total staff costs increased from RMB 164,051 thousand in H1 2024 to RMB 181,119 thousand in H1 2025, primarily due to higher salaries, wages, and other benefits Staff Costs (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Salaries, Wages and Other Benefits | 164,474 | 149,163 | | Contributions to Defined Contribution Retirement Plans | 16,645 | 14,888 | | Total | 181,119 | 164,051 | Other Items Other items include increased amortization of intangible assets and depreciation of property and equipment, alongside expected credit losses on financial assets Other Items (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Amortization of Intangible Assets | 9,523 | 8,413 | | Depreciation of Property and Equipment | 4,078 | 3,028 | | Expected Credit Losses on Financial Assets — Trade Receivables | 8,031 | 10,461 | | Expected Credit Losses on Financial Assets — Prepayments, Deposits and Other Receivables | 1,985 | 802 | | Rental Income from Investment Properties Less Direct Expenses | 3,033 | 4,662 | | Expenses Related to Short-Term Leases | 915 | 1,207 | Income Tax The Group's income tax expense of RMB 27,567 thousand aligns with profit growth, with a statutory rate of 25% in China and preferential rates for certain subsidiaries Income Tax (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Current Tax — China Corporate Income Tax | 18,949 | 26,318 | | Deferred Tax — Origination and Reversal of Temporary Differences | 4,962 | (3,721) | | Withholding Tax Related to Retained Profits to be Distributed by a Subsidiary of the Group | 3,656 | 2,963 | | Total | 27,567 | 25,560 | - China current income tax is provided at the statutory rate of 25%[28] - Certain subsidiaries enjoy a preferential income tax rate of 15% for Western Development or a 5% preferential tax rate as small low-profit enterprises[29] Earnings Per Share For the six months ended June 30, 2025, profit attributable to equity holders of the company was RMB 120,923 thousand, resulting in basic and diluted earnings per share of RMB 0.149, an increase from RMB 0.145 in the prior period Earnings Per Share (RMB thousand/thousand shares) | Indicator | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Profit Attributable to Equity Holders of the Company | 120,923 | 118,135 | | Weighted Average Number of Ordinary Shares (thousand shares) | 814,126 | 814,126 | | Basic and Diluted Earnings Per Share (RMB yuan) | 0.149 | 0.145 | - Diluted earnings per share are the same as basic earnings per share as the Group had no potential dilutive ordinary shares during the reporting period[30] Trade Receivables As of June 30, 2025, the Group's total trade receivables were RMB 497,926 thousand, with the majority from external customers and most receivables due within one year Trade Receivables (RMB thousand) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Trade Receivables from Related Companies | 137,212 | 152,976 | | Trade Receivables from External Customers | 404,737 | 331,923 | | Less: Provision for Trade Receivables | (44,023) | (35,992) | | Total | 497,926 | 448,907 | Aging Analysis of Trade Receivables (RMB thousand) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within 1 Year | 470,958 | 433,023 | | 1 to 2 Years | 24,060 | 9,387 | | 2 to 3 Years | 2,716 | 6,306 | | 3 to 4 Years | 192 | 191 | | Total | 497,926 | 448,907 | Trade Payables As of June 30, 2025, the Group's trade payables decreased to RMB 190,783 thousand from December 31, 2024, with most payables due within one year Trade Payables (RMB thousand) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Amounts Payable to Companies Controlled by Ultimate Owners | 1,860 | 3,660 | | Amounts Payable to Third Parties | 188,923 | 209,638 | | Total | 190,783 | 213,298 | Aging Analysis of Trade Payables (RMB thousand) | Aging | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Within 1 Year | 186,815 | 207,799 | | 1 to 2 Years | 1,861 | 2,895 | | 2 to 3 Years | 931 | 1,876 | | Over 3 Years | 1,176 | 728 | | Total | 190,783 | 213,298 | Capital, Reserves and Dividends This section outlines the Group's dividend policy and capital structure, with the Board recommending an increased interim dividend of HKD 0.110 per share Dividends The Board recommended an interim dividend of HKD 0.110 per share for the six months ended June 30, 2025, an increase from HKD 0.090 per share in H1 2024 Interim Dividends (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Interim Dividend of HKD 0.110 per share (equivalent to RMB 0.100) | 81,413 | 67,572 | Final Dividend for Previous Financial Year (RMB thousand) | Item | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Final Dividend for Previous Financial Year of RMB 0.076 per share Approved in Next Interim Period | 61,874 | 74,227 | Share Capital The Group's share capital consists of ordinary shares that are fully issued and paid - The Group's share capital comprises issued and fully paid ordinary shares[38][39] Significant Related Party Transactions The Group conducted various related party transactions with companies controlled by its ultimate owners and their associates, primarily involving property management and other services, leading to corresponding trade receivables and payables Significant Related Party Transactions The Group provided property management and other services to companies controlled by its ultimate owners and their associates, generating RMB 118,017 thousand in related revenue during H1 2025 Provision of Property Management and Other Services (RMB thousand) | Nature of Related Party | H1 2025 | H1 2024 | | :--- | :--- | :--- | | Companies Controlled by Ultimate Owners | 98,304 | 107,093 | | Associates of Companies Controlled by Ultimate Owners | 19,713 | 29,722 | Balances with Related Parties As of June 30, 2025, the Group had trade receivables of RMB 137,212 thousand, trade payables of RMB 1,860 thousand, contract liabilities of RMB 4,859 thousand, and lease liabilities of RMB 5,366 thousand with companies controlled by its ultimate owners Balances with Related Parties (RMB thousand) | Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Trade Receivables — Companies Controlled by Ultimate Owners | 137,212 | 152,976 | | Trade Payables — Companies Controlled by Ultimate Owners | 1,860 | 3,660 | | Contract Liabilities — Companies Controlled by Ultimate Owners | 4,859 | 9,198 | | Lease Liabilities — Rent Payable to Companies Controlled by Ultimate Owners | 5,366 | 5,262 | Management Discussion and Analysis This section provides an overview of the Group's business performance, future strategies, and financial review for the reporting period Business Review The Group achieved steady growth in a complex macro environment, with increases in total revenue and net profit attributable to shareholders, driven by expanding property management and living services, while commercial operation and non-owner value-added services faced market pressures Overview New Hope Service, a leading comprehensive property management enterprise in Western China, reported a 4.3% revenue growth, 2.4% net profit increase, and a significant 180.5% rise in operating cash flow, with third-party revenue accounting for 84% - The Group was awarded "TOP 15 Comprehensive Strength of China Property Enterprises" and "TOP 16 China Property Service Power Enterprises"[43] - During the reporting period, the Group recorded revenue of approximately RMB 739.8 million, a 4.3% increase year-on-year[44] - Net profit attributable to shareholders reached RMB 120.9 million, a 2.4% increase year-on-year[44] - Operating cash flow was RMB 21.0 million, an increase of 180.5% year-on-year[44] - Third-party full-caliber revenue accounted for 84%, a 3.3 percentage point increase year-on-year[44] Business Model The Group's revenue is primarily generated from four key business segments: property management services, living services, commercial operation services, and non-owner value-added services - The Group's revenue primarily derives from four business segments: property management services, living services, commercial operation services, and non-owner value-added services[45] Property Management Services Property management services, the Group's largest revenue source, saw growth in both managed and contracted GFA, with 96.4% of revenue from high-tier cities and strong third-party expansion capabilities Scale of Property Management Services (ten thousand sq.m.) | Indicator | June 30, 2025 | June 30, 2024 | Growth Rate (%) | | :--- | :--- | :--- | :--- | | Number of Contracted Properties | 269 | 264 | 1.9 | | Number of Managed Properties | 254 | 244 | 4.1 | | Managed Gross Floor Area | 3,803.5 | 3,542.9 | 7.4 | | Contracted Gross Floor Area | 4,140.3 | 4,052.1 | 2.2 | - Property management revenue from the Southwest and East China regions collectively accounted for 82.3% of total property management revenue[47] Property Management Revenue and GFA by Region (RMB ten thousand/ten thousand sq.m.) | Regional Distribution | 2025 Revenue | 2025 Share (%) | 2025 Managed GFA | 2025 Share (%) | GFA Growth (%) | Revenue Growth (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Southwest Region | 21,863.7 | 46.8 | 1,923.8 | 50.6 | 6.8 | 15.3 | | East China Region | 16,606.7 | 35.5 | 1,295.2 | 34.1 | 7.7 | 11.5 | | South China Region | 3,654.8 | 7.8 | 302.3 | 7.9 | 13.3 | 13.0 | | North China Region | 4,089.7 | 8.8 | 248.4 | 6.5 | 4.5 | 40.6 | | Central China Region | 496.3 | 1.1 | 33.8 | 0.9 | 0.0 | -10.2 | | Total | 46,711.2 | 100.0 | 3,803.5 | 100.0 | 7.4 | 15.2 | - 96.4% of the Group's property management revenue is derived from projects managed in Tier 1, New Tier 1, and Tier 2 cities in China[50] Property Management Revenue and GFA by City Tier (RMB ten thousand/ten thousand sq.m.) | City Tier | 2025 Revenue | 2025 Share (%) | 2025 Managed GFA | 2025 Share (%) | GFA Growth (%) | Revenue Growth (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Tier 1 | 342.3 | 0.7 | 12.4 | 0.3 | 0.0 | -27.9 | | New Tier 1 | 24,412.0 | 52.3 | 1,907.9 | 50.2 | 4.3 | 19.9 | | Tier 2 | 20,264.6 | 43.4 | 1,755.2 | 46.1 | 14.0 | 12.1 | | Others | 1,692.3 | 3.6 | 128.0 | 3.4 | -20.6 | 2.7 | | Total | 46,711.2 | 100.0 | 3,803.5 | 100.0 | 7.4 | 15.2 | - During the reporting period, the Group's third-party contracted value was RMB 560 million, of which RMB 400 million was from property management services[55] Managed GFA and Revenue by Property Developer Type (RMB ten thousand/ten thousand sq.m.) | Developer Type | 2025 Revenue | 2025 Share (%) | 2025 Managed GFA | 2025 Share (%) | GFA Growth (%) | Revenue Growth (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | New Hope Wuxin Industrial | 18,025.9 | 38.6 | 1,378.4 | 36.2 | 8.1 | 20.1 | | New Hope Wuxin Industrial Associates and Joint Ventures | 9,571.3 | 20.5 | 798.7 | 21.0 | -4.1 | 8.7 | | Ultimate Controlling Parties and Their Connected Persons | 1,351.5 | 2.9 | 32.6 | 0.9 | 0.0 | 3.1 | | Independent Third Parties | 17,762.5 | 38.0 | 1,593.8 | 41.9 | 13.6 | 15.0 | | Total | 46,711.2 | 100.0 | 3,803.5 | 100.0 | 7.4 | 15.2 | Commercial Operation Services Commercial operation services revenue decreased by 26.1% to RMB 48.2 million due to the commercial real estate downturn, yet third-party revenue significantly increased to 18.6%, with successful operations optimizing existing asset performance - During the reporting period, the Group's commercial operation segment achieved revenue of RMB 48.2 million, facing year-on-year pressure[57] - Third-party revenue share significantly increased to 18.6% (a 10.9 percentage point increase year-on-year)[57] - Successful operation of Kunming Xishan Wanda and Expo Hotel validated comprehensive operational capabilities[58] - Nanning Xinchangxing occupancy rate was 96.07%, and Chengdu New Hope International rental income increased by 11.2% year-on-year[58] Commercial Operation Services Revenue Breakdown by Service Type (RMB ten thousand) | Service Type | H1 2025 Revenue | H1 2025 Percentage (%) | H1 2024 Revenue | H1 2024 Percentage (%) | Growth Rate (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Market Research, Positioning and Pre-opening Services | 53.2 | 1.1 | 403.0 | 6.2 | -86.8 | | Commercial Operation Services | 4,766.4 | 98.9 | 6,119.9 | 93.8 | -22.1 | | Total | 4,819.6 | 100.0 | 6,522.9 | 100.0 | -26.1 | Living Services The living services segment achieved a resilient 3.6% growth to RMB 176.6 million, with group meal and retail services revenue up 9.2%, and external customers now representing 60% of the business, expanding to 33 operational projects - During the reporting period, the Group's living services segment achieved revenue of RMB 176.6 million, a 3.6% increase year-on-year[60] - Group meal and retail services revenue reached RMB 80.8 million, a 9.2% increase[60] - The proportion of external customers significantly increased from 45% last year to 60% in the first half, making market-oriented customers the main force of the business[60] - The total number of group meal business operational projects reached 33 (an increase of 8 year-on-year), with third-party projects accounting for 91%[61] Living Services Revenue Breakdown (RMB ten thousand) | Service Type | H1 2025 Revenue | H1 2025 Percentage (%) | H1 2024 Revenue | H1 2024 Percentage (%) | Growth Rate (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Community Living Services | 7,920.3 | 44.8 | 7,905.8 | 46.4 | 0.2 | | Community Asset Management Services | 1,661.0 | 9.4 | 1,739.1 | 10.2 | -4.5 | | Online and Offline Retail Services and Catering Services | 8,080.0 | 45.8 | 7,399.8 | 43.4 | 9.2 | | Total | 17,661.3 | 100.0 | 17,044.7 | 100.0 | 3.6 | Non-Owner Value-Added Services Non-owner value-added services revenue decreased by 29.3% to RMB 47.9 million, primarily due to the contraction of real estate business, which led to reduced income from preliminary planning, design consulting, pre-delivery, and sales venue services - Non-owner value-added services revenue was RMB 47.9 million, a 29.3% decrease year-on-year[64] - The decline in revenue was mainly due to the contraction of the real estate business, leading to a reduction in sales venue and engineering-related services[74] Non-Owner Value-Added Services Revenue Breakdown (RMB ten thousand) | Service Type | H1 2025 Revenue | H1 2025 Percentage (%) | H1 2024 Revenue | H1 2024 Percentage (%) | Growth Rate (%) | | :--- | :--- | :--- | :--- | :--- | :--- | | Preliminary Planning, Design Consulting and Pre-delivery Services | 2,122.3 | 44.4 | 4,033.6 | 59.6 | -47.4 | | Sales Venue Services | 1,922.7 | 40.1 | 2,292.5 | 33.9 | -16.1 | | Special Entrusted Services | 744.7 | 15.5 | 444.6 | 6.5 | 67.5 | | Total | 4,789.7 | 100.0 | 6,770.7 | 100.0 | -29.3 | Future Outlook The Group plans to maintain its high-target strategy, deepen its "Property+" strategy for diversified development and business synergy, and enhance efficiency and reduce costs through advanced digital operations, driven by an "AI+Robot+Human" model Continued High-Target Guidance In H1, the Group's third-party projects contracted value reached RMB 560 million, representing 92.6% of the full-year 2024 target, with future plans to optimize market layout, improve service quality, and strengthen team building - In H1 2025, the Company achieved third-party contracted value of RMB 560 million, equivalent to 92.6% of the full-year 2024 contracted value[65] - Future plans include continuously optimizing market layout, deeply exploring potential customer groups, and increasing market share[65] - The Group will strengthen team building and enhance employees' professional competence and service levels[65] Continued Deepening of "Property+" Strategy The Group continues to deepen its "Property+Commercial," "Property+Living Services," and "Property+Group Meal" strategies, achieving multi-format operations, increased retail penetration, and expanded group meal projects, creating more revenue growth points - "Property+Commercial" has successfully acquired Kunming landmark Xishan Wanda and Chengdu Tongjinge, achieving full-format operations[66] - "Property+Living Services" home retail penetration rate is 6.71%, a 3 percentage point increase year-on-year, with customized gift box sales exceeding 130,000 boxes[66] - "Property+Group Meal" successfully secured Panzhihua Steel • Huiquan Community Canteen and Provincial Health Commission projects, solidifying its authority in food safety[66][67] Advanced Digital Operations The Group achieved breakthroughs in digital operations, promoting an "AI+Robot+Human" model expected to save over RMB 16 million in management costs, with AI enhancing efficiency across the entire service chain and aiming for 40% excellent projects and over 90 points in overall satisfaction - Accelerating the promotion of "human-machine collaboration" to 200 projects nationwide, expected to achieve management cost savings exceeding RMB 16 million[68] - AI enhances efficiency across the entire chain, including work order classification accuracy advancing to over 90%, AI image quality inspection covering tens of thousands of daily work orders, AI patrols expanding to over 2,000 camera points across all formats, and AI response coverage reaching 100% in national projects[69] - The goal is to increase the proportion of excellent projects (satisfaction ≥ 95 points) from 30% to 40%, and to push overall satisfaction above 90 points[70] Financial Review The Group's financial performance was stable, with revenue growth driven by property management and living services, despite declines in commercial operation and non-owner value-added services, leading to a slight decrease in gross margin due to faster growth in cost of sales Revenue Total revenue increased by 4.3% to RMB 739.8 million, primarily driven by a 15.2% growth in property management services and a 3.6% growth in living services, while commercial operation and non-owner value-added services revenue decreased by 26.1% and 29.2% respectively - The Group's revenue increased by 4.3% from RMB 709.0 million for the six months ended June 30, 2024, to RMB 739.8 million during the reporting period[71] - Property management services revenue was RMB 467.1 million, accounting for 63.1% of total revenue, primarily due to an increase in managed gross floor area and unit prices[74] - Living services revenue increased by 3.6% to RMB 176.6 million[74] - Non-owner value-added services revenue decreased by 29.2% to RMB 47.9 million, and commercial operation services revenue decreased by 26.1% to RMB 48.2 million[74] Total Revenue by Business Line (RMB thousand) | Business Line | H1 2025 Revenue | H1 2025 Share (%) | H1 2024 Revenue | H1 2024 Share (%) | | :--- | :--- | :--- | :--- | :--- | | Property Management Services | 467,112.3 | 63.1 | 405,634.2 | 57.2 | | Living Services | 176,612.6 | 23.9 | 170,447.1 | 24.1 | | Commercial Operation Services | 48,196.0 | 6.5 | 65,229.8 | 9.2 | | Non-Owner Value-Added Services | 47,896.6 | 6.5 | 67,706.4 | 9.5 | | Total | 739,817.5 | 100 | 709,017.5 | 100 | Cost of Sales The Group's total cost of sales increased by 6.2% to approximately RMB 506.1 million, growing faster than revenue, primarily due to the increased proportion of property management services, which have a lower gross margin - The Group's total cost of sales was approximately RMB 506.1 million, an increase of approximately 6.2% compared to approximately RMB 476.7 million in the prior period of 2024[76] - The growth rate of cost of sales was higher than that of revenue, mainly due to the increased proportion of property management services revenue contributing to the Group's total revenue, which has a relatively lower gross margin compared to other business lines[76] Gross Profit and Gross Margin The Group's gross profit slightly increased by 0.6% to RMB 233.7 million, but the overall gross margin decreased by 1.2 percentage points to 31.6%, with varying trends across business segments - The Group's gross profit increased by 0.6% from RMB 232.3 million for the six months ended June 30, 2024, to RMB 233.7 million during the reporting period[77] - During the reporting period, the Group's gross margin decreased by 1.2 percentage points compared to the prior period of 2024[80] - Property management services gross margin decreased by 0.3%, non-owner value-added services gross margin decreased by 1.4%, and living services gross margin increased by 1.4%[80][81][82] Gross Profit and Gross Margin by Business Line (RMB thousand) | Category | H1 2025 Gross Profit | H1 2025 Gross Margin (%) | H1 2024 Gross Profit | H1 2024 Gross Margin (%) | | :--- | :--- | :--- | :--- | :--- | | Property Management Services | 118,377.4 | 25.3 | 103,808.7 | 25.6 | | Living Services | 68,721.1 | 38.9 | 63,900.0 | 37.5 | | Commercial Operation Services | 30,996.3 | 64.3 | 41,687.2 | 63.9 | | Non-Owner Value-Added Services | 15,585.2 | 32.5 | 22,935.9 | 33.9 | | Total | 233,680.0 | 31.6 | 232,331.8 | 32.8 | Net Other Expenses The Group's net other expenses decreased by 57.1% from RMB 7.7 million to RMB 3.3 million - The Group's net other expenses decreased by 57.1% from RMB 7.7 million to RMB 3.3 million during the reporting period[83] Administrative Expenses The Group's total administrative expenses decreased by 2.5% to approximately RMB 67.6 million, primarily due to continuous lean operations and improved management efficiency - The Group's total administrative expenses were approximately RMB 67.6 million, a decrease of approximately 2.5% from approximately RMB 69.3 million for the six months ended June 30, 2024[84] - The decrease was mainly due to continuous lean operations and improved management efficiency during the reporting period[84] Selling Expenses The Group's selling expenses decreased from RMB 0.6 million to RMB 0.5 million - The Group's selling expenses decreased from RMB 0.6 million to RMB 0.5 million during the reporting period[85] Net Finance Income The Group's net finance income decreased by 27.7% from RMB 9.4 million to RMB 6.8 million, primarily due to lower bank benchmark interest rates - The Group's net finance income decreased by 27.7% from RMB 9.4 million to RMB 6.8 million during the reporting period[86] - The decrease was mainly due to the reduction in bank benchmark interest rates during the reporting period[86] Income Tax Expense During the reporting period, the Group's income tax was approximately RMB 27.6 million, consistent with the company's profit increase trend - During the reporting period, the Group's income tax was approximately RMB 27.6 million (H1 2024: RMB 25.6 million)[87] - The trend of income tax expense is consistent with the increase in the Company's profit during the reporting period[87] Profit for the Period The Group's net profit increased by 3.2% from RMB 127.4 million to RMB 131.5 million - The Group's net profit increased by 3.2% from RMB 127.4 million to approximately RMB 131.5 million during the reporting period[88] Core Net Profit Attributable to Owners of the Parent Profit attributable to shareholders of the company increased by 2.4% from RMB 118.1 million to RMB 120.9 million - Profit attributable to shareholders of the Company increased by 2.4% from RMB 118.1 million to approximately RMB 120.9 million for the six months ended June 30, 2025[89] Property and Equipment The Group's property and equipment amounted to approximately RMB 28.9 million, an increase of RMB 2.6 million from December 31, 2024 - As of June 30, 2025, the Group's property and equipment was approximately RMB 28.9 million, an increase of approximately RMB 2.6 million from approximately RMB 26.3 million as of December 31, 2024[90] Trade Receivables The Group's trade receivables were approximately RMB 497.9 million, a 10.9% increase from December 31, 2024, primarily due to business growth - The Group's trade receivables as of June 30, 2025, were approximately RMB 497.9 million, an increase of approximately 10.9% from approximately RMB 448.9 million as of December 31, 2024[91] - The increase was mainly due to business growth[91] Prepayments, Deposits and Other Receivables The balance of prepayments, deposits, and other receivables increased to RMB 152.7 million as of June 30, 2025, primarily due to business growth - The balance of prepayments, deposits, and other receivables increased to RMB 152.7 million as of June 30, 2025, mainly due to business growth[92] Trade Payables The Group's trade payables were approximately RMB 190.8 million, a 10.5% decrease from December 31, 2024, primarily due to accelerated payments to suppliers - The Group's trade payables as of June 30, 2025, were approximately RMB 190.8 million, a decrease of approximately 10.5% from approximately RMB 213.3 million as of December 31, 2024[93] - The decrease was mainly due to accelerated payments to suppliers[93] Other Payables and Accrued Expenses Other payables and accrued expenses increased to RMB 255.1 million, mainly due to the unpaid approved final dividend for the year ended December 31, 2024 - Other payables and accrued expenses increased to RMB 255.1 million, mainly due to the unpaid approved final dividend for the year ended December 31, 2024[94] Financial Position and Capital Structure The Group maintained a sound financial position with a current ratio of 2.4 times and no outstanding interest-bearing borrowings - As of June 30, 2025, the Group's current ratio was 2.4 times (December 31, 2024: 2.3 times)[95] - As of June 30, 2025, and June 30, 2024, the Group had no outstanding interest-bearing borrowings[95] Pledge of Assets As of June 30, 2025, the Group had no assets pledged - As of June 30, 2025, the Group had no assets pledged[96] Contingent Liabilities As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities[97] Interest Rate Risk The Group is not significantly exposed to risks directly related to changes in market interest rates - The Group is not significantly exposed to risks directly related to changes in market interest rates[98] Foreign Exchange Risk The Group primarily operates in RMB but holds HKD and USD cash totaling RMB 295.4 million, which is subject to exchange rate fluctuations, and has proactively engaged in bank hedging to mitigate foreign exchange risk - The Group primarily conducts business in China, with the vast majority of its revenue and expenses denominated in RMB[99] - As of June 30, 2025, the Group's cash and bank balances denominated in HKD and USD amounted to RMB 295.4 million, which are subject to exchange rate fluctuations[99] - The Group proactively engages in bank hedging to mitigate foreign exchange risk[99] Material Investments Held by the Group During the reporting period, the company held RMB 11.5 million in Beijing Saifu Haohai Industrial Internet Investment Center (Limited Partnership), classified as financial assets at fair value through profit or loss - During the reporting period, the Company held RMB 11.5 million in Beijing Saifu Haohai Industrial Internet Investment Center (Limited Partnership), classified as financial assets at fair value through profit or loss[100] Material Acquisitions and Disposals of Subsidiaries, Associates and Joint Ventures During the reporting period, the company had no material investments or significant acquisitions or disposals of subsidiaries, associates, and joint ventures - During the reporting period, the Company had no material investments or significant acquisitions or disposals of subsidiaries, associates, and joint ventures[101] Future Plans for Material Investments in Capital Assets As of June 30, 2025, the Group had no other material investment and capital asset plans in progress - As of June 30, 2025, the Group had no other material investment and capital asset plans in progress[102] Interim Dividend The Board resolved to declare an interim dividend of HKD 0.110 per share for the six months ended June 30, 2025, payable to shareholders registered on September 17, 2025 - The Board resolved to declare an interim dividend of HKD 0.110 per share (2024 interim: HKD 0.090 per share) for the six months ended June 30, 2025, payable to shareholders registered on September 17, 2025[103] - The interim dividend will be paid to shareholders on December 19, 2025[103] Closure of Register of Members To determine shareholders' eligibility for the proposed interim dividend, the company will suspend share transfer registration from September 15 to September 17, 2025 - To determine shareholders' eligibility for the proposed interim dividend, the Company will suspend share transfer registration from Monday, September 15, 2025, to Wednesday, September 17, 2025 (both days inclusive)[104] Material Events After the Reporting Period As of the date of this announcement, the Group had no other material events occurring after June 30, 2025 - As of the date of this announcement, the Group had no other material events occurring after June 30, 2025[105] Employees and Remuneration Policy As of June 30, 2025, the Group employed 3,904 individuals with total staff costs of approximately RMB 181.1 million, maintaining a competitive remuneration policy including performance bonuses and share options, alongside robust professional training - As of June 30, 2025, the Group had approximately 3,904 employees (June 30, 2024: 4,036 employees)[106] - During the reporting period, total staff costs were approximately RMB 181.1 million (June 30, 2024: approximately RMB 164.1 million)[106] - The Group's employee remuneration policy is regularly reviewed to ensure competitive salaries and benefits, including discretionary performance bonuses and share option schemes[106] - The Group continues to provide sufficient professional training to employees to specialize and enhance their skills[106] Use of Net Proceeds from Listing The company's net proceeds from listing were approximately HKD 790.0 million, with HKD 332 million utilized as of June 30, 2025, primarily for information system upgrades, talent recruitment, and living services development, leaving HKD 429.0 million for strategic acquisitions and investments - The net proceeds from the listing (including partial exercise of the over-allotment option) were approximately HKD 790.0 million (equivalent to approximately RMB 648.7 million)[107] Use of Net Proceeds from Listing (HKD million) | Main Category | Percentage of Total Proceeds (%) | Unused Amount as of Jan 1, 2025 | Amount Actually Used as of June 30, 2025 | Unused Amount as of June 30, 2025 | Estimated Usage Plan | | :--- | :--- | :--- | :--- | :--- | :--- | | Strategic Acquisitions and Investments | 56.0 | 429.0 | 5.5 | 429.0 | On or before December 31, 2026 | | Upgrading Information Systems and Equipment | 11.0 | 39.0 | 51.2 | 29.1 | On or before December 31, 2025 | | Talent Recruitment and Team Building | 5.0 | 0.0 | 39.5 | 0.0 | | | Developing Living Services | 10.0 | 0.0 | 79.0 | 0.0 | | | Working Capital | 15.0 | 0.0 | 118.5 | 0.0 | | | Total | 100 | 468.0 | 332 | 458.1 | | - The remaining unused net proceeds from the listing are deposited in reputable licensed commercial banks and recognized financial institutions[108] Purchase, Sale or Redemption of the Company's Listed Securities From January 1, 2025, to the date of this announcement, neither the company nor its subsidiaries purchased, sold, or redeemed any of the company's listed securities, and no treasury shares were held as of June 30, 2025 - From January 1, 2025, to the date of this announcement, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities[109] - As of June 30, 2025, the Company held no treasury shares[109] Compliance with Corporate Governance Code The company has adopted and complied with all code provisions of the Corporate Governance Code set out in Appendix C1 Part 2 of the HKEX Listing Rules for the six months ended June 30, 2025 - The Company has adopted the Corporate Governance Code set out in Appendix C1 Part 2 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[110] - The Directors believe that the Company has complied with all code provisions set out in the Corporate Governance Code for the six months ended June 30, 2025[110] Compliance with the Model Code for Securities Transactions The company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers, and all directors confirmed their compliance with its standard requirements during the reporting period - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers set out in Appendix C3 of the Listing Rules[111] - Following specific enquiries made to all Directors, each Director has confirmed that they have complied with the standard requirements set out in the Model Code for the six months ended June 30, 2025[111] Audit Committee The company's Audit Committee, along with management, reviewed the unaudited condensed consolidated interim results for the six months ended June 30, 2025, which were also reviewed by KPMG - The Company's Audit Committee, together with the Company's management, has reviewed the unaudited condensed consolidated interim results for the six months ended June 30, 2025[112] - The interim results announcement is unaudited, but KPMG has conducted a review in accordance with Hong Kong Standard on Review Engagements 2410 issued by the Hong Kong Institute of Certified Public Accountants[112] Publication of Interim Results Announcement and Interim Report This interim results announcement has been published on the HKEX and the company's website, and the 2025 interim report, containing all required information, will be dispatched to shareholders and published online in due course - This interim results announcement is published on the HKEX website (www.hkexnews.hk) and the **Company's website (http://www.newhopegroup.com)**[113](index=113&type=chunk) - The 2025 interim report, containing all information required by the Listing Rules, will be dispatched to the Company's shareholders (upon request) and published on the HKEX and the Company's websites in due course[113] By Order of the Board This announcement is issued by Mr. Jiang Mengjun, Chairman of the Board, on behalf of the Board, and details the composition of the Board of Directors as of the announcement date - This announcement is issued by Mr. Jiang Mengjun, Chairman of the Board, on behalf of the Board[114] - The Board comprises Executive Directors Mr. Liu Xu and Ms. Chen Jing; Non-executive Directors Mr. Jiang Mengjun (Chairman of the Board), Ms. Wu Min (Co-Chairman of the Board), Ms. Li Wei, and Ms. Zhang Wei; and Independent Non-executive Directors Mr. Cao Qilin, Mr. Jiang Zhiwu, and Mr. Li Zhengguo[114]