中海物业(02669) - 2025 - 中期财报

Company Information Company Information Overview This chapter provides detailed company information for China Overseas Property Holdings Limited as of August 25, 2025 (interim report date), including board members, committee compositions, authorized representatives, company secretary, independent auditor, registered and principal office addresses, principal share registrar, legal counsel, principal bankers, investor relations contact, stock code, and the 2025 financial calendar - The Board of Directors comprises executive directors (including Chairman, CEO, Vice President, CFO), non-executive directors, and independent non-executive directors[6] - The Company has established an Audit Committee, Nomination Committee, Remuneration Committee, and Sustainability Steering Committee to ensure effective corporate governance[6] Company Information Overview Data | Metric | Date | | :--- | :--- | | Interim Results Announcement | August 25 | | Ex-dividend Date for Interim and Special Dividends | September 19 | | Closure of Register of Members | September 23 to September 25 | | Record Date for Interim and Special Dividends | September 25 | | Payment Date for Interim and Special Dividends | October 10 | Chairman's Report Financial Performance Overview In the first half of 2025, China Overseas Property Holdings Limited's revenue increased by 3.7% to RMB 7,089.5 million, and operating profit grew by 3.4% to RMB 1,029.7 million; profit attributable to ordinary equity holders increased by 4.3% to RMB 769.1 million, with basic and diluted earnings per share at RMB 23.42 cents; the Board announced an interim dividend of HKD 9.0 cents per share (a 5.9% YoY increase) and a special dividend of HKD 1.0 cent per share to celebrate the 10th anniversary of listing Financial Performance Overview Data | Metric | first half of 2025 (RMB million) | first half of 2024 (RMB million) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 7,089.5 | 6,838.4 | +3.7% | | Operating Profit | 1,029.7 | 995.4 | +3.4% | | Profit Attributable to Ordinary Equity Holders | 769.1 | 737.5 | +4.3% | | Basic and Diluted Earnings Per Share | RMB 23.42 cents | RMB 22.45 cents | +4.3% | | Interim Dividend | HKD 9.0 cents per share | HKD 8.5 cents per share | +5.9% | | Special Dividend | HKD 1.0 cent per share | - | - | - Average Return on Equity decreased from 33.8% in 2024 to 28.8% in 2025[11] Macroeconomic and Industry Outlook Despite insufficient global economic growth momentum and frequent geopolitical conflicts, China's economy maintained stable growth and high-quality development; the real estate market is in an adjustment period, and the property management industry faces intensified competition, but policy support for urban renewal, smart property management, the silver economy, and green and low-carbon initiatives provides new growth opportunities for quality property management companies - Insufficient global economic growth momentum, protectionism, and unilateralism are impacting the international economic order, compounded by frequent geopolitical conflicts[12] - China's economy has a solid foundation, numerous advantages, strong resilience, and great potential; the momentum of stable economic growth remains unchanged, and high-quality development is steadily advancing[12] - The real estate market is still in an adjustment process, the property management industry is under overall pressure, market competition is intensifying, and the industry is shifting from incremental growth to existing stock, returning to its service essence[12] - Policies such as diversified services, smart property management, the silver economy, and green and low-carbon initiatives provide new opportunities for property management companies to expand into new businesses and create new growth points[12] - The government encourages property management companies to participate in urban renewal and long-term operational management after the renovation of old residential areas, providing strong support for property management companies to undertake urban operation services[14] Strategic Planning and Brand Building 2025 marks the final year of the Group's '14th Five-Year Plan' strategic blueprint, with China Overseas Property aiming for 'China Overseas-style Property Management Modernization' as its mid-to-long-term strategic goal, pursuing a synergistic balance of 'service-oriented, efficiency-first, and scale-based'; the Company positions itself as an explorer of urban operation services, a promoter of full-产业链 development, a guardian of a better life, and a builder of co-construction, co-governance, and shared benefits, proposing the brand proposition of 'Good Times, Good Property, Good Community' ('Three Goods') to enhance service quality and customer experience - 2025 marks the final year of the Group's '14th Five-Year Plan' strategic blueprint, with China Overseas Property, as a leading property management company, further solidifying its leading position[15] - Adopting 'China Overseas-style Property Management Modernization' as its mid-to-long-term strategic goal, solidifying the foundation of high-quality development and market-oriented approach[15] - Forming four core role definitions centered on serving a better life: explorer of urban operation services, promoter of full-产业链 development, guardian of a better life, and builder of co-construction, co-governance, and shared benefits[15] - Proposing the brand proposition of 'Good Times, Good Property, Good Community' ('Three Goods'), reflecting the ability to manage properties, serve people, and foster a sense of ownership[16] Business Development and Innovation China Overseas Property continues to deeply cultivate residential, non-residential, and urban service sectors, focusing on community space operations, real estate value-added services, and community living services as three major operating models, providing diversified urban convenience services around the full life cycle needs of community families; the Company also seizes the main theme of high-quality development, focusing on four major business segments: real estate services, smart operation and maintenance, energy management, and material procurement, and successfully expanded into overseas markets by signing an execution agreement for the urban operation project in the Central Business District of Egypt's New Administrative Capital - Based on property management service contracts, continuously deepening the quality and efficiency of basic services in residential, non-residential, and urban service sectors, and continuously improving project execution quality[17] - Focusing on community space operations, real estate value-added services, and community living services as three major operating models, providing diversified urban convenience services around the full life cycle needs of community families[17] - Seizing the main theme of high-quality development, focusing on strategic emerging industries as development engines, and concentrating on four major business segments: real estate services, smart operation and maintenance, energy management, and material procurement[17] - Breakthrough progress in overseas market expansion, with the signing of an execution agreement for the urban operation project in the Central Business District of Egypt's New Administrative Capital[19] - Building a unique 'one trunk, multiple branches, multi-industry synergy' business logic for China Overseas Property, achieving value preservation and appreciation of buildings in managed projects[19] Market Position and Benchmark Projects The Group has entered 163 cities, has 37,902 employees, manages 2,301 property projects, and serves an area exceeding 436 million square meters; the Company focuses on non-residential and urban services, successfully winning bids for multiple key universities, top-tier hospitals, and transportation hub projects; in Hong Kong and Macau, China Overseas Property firmly holds the leading position as the largest property management service provider and the largest Chinese-funded property service enterprise, achieving 100% coverage of fresh food wholesale markets under the Hong Kong Agriculture, Fisheries and Conservation Department; the Company continues to build a 'Three Highs, Three Sustainables' benchmark project service system to enhance service levels - The Group has entered 163 cities, has 37,902 employees, manages 2,301 property projects, and serves an area exceeding 436 million square meters[21] - Expanding high-quality incremental projects, focusing on non-residential and urban services, successfully winning bids for multiple key universities and top-tier hospitals, and implementing several urban service projects[21] - Firmly holds the leading position as Hong Kong's largest property management service provider and the largest Chinese-funded property service enterprise in Hong Kong and Macau, ranking first in Hong Kong's property management market share[23] - Achieved 100% coverage of fresh food wholesale markets under the Hong Kong Agriculture, Fisheries and Conservation Department, and cumulatively served 19 public hospitals in Hong Kong[21] - Continuously building the China Overseas benchmark project service system, having cumulatively evaluated and certified 66 projects in 48 cities nationwide, featuring 'Three Highs' (high-quality operational capability, high industry and customer recognition, high proportion of new technology application) and 'Three Sustainables' (replicable experience, upgradable technology and equipment, green and renewable environmental protection)[23] Corporate Responsibility and Future Outlook China Overseas Property serves over 100 Fortune Global 500 enterprise clients, has received numerous industry accolades and strong recognition from the capital market, and actively practices sustainable development, integrating ESG into its operations; looking ahead, the Company will celebrate its 10th anniversary of listing, planning to accelerate expansion into urban service sectors, promote digital transformation and smart property management construction, driving the transformation of traditional property management towards modern services through technological innovation and cross-industry collaboration, and comprehensively enhancing its core competitiveness - Serving over 100 Fortune Global 500 enterprise clients, received numerous industry accolades such as '2025 China Property Management Listed Company Leading Enterprise — High-Quality Development' and '2025 China Property Service Capability Top 100 Enterprise TOP 1'[24] - Ranked among the constituent stocks of the MSCI China All Shares Small Cap Index, continuously included in the Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect lists, and the Hang Seng Property Management & Services Index, receiving strong recognition from the capital market[24] - Adhering to and practicing sustainable development philosophy, promoting ESG integration throughout all aspects of operations through continuous project renovation, and received honors such as '2025 China Property ESG Sustainable Development Leading Enterprise'[24] - In the future, it will accelerate expansion into urban service sectors, continuously improve project operation and management capabilities, expedite digital transformation and smart property management construction, and strengthen risk prevention and mitigation capabilities[27] - Achieving 'China Overseas-style Property Management Modernization' through 'technological innovation and cross-industry collaboration', comprehensively promoting the modernization of ecosystem collaboration, service systems, technology application, brand building, talent teams, and fundamental management[28] Management Discussion and Analysis Business Review In the first half of 2025, the Group's GFA under management modestly increased by 5.0 million square meters to 436.1 million square meters, with 84.0% of new orders from independent third parties; overall revenue increased YoY by 3.7% to RMB 7,089.5 million, primarily driven by property management services, but residential and non-residential value-added services declined due to weak consumption; through strict cost control, gross profit margin improved to 17.0%, operating profit increased by 3.4% to RMB 1,029.7 million, but net impairment losses on financial and contract assets increased Business Review Data | Metric | first half of 2025 (RMB million) | first half of 2024 (RMB million) | YoY Change | | :--- | :--- | :--- | :--- | | New Contracted Area | 31.8 million square meters | - | - | | Of which from Independent Third Parties | 84.0% | - | - | | Total New Contracts Value | RMB 2,257.8 million | - | - | | Area Withdrawn | 26.8 million square meters | - | - | | Net Increase in GFA Under Management | 5.0 million square meters | - | - | | GFA Under Management at Period End | 436.1 million square meters | - | - | Business Review Data | Revenue Type | first half of 2025 (RMB thousand) | first half of 2024 (RMB thousand) | YoY Change | | :--- | :--- | :--- | :--- | | Overall Revenue | 7,089,474 | 6,838,434 | +3.7% | | Property Management Services | 5,596,379 | 5,165,905 | +8.3% | | Non-Residential Value-Added Services | 857,815 | 911,541 | -5.9% | | Residential Value-Added Services | 607,989 | 687,441 | -11.6% | | Parking Space Sales Business | 27,291 | 73,547 | -62.9% | Business Review Data | Metric | first half of 2025 (RMB thousand) | first half of 2024 (RMB thousand) | YoY Change | | :--- | :--- | :--- | :--- | | Direct Operating Costs | 5,887,056 | 5,690,146 | +3.5% | | Gross Profit | 1,202,418 | 1,148,288 | +4.7% | | Gross Profit Margin | 17.0% | 16.8% | +0.2% | | Operating Profit | 1,029,749 | 995,442 | +3.4% | | Profit Attributable to Ordinary Equity Holders of the Company | 769,147 | 737,524 | +4.3% | - Selling and administrative expenses reduced by 18.6%, primarily through headcount control and effective reduction of other administrative expenses under a lean management structure[40] - Net impairment losses on financial and contract assets increased compared to the same period last year, primarily due to a more prudent impairment rate of 8.5% adopted for trade receivables based on aging (2024: 6.7%)[40] Segment Information The Group's business is divided into four segments: property management services, non-residential value-added services, residential value-added services, and parking space sales business; both revenue and gross profit from property management services achieved growth, with gross profit margin slightly improving; revenue from non-residential value-added services decreased, and gross profit margin slightly narrowed; revenue from residential value-added services decreased, but due to increased business volume in high-margin community asset management services, gross profit margin increased; both revenue and profit from parking space sales business significantly decreased Property Management Services In the first half of 2025, revenue from property management services increased by 8.3% to RMB 5,596.4 million, accounting for 78.9% of total revenue; GFA under management increased to 436.1 million square meters, with independent third-party and non-residential projects accounting for 39.1% and 27.4%, respectively; through strict cost control, lump sum basis gross profit margin slightly increased to 13.6%, commission basis gross profit margin remained at 100.0%, overall gross profit margin was 15.5%, and segment gross profit increased by 8.6% to RMB 866.5 million Property Management Services Data | Metric | June 30, 2025 (million square meters) | Proportion | December 31, 2024 (million square meters) | Proportion | | :--- | :--- | :--- | :--- | :--- | | Total GFA Under Management | 436.1 | 100.0% | 431.1 | 100.0% | | From Independent Third Parties | 170.6 | 39.1% | 169.8 | 39.4% | | Non-Residential Projects | 119.3 | 27.4% | 123.6 | 28.7% | | Residential Projects | 316.8 | 72.6% | 307.5 | 71.3% | Property Management Services Data | Revenue Type | first half of 2025 (RMB thousand) | Proportion | first half of 2024 (RMB thousand) | Proportion | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Property Management Services Revenue | 5,596,379 | 78.9% | 5,165,905 | 75.5% | +8.3% | | Lump Sum Basis Revenue | 5,473,133 | 97.8% | 5,049,756 | 97.8% | +8.4% | | Commission Basis Revenue | 123,246 | 2.2% | 116,149 | 2.2% | +6.1% | Property Management Services Data | Contract Type | June 30, 2025 (million square meters) | Proportion | December 31, 2024 (million square meters) | Proportion | | :--- | :--- | :--- | :--- | :--- | | Lump Sum Basis | 361.6 | 82.9% | 357.1 | 82.8% | | Commission Basis | 74.5 | 17.1% | 74.0 | 17.2% | Property Management Services Data | Metric | first half of 2025 (RMB thousand) | Gross Profit Margin | first half of 2024 (RMB thousand) | Gross Profit Margin | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Property Management Services Gross Profit | 866,507 | 15.5% | 797,917 | 15.4% | +8.6% | | Lump Sum Basis Gross Profit | 743,261 | 13.6% | 681,768 | 13.5% | +9.0% | | Commission Basis Gross Profit | 123,246 | 100.0% | 116,149 | 100.0% | +6.1% | - Profit from property management services segment increased by 4.4% to RMB 751.5 million[53] Non-Residential Value-Added Services Revenue from non-residential value-added services decreased by 5.9% to RMB 857.8 million, accounting for 12.1% of total revenue; the downturn in the mainland real estate industry led to reduced demand for pre-delivery services, sales inspection services, and consultancy services, but increased maintenance and engineering services for large government projects in Hong Kong and Macau mitigated the decline; gross profit margin slightly decreased to 13.4%, and segment gross profit decreased by 10.2% to RMB 115.1 million Non-Residential Value-Added Services Data | Service Type | first half of 2025 (RMB thousand) | first half of 2024 (RMB thousand) | YoY Change | | :--- | :--- | :--- | :--- | | Total Revenue | 857,815 | 911,541 | -5.9% | | Engineering Services | 560,645 | 491,667 | +14.0% | | Pre-delivery Services | 242,354 | 299,133 | -19.0% | | Sales Inspection Services | 46,811 | 87,139 | -46.3% | | Consultancy Services | 8,005 | 33,602 | -76.2% | - Gross profit margin was 13.4% (2024: 14.1%), primarily reflecting the impact of lower gross profit margins from engineering projects in Hong Kong and Macau due to changes in business mix[57] - Segment gross profit decreased by 10.2% to RMB 115.1 million, and segment profit decreased by 5.4% to RMB 84.2 million[57] Residential Value-Added Services Revenue from residential value-added services decreased by 11.6% to RMB 608.0 million, accounting for 8.6% of total revenue, primarily affected by weak domestic consumption; despite the decrease in revenue, but due to increased business volume in high-margin community asset management services, gross profit margin increased to 35.2% (2024: 30.2%), driving an increase in segment gross profit by 2.9% to RMB 213.8 million Residential Value-Added Services Data | Service Type | first half of 2025 (RMB thousand) | first half of 2024 (RMB thousand) | YoY Change | | :--- | :--- | :--- | :--- | | Total Revenue | 607,989 | 687,441 | -11.6% | | Community Asset Management Services | 330,390 | 310,710 | +6.3% | | Home Living Services and Commercial Services Operations | 277,599 | 376,731 | -26.3% | - Gross profit margin increased to 35.2% (2024: 30.2%), primarily attributable to increased business volume in high-margin community asset management services[59] - Segment gross profit increased by 2.9% to RMB 213.8 million, and segment profit increased by 2.2% to RMB 202.7 million[59][60] Parking Space Sales Business Revenue from parking space sales business significantly decreased by 62.9% to RMB 27.3 million, primarily due to a decrease in the number of parking spaces sold from 1,254 units in 2024 to 365 units in 2025; segment profit also decreased accordingly to RMB 7.0 million Parking Space Sales Business Data | Metric | first half of 2025 | first half of 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Number of Parking Spaces Sold | 365 units | 1,254 units | -70.9% | | Segment Revenue | RMB 27.3 million | RMB 73.5 million | -62.9% | | Segment Profit | RMB 7.0 million | RMB 13.9 million | -49.6% | Liquidity, Financial Resources, and Debt Structure The Group adopts a prudent financial management policy; as of June 30, 2025, net current assets increased to RMB 4,922.5 million; bank balances and cash slightly decreased by 2.4% to RMB 5,666.1 million, of which RMB accounted for 89.6%; short-term unsecured bank borrowings remained at RMB 50.0 million, with a weighted average annual interest rate of 2.7% Liquidity, Financial Resources, and Debt Structure Data | Metric | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Net Current Assets | 4,922.5 | 4,476.4 | +10.0% | | Bank Balances and Cash | 5,666.1 | 5,803.5 | -2.4% | | Short-term Unsecured Bank Borrowings | 50.0 | 50.0 | 0% | | Weighted Average Annual Interest Rate on Borrowings | 2.7% | - | - | - Of the bank balances and cash, RMB accounted for 89.6%, while HKD/MOP accounted for 10.4%[63] Exchange Rate Fluctuation Risk The Group's primary property management business in China uses RMB for settlement, forming a natural hedging mechanism; although currency translation for Hong Kong and Macau operations may affect net assets and financial performance expressed in RMB, the Group currently does not enter into or trade financial instruments for hedging purposes; the Company will closely monitor exchange rate fluctuations and consider hedging policies when appropriate - The Group's primary property management business in China uses RMB as the settlement currency for revenue, receivables, payables, and expenses, thus having a natural hedging mechanism[64] - Exchange rate fluctuations may still affect net assets and financial performance expressed in RMB due to currency translation for Hong Kong and Macau operations after consolidation[64] - Currently, the Group does not enter into or trade financial instruments, including derivative financial instruments, for hedging or speculative purposes[64] - The Group will closely monitor exchange rate fluctuations and consider appropriate currency hedging policies to mitigate significant exchange rate risks[64] Capital Expenditure, Commitments, and Contingent Liabilities In the first half of 2025, the Group's capital expenditure was RMB 78.1 million, primarily for additions to renovations, vehicles, machinery and equipment, furniture, fixtures, office equipment, right-of-use assets under lease, and software systems; as of June 30, 2025, capital commitments were RMB 8.2 million, primarily related to capital investment in joint ventures and acquisition of software systems; contingent liabilities include counter-indemnities for performance guarantees provided to fellow subsidiaries and banks of approximately RMB 366.5 million, and corporate guarantees provided to fellow subsidiaries of RMB 100.0 million Capital Expenditure, Commitments, and Contingent Liabilities Data | Item | first half of 2025 (RMB thousand) | first half of 2024 (RMB thousand) | | :--- | :--- | :--- | | Total Capital Expenditure | 78,147 | 103,557 | | Additions to Property, Plant and Equipment | 25,141 | 18,042 | | Additions to Intangible Assets | 25,878 | 47,748 | | Right-of-Use Assets under Lease | 27,128 | 37,767 | Capital Expenditure, Commitments, and Contingent Liabilities Data | Item | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | | :--- | :--- | :--- | | Total Capital Commitments | 8,199 | 8,869 | | Capital Investment in Joint Ventures | 2,550 | 2,550 | | Intangible Asset Additions