Core Viewpoint - The real estate industry is experiencing a traditional off-season in the third quarter of 2025, with a decline in both transaction volume and prices in major cities, indicating a market that continues to operate under a "price for volume" strategy [5][6][7]. Financial Performance - The company reported a total revenue of 8.165 billion yuan, a year-on-year decrease of 6.81%, primarily due to the new asset management product "Xiangyu Youxuan" adopting a net method for revenue recognition [8]. - The net profit attributable to the parent company was approximately 42.327 million yuan, a significant increase of 398.75% year-on-year, driven by increased transaction volume in the brokerage business and reduced operating costs [8][9]. - For the third quarter, the company achieved a revenue of 2.507 billion yuan, a year-on-year decline of 14.94%, while the net profit attributable to the parent company was 3.927 million yuan, an increase of 118.81% year-on-year [9]. Market Analysis - In the third quarter, the transaction volume of second-hand houses in major cities showed a downward trend, with Beijing's transaction volume decreasing by 6.7% from the previous quarter, and Shanghai's by 10.3% [6][7]. - The average price of second-hand houses in 100 cities fell by 2.26% in the third quarter, with a cumulative decline of 5.79% for the first three quarters of 2025 [6][7]. - Policy adjustments in major cities, such as Beijing and Shanghai, aimed at optimizing housing purchase restrictions, are expected to stimulate demand in the housing market [7][8]. Business Operations - The company achieved a total housing transaction amount (GTV) of approximately 196.2 billion yuan, a year-on-year increase of 5.2%, with brokerage business contributing 156.6 billion yuan [10]. - The company’s brokerage business saw a transaction volume of 54,626 units, a year-on-year increase of 5.6%, while the new housing business transaction volume reached 8,150 units, a slight increase of 0.4% [8][10]. - The company’s managed housing resources in the asset management business reached 330,000 units, an increase of 8.9% compared to the beginning of the year [8][10].

Core Viewpoint - The company remains optimistic about the long-term development prospects of the rental industry and considers its rental business a core part of its strategic development [2] Group 1: Business Strategy - The company focuses on key markets such as Beijing, Shanghai, and Hangzhou, and has managed over 300,000 rental units, maintaining industry-leading scale and operational efficiency [2] - The company has established a strong brand presence and is capable of meeting the differentiated needs of various tenant groups across different cities [2] Group 2: Service Offering - The company provides a comprehensive suite of services through a digital platform, including tenant finding, property maintenance, and financial services [2] Group 3: Market Positioning - The company actively monitors industry policy changes and is researching new financial tools and business models to further enhance its market leadership in the rental sector [2]

Summary of the Conference Call for "我爱我家" (Woya Home) 2024 Performance Company Overview - The conference call discusses the performance and operational status of "我爱我家" for the year 2024, highlighting the challenges faced in a declining market and the impact of commission rate reductions in certain cities on the company's operations [3][5]. Key Financial Metrics - **Revenue**: Achieved 12.5 billion (125 亿元), a year-on-year increase of 3.7% [3][6]. - **Net Profit**: Approximately 73.41 million (7,341 万元), with a significant turnaround from losses in previous years. The net profit after excluding non-recurring items was about 41.42 million (4,142 万元) [3][5]. - **Fourth Quarter Performance**: The fourth quarter net profit reached 64.93 million (6,493 万元), with a non-recurring profit of 110 million (1.1 亿元), marking the highest quarterly profit in nearly two years [3][4]. Business Segment Performance - **Brokerage Business**: Revenue of 4.1 billion (41 亿元), a slight increase of 0.2% [6]. - **Asset Management**: Revenue of 6.2 billion (62 亿元), up 6.5% [6]. - **New Housing**: Revenue of 1.15 billion (11.5 亿元), a growth of 3.9% [6]. - **Commercial Leasing**: Revenue of 2.44 billion (24.4 亿元), an increase of 8% [6]. - **Market Share**: The market share in core cities is steadily increasing, with Shanghai's market share approaching 5% [3][7]. Market Dynamics - **Commission Rates**: The average commission rate for nationwide transactions decreased by 0.12 percentage points, primarily due to reductions in Beijing. However, rates in cities like Shanghai and Hangzhou remained stable or increased [3][8]. - **Transaction Volume**: In the first quarter of 2025, transaction volumes in core cities showed significant growth, with Beijing, Shanghai, and Hangzhou increasing by 36%, 46%, and 47% respectively [3][11]. Future Outlook - **2025 Projections**: The company expects non-recurring losses to further decrease, leading to more pronounced operating profits. The new housing market is anticipated to maintain rapid growth, supported by ongoing strategic adjustments [3][9][10]. - **Revenue Growth**: Revenue growth in 2025 is expected to exceed that of 2024, driven by increases in transaction volume, housing prices, and commission rates [3][15]. - **Cost Management**: The company aims to continue its cost reduction and efficiency improvement strategies, although the extent may not match the significant reductions seen in 2024 [3][15][16]. Technology and Innovation - **AI and Digitalization**: The company has invested over 1 billion (十亿) in digitalization over the past 3 to 5 years, achieving significant results in reducing labor costs and enhancing consumer experience through AI technology [3][17]. Rental Business Strategy - **Market Position**: The company has adapted its rental business strategy to the declining rental market by controlling lease lengths and ensuring quality assessments of rental properties [3][18]. New Housing Development - **Risk Management**: The company is cautiously re-entering the new housing development sector, having effectively managed risks and reduced accounts receivable from 1.5 billion (15 亿元) to 500 million (5 亿元) [3][19]. Store Expansion Plans - **Store Count**: The number of stores is expected to remain stable in 2025, with no aggressive expansion planned due to the need for capital to support potential short-term losses from new store openings [3][23]. This summary encapsulates the key points from the conference call, providing insights into the company's performance, market dynamics, and future strategies.