Core Viewpoint - The real estate market in China is still undergoing significant adjustments, with uncertainties remaining. The company emphasizes maintaining financial stability and focusing on cash flow management while exploring high-potential opportunities in first-tier cities, particularly in the Yangtze River Delta and Guangdong-Hong Kong-Macau Greater Bay Area [2][5]. Financial Performance - In the first half of 2025, the company reported revenue of 2.074 billion yuan, unchanged year-on-year, and a profit of 81 million yuan, down 56% year-on-year. However, core profit, excluding fair value impairment of investment properties, increased by 144% to 263 million yuan [2]. - The company achieved a contract property sales amount of 3.473 billion yuan, a significant increase of 457% year-on-year, with residential sales contributing 3.29 billion yuan and commercial property sales 183 million yuan [3]. Market Insights - The company’s chairman noted that the real estate market, especially in third and fourth-tier cities, is still in a "bottoming" phase. However, there are structural opportunities in the high-end segment driven by improving demand [2]. - The high-end residential market in Shanghai is particularly strong, with sales of luxury homes priced over 30 million yuan reaching 313,000 square meters in the first half of 2025. Nearly 60% of the top luxury homes sold in China are located in Shanghai [3]. Future Sales and Projects - The company plans to have approximately 131,000 square meters of residential properties available for sale and pre-sale in the second half of the year, with significant projects in Shanghai and Wuhan [4]. - As of June 30, 2025, the company had a total saleable value of residential properties amounting to 48.6 billion yuan, with its equity value at approximately 24.9 billion yuan [4]. Strategic Focus - The company will continue to adopt a cautious approach, focusing on first-tier cities while maintaining financial health. It aims to enhance its brand influence in the mid-to-high-end market through its "Best-in-class" product strategy [5]. - The company has expanded its portfolio by adding three light-asset projects, including a significant collaboration in Shanghai, which is expected to generate over 30 billion yuan in residential value [6][7]. Market Outlook - The chairman expressed that the bottoming process of the real estate industry will take time, but the overall market is expected to stabilize despite facing challenges [8].