Financial Performance - In 2021, First Service Holding Limited reported revenue of RMB 1,119,869,000, a 44.4% increase from RMB 775,367,000 in 2020[11]. - The company achieved a net profit of RMB 33,609,000 in 2021, down 66.3% from RMB 99,603,000 in 2020[11]. - Revenue increased by approximately 44.4% from RMB 775.4 million in 2020 to RMB 1,119.9 million in 2021, driven by a 172.9% increase in managed building area from 19.1 million square meters to 52.1 million square meters[74]. - Property management service revenue rose about 90.0% from RMB 321.6 million in 2020 to RMB 611.1 million in 2021, attributed to an increase in the number of managed projects from 52 to 383[76]. - The green living solutions business generated revenue of RMB 195.9 million in 2021, while value-added services achieved revenue of RMB 312.9 million, with community value-added services growing by 32.1% to RMB 159.7 million[58]. - Gross profit rose by approximately 25.4% to RMB 335.4 million for the year ended December 31, 2021[90]. - Gross margin decreased from 34.5% for the year ended December 31, 2020, to 29.9% for the same period in 2021[91]. - Sales costs increased by approximately 54.5% to RMB 784.5 million for the year ended December 31, 2021, consistent with business expansion[88]. - Expected credit losses on trade receivables and contract assets increased by approximately 1,008.8% from RMB 10.2 million for the year ended December 31, 2020, to RMB 113.1 million for the year ended December 31, 2021[96]. - The company reported a significant decrease in profit from RMB 99.6 million in 2020 to RMB 33.6 million in 2021, primarily due to credit loss provisions related to real estate clients[74]. Operational Growth - As of December 31, 2021, the company managed 451 projects covering an area of 52.06 million square meters, representing a year-on-year growth of 173%[14]. - The number of contracted projects reached 539, with a total contracted area of 74.02 million square meters, a year-on-year increase of 98%[14]. - Third-party managed area increased to 37.83 million square meters, up 426% year-on-year, while contracted area from third parties grew by 201% to 47.32 million square meters[14]. - The total number of managed properties increased to 539 with a total contracted area of 74,022 thousand square meters, representing a 100% share of the total[79]. - The number of residential properties managed rose to 245, with a contracted area of 49,087 thousand square meters, accounting for 66.3% of the total[79]. - The company expanded its service offerings to include residential, public, commercial, and other property management, with managed areas of 27.9 million square meters, 6.9 million square meters, and 17.2 million square meters respectively[57]. Strategic Initiatives - In 2021, First Service Holding Limited entered into strategic partnerships with Dalian Yahang and Qingdao Luohang, enhancing its service capacity in the Bohai Rim region[13]. - The company aims to optimize operational efficiency and revenue through the expansion of third-party business and diversification of property management types[16]. - The company plans to continue expanding its property management business and enhance brand recognition, focusing on core cities and improving project management post-acquisition[61]. - The company plans to explore the "smart city services" sector by integrating digital twin technology with urban services, aiming to provide decision-making support for city management[62]. - The company aims to enhance smart community development by integrating 5G and IoT technologies, improving service efficiency and customer experience[65]. - The company is pursuing strategic acquisitions in the property management sector, with a target of completing at least two major deals within the next 12 months[166]. Corporate Social Responsibility - The company has been committed to corporate social responsibility, engaging in charitable activities and supporting education initiatives[45]. - The company actively promoted green and low-carbon property service concepts, winning several awards for its initiatives in waste classification and environmental sustainability[35]. - The company played a significant role in pandemic prevention efforts, receiving recognition from local governments and communities for its contributions[40]. - The company was awarded the title of "Advanced Unit in Pandemic Prevention and Control" by various local authorities[41]. Governance and Management - The company has established a strong governance structure with experienced directors overseeing its strategic initiatives[147]. - The board consists of 4 executive directors, 2 non-executive directors, and 3 independent non-executive directors, ensuring compliance with listing rules regarding board composition[177]. - The company has a focus on strategic planning and operational management, with Long Han responsible for leading overall development strategies since 2020[152]. - The management team includes independent non-executive directors with extensive experience in finance and property management, enhancing corporate governance[155][156]. - Continuous professional development is encouraged for all directors, with regular updates on company performance and regulatory changes provided[184]. Future Outlook - Future outlook indicates a projected revenue growth of 15% for the upcoming fiscal year, driven by new product launches and market expansion strategies[163]. - The company plans to expand its market presence by entering three new cities in China by the end of 2023, aiming for a 25% increase in market share[166]. - The company has established a new partnership with a leading technology firm to enhance its service offerings, expected to generate an additional $5 million in revenue annually[167]. - The company has set a goal to reduce operational costs by 10% through improved resource management and technology integration[168].
第一服务控股(02107) - 2021 - 年度财报